Judge Blocks Trump Rule on Public Service Loan Forgiveness

A federal judge in Massachusetts has blocked a Trump administration rule that would have allowed the government to disqualify public service workers from a major student loan forgiveness program based on their employers' activities. The rule, which was scheduled to take effect on July 1, was struck down on Tuesday by U.S. District Judge Myong J. Joun, who found it exceeded the administration's legal authority.

The regulation, finalized by the U.S. Department of Education in October, would have barred employees from the Public Service Loan Forgiveness (PSLF) program if their government or nonprofit employer was deemed to engage in activities with a "substantial illegal purpose." The department's definition of such purpose included aiding illegal immigration, supporting terrorism, engaging in illegal discrimination, or participating in what it termed the "chemical and surgical castration or mutilation of children"-language often used by the administration to refer to gender-affirming care for transgender minors.

The rule was challenged by a coalition of more than 22 states, several cities and counties, and nonprofit employers. They argued it was designed to target organizations...