The Trump administration was hit with a major lawsuit Tuesday filed by a coalition of 25 Democratic-led states over a new rule the plaintiffs alleged to be “unlawfulThe Trump administration was hit with a major lawsuit Tuesday filed by a coalition of 25 Democratic-led states over a new rule the plaintiffs alleged to be “unlawful

More than two dozen states sue Trump admin over 'unlawful' new rule

2026/05/19 23:25
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The Trump administration was hit with a major lawsuit Tuesday filed by a coalition of 25 Democratic-led states over a new rule the plaintiffs alleged to be “unlawful,” The Washington Post reported.

Published on May 1 and set to go into effect on July 1, the new rule narrows the definition of what constitutes a professional degree, and thereby, imposes new limits on loans that graduate students are eligible for. A number of graduate degrees often sought by health care workers would become ineligible for higher loans under the new rule, and as such, could exacerbate the ongoing health care worker shortage, the plaintiffs argue.

More than two dozen states sue Trump admin over 'unlawful' new rule

“Higher education is expensive, and our health care system is already under immense strain,” said New York Attorney General Letitia James, who is leading the coalition of 25 states in the lawsuit, in a statement, per the Post. “This rule will shut talented people out of critical professions and leave communities with fewer healthcare providers they desperately need.”

In the lawsuit, plaintiffs called the Trump administration’s new rule “arbitrary,” “contrary to law” and “unlawful.” Filed in federal court in Maryland, the lawsuit includes language asking the court to reverse the Trump administration’s new rule and to prohibit its implementation.

“The Rule is arbitrary and capricious in violation of the [Administrative Procedure Act],” the lawsuit reads. “The [Education] Department arbitrarily relied on several factors Congress did not intend it to consider – such as whether professionals are subject to supervision and the ‘historical context’ of the Department’s regulation – and its application of those factors is inconsistent and contradictory.”

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