Student-loan companies who want to sue the government to stop Biden's student-loan forgiveness are on their own, a judge just ruled — states can't do it on their behalf

• The judge dismissed the lawsuit against Biden.

• He said the states didn't have the right to file a lawsuit.

• The company is financially independent from the states and can file lawsuits on its own.

A judge ruled that if a student-loan company wanted to file a lawsuit, it needed to do so without the help of state leadership.

Republican-appointed Judge Henry Edward Autrey dismissed a lawsuit filed in Missouri by six Republican states who sued to stop Biden's debt relief because it would hurt their states' tax revenues. Autrey's dismissal of the case is a victory for borrowers and means the debt relief can move forward after the case was thrown out.

One of the reasons why the GOP states didn't prove they had standing was because they claimed that Missouri would suffer financial losses.

The opinion states that "Missouri imposes some control over MOHELA, which is assigned by statute to its Department of Education, like authorization for the Governor to appoint five members of the seven- member board and requiring a yearly report on its income, expenditures, bonds, and other forms of indebtedness When it was established, MOHELA's revenues were completely independent of the state of Missouri.

Missouri didn't meet its burden to show that it could rely on harms. The opinion also said that the state can't be sued in its own name and that the state can be sued in its own name.

The extent of their involvement in the case raised concerns for some borrowers and lawmakers, as well as how it could affect the company's services. On Tuesday, Missouri Rep. Cori Bush wrote a letter to the CEO of MOHELA requesting additional information on any potential involvement the company has in these legal challenges.

Conservatives are still pursuing legal challenges despite the dismissal of the case. A federal judge is going to hold a hearing next week on a lawsuit filed by a conservative group against student loan forgiveness.

The loan forgiveness plan is still moving forward. The student-loan forgiveness application, which requires borrowers to take just five minutes to go to the site on studentaid.gov and fill out basic information, was officially launched by Biden on Monday. Over 8 million people have applied so far, and the Education Department will make sure the process works as smoothly as possible for all borrowers.

Business Insider has an article on it.