$100,000 H-1B Fee Remains Blocked as Second Federal Court Rules Against Implementation

What’s Happening

On September 30, 2026, a federal court in California issued a ruling blocking the $100,000 H-1B fee.

In Global Nurse Force v. Trump, Judge Haywood S. Gilliam, Jr. sided in part with the groups challenging the fee and struck down the government agency policies that put it into practice. The agencies cannot enforce or apply those policies unless they first go through the formal process the law requires for creating a new rule. This is an early-stage ruling, and the case is still ongoing.

This is the second federal court to block the $100,000 fee. As D&S previously reported, a federal court in Massachusetts struck down the fee in June 2026. The government is appealing that decision, but the appeal court refused to let the fee go back into effect while the appeal plays out.

What You Need to Know

The ruling covers both the original fee and the extension. President Trump first created the $100,000 payment requirement by presidential order in September 2025. In September 2026, the Administration extended it for another year. The California court’s ruling stops the government agencies from enforcing the policies that carry out both orders.

The Court focused on how the agencies rolled out the fee. The Court found that the groups challenging the fee are likely to win their argument that the agencies skipped steps the law requires. Before putting a requirement like this in place, agencies must give the public notice and a chance to comment, and they must study how it would affect stakeholders, including small businesses. The agencies involved did neither. 

The agencies' policies were struck down, and the fee cannot be enforced. The Court canceled the policies and sent them back to the agencies. The agencies cannot enforce or apply them until they complete the required steps.

The Court did not strike down the President's orders themselves. The ruling is aimed at the agency policies that carry out the $100,000 fee, not at the presidential orders behind it. The case is still ongoing.

What this Means

Practically speaking, the $100,000 H-1B payment requirement remains blocked and should not presently be enforced by the federal immigration agencies. This remains the case notwithstanding the Administration’s September 2026 extension of the payment requirement.

The latest ruling is particularly significant because it provides a second, separate basis preventing enforcement of the $100,000 fee. The Massachusetts federal court previously vacated the implementing policies in June, and the First Circuit declined the government’s request to stay that ruling pending appeal. The Northern District of California has now separately vacated the agency policies and prohibited their enforcement. 

What to Expect Next

Further Litigation: The legal challenges to the $100,000 fee are not over. The government may seek appellate review of the Northern District of California’s ruling, while the separate Massachusetts litigation remains on appeal.

Potential Government Action: As with the earlier Massachusetts decision, the government could seek emergency relief in an effort to stay or otherwise limit the effect of the latest ruling. Employers should therefore continue to treat this as a rapidly developing issue.

Separate DHS Rulemaking: DHS has separately proposed a rule that would establish an approximately $103,000 fee for certain cap-subject H-1B petitions through the formal regulatory process. That proposal is separate from the $100,000 payment requirement at issue in Global Nurse Force and is not directly resolved by the September 30 ruling. 

Stay Tuned: This Is a Breaking Alert

Please note that this alert is based on the legal status of the $100,000 H-1B payment requirement as of October 1, 2026. Information and guidance may change quickly as the litigation proceeds, including through additional court rulings, appellate action, agency guidance, or other executive action. We will monitor developments closely and update our recommendations as new information becomes available.

This alert is for general informational purposes only and does not constitute legal advice. Please consult D&S immigration counsel regarding your specific circumstances. D&S Senior Associate, Paulina Baginska, assisted with the preparation of this alert.