On September 19, 2025, the White House issued a Presidential Proclamation, restricting certain foreign nationals from entering the United States in H-1B status without payment of a $100,000 fee. The Proclamation also restricts the approval of certain H-1B petitions by USCIS without payment of the new fee.
On October 3, 2025, a group of affected organizations and employers filed a federal lawsuit in the Northern District of California challenging the Proclamation. The lawsuit alleges the Presidential Proclamation exceeds the limits of executive authority under the Immigration and Nationality Act and violates the Administrative Procedures Act. The groups challenging President Trump’s action represent a variety of sectors, including education, religion, healthcare, and unions. The plaintiffs in the lawsuit have asked the court to enter an injunction, effectively rescinding the new fee.
USCIS, Customs and Border Protection, and the Department of State have issued guidance on implementation of the Presidential Proclamation since its issuance, but many questions remain. For example, the Proclamation provides for exemptions from the new fee, but no further guidelines have been provided. The administration has also yet to provide information on how the new fee is to be paid. At this point, it does seem clear that the Proclamation should not impact H-1B beneficiaries with petitions approved prior to September 21, 2025 or foreign nationals currently in possession of unexpired H-1B visas.
The Burr & Forman immigration team is continuing to monitor the lawsuit and agency updates, including their impacts on future H-1B filings and beneficiaries.
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