Overview

• A coalition filed the first major challenge on Friday in the U.S. District Court for the Northern District of California, targeting a proclamation issued last month.
• Plaintiffs including the United Auto Workers, the American Association of University Professors, and advocacy and religious groups allege constitutional overreach, APA violations, and a "pay to play" scheme that invites selective enforcement.
• The White House says the move is lawful and meant to deter abuse and protect wages, and it clarifies the $100,000 payment is a one-time charge for new petitions only, excluding renewals, current holders, and filings before September 21.
• Trump’s order bars entry for new H-1B recipients unless their employer pays the additional $100,000, a sharp jump from typical fees of roughly $2,000 to $5,000 per petition.
• The dispute unfolds as DHS proposes a wage-weighted selection to replace the lottery, and as sectors such as tech, healthcare, and higher education warn of disruption, with Indian nationals—about 71% of approvals—most affected.