Student-loan borrowers seek court enforcement over delayed Sweet settlement relief

Lawyers representing student-loan borrowers are asking a federal court to enforce the Sweet v. McMahon settlement and address delayed relief. The Project on Predatory Student Lending says at least 1,051 class members are still waiting for discharges or refunds after applicable deadlines.

The group’s case record lists October 15 replies supporting enforcement and contempt motions, with a public hearing scheduled for November 5. Adam S. Minsky’s October 17 Forbes report renewed attention to the dispute. These are borrowers’ requests and allegations of noncompliance, not a new ruling imposing sanctions.

In its October 1 opposition, the Education Department says it has substantially complied with the settlement and argues that additional enforcement orders are unwarranted. Borrowers’ lawyers dispute that position.

The case concerns borrower-defense claims tied to alleged school misconduct. It is not a blanket cancellation program for everyone with federal student loans. Existing settlement deadlines also differ among borrower groups, so a pending enforcement request should not be presented as a new universal discharge date.