Obama-Appointed Judge Blocks Trump Administration’s $100,000 H-1B Visa Fee

Boston, MA – A federal judge appointed by former President Barack Obama has struck down the Trump administration’s $100,000 fee on new H-1B visa applications, delivering a significant legal setback to efforts aimed at curbing alleged abuse in the high-skilled immigration program.

U.S. District Judge Leo T. Sorokin in Massachusetts issued a 42-page ruling on June 8, 2026, vacating the fee nationwide. He concluded that the policy amounted to an unlawful tax that exceeded executive authority and violated the Administrative Procedure Act. The fee, introduced via presidential proclamation in September 2025, dramatically increased costs from previous levels of around $2,000 to $5,000 for certain new H-1B petitions, particularly for beneficiaries outside the United States.

The ruling came in a lawsuit filed by a coalition of 20 Democratic-led states, led by California, which argued the fee harmed their ability to recruit skilled workers for public universities, schools, hospitals, and other institutions. Judge Sorokin determined the charge functioned as a revenue-generating tax rather than a permissible regulatory measure, requiring congressional approval under the Constitution’s separation of powers.

The Trump administration implemented the fee as part of broader reforms to the H-1B program, which has faced longstanding criticism for fraud, wage suppression, and displacement of American workers. Officials intended the high cost to deter low-value or abusive applications from outsourcing firms while prioritizing genuine high-skilled talent and encouraging domestic hiring. The policy applied mainly to cap-subject new petitions and was designed to be temporary.

The White House has indicated it will appeal the decision. A prior conflicting ruling in another court had upheld the fee, setting the stage for potential appellate review and possible Supreme Court involvement.

The H-1B program annually allows U.S. employers to hire foreign professionals in specialty occupations. India receives the vast majority of approvals, and critics have highlighted systemic fraud issues including fake credentials and misuse by body shops. The administration’s fee was one tool among several, including higher wage requirements and enhanced vetting, aimed at reforming the lottery-based system that has been gamed for years.

Tech industry groups and some universities welcomed the ruling, arguing the fee would have disrupted hiring and raised costs passed on to consumers. Supporters of the policy countered that it was necessary to protect American workers and restore integrity to a program long exploited at the expense of U.S. talent.

The decision halts enforcement of the fee immediately, though other H-1B reforms remain in place. Legal battles over the visa program are expected to continue as the administration pursues its America First immigration priorities through alternative regulatory and legislative avenues. Final resolution could take months or years as appeals proceed.