California is leading a joint 20-state decision to sue the Donald Trump administration over the $100,000 fee imposed on new H-1B visa petitions in September. The lawsuit was filed on Friday, December 12 (US time).
In a press release dated December 12, 2025, California Attorney General William Tong joined the coalition of US states to challenge what it called an “unlawful policy.” Noting that the ‘specialty occupations’ nonimmigrant visa program allows American employers to hire highly skilled foreign national workers, the official release stated that the new blanket fee was taking the shape of a “costly barrier for employers.”
California attorney general’s office issues formal statement
The coalition alleged, the new policy is “a clear violation of the law because it imposes a massive fee outside of the bounds of what is authorized by Congress and contrary to Congress’s intent in establishing the H-1B program, bypasses required rulemaking procedures, and exceeds the authority granted to the executive branch under the Administrative Procedure Act (APA).”
The press release further noted that while an employer filing an initial H-1B petition was typically expected to pay between $960 to $7,595 in regulatory and statutory fee, the new $100K fee “far exceeds the actual cost of processing H-1B petitions.” The states also emphasised that the hefty H-1B fee would ultimately impact schools, universities and hospitals relying on the visa program for its workforce expansion.
Led by California Attorney General Rob Bonta and Massachusetts Attorney General Andrea Campbell, attorney generals of Arizona, Colorado, Connecticut, Delaware, Hawaii, Illinois, Maryland, Michigan, Minnesota, North Carolina, New Jersey, New York, Oregon, Rhode Island, Vermont, Washington, and Wisconsin also joined in to file the lawsuit.
The latest lawsuit comes after the Trump administration ramped up social media vetting policies, targeting H-1B applicants. Just days ago, US authorities announced that the ‘specialty occupations’ visa applicants and their H-4 dependents would have to change their SNS privacy settings to “public.”
International students and exchange visitors had already been subjected to the same social media review process earlier this year.
What California AG Tong said about the H-1B visa fee lawsuit
As established in the press release, Tong severely hit out against the US president, saying, “Donald Trump is hawking the American Dream to the highest bidders.” The California attorney general further argued, the Trump admin’s decision was a crass insult to the immigrant roots of our nation, and a blow to public and private sector employers who have long relied on skilled H-1B workers to fill difficult and vital positions.”
In the press statement released online, his office asserted that the H-1B visa program has always been “tailored” by the US Congress so that American employers can meet their labour needs. It also stated that the program has protected “the interests of American workers to ensure that they are not wrongfully displaced.”
On top of that, the statement highlighted that the US Congress has repeatedly played its part in enhancing enforcement tied to the program so that the visa classification isn’t misused. The current cap for private employers is set at 65,000, with an exemption of 20,000 for individuals with a master’s degree or higher.
His office further noted that the program was particularly beneficial to many government and non-profit organisations, furthering their public service mission. Despite these organisations being exempt from the 65,000-person annual cap, they have not been relieved from the new fee, as per Bonta’s office.
The official remarks pointed out that the $100,000 imposition will make the recruitment process especially more difficult, resulting in staff shortages across the nation.
How Trump admin is responding to the H-1B lawsuit
Addressing the issue in a statement to Business Insider, White House spokesperson Taylor Rogers laid emphasis on the POTUS’ ‘American First’ promise.
“President Trump promised to put American workers first, and his commonsense action on H-1B visas does just that by discouraging companies from spamming the system and driving down American wages, while providing certainty to employers who need to bring the best talent from overseas,” the spokesperson shared the response with the outlet after the lawsuit news broke cover.
Meanwhile, as the administration escalates its crackdown on what it calls H-1B visa “fraud,” roughly about 200 active investigations tied to reported allegations are underway as part of the Labor Department’s “Project Firewall” initiative, as per a Bloomberg Law report.
In a fresh social media remark, the US Department of Labor said on X, “We’re taking HISTORIC action to ensure American Jobs go to AMERICAN WORKERS!
“Through Project Firewall investigations, we’re holding employers that discriminate against Americans and illegally prioritise foreign labor accountable under the law.”
Other lawsuits against Trump’s H-1B visa fee
The US states coalition’s lawsuit isn’t the first formal challenge raised to Trump’s H-1B fee.
According to the American Immigration Council, two lawsuits were already questioning the current admin’s September proclamation.
These are: ‘Global Nurse Force v Trump’ filed in the US District Court for the Northern District of California and ‘Chamber of ‘Commerce of the United States vs US Department of Homeland Security’ filed in the US District Court for the the District of Columbia by the Chamber and the Association of American Universities (AAU).