USCIS removal defense

Federal Contract for Immigrant Children's Legal Aid Expires July 31—Thousands at Risk

A federal government contract providing legal representation to over 20,000 unaccompanied immigrant children expires Friday. Immigration attorneys and nonprofits face immediate service collapse and unpaid invoices totaling $65 million, with a court hearing scheduled for August 6.

Tens of thousands of immigrant children who arrived in the United States as unaccompanied minors in recent years may be forced to face a judge alone after a federal contract providing them legal representation expires on Friday. The contract collapse creates an immediate crisis for nonprofit legal providers, unaccompanied children in immigration proceedings, and the attorneys representing them.

What changed

The federal government’s contract with the Acacia Center for Justice, a national legal services organization, expires July 31. The Acacia Center for Justice became the prime contract holder with the U.S. Department of Health and Human Services for the Unaccompanied Children Program, overseeing subcontracts with more than 100 service providers that give legal representation to over 20,000 unaccompanied migrant minors.

For the past five months, the Department of Health and Human Services has withheld congressionally approved funding from Acacia’s entire network of legal service providers for services already provided to unaccompanied children. Legal providers say the administration has withheld $65 million in overdue fees.

In court filings, the legal services providers said that ORR is demanding “client-level data that is confidential and legally privileged.” HHS refuses to reimburse Acacia, and in turn, Ayuda, unless they betray clients’ confidences and turn over confidential or privileged information.

The Trump administration sought to terminate the contract for the minors’ legal representation in March 2025, and the next month a federal judge ordered it to continue funding the work. A hearing to enforce that court order is scheduled for Aug. 6.

Why it matters

For immigration practitioners, this contract collapse has immediate ripple effects:

Service disruption: Legal providers say the group has burned through its reserves and is now preparing staff cuts, forcing them to decide which cases they can keep.

Outcome disparities: Without a lawyer, a child wins their case less than 10 percent of the time. Studies show immigration judges are nearly 100 times less likely to grant relief to an unrepresented child. Children who lose representation mid-case face dramatically lower grant rates for asylum, special immigrant juvenile status, and other relief.

Litigation exposure: The funding withholding centers on a confidentiality dispute. The Administration’s repeated attempts to eliminate funding for legal services for unaccompanied children leave these children at risk of exploitation and directly violates the TVPRA. Practitioners defending these organizations or advising nonprofit clients must track the August 6 hearing and any injunctive orders that may follow.

Dual-representation dynamics: With no transition plan, children currently represented by subcontractors will face gaps in coverage during critical court dates, potentially triggering in absentia removal orders or default judgments.

Way forward

  • Immediate: Contact your network of nonprofits and child advocacy organizations today to identify which cases will lose coverage after July 31. Begin triage for cases with imminent hearing dates.
  • Legal: Monitor the federal court hearing scheduled for August 6 on enforcement of the April 2025 order. Check the docket for any temporary restraining order or preliminary injunction that might extend funding pending resolution.
  • Client communication: For children currently represented by a subcontractor, send written notice of the contract expiration and your firm’s willingness to accept pro bono or alternative-funded representation if gaps emerge.
  • Documentation: Preserve all communications between legal providers and HHS regarding the withheld invoices and confidentiality demands. These records may become critical evidence in enforcement or breach-of-contract litigation.

Disclaimer

This article is educational content, not legal advice. It is provided by Fola Editorial, a content platform, not a law firm. Immigration law is complex and policy can change without notice. Verify all deadlines, court filings, and HHS guidance against official sources linked above. Consult a licensed immigration attorney for advice on your specific situation.

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