Case: Garrison v. U.S. Department of Education

1:22-cv-01895 | U.S. District Court for the Southern District of Indiana

Filed Date: Sept. 27, 2022

Case Ongoing

Clearinghouse coding complete

Case Summary

This is one of many cases challenging President Biden's plan to cancel specified amounts of student debt, which he announced on August 24, 2022. On September 27, 2022, Pacific Legal Foundation, a libertarian public interest law firm, filed this action on behalf of one of their employees. The employee lives in Indiana, received Pell Grants, and qualifies for the Public Service Loan Forgiveness (PSLF) program. Plaintiff alleges injury from President Biden's plan because if $20,000 of his loans ar…

This is one of many cases challenging President Biden's plan to cancel specified amounts of student debt, which he announced on August 24, 2022. On September 27, 2022, Pacific Legal Foundation, a libertarian public interest law firm, filed this action on behalf of one of their employees. The employee lives in Indiana, received Pell Grants, and qualifies for the Public Service Loan Forgiveness (PSLF) program. Plaintiff alleges injury from President Biden's plan because if $20,000 of his loans are forgiven automatically, the Indiana tax code (Ind. Code § 6-3-1-3.5(a)(30)) will hold him liable for $1,000 in additional state income taxes; but under PSLF, he would never have to pay those taxes. Plaintiffs also allege that the Department of Education (DoE) has no lawful authority to cancel the debt under the Administrative Procedure Act; and that their attempt to do so violates both the non-delegation doctrine and the separation of powers doctrine. Plaintiffs filed the case in the U.S. District Court for the Southern District of Indiana, and sought an injunction, a declaratory judgment, and attorney's fees. 

Along with the complaint, Pacific Legal also motioned for a temporary restraining order and preliminary injunction. On September 29, 2022, Judge Richard Young denied the motion, because President Biden had modified his loan relief plan, and the DoE had accordingly exempted the employee from receiving debt relief. Therefore, he could not prove irreparable harm. However, on the same day, Plaintiffs orally moved for leave to amend his complaint, which Judge Young granted.  

On October 10, 2022, Plaintiffs filed an amended complaint, adding another public interest employee who qualified for both Biden's program and PSLF, but would be taxed under Biden's program as a Plaintiff. In the amended complaint, Plaintiffs sought to certify a class of "[a]ll persons who qualify for . . . impending automatic loan cancellation and reside in states imposing tax obligations for any amount of debt canceled." The amended complaint was again followed by a request for a temporary restraining order and preliminary injunction. 

On October 18, 2022, the DoE motioned to dismiss for lack of jurisdiction. On October 21, Judge Young did just that under a lack of standing rationale. Standing requires that any plaintiff's injury be traceable to the defendant; however, in this case, the Judge found that each state had wide latitude to create its own tax policy, such that any harm from taxes was caused and traceable only to that state. Thus, the motions for an injunction and restraining order were also denied as moot. 2022 WL 16509532.

On October 21, 2022, Plaintiffs sought an injunction pending appeal from the U.S. Court of Appeals for the Seventh Circuit. On October 28, 2022, Judges Frank Easterbrook, Ilana Rovner, and Michael Brennan denied the appeal on the same grounds as Judge Young on September 29—that President Biden's loan forgiveness program now allowed individuals to opt out. 2022 WL 16626750.

Shortly thereafter, on November 1, 2022, Plaintiffs filed an emergency motion for writ of injunction pending appeal with the Supreme Court. Justice Amy Coney Barrett (who covers the Seventh Circuit) denied the application just a few days later on November 4.

Summary Authors

Sophia Bucci (11/30/2022)

Documents in the Clearinghouse

Document

22-00373

Supreme Court Docket

Supreme Court of the United States

Nov. 1, 2022

Nov. 1, 2022

Docket
1

1:22-cv-01895

Complaint

Sept. 27, 2022

Sept. 27, 2022

Complaint
16

1:22-cv-01895

Order Denying Plaintiff's Motion for Temporary Restraining Order and Preliminary Injunction

Sept. 29, 2022

Sept. 29, 2022

Order/Opinion
23

1:22-cv-01895

First Amended Class Action Complaint

Oct. 10, 2022

Oct. 10, 2022

Complaint
36

1:22-cv-01895

Entry Dismissing Plaintiffs' Amended Complaint

Oct. 21, 2022

Oct. 21, 2022

Order/Opinion

22-02886

Order

U. S. Court of Appeals for the Seventh Circuit

Oct. 28, 2022

Oct. 28, 2022

Order/Opinion

Docket

See docket on RECAP: https://www.courtlistener.com/docket/65377772/garrison-v-us-department-of-education/

Last updated Jan. 22, 2023, 3:33 a.m.

ECF Number Description Date Link Date / Link
1

COMPLAINT against All Defendants, filed by FRANK GARRISON. (Filing fee $402, receipt number AINSDC-7295733) (Attachments: # 1 Civil Cover Sheet, # 2 Summons)(Kruckenberg, Caleb) (Entered: 09/27/2022)

Sept. 27, 2022

Sept. 27, 2022

Clearinghouse
2

MOTION for Attorney(s) Caleb Kruckenberg to Appear pro hac vice (Filing fee $100, receipt number AINSDC-7295988), filed by Plaintiff FRANK GARRISON. (Attachments: # 1 PHV order)(Kruckenberg, Caleb) (Entered: 09/27/2022)

Sept. 27, 2022

Sept. 27, 2022

PACER
3

MOTION for Attorney(s) Michael Poon to Appear pro hac vice (Filing fee $100, receipt number AINSDC-7296140), filed by Plaintiff FRANK GARRISON. (Attachments: # 1 PHV order)(Poon, Michael) (Entered: 09/27/2022)

Sept. 27, 2022

Sept. 27, 2022

PACER
4

MOTION for Temporary Restraining Order, filed by Plaintiff FRANK GARRISON. (Attachments: # 1 Memo in Support, # 2 Declaration, # 3 Index of Exhibits, # 4 Exhibit 1, # 5 Exhibit 2, # 6 Exhibit 3, # 7 Exhibit 4)(Poon, Michael) (Entered: 09/27/2022)

1

View on RECAP

Sept. 27, 2022

Sept. 27, 2022

PACER
5

MOTION for Preliminary Injunction, filed by Plaintiff FRANK GARRISON. (Poon, Michael) (Entered: 09/27/2022)

Sept. 27, 2022

Sept. 27, 2022

RECAP
6

Summons Issued as to MIGUEL CARDONA, U.S. DEPARTMENT OF EDUCATION. (JRB) (Entered: 09/27/2022)

Sept. 27, 2022

Sept. 27, 2022

PACER
7

MAGISTRATE JUDGE's NOTICE of Availability to Exercise Jurisdiction issued. (JRB) (Entered: 09/27/2022)

Sept. 27, 2022

Sept. 27, 2022

RECAP
8

NOTICE of Appearance by Robert Charles Merritt on behalf of Defendants MIGUEL CARDONA, U.S. DEPARTMENT OF EDUCATION. (Merritt, Robert) (Entered: 09/27/2022)

Sept. 27, 2022

Sept. 27, 2022

RECAP
9

ORDER granting 2 Motion to Appear pro hac vice. Attorney Caleb Kruckenberg for FRANK GARRISON added. Signed by Magistrate Judge Tim A. Baker on 9/28/2022. (SWM) (Entered: 09/28/2022)

Sept. 28, 2022

Sept. 28, 2022

PACER
10

ORDER granting 3 Motion to Appear pro hac vice. Attorney Michael Poon for FRANK GARRISON added. Signed by Magistrate Judge Tim A. Baker on 9/28/2022. (SWM) (Entered: 09/28/2022)

Sept. 28, 2022

Sept. 28, 2022

PACER
11

SCHEDULING ORDER - The court SETS this matter for a telephonic conference on SEPTEMBER 29, 2022 at 10:30 a.m. before the Honorable Richard L. Young, Judge. The information needed to participate in this telephonic conference will be provided by a separate notification. Signed by Judge Richard L. Young on 09/28/2022.(AAS) (Entered: 09/28/2022)

Sept. 28, 2022

Sept. 28, 2022

RECAP
12

NOTICE of Teleconference Call-in Information for 11 The court SETS this matter for a telephonic conference on SEPTEMBER 29, 2022 at 10:30 a.m. before the Honorable Richard L. Young, Judge. Counsel are to call 877-336-1839 to participate in the conference. Callers will be required to enter Access Code 6536268 and Security Code 221895 before being connected to the conference call. Call-in information is to be used by COUNSEL ONLY. (TEXT-ENTRY: There is no pdf document associated with this entry.) (TMD) (Entered: 09/28/2022)

Sept. 28, 2022

Sept. 28, 2022

PACER
13

NOTICE, filed by Defendants MIGUEL CARDONA, U.S. DEPARTMENT OF EDUCATION (Merritt, Robert) (Entered: 09/28/2022)

Sept. 28, 2022

Sept. 28, 2022

RECAP
14

SCHEDULING ORDER - Due to a scheduling conflict, the telephonic conference set for September 29, 2022 at 10:30 a.m. will now begin at 2:30 p.m. The dialing information provided to counsel will remain unchanged. Signed by Judge Richard L. Young on 09/29/2022.(AAS) (Entered: 09/29/2022)

Sept. 29, 2022

Sept. 29, 2022

RECAP
15

Minute Entry for telephonic conference held 9/29/2022 before Judge Richard L. Young. Parties appeared by telephone; Plaintiff by Caleb Kruckenberg and Michael Poon; Defendants by Robert Merritt for the telephonic conference set this date. The conference was held and concluded. Any rulings shall issue by separate order. (TMD) (Entered: 09/29/2022)

Sept. 29, 2022

Sept. 29, 2022

RECAP
16

ORDER denying without prejudice Plaintiff's 4 Motion for TRO and 5 Motion for Preliminary Injunction. Plaintiff has orally moved for leave to amend his complaint. That request is GRANTED, and Plaintiff will have until October 10, 2022, to file an amended complaint. Signed by Judge Richard L. Young on 9/29/2022. (TMD) (Entered: 09/29/2022)

Sept. 29, 2022

Sept. 29, 2022

Clearinghouse
17

AFFIDAVIT of Service for Complaint, Notice, Consent, and Reference of a Civil Action to Magistrate Judge, Motion for Preliminary Junction, Motion for Temporary Restraining Order, Motion to Appear Pro Hac Vice of Caleb Kruckenberg, and Motion to Appear Pro Hac Vice of Michael Poon served on Department of Education on 9/27/2022, filed by FRANK GARRISON. (Attachments: # 1 Exhibit)(Kruckenberg, Caleb) (Entered: 10/04/2022)

1

View on RECAP

Oct. 4, 2022

Oct. 4, 2022

PACER
18

AFFIDAVIT of Service for Complaint, Notice, Consent, and Reference of a Civil Action to Magistrate Judge, Motion for Preliminary Junction, Motion for Temporary Restraining Order, Motion to Appear Pro Hac Vice of Caleb Kruckenberg, and Motion to Appear Pro Hac Vice of Michael Poon served on Miguel Cardona on 9/27/2022, filed by FRANK GARRISON. (Attachments: # 1 Exhibit)(Kruckenberg, Caleb) (Entered: 10/04/2022)

Oct. 4, 2022

Oct. 4, 2022

PACER
19

SUMMONS Returned Executed by FRANK GARRISON. U.S. DEPARTMENT OF EDUCATION served on 9/27/2022. (Attachments: # 1 Exhibit)(Kruckenberg, Caleb) (Entered: 10/04/2022)

Oct. 4, 2022

Oct. 4, 2022

PACER
20

SUMMONS Returned Executed by FRANK GARRISON. MIGUEL CARDONA served on 9/27/2022. (Attachments: # 1 Exhibit)(Kruckenberg, Caleb) (Entered: 10/04/2022)

Oct. 4, 2022

Oct. 4, 2022

PACER
21

AFFIDAVIT of Service for Complaint, Notice, Consent, and Reference of a Civil Action to Magistrate Judge, Motion for Preliminary Junction, Motion for Temporary Restraining Order, Motion to Appear Pro Hac Vice of Caleb Kruckenberg, and Motion to Appear Pro Hac Vice of Michael Poon served on Zachary Myers on 9/27/2022, filed by FRANK GARRISON. (Kruckenberg, Caleb) (Entered: 10/04/2022)

Oct. 4, 2022

Oct. 4, 2022

PACER
22

AFFIDAVIT of Service for Complaint, Notice, Consent, and Reference of a Civil Action to Magistrate Judge, Motion for Preliminary Junction, Motion for Temporary Restraining Order, Motion to Appear Pro Hac Vice of Caleb Kruckenberg, and Motion to Appear Pro Hac Vice of Michael Poon served on Merrick Garland, Attorney General on 9/27/2022, filed by FRANK GARRISON. (Attachments: # 1 Exhibit)(Kruckenberg, Caleb) (Entered: 10/04/2022)

Oct. 4, 2022

Oct. 4, 2022

PACER
23

AMENDED COMPLAINT With Class Action against All Defendants, filed by All Plaintiffs.(Kruckenberg, Caleb) (Entered: 10/10/2022)

Oct. 10, 2022

Oct. 10, 2022

Clearinghouse
24

MOTION to Certify Class, filed by Plaintiff FRANK GARRISON. (Attachments: # 1 Exhibit 1, # 2 Exhibit 2, # 3 Exhibit 3 (Declaration))(Kruckenberg, Caleb) (Entered: 10/10/2022)

Oct. 10, 2022

Oct. 10, 2022

RECAP
25

MOTION for Preliminary Injunction and Memorandum in Support, filed by Plaintiff FRANK GARRISON. (Attachments: # 1 Memorandum in Support, # 2 Index of Exhibits, # 3 Exhibit 1, # 4 Exhibit 2, # 5 Exhibit 3, # 6 Exhibit 4, # 7 Exhibit 5, # 8 Exhibit 6)(Kruckenberg, Caleb) (Entered: 10/10/2022)

Oct. 10, 2022

Oct. 10, 2022

RECAP
26

MOTION for Temporary Restraining Order, filed by Plaintiff FRANK GARRISON. (Kruckenberg, Caleb) (Entered: 10/10/2022)

Oct. 10, 2022

Oct. 10, 2022

RECAP
27

STIPULATION to Enter Proposed Briefing Schedule, filed by Defendants MIGUEL CARDONA, U.S. DEPARTMENT OF EDUCATION. (Merritt, Robert) (Entered: 10/12/2022)

Oct. 12, 2022

Oct. 12, 2022

RECAP
28

MARGINAL ENTRY APPROVING, re 27 Briefing Schedule. Signed by Judge Richard L. Young on 10/13/2022.(JRB) (Entered: 10/13/2022)

Oct. 13, 2022

Oct. 13, 2022

RECAP
29

MOTION for Leave to File Excess Pages, filed by Defendants MIGUEL CARDONA, U.S. DEPARTMENT OF EDUCATION. (Attachments: # 1 Text of Proposed Order)(Merritt, Robert) (Entered: 10/18/2022)

Oct. 18, 2022

Oct. 18, 2022

PACER
30

MOTION to Dismiss for Lack of Jurisdiction, filed by Defendants MIGUEL CARDONA, U.S. DEPARTMENT OF EDUCATION. (Merritt, Robert) (Entered: 10/18/2022)

Oct. 18, 2022

Oct. 18, 2022

RECAP
31

RESPONSE in Opposition re 25 MOTION for Preliminary Injunction and Memorandum in Support, 26 MOTION for Temporary Restraining Order and in Support of Motion to Dismiss, filed by Defendants MIGUEL CARDONA, U.S. DEPARTMENT OF EDUCATION. (Attachments: # 1 Exhibit 1 (Kvaal Decl.))(Merritt, Robert) (Entered: 10/18/2022)

Oct. 18, 2022

Oct. 18, 2022

RECAP
32

NOTICE of Appearance by Cody Taylor Knapp on behalf of Defendants MIGUEL CARDONA, U.S. DEPARTMENT OF EDUCATION. (Knapp, Cody) (Entered: 10/18/2022)

Oct. 18, 2022

Oct. 18, 2022

PACER
33

REPLY in Support of Motion re 25 MOTION for Preliminary Injunction and Memorandum in Support, filed by Plaintiffs FRANK GARRISON, NOEL JOHNSON. (Kruckenberg, Caleb) (Entered: 10/19/2022)

Oct. 19, 2022

Oct. 19, 2022

RECAP
34

MOTION for Extension of Time to File Response to November 22, 2022 re 24 MOTION to Certify Class, filed by Defendants MIGUEL CARDONA, U.S. DEPARTMENT OF EDUCATION. (Attachments: # 1 Text of Proposed Order)(Merritt, Robert) (Entered: 10/20/2022)

Oct. 20, 2022

Oct. 20, 2022

RECAP
35

Exhibit 1 to Reply in Support of 33 Motion for Preliminary Injunction filed by Plaintiffs FRANK GARRISON, NOEL JOHNSON. (Attachments: # 1 Exhibit) (Kruckenberg, Caleb) Modified on 10/24/2022 (JRB). (Entered: 10/21/2022)

Oct. 21, 2022

Oct. 21, 2022

PACER
36

ENTRY DISMISSING PLAINTIFFS' AMENDED COMPLAINT - The complaint is DISMISSED without prejudice. Plaintiffs' Motions to Certify Class (Filing No. 24 ), for a Preliminary Injunction (Filing No. 25 ), and for a Temporary Restraining Order (Filing No. 26 ) are DENIED as moot. Defendants' Motion to Dismiss for Lack of Jurisdiction (Filing No. 30 ) and Motion for Extension of Time to File Response (Filing No. 34 ) are DENIED as moot. SEE ORDER. Signed by Judge Richard L. Young on 10/21/2022. (KAA) (Entered: 10/21/2022)

Oct. 21, 2022

Oct. 21, 2022

Clearinghouse
37

FINAL JUDGMENT - In today's Entry, the court dismissed the Plaintiffs amended complaint without prejudice. In doing so, the court resolved all of the claims at issue in the case. Accordingly, the court now enters final judgment in favor of the Defendants and against the Plaintiffs. Signed by Judge Richard L. Young on 10/21/2022.(KAA) (Entered: 10/21/2022)

Oct. 21, 2022

Oct. 21, 2022

RECAP
38

NOTICE OF APPEAL as to 37 Closed Judgment, 36 Order on Motion to Certify ClassOrder on Motion for Preliminary InjunctionOrder on Motion for TROOrder on Motion for Leave to File Excess PagesOrder on Motion to Dismiss/Lack of JurisdictionOrder on Motion for Extension of Time to File Response, filed by Plaintiffs FRANK GARRISON, NOEL JOHNSON. (Filing fee $505, receipt number AINSDC-7335209) (Kruckenberg, Caleb) (Entered: 10/21/2022)

Oct. 21, 2022

Oct. 21, 2022

RECAP
39

PARTIES' SHORT RECORD re 38 Notice of Appeal - Instructions for Attorneys/Parties attached. (LF) (Entered: 10/24/2022)

Oct. 21, 2022

Oct. 21, 2022

PACER
40

Transmission of Notice of Appeal and Docket Sheet to US Court of Appeals re 38 Notice of Appeal. - for Court of Appeals Use Only. (LF) (Entered: 10/24/2022)

Oct. 21, 2022

Oct. 21, 2022

RECAP
41

USCA Case Number 22-2886 for 38 Notice of Appeal filed by NOEL JOHNSON, FRANK GARRISON. (LBT) (Entered: 10/25/2022)

Oct. 24, 2022

Oct. 24, 2022

RECAP

Case Details

State / Territory: Indiana

Case Type(s):

Public Benefits/Government Services

Education

Presidential/Gubernatorial Authority

Special Collection(s):

Challenges to Biden Student Loan Forgiveness Plan

Key Dates

Filing Date: Sept. 27, 2022

Case Ongoing: Yes

Plaintiffs

Plaintiff Description:

Two individual plaintiffs, intending as well to build a class, who argued they would suffer greater state income taxes under the Department of Education's new loan forgiveness program than they would otherwise (under their eligibility for alternative Public Interest Loan Forgiveness programs)

Plaintiff Type(s):

Private Plaintiff

Public Interest Lawyer: Yes

Filed Pro Se: No

Class Action Sought: Yes

Class Action Outcome: Mooted before ruling

Defendants

Department of Education, Federal

Defendant Type(s):

Jurisdiction-wide

Case Details

Causes of Action:

Ex Parte Young (Federal) or Bivens

Administrative Procedure Act, 5 U.S.C. §§ 551 et seq.

Declaratory Judgment Act, 28 U.S.C. § 2201

Constitutional Clause(s):

Federalism (including 10th Amendment)

Available Documents:

Trial Court Docket

Complaint (any)

Any published opinion

Outcome

Prevailing Party: Defendant

Nature of Relief:

None yet

Source of Relief:

None yet

Content of Injunction:

Preliminary relief denied

Issues

General:

Education