Chamber of Commerce of the United State of America v. United States Department of Homeland Security

District Court, N.D. California·Decided September 15, 2021·No. 4:20-cv-07331·Unknown

Opinion

1 2 3 6 7 CHAMBER OF COMMERCE OF THE Case No. 20-cv-07331-JSW UNITED STATE OF AMERICA, et al., 8 ORDER GRANTING PLAINTIFFS’ Plaintiffs, MOTION FOR SUMMARY v. DEFENDANTS’ CROSS-MOTION FOR UNITED STATES DEPARTMENT OF 11 HOMELAND SECURITY, et al., Re: Dkt. Nos. 140, 144 Defendants. 12 13 14 Now before the Court for consideration are the cross-motions for summary judgment filed 15 by Plaintiffs1 and Defendants, United States Department of Homeland Security (“DHS”) and 16 Alejandro Mayorkas, in his official capacity as Secretary of Homeland Security (“Secretary 17 Mayorkas”) (collectively “DHS”).2 18 The Court has considered the parties’ papers, relevant legal authority, the record in this 19 case, including the amicus brief filed by U.S. Tech Workers in support of DHS’s motion, and the 20 parties’ arguments at the hearing held on September 10, 2021. The Court HEREBY GRANTS 21 Plaintiffs’ motion and DENIES DHS’s cross-motion. 22 // 23

24 1 Plaintiffs are: Chamber of Commerce of the United States of America, Bay Area Council, 25 National Retail Federation, American Association of International Healthcare Recruitment, Presidents’ Alliance on Higher Education and Immigration, California Institute of Technology, 26 Cornell University, The Board of Trustees of Leland Stanford Junior University, University of Southern California, University of Rochester, University of Utah, and ARUP Laboratories. 27 2 Secretary Mayorkas was automatically substituted as the defendant in lieu of putative 1 // 3 A. Procedural History. 4 On October 19, 2020, Plaintiffs filed their original complaint and asked the Court to set 5 aside two interim final rules promulgated by DHS and by the Department of Labor: Strengthening 6 Wage Protections for the Temporary and Permanent Employment of Certain Aliens in the United 7 States, 85 Fed. Reg. 63,872 (Oct. 8, 2020) (“DOL IFR”); Strengthening the H-1B Nonimmigrant 8 Visa Classification Program, 85 Fed. Reg. 63,918 (Oct. 8, 2020) (“DHS IFR”). 9 The Plaintiffs moved for a preliminary injunction and for partial summary judgment on 10 their claims that Defendants violated the Administrative Procedure Act’s (“APA”) notice and 11 comment procedures. The parties subsequently stipulated to advance the trial on the merits of 12 those claims, pursuant to Federal Rule of Civil Procedure 65(a)(2), and stipulated to stay the 13 Defendants’ obligation to respond to the remaining claims. (Dkt. No. 51.) The notice and 14 comment claims required the Court to consider whether “good cause” existed to excuse the APA’s 15 normal notice and comment period. DHS and DOL each relied on the COVID-19 pandemic to 16 support the position that good cause existed. The parties also agreed the Court could rely solely 17 on the interim final rules and materials cited therein as the administrative record. 18 On December 1, 2020, the Court granted Plaintiffs’ motion and denied Defendants’ cross- 19 motion, set aside the interim final rules, and entered partial judgment on the notice and comment 20 claims, pursuant to Federal Rule of Civil Procedure 54(b). See Chamber of Commerce v. U.S. 21 Dep’t of Homeland Sec., 504 F. Supp. 3d 1077 (N.D. Cal. 2020). Defendants did not appeal that 22 decision. 23 On March 19, 2021, Plaintiffs filed an amended complaint (“FAC”) and a notice of filing, 24 which included a request for leave to amend or to supplement under Rule 15. Plaintiffs dropped 25 their claim against the DHS IFR and asserted claims challenging the DOL’s final rule, 26 Strengthening Wage Protections for the Temporary and Permanent Employment of Certain Aliens 27 in the United States, 86 Fed. Reg. 3,608 (Jan. 14, 2021) (the “DOL Final Rule”), and a new and 1 be processed: Modification of Registration Requirement for Petitioners Seeking to File Cap- 2 Subject H-1B Petitions, 86 Fed. Reg. 1676 (Jan. 8, 2021) (the “Final Rule”).3 3 On April 15, 2021, over DHS’s objection, the Court granted Plaintiffs leave to file the 4 FAC. (Dkt. Nos. 79-80, 91.) The parties now move for summary judgment on the claims relating 5 to the Final Rule. 6 B. Factual Background. 7 On April 7, 2019, former DHS Secretary Kirstjen M. Nielsen announced her resignation 8 and left office on April 10, 2019. President Trump did not nominate a replacement until 9 September 10, 2020, when he nominated Chad H. Wolf (“Mr. Wolf”) for the position. The facts 10 surrounding Mr. Wolf’s accession to the role of Acting Secretary of DHS are set forth in the 11 Court’s order granting a preliminary injunction in Immigrant Legal Rights Center v. Wolf, and the 12 Court shall not repeat then in detail here. 491 F. Supp. 3d 520, 531-33 (N.D. Cal. 2020) (“ILRC”). 13 In brief, before Secretary Neilsen resigned, she issued an order that purported to amend the 14 order of succession for Acting Secretary pursuant to authority granted to her by the Homeland 15 Security Act, 6 U.S.C. section 113(g)(2) (the “April 9 Order”). The purported amendment had the 16 effect of promoting Kevin McAleenan to the role of Acting Secretary. Mr. McAleenan putatively 17 served as Acting Secretary from April 10, 2019, until November 13, 2019, when he resigned. On 18 or about November 8, 2019, Mr. McAleenan issued an order that purported to further amend the 19 order of succession, which promoted Mr. Wolf to the position of Acting Secretary. Id. at 529-33. 20 In that capacity, Mr. Wolf “reviewed and approved” the Final Rule and “delegate[ed] the authority 21 to electronically sign [the Final Rule] to Ian J. Brekke, … the Senior Official Performing the 22 Duties of the General Counsel for DHS, for purposes of publication in the Federal Register.” 86 23 Fed. Reg. at 1732; see also id. at 1735. 24 The H-1B visa category enables employers in the United States to hire qualified foreign 25 professionals in specialty occupations. See 8 U.S.C. §§ 1184(i)(1), 1101(a)(15)(H)(i)(b); see also 26 8 C.F.R. § 214.2(h)(4)(ii). An employer must certify that it will pay an H-1B employee “wages 27 1 that are at least – … the actual wage level paid by the employer to all other individuals with 2 similar experience and qualifications for the specific employment in question; or … the prevailing 3 wage level for the occupational classification in the area of employment.” 8 U.S.C. § 4 1182(n)(1)(A)(i)(I)-(II); see also 20 C.F.R. § 655.731(a). 5 As of April 2019, in order to petition for an H-1B visa, an employer must first register with 6 DHS. See 8 C.F.R. § 214.2(h)(8)(iii)(A)(1). If the registration is selected, the employer submits a 7 petition in “such form and containing such information” as prescribed by the Secretary of DHS, 8 who approves or denies the petition “after consultation with the appropriate agencies of the 9 Government.” 8 U.S.C. § 1184(c)(1).4 Subject to some exceptions, the number of H-1B visas 10 approved each year is capped at 65,000, with an additional 20,000 visas approved for foreign 11 graduates of U.S. master’s or higher degree graduate programs. Id. §§ 1184(g)(1)(A)(vii), 12 1184(g)(5)(C).

Free access — add to your briefcase to read the full text and ask questions with AI

Chamber of Commerce of the United State of America v. United States Department of Homeland Security, (N.D. Cal. 2021).

Chamber of Commerce of the United State of America v. United States Department of Homeland Security (Chamber of Commerce of the United State of America v. United States Department of Homeland Security) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.

Related