Federal Court Vacates $100,000 H 1B Fee Rule Nationwide

On June 9, 2026, a federal district court in Massachusetts vacated the USCIS policy implementing the $100,000 H‑1B fee introduced by the September 19 presidential proclamation. In State of California et al. v. Mullin et al., No. 1:25‑cv‑13829 (D. Mass.), the court held that the fee constitutes an unlawful tax that was not validly authorized through presidential action or agency rulemaking.

The court further determined that the policy exceeded statutory authority, was procedurally deficient, and was arbitrary and capricious, rendering it unlawful under the Administrative Procedure Act (APA). As a result, the court granted summary judgment in favour of the plaintiffs and vacated the policy in its entirety.

Key Implications:

• USCIS is currently prohibited from collecting the $100,000 H‑1B fee.
• The ruling has nationwide effect.
• The decision does not address refunds for fees already paid.
• The ruling conflicts with a December 2025 decision from the U.S. District Court for the District of Columbia, which upheld the fee.

What to Expect Next: The government is expected to appeal promptly. It is also possible that the appellate court may issue a stay of the Massachusetts decision, which would allow USCIS to resume collecting the fee during the appeal.

Our firm will continue to closely monitor developments. For advice on U.S. immigration matters, please contact Izidora Levi at [email protected].

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