District Judge Randolph Moss sided with Meaghan Bauer, Stephano Del Rose and a
coalition of 19 states and the District of Columbia in their lawsuit against Education
Secretary Betsy DeVos. The lawsuit challenged the U.S. Department of
Education’s plan to abandon federal protection for students cheated by
predatory, for-profit schools. The court’s opinion ruled DeVos’ actions
unlawful and ordered a hearing to determine how to remedy the issues. Following
the collapse of for-profit Corinthian College, the Obama Administration
finalized the Borrower Defense and the Gainful Employment regulations after
negotiating the terms for nearly two years.
year, Secretary DeVos announced that the Education Department would start over
again with a rule-making process aimed at creating a new version of the rule.
Since then, the department has delayed action on key provisions of the Obama Administration
regulation, including disclosures to students. Secretary DeVos declared the
department’s plan to reevaluate the rule and, shortly thereafter, to rewrite it.
More than 130,000 borrowers have applied for debt forgiveness since 2015, a
majority of whom attended for-profit colleges.