Department of Education attempts to block Borrower Defense Rule; 19 Attorney Generals sue.

Inexplicably, the Department of Education has elected to block the rule known as the "Borrower Defense Rule." Last fall, in response to several cases of for-profit colleges closing amid allegations of fraud, the Department of Education released updated rules, called the borrower defense to repayment regulations, to provide relief to federal student loan borrowers defrauded by their schools. These rules were meant to streamline the process for such claims and help ensure that schools rather than the government would foot the bill for loan discharges. Last month, the Department of Education announced that due to pending litigation, it was postponing implementing the majorly of these rules, which were due to take effect on July 1. The department also announced its intention to re-evaluate these rules.

This is profoundly stupid.

Thankfully, attorney generals from 19 states have filed a lawsuit against the Department to stop this rollback of the Borrower Defense Rule. Below are some articles on the situation:


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Our site does not create an attorney-client relationship and is not intended to be relied upon for legal advice.  Armor Law, LLC is a law firm that represents student loan borrowers throughout the Atlanta metro area and the entire state of Georgia.  We represent borrowers who have been sued by National Collegiate Student Loan Trust in Fulton County, Dekalb County, Gwinnett County, Forsyth County, Clayton County, Henry County, Cobb County, and other counties in Georgia.  We are student loan lawyers in the Atlanta, Georgia area.

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