A lawsuit alleging that some student loan debtors who have declared bankruptcy do not have to pay back some of their loans—and may have refunds coming to them

This lawsuit—In re: Evan Brian Crocker and Michael Shahbazi v. Navient Solutions, LLC and Navient Credit Finance Corporation—alleges that, under the law, certain loans made or serviced by Navient should have been “discharged,” or erased, in bankruptcy proceedings taking place since October 2005.

The loans in question are known as “non-qualified education loans.” They include:

• Private educational loans made to students attending non-Title IV accredited schools; and[/*:m:1w7nxd3p]
• Private loans that were not made for “qualified educational expenses,” meaning that the funds were not used for a traditional four-year college. These loans include career training loans and loans made to students for some post-graduate programs.[/*:m:1w7nxd3p][/list:u:1w7nxd3p]