Justin Mohn, a Pennsylvania State University graduate of 2014, has filed multiple lawsuits against the United States government, challenging the student loan system. Mohn argues that the government allowed him to accrue debt for his education without adequately warning him of the potential employment challenges he might face as a result of his degree, particularly regarding finding satisfactory work.
Mohn’s legal actions sought damages exceeding $10 million, claiming negligence on the part of the government. His complaints centered around the difficulty in securing employment that would enable him to repay his student loans, suggesting that the education he financed through these loans has not yielded the expected returns in terms of employment opportunities.
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The courts have dismissed Mohn’s lawsuits on several grounds, including the sovereign immunity of the United States, which protects it from being sued in such cases, and Mohn’s failure to exhaust administrative remedies before filing his claims. The courts have consistently ruled that the creditor-debtor relationship between Mohn and the government does not constitute a fiduciary duty that could serve as a basis for a negligence claim.
Throughout his legal battles, Mohn has attempted to reframe his arguments, shifting from claims of misrepresentation and fraud to negligence, but to no avail. His allegations that the government, acting as a lender, failed in a duty of care towards him as a borrower, have not been supported by the court. The courts have clarified that the government does not owe a duty to ensure employment outcomes for loan recipients.
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Mohn’s case has been dismissed with prejudice, meaning he cannot file another lawsuit on the same grounds. This conclusion underscores the legal stance that the U.S. government, as a lender of student loans, does not guarantee employment success for graduates and is not responsible for the employment challenges they may face after completing their education.