The Education Department on Wednesday agreed to settle about 200,000 borrower-defense claims brought in a lawsuit against the department.
The agreement will automatically provide the elimination of student loan debts for those involved. The agreement states that “attendance at one of these schools justifies presumptive relief, for purposes of this settlement, based on strong indicia regarding substantial misconduct by listed schools, whether credibly alleged or in some instances proven, and the high rate of class members with applications related to the listed schools.” The institutions are for-profit colleges and universities, many of which have shut down.
