A coalition of universities, labor unions, health care providers and religious organizations has filed a federal lawsuit challenging the Trump administration’s proclamation imposing a $100,000 fee on new H-1B petitions. 

On Friday, September 19, 2025, President Trump issued a proclamation requiring employers to pay a $100,000 fee for certain new H-1B petitions filed on behalf of specialty occupation workers. The fee purportedly took effect shortly thereafter, causing widespread confusion among employers, schools, and nonprofit institutions as to the scope and requirements of the proclamation. Since the initial proclamation and limited weekend guidance from government agencies, authorities have not issued any further instructions or clarifications on implementing the proposed fee or possible exceptions.  

The plaintiffs, represented by the Justice Action Center, Democracy Forward, and the South Asian American Justice Collaborative, raise multiple claims, including: 

• Constitutional Authority: The lawsuit asserts that only Congress has the power to impose fees or taxes for federal programs and that the president exceeded his authority under the Immigration and Nationality Act (INA). 

• Administrative Procedure Act: Plaintiffs argue the administration failed to follow required notice-and-comment procedures and that the fee is arbitrary and capricious, lacking any coherent explanation or rationale for its purpose or allocation of funds. 

• INA Sections 212(f) and 215(a): The complaint challenges the administration’s reliance on these provisions and its assertion that they allow the president to regulate entry and impose financial conditions on visa eligibility. 

The lawsuit seeks a court order declaring the proclamation unlawful, enjoining the government from enforcing the $100,000 fee, and directing the Department of Homeland Security (DHS) and Department of State to continue processing H-1B petitions under preexisting regulations. 

The case remains pending, and further litigation could significantly affect H-1B processing and employer obligations. Until the court issues a ruling, the $100,000 fee requirement technically remains in effect for certain new H-1B petitions; however, there still is not a procedure in place for DHS to collect the fee. 

Foster LLP will continue to monitor changes in immigration benefits and will provide additional updates via our firm’s website at fosterglobal.com.