"… But at some point in the last several years, FedLoan began telling people who had previously been qualified for the forgiveness program that they were no longer eligible to have their loans forgiven. What’s more, the decision was retroactive, meaning none of the time they’d spent working toward the forgiveness goal would be counted.
After receiving such letters, four previously qualified participants and the American Bar Association sued the Department of Education to find out why the changes were being made.
The lawsuit [PDF] alleges that the Department acted “arbitrarily and capriciously” when it changed its interpretation eligibility requirements without explanation." …