Student Defense Statement On U.S. District Court Upholding the 2023 Gainful Employment Rule

FOR IMMEDIATE RELEASE:
October 2, 2025

MEDIA CONTACT:
press@defendstudents.org
303-646-7816

Student Defense Statement On U.S. District Court Upholding the 2023 Gainful Employment Rule

Student Defense Vice President and Chief Counsel Dan Zibel issued a statement today on the decision by the U.S. District Court for the Northern District of Texas upholding the U.S. Department of Education’s 2023 Gainful Employment Rule:

“Higher education is supposed to offer students a path to a better life, not a debt-filled dead end. The 2023 Gainful Employment Rule reflects a common-sense policy to ensure that students are not wasting time and money on career programs that provide little value. We applaud the decision of the District Court.”

Background information:
The Gainful Employment Rule originated under the Obama Administration, and the 2014 iteration was repealed by the Trump Administration in 2019. In January 2020, Student Defense filed a lawsuit against the Department of Education over the 2019 repeal. That lawsuit was dismissed as moot after the publication of the 2023 regulation. The Trump Administration has been defending the 2023 Rule against the challenge brought by representatives of the cosmetology school industry, which was rejected in today’s decision.