Two Federal Lawsuits Target New $100,000 Fee for H-1B Petitions
Author
Martin Uribe Francia
On September 19, 2025, the White House issued a proclamation announcing that employers filing new H-1B petitions would be required to pay a one-time fee of US $100,000, in addition to existing fees, for each new H-1B petition filed on or after September 21, 2025. The administration asserts that this is a necessary measure to both prioritize U.S. workers and help reduce improper use of the H-1B program. Given the dramatic increase in costs and the potentially broad impact on employers, two federal lawsuits quickly followed the announcement. Below is a brief summary of the two lawsuits challenging the $100,000 fee.
Global Nurse Force et al. v. Donald J. Trump, et al.
On October 3, 2025, a coalition of healthcare staffing firms, unions, educators, religious organizations, and individual visa holders led by Global Nurse Force filed a suit in the Northern District of California challenging the presidential proclamation that imposes a $100,000 fee. The defendants include the president and senior officials from the Departments of Homeland Security and State. The plaintiffs argue that the fee is unlawful because it exceeds the President’s statutory authority under the Immigration and Nationality Act (INA) and constitutes an unauthorized tax that only Congress may impose. Additionally, the plaintiffs allege that the presidential proclamation violates the Administrative Procedure Act by bypassing the notice-and-comment period normally required for new rules and regulations. They claim the measure would devastate critical industries such as healthcare and education by pricing out employers and worsening labor shortages. The plaintiffs seek injunctive relief to block the rule’s enforcement pending judicial review.
U.S. Chamber of Commerce v. United States
On October 16, 2025, the U.S. Chamber of Commerce, representing more than 300,000 American businesses, filed a separate action in the District of Columbia against the president and federal immigration agencies, also challenging the $100,000 H-1B fee. The Chamber contends that the proclamation violates the Immigration and Nationality Act (INA) and the Administrative Procedure Act (APA) by imposing an excessive surcharge without congressional authorization or rulemaking. It argues that the executive branch lacks authority to unilaterally impose such a large fee on employers, particularly small and mid-sized firms that rely on H-1B talent. The suit warns that the fee would harm U.S. competitiveness and deter companies from hiring needed professionals. The plaintiffs in the suit seek declaratory and injunctive relief to invalidate the fee and prevent its enforcement.
The two lawsuits represent distinct but complementary challenges to the $100,000 H-1B filing fee. Both actions question a president’s authority to impose such a fee without congressional approval or formal rulemaking, arguing that it violates established law. While the administration has defended the measure as a tool to safeguard U.S. workers, many who oppose these changes contend that it would effectively shut out small employers and critical sectors that depend on foreign talent. Until the courts rule on these challenges, employers should proceed cautiously with new H-1B filings for potential employees who are outside the United States, as these are the petitions to which the Department of Homeland Security says the fee will be imposed. Clark Hill will continue to monitor any developments in these two challenges as they move through the court system.
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