Student Loans Can Be Discharged In Bankruptcy: 7th Circ.

Law360, Los Angeles (April 10, 2013, 7:34 PM EDT) -- The Seventh Circuit on Wednesday reversed a lower court decision that a destitute woman's $25,000 student loan obligation wasn't subject to bankruptcy discharge, however one judge noted that the case was extraordinary and shouldn't set an example for others struggling with college debt.

The plaintiff's undue hardship — she can't maintain a minimal standard of living and likely won't be able to while her student loan debt persists — and good-faith efforts to repay the loans absolve her of them under bankruptcy laws, the three-judge panel...
To view the full article, register now.
Law360 Pro Say Podcast
Check out Law360's new podcast, Pro Say, which offers a weekly recap of both the biggest stories and hidden gems from the world of law.