Haywood Gilliam, the U.S. District Judge for the Eastern District of California, issued a 28‑page opinion that bars the U.S. Citizenship and Immigration Services and the State Department from charging the $100,000 fee until the litigation is resolved. The decision stems from a coalition of 200+ unions, employers and NGOs that argued the agencies skipped the mandatory notice‑and‑comment process required under the Administrative Procedure Act. Gilliam found that the fee was imposed without following the 90‑day comment period, violating the procedural safeguards that any new fee must observe.
Judge Leo Sorokin in Boston also struck down the fee, citing that the administration exceeded its authority without Congressional approval. Sorokin’s order, however, was not stayed by the First Circuit in July, leaving the fee blocked in that case while the Trump administration pursues an appeal. The two injunctions now operate in parallel, creating a legal grey zone over the fee’s enforceability.
Trump introduced the fee as part of a broader immigration reset, claiming that companies were misusing the H‑1B program to cheapen labor. Prior to the fee, employers paid between $2,000 and $5,000 in fees for new H‑1B petitions, but the $100,000 surcharge targeted new entrants from abroad, not renewals or students already in the U.S. The move was meant to deter firms from hiring foreign talent instead of American workers.
Despite the legal setbacks, very few employers have actually paid the $100,000 fee, and the program’s core of 65,000 visas per year remains intact. Still, the uncertainty hangs over tech giants like Infosys and Wipro, whose Indian engineers could face higher costs or a longer wait if the fee is finally reinstated. The lawsuits now hinge on whether the fee can be justified under current administrative law.
Separately, the Department of Homeland Security has tabled a permanent fee of roughly $103,000, which will go through a formal rule‑making process and may trigger new legal challenges. The U.S. Chamber of Commerce has also filed a suit, arguing that Trump lacked the authority to impose the surcharge. That case is still pending, and its outcome could shape the future of the H‑1B program.
An Indian software engineer named Arjun Kumar, who had filed an H‑1B application in March, told reporters he was anxious about the fee’s status, as his deadline for sponsoring the visa is in September. He said he had already paid the standard $500 filing fee, but the looming surcharge could double his costs and delay his entry into the U.S. workforce. If the fee remains blocked, Kumar and others like him will have to navigate a patchwork of court orders as they await a definitive policy.