Gaussoin Sues Education Department Over Student Loan Discharge Denials

Kendrick Gaussoin carries a student loan balance of nearly $22,000 for a degree he never finished. His mother, Christine Gaussoin, owes approximately $28,000 in Parent PLUS loans for the same unfinished education. Both borrowers had their debts denied this month by the Department of Education, despite a rule change from the previous administration that would have qualified them for relief.

The dispute centers on the closure of Brooks Institute, a private photography school in Ventura, California, in August 2016. Gaussoin had taken an eight-month leave of absence in December 2015 to work as a photographer. When he returned, the school had been shut down by its parent company. Under standard federal rules, borrowers who leave school more than six months before closure are not eligible for debt cancellation. Because of his leave, Gaussoin fell outside the traditional look-back window.

In January 2025, the Education Department expanded the eligibility window for borrowers from several closed institutions, including Brooks. An order signed by then-undersecretary James Kvaal on January 6, 2025, stated that the schools closed under exceptional circumstances. The rule change made any borrower enrolled as of May 6, 2015, eligible for loan discharge and refunds of past payments. This move rendered Gaussoin and his mother eligible for debt forgiveness.

On August 23, 2026, Gaussoin applied for closed school discharge, citing the new eligibility criteria. The Department of Education denied his request on August 31, 2026. The denial letter stated that he did not meet the traditional pre-Biden eligibility requirements. Student Defense, a nonprofit borrower advocacy group, filed a lawsuit in federal court on Wednesday on behalf of Gaussoin and other affected borrowers. The suit claims the current administration is illegally refusing to follow the program's rules.

Education Department spokesperson Ellen Keast defended the department's position. She described the Biden-era expansion as an attempt to shift debt onto taxpayers. Keast noted that the former undersecretary used digital pen authority to inappropriately expand the discharge period. The department did not respond to requests for its legal justification for ignoring the prior rule change.

Bonnie Latreille, a former top official in the office of Federal Student Aid, said the secretary has legal authority to expand the eligibility window. She noted that a top official instructed her not to process discharges under the expanded window without approval from the incoming administration. Two other former department officials confirmed that instruction. They asked not to be named due to concerns about professional repercussions.

Gaussoin's mother, Christine, works in retail while recovering from a total knee replacement. She took out the loans after Brooks counselors told her the initial amount would cover all costs. The school later requested additional funds. Both Gaussoin and his mother believe the department is applying a double standard, especially since Education Secretary Betsy DeVos used the same authority in 2019 to expand eligibility for borrowers from other closed art institutions. DeVos stated at the time that students deserved to be made whole. The lawsuit seeks to force the department to follow its own prior legal determinations.