Quick Hits

• A federal district court in California has blocked USCIS, CBP, and the State Department from enforcing or implementing policies related to the proclamation-based $100,000 H-1B payment requirement.
• The California ruling represents another adverse federal district court decision involving the $100,000 payment, which is already blocked pursuant to a separate federal district court decision in Massachusetts that is currently on appeal.
• The court order does not affect the U.S. Department of Homeland Security’s (DHS) separately proposed $103,265 fee for H-1B cap-subject petitions, which remains in the rulemaking process and is not currently in effect.

Background

The case, Global Nurse Force v. Trump, was brought by a coalition of employers, labor organizations, schools, healthcare providers, religious organizations, and individuals challenging the $100,000 H-1B payment requirement and the agencies’ implementation of it.

President Donald Trump established the payment requirement through Proclamation 10973, issued on September 19, 2025. As implemented by USCIS, CBP, and the State Department, the requirement primarily affected H-1B workers outside the United States who needed consular processing or admission at a U.S. port of entry.

On September 18, 2026, President Trump issued Proclamation 11069, extending the restriction through September 21, 2027.

On September 30, 2026, the federal district court in California blocked the agencies from enforcing or implementing the proclamation-based payment requirement unless and until they comply with the rulemaking requirements of the Administrative Procedure Act.

Impact on Employers

For employers, the practical impact is straightforward: the proclamation-based $100,000 H-1B payment is not currently being enforced. Employers filing H-1B petitions, including cases requiring consular processing or admission from abroad, are therefore not currently required to pay the $100,000 amount.

The September 30, 2026, California order is the second federal district court decision blocking the payment requirement. A federal district court in Massachusetts has also blocked the requirement, although that decision is currently on appeal before the U.S. Court of Appeals for the First Circuit.

The litigation continues. The federal district court in California has scheduled a case management conference for October 27, 2026, with a joint case management statement due on October 20, 2026.

Employers should keep the $100,000 proclamation-based payment conceptually separate from DHS’s proposed $103,265 fee for certain H-1B cap-subject petitions. That proposed fee, part of a separate rulemaking process, is not affected by the September 30, 2026, order of court, though the $103,265 fee is not currently in effect. The comment period closed on September 24, 2026, and DHS has not yet issued a final rule.

Next Steps

Employers sponsoring H-1B workers may want to consider the following:

• The proclamation-based $100,000 payment is not currently required. This includes H-1B petitions involving workers who will require consular processing or admission to the United States from abroad.
• Employers should continue monitoring the litigation. USCIS currently advises on its website that, if the applicable court order is later lifted, DHS intends to collect the payment.
• The current litigation posture remains subject to change. Additional court rulings, appellate decisions, or agency actions could alter the requirements applicable to H-1B petitions and admission.
• The separately proposed $103,265 H-1B cap fee is not yet in effect. That proposal is proceeding through a separate rulemaking process and is not affected by the September 30, 2026, court order.