NewsFlash! Federal Appeals Court Allows Block on $100,000 H1B Fee to Take Effect

On July 24, 2026, the U.S. Court of Appeals for the First Circuit denied the Trump Administration’s request to stay a federal district court judgment that vacated agency actions implementing the $100,000 H1B payment requirement. As a result, the district court’s order blocking the $100,000 H1B fee should now take effect while the government’s appeal continues, unless a later court order changes the posture.

Background on the $100,000 H1B Fee

The $100,000 payment requirement was created by Presidential Proclamation 10973, issued September 19, 2025. USCIS and the U.S. Department of State then issued implementation guidance requiring the payment for certain H1B petitions, generally those involving beneficiaries outside the United States or certain requests for consular notification, port-of-entry notification, or pre-flight inspection.

On June 8, 2026, the U.S. District Court for the District of Massachusetts vacated the DHS and DOS implementation actions in State of California v. Mullin. The district court concluded that the agencies’ actions violated the Administrative Procedure Act (APA) and exceeded lawful authority. The district court later temporarily stayed its own judgment to allow the government to seek relief from the First Circuit.

First Circuit Denies the Government’s Stay Request

The First Circuit has now denied the government’s motion to stay the district court’s judgment pending appeal. The appeals court did not issue a final merits decision on the government’s appeal. Rather, it declined to keep the $100,000 fee in place while the appeal proceeds.

This means that, for now, USCIS should not require the $100,000 payment for H1B petitions that otherwise would have been subject to the proclamation. However, the litigation is not over. The government may continue the appeal and may seek additional emergency relief.

USCIS Guidance May Lag Behind the Court Order

As of July 27, 2026, USCIS had not yet issued clean, updated public filing instructions reflecting the First Circuit’s July 24 order. Some USCIS and Pay.gov pages concerning the $100,000 H1B payment may still appear online. Employers should not assume those unrevised pages reflect the current court posture.

What Employers Should Do Now

Employers preparing H1B petitions that previously may have been treated as subject to the $100,000 payment should consult immigration counsel before filing, especially if the petition involves consular notification or a beneficiary outside the United States. Petitioners should recheck USCIS, Pay.gov, and the appellate docket immediately before filing, as the government may seek further relief and agency filing procedures may be updated quickly.

Conclusion

For the time being, the $100,000 H1B fee appears to be blocked. This is a significant development for H1B employers and foreign nationals, but it is not the final word. The underlying appeal remains pending, and further court or agency action could alter the filing strategy for affected H1B petitions.

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