DHS Delays the Effective Date of the International Entrepreneur Final Rule

On July 11, 2017, the Department of Homeland Security (DHS) formally delayed the implementation of the International Entrepreneur Rule from July 17, 2017, to March 14, 2018, to allow for a public comment period. The final rule allowed foreign entrepreneurs who were able to demonstrate that they had received investments that posed a significant public benefit to the United States to enter the United States for an initial parole period of stay of up to 30 months to facilitate the entrepreneur’s ability to oversee his or her start-up entity in the United States. The proposed final rule also included provisions that would allow for a potential extension of an entrepreneur’s stay in the United States by up to an additional 30 months.

However, in light of the January 25, 2017, executive order (EO), Border Security and Immigration Enforcement Improvements, issued by President Trump, DHS has opted to delay the implementation of the final rule to determine the impact of the EO on the rule. Specifically, DHS is using this delay to determine how the language that requires DHS to ‘‘take appropriate action to ensure that parole authority under section 212(d)(5) of the [Immigration and Nationality Act of 1965] is exercised only on a case-by-case basis in accordance with the plain language of the statute, and in all circumstances only when an individual demonstrates urgent humanitarian reasons or a significant public benefit derived from such parole’’ affects the rule. It is expected that DHS will solicit public comments for final rulemaking and that the final rule will go into effect at the end of the stated delay period on March 14, 2018.

Ogletree Deakins will continue to monitor developments with respect to the resolution to the international entrepreneur rule and will post updates as additional guidance becomes available.