The Wisconsin Institute for Law and Liberty (WILL) filed a lawsuit in federal court last week challenging the alleged race discrimination within the American Rescue Plan. The organization’s specifically looking at a provision to offer loan forgiveness based solely on racial categories. The lawsuit is filed on behalf of five plaintiffs in four different states, Wisconsin, Minnesota, South Dakota, and Ohio.
The American Rescue Plan Act gives debt relief to “socially disadvantaged” farmers. The law’s definition of “socially disadvantaged” includes racial classifications where farmers must be Black or African American, American Indian or Alaskan Native, Hispanic or Latino, or Asian American or Pacific Islander. Any other farmers are ineligible for the farmer loan forgiveness program, according to the plaintiffs.
The lawsuit calls the program “illegal and unconstitutional.” WILL is asking the court to issue an injunction and a declaratory judgment that the racial classifications in the program are unconstitutional.
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