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Giving Away With One Hand, Taking Away With the Other, International Entrepreneur Rule

U.S. Citizenship and Immigration Services (USCIS) announced on December 14, 2017, that it is taking steps to implement the International Entrepreneur Rule (IER) in accordance with a recent court decision. USCIS noted that while the agency implements the IER, the Department of Homeland Security (DHS) will also “proceed with issuing a notice of proposed rulemaking (NPRM) seeking to” end the IER.  DHS is in the final stages of drafting the NPRM.

Here is the language of the USCIS announcement:

Important Information: On Jan. 17, 2017, the Department of Homeland Security (DHS), under the prior Administration, published the Obama Administration’s International Entrepreneur Rule (IER), which was scheduled to take effect on July 17, 2017. The IER established a new regulatory process and criteria for certain foreign entrepreneurs to be paroled into the country and seek U.S. investment to develop and grow businesses. On July 11, DHS published a delay rule to extend the effective date of the IER to March 14, 2018, to ensure it is consistent with President Trump’s Executive Order (EO), Border Security and Immigration Enforcement Improvements. This EO states that it is the policy of the executive branch to “end the abuse of parole and asylum provisions currently used to prevent the lawful removal of removable aliens.”

Upon review, DHS is planning to propose to remove the IER because it is not the appropriate vehicle for attracting and retaining international entrepreneurs and does not adequately protect U.S. investors and U.S. workers. The delayed effective date of the IER was meant to give USCIS time to review the IER, and if necessary, propose a new regulation to end the IER parole program. However, on Dec. 1, 2017, the U.S. District Court for the District of Columbia vacated the delay rule as a result of litigation in National Venture Capital Association v. Duke.While DHS complies with the court order and implements the IER parole program, DHS is also in the
final stages of publishing a notice of proposed rulemaking seeking to remove the IER.

While DHS complies with the court order and implements the IER parole program, DHS is also in the final stages of publishing a notice of proposed rulemaking seeking to remove the IER.

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