BOSTON (AP) — A Massachusetts man who owes about $250,000 he borrowed to put three children through college has won a major court victory in his effort to have the debt forgiven.
The Boston Globe reports that a federal appeals court has urged a bankruptcy judge to consider a settlement with the company that holds the loans to allow Robert Murphy, of Duxbury, to erase the debt.
A bankruptcy judge and district court judge previously ruled that the 65-year-old Murphy failed to prove repaying the loans was an undue hardship, as required by law.
The 1st Circuit Court of Appeals sent the proposed settlement back to bankruptcy court. It’s now up to the bankruptcy judge to rule.
Murphy says he was unable to find work after being laid off 14 years ago.