Federal judges in Massachusetts and Washington, D.C., issued rulings on Tuesday that prevent President Donald Trump's administration from implementing changes to the Public Service Loan Forgiveness (PSLF) program. The Education Department, under Trump's direction, had introduced a new rule that aimed to restrict eligibility for PSLF based on employment with organizations accused of engaging in illegal activities, such as aiding illegal immigration and supporting terrorism.
U.S. District Judge Myong Joun in Boston and U.S. District Judge Amir Ali in Washington, D.C., both appointed by President Joe Biden, ruled against the new regulation after it faced legal challenges from over a dozen Democratic-led states and various advocacy groups. Judge Joun stated that the regulation exceeded the agency's authority and could violate the First Amendment. He noted that the rule could chill protected speech.
The PSLF program allows for the forgiveness of federal student loans after 10 years of qualifying public service employment. More than 1 million Americans have benefited from this program. In March 2025, Trump issued an executive order aimed at narrowing eligibility for PSLF, citing concerns over taxpayer dollars being misused by organizations he deemed harmful to national security and American values.
The Education Department's final rule specifically excluded applicants working for nonprofit organizations involved in activities such as illegal immigration and child sex-change operations. In his ruling, Judge Joun indicated that the changes unconstitutionally discriminated based on viewpoint, violating the First Amendment. Following the court's decision, Undersecretary of Education Nicholas Kent stated that the agency is assessing its next steps regarding the program.