District Court Judge Issues Opinion Upholding $100,000 H-1B Fee

A D.C. federal district court judge on December 23 issued an opinion upholding the legality of the $100,000 fee imposed by President Trump’s September 19 Proclamation on certain H-1B petitions.

In rejecting a challenge from the U.S. Chamber of Commerce and its co-plaintiff, the Association of American Universities, the district court ruled that the Proclamation fell within the President’s authority under Section 212(f) of the Immigration and Nationality Act. That provision authorizes the President to impose any restrictions he may deem appropriate on the entry of aliens if he finds that such entry would be detrimental to U.S. interests. On December 29, plaintiffs filed a notice of appeal of the decision to the U.S. Court of Appeals for the D.C. Circuit.

The case is Chamber of Commerce v. DHS, Case No. 1:25-cv-03675 (D.D.C., filed October 16, 2025).

The September 19 proclamation, as implemented, prohibits the approval of H-1B petitions filed after September 20, 2025 if the petition is filed for, or only approvable for, consular notification, unless their employer has paid a $100,000 fee for each subject employee, the employer has been granted a national interest exception to the entry restrictions, or the employee is otherwise not subject to the fee.

As a result of yesterday’s court decision, the $100,000 fee remains in effect. However, two other legal challenges to the fee remain pending in other courts – a suit filed by twenty U.S. states earlier this month in federal district court in Massachusetts (State of California, et al. v Kristi Noem, et al., 1:25-cv-13829 (D. Mass., filed December 12, 2025)), and an earlier action filed in federal district court in California (Global Nurse Force v. Trump, Case No. 3:25-cv-08454 (N.D. Ca., filed October 3, 2025)).

Employers and foreign nationals should stay on top of developments in the lawsuits because court orders, government guidance, or both could mean new instructions with little notice.