Reavis v. PHEAA | Brief of Amici Curiae by Montana Legal Services Association, National Consumer Law Center, and Student Borrower Protection Center

Abstract

In this case, the Montana Supreme Court is considering an appeal by student loan borrower and public defender James Reavis, who filed a complaint in Montana court to seek redress after PHEAA miscounted his student loan payments made in an effort to qualify for PSLF. These claims are similar to suits brought by the Massachusetts Attorney General and the New York Attorney General. PHEAA moved to dismiss the case, and the lower court court granted this dismissal, improperly reasoning that Reavis’ state law claims are preempted by federal law.

Our brief agrees with Mr. Reavis and his counsel that the trial court misread federal law, which clearly provides individual borrowers with the ability to use state laws prohibiting unfair and deceptive practices as a legal tool to demand justice from abusive student loan companies. The Montana Supreme court should reject the trial court’s incorrect holding. This decision would align with recent precedent and preserve access to justice for student loan borrowers across Big Sky Country.

Keywords: student loan, public service loan forgiveness, pslf, student debt