A federal district court in Massachusetts has vacated the USCIS policy implementing the $100,000 H-1B fee created by President Trump’s September 19 presidential proclamation. The court ruled the fee unlawful as an improper use of executive power and unlawful under the Administrative Procedure Act. The decision creates immediate uncertainty about whether employers must continue paying the fee while the government appeals.
What changed
The district court granted summary judgment to the plaintiffs, meaning that, for the time being, USCIS is not permitted to collect the $100,000 fee from H-1B employers. Because the decision vacates the $100,000 fee under the APA, the ruling has nationwide impact.
The court’s reasoning: the $100,000 charge functioned as a tax, and such taxes require either an act of Congress or a formal rulemaking process under the APA, one that includes months of public notice and comment. The court decision does not address the issue of possible refunds for fees already submitted.
However, this is not settled law. Today’s court decision conflicts with a separate district court decision from December 2025, in which the District of Columbia district court upheld the $100,000 fee.
Why it matters
For the time being, USCIS should not require the $100,000 fee for approval of any H-1B petition. But do not treat this as permanent relief. The government is expected to quickly file an appeal of the district court decision and is expected to request a stay, which, if granted, could pause relief from the fee. It is possible that the appeals court will stay the Massachusetts district court decision while an appeal is pending. If this occurs, the government would be permitted to implement the $100,000 fee during the appeals process.
In practical terms: you may file H-1B petitions without the $100,000 fee today, but you should not assume this remains true in 30 days. Employers should monitor developments with immigration counsel. A stay of the Massachusetts ruling would likely reinstate the fee obligation mid-appeal.
Way forward
- Monitor the docket closely. Check the Massachusetts federal district court website for notice of a government appeal and any stay application. A stay order could reverse today’s relief within days.
- Do not refund fees already paid. The court expressly declined to order refunds for fees submitted prior to this ruling. Do not volunteer repayment to beneficiaries based on this decision alone.
- Suspend new $100,000 fees for now—with conditions. Until the appeals court acts, you may file H-1B petitions without the $100,000 payment. But prepare alternative filing strategies in case a stay is granted and the fee is reinstated mid-case.
- Consult immigration counsel on your specific petitions. Some petitions filed after September 21, 2025 may already have been approved with the fee paid. Clarify your exposure and options before any appeal stays the ruling.
Disclaimer
This article is not legal advice and does not constitute legal representation. Fola is a software company, not a law firm. Immigration policy changes without notice and court decisions are subject to appeal. You must verify all information against the primary source documents linked above and consult a licensed immigration attorney regarding your specific circumstances.