Great news for foreign entrepreneurs looking for a way to pursue startup opportunities in the United States! A Federal Judge has blocked an effort by the Trump Administration to delay implementation of the International Entrepreneur Rule (IER), also known as the Entrepreneur Parole Rule, an Obama-era program that would give international entrepreneurs the opportunity to come to the United States to develop and operate start-up businesses. Although the IER was published during the previous administration with an effective date of July 17, 2017, it did not take effect because the Department of Homeland Security (DHS) issued a final rule on July 11, 2017, delaying the IER’s effective date until March 14, 2018. This delay rule was meant to give USCIS time to review the IER and, if necessary, to issue a rule proposing to remove the IER program regulations.
However, on December 1, Judge James Boasberg of the U.S. District Court for the District of Columbia ordered the Department of Homeland Security (DHS) to begin accepting applications for the program in his decision in National Venture Capital Association v. Duke. Prior to Judge Boasberg’s decision, DHS attempted to delay implementation of the rule by postponing its implementation until March of 2018 so it could gather public comments on a proposal to rescind the rule altogether.
The main issue that led to Judge Boasberg’s decision arose when DHS delayed implementation of the rule without first holding a public notice and comment period on whether to institute the delay. According to the plaintiffs who filed the suit, including the National Venture Capital Association and other plaintiffs representing foreign entrepreneurs, DHS violated administrative procedures by delaying implementation of the rule, six days before it was to go into effect, without first soliciting public comment on whether to implement the delay. Continue reading