Seeking to compel the Trump Administration to begin processing applications for immigrant entrepreneurs under the now-delayed International Entrepreneur Rule, the National Venture Capital Association has sued.
The Department of Homeland Security delayed implementation of the rule just days before it was to take effect. The IER was formulated by the Obama Administration.
The lawsuit spells out the IER guidelines:
“Beginning on July 17, 2017, the Rule was to allow foreign entrepreneurs to apply for parole, a form of temporary immigration status—not a visa—that entitles the recipient to be present in the United States without being formally admitted. The Rule reserved parole for only the most qualified and talented entrepreneurs: applicants must show that they have a substantial role and ownership stake in a company founded in the United States in the last five years, and must also show that the company received a substantial amount of funding from U.S. investors or present other comparable “evidence of substantial and demonstrated potential for rapid business growth and job creation.” Id. at 5,239. While recipients cannot obtain lawful permanent resident status while on parole, the Rule would authorize them to work and, in some cases, to bring eligible family members to the United States as well.”
“Immigrant entrepreneurs play a vital role in strengthening the U.S. economy, creating new jobs for Americans and pushing the boundaries of innovation. Rather than throw up roadblocks that prevent them from bringing their talent and ingenuity to our shores, we should welcome them with open arms,” said Bobby Franklin, CEO of NVCA, the Washington-based trade group that represents the VC industry.
“A global race is underway to attract and retain talented entrepreneurs and we should be doing all we can to win. If we want to maintain our foothold as the global leader in innovation, the International Entrepreneur Rule must be allowed to proceed and we are committed to standing shoulder to shoulder with entrepreneurs and startups to seeing that through.”
The suit, which was filed in federal court, was disclosed Tuesday. The NVCA is joined by other entrepreneurs and startup firms.
“Because DHS did not solicit advance comment from the public on the delay, it violated clear requirements of the Administrative Procedure Act,” the NVCA said. “As a result of the suspension of the IER, immigrant entrepreneurs that intended to use the rule have been and will be harmed.”
Under the IER, foreign-born entrepreneurs would be enabled to travel to and stay in the U.S. for as long as 2 1/2 years with a possible 2 1/2 year extension in order to grow their companies.
Read the complaint and learn more at: