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Lawsuit Targets Trump’s $100,000 H‑1B Fee in First Court Challenge

Plaintiffs argue the proclamation usurps Congress’s authority to levy fees.

Overview

  • A coalition of unions, employers, academics and religious groups filed suit in federal court in San Francisco to block the surcharge announced on September 19.
  • Named plaintiffs include the United Auto Workers, the American Association of University Professors, a nurse recruitment agency, Justice Action Center, Democracy Forward Foundation and several religious organizations.
  • The order bars entry for new H‑1B recipients unless sponsors pay an additional $100,000, while the administration says current visa holders and filings before September 21 are excluded.
  • Business associations representing software, semiconductor and retail companies warned the fee will hinder hiring and innovation and urged the administration to work with industry on reforms.
  • Foreign governments, including Germany, the UK, Canada, China and South Korea, are courting skilled workers affected by the change, with India—whose nationals received about 71% of H‑1B approvals last year—especially exposed.