Top research universities join US Chamber of Commerce to challenge $100,000 H-1B fee in court

The Association of American Universities (AAU), which represents 71 leading research institutions in the United States, has filed a lawsuit with the US Chamber of Commerce against Proclamation 10973 issued by the Trump administration on September 19, 2025. The proclamation introduces a $100,000 filing fee on new petitions for the H-1B visa program, a sharp increase from the earlier cost of about $3,600.

In a complaint filed in the US District Court for the District of Columbia, the Chamber and AAU argue that the new fee disrupts the balance between Congress’s intent and executive authority in the H-1B program. They say universities and businesses now face a choice—either absorb the cost or reduce hiring of skilled foreign professionals.

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AAU describes its 69 US-based members as “world-renowned centres of innovation and scholarship” that depend on the H-1B program to hire highly skilled foreign nationals in research, teaching, and healthcare. The organisation says the $100,000 fee “concretely harms” its members, as those unable to pay must limit hiring while others face a “classic pocketbook injury.”

The proclamation claims the H-1B program has been misused by some employers, particularly in the information technology sector, to suppress wages and replace US workers. It introduces the fee as a measure to limit new H-1B entries unless the Secretary of Homeland Security grants an exemption in the “national interest.”

The new fee applies only to fresh H-1B petitions, not renewals, and will expire in 12 months unless extended before the March 2026 H-1B lottery.

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The dispute centres on whether the $100,000 H-1B fee is lawful and whether it undermines the framework established by Congress. With leading research universities and major businesses challenging the rule, the outcome could shape the future of high-skill immigration and innovation in the US.

The lawsuit argues that the proclamation “blatantly contravenes” the fee structure set by Congress and distorts the statutory limits of the H-1B visa system. The plaintiffs warn that universities will struggle to recruit specialised talent, while smaller companies may be forced to opt out of the program.

As the case moves through the courts, universities and employers across the country are closely watching to see whether the fee will be suspended or upheld—and how it will affect the hiring of skilled workers in the United States.