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New York Attorney General Letitia James and more than a dozen counterparts filed a Boston federal lawsuit challenging the Trump administration’s new rule narrowing who qualifies for Public Service Loan Forgiveness, which forgives debt after a decade for nonprofit and government workers. The Education Department says the rule bars organizations engaged in unlawful activities, including supporting terrorism or aiding illegal immigration. James called it a political loyalty test; Under Secretary Nicholas Kent called it commonsense reform. Cities, unions, and nonprofits also sued, warning it could make higher education more expensive for public workers.

Prepared by Lauren Mitchell and reviewed by editorial team.