Washington Update
Legal Challenges Continue Over $100,000 H-1B Visa Fee
By: CJ NeelyThursday, January 22, 2026
The Trump administration imposed a $100,000 supplemental fee on certain new H-1B visa petitions through a presidential proclamation issued on September 19, 2025, adding the charge on top of existing statutory filing fees. The fee applies primarily to new H-1B petitions involving entry to the United States from abroad, rather than to routine extensions or amendments for individuals already in H-1B status. The policy took effect immediately and significantly increased the cost of hiring international talent.
Legal challenges followed within weeks. In October 2025, a broad coalition of organizations filed lawsuits contesting the fee, including higher education associations, labor and healthcare groups, and business organizations. Plaintiffs included the Association of American Universities (AAU), which raised concerns about universities’ ability to recruit and retain international researchers, clinicians, and other highly skilled professionals. The lawsuits argue that the administration exceeded its authority and violated the Administrative Procedure Act by implementing the fee without notice-and-comment rulemaking.
Those challenges initially stalled in court. On December 23, 2025, a federal district court ruling upheld the fee, concluding that existing immigration statutes grant the executive branch broad discretion to regulate the entry of nonimmigrant workers. As a result, the policy remains in effect while further legal proceedings continue.
The case now moves to the appellate level. On January 14, 2026, the U.S. Court of Appeals agreed to fast-track review of the district court decision, accelerating consideration of the case ahead of the upcoming H-1B cap registration period. The outcome of this litigation could have important implications for universities, research institutions, and scientific employers that rely on H-1B scientists, engineers, and clinicians.