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Judge Blocks President Trump's $100,000 H-1B Fee

The Oakland judge found agencies failed to follow required notice-and-comment procedures, leaving the charge halted as DHS moves forward with a separate proposed $103,000 rule.

Overview

  • A federal judge in Oakland granted a coalition's request to block the $100,000 charge on certain new H-1B entrants, with the order issued Wednesday while the coalition's lawsuit proceeds.
  • This is the second federal court decision to halt the fee after a Boston judge temporarily blocked it in June and an appeals court kept that injunction in place.
  • Judge Haywood Gilliam concluded that U.S. Citizenship and Immigration Services and the State Department did not use the notice-and-comment rulemaking process required by the Administrative Procedure Act when implementing the fee.
  • Separately, the Department of Homeland Security has proposed a permanent fee of about $103,000 through formal rulemaking, a different legal track that is likely to prompt new challenges.
  • The rulings leave employers and H-1B applicants in limbo: few employers have paid the charge so far, technology firms face uncertainty hiring specialized foreign workers, and the litigation and DHS rulemaking will determine the policy's future cost and scope.