---
title: "IIUSA Sues USCIS Over EB-5 Sustainment Rules: What It Means"
description: EB-5 industry group IIUSA challenges USCIS’s sustainment policy in federal court. Learn what the lawsuit means for investors, projects, and visa timelines.
---

[EB5 Visa Investors Journal ](https://blog.eb5visainvestors.com)

# [IIUSA Sues USCIS Over EB-5 Sustainment Rules: What It Means](https://blog.eb5visainvestors.com/2025/04/23/iiusa-vs-uscis-the-eb-5-lawsuit-that-could-reshape-sustainment-policy)

 Written by [EB5 Visa Investors](https://blog.eb5visainvestors.com/author/eb5-visa-investors) | Apr 23, 2025 6:19:35 PM

In a legal battle with far-reaching implications for EB-5 investors and regional centers, **Invest in the USA (IIUSA)** — the national not-for-profit industry trade association for the EB-5 Regional Center Program — has taken the **U.S. Citizenship and Immigration Services (USCIS)** to court over controversial changes to the **sustainment period** policy.

If you’re an EB-5 investor, stakeholder, or immigration attorney, this case is worth watching closely.

## 📚 What Is the Sustainment Period — and Why Does It Matter?

In EB-5, the “sustainment period” refers to the **length of time an investor’s capital must remain “at risk”** in a U.S. business to qualify for a green card.

Historically, this was linked to the period of conditional permanent residence — but **USCIS changed its guidance in October 2023**, introducing significant uncertainty into the process. IIUSA argues that this shift, made **without formal rulemaking**, undermines predictability and could jeopardize investor eligibility.

## 🧑‍⚖️ Why IIUSA Is Suing USCIS

IIUSA filed its lawsuit in **District Court for the District of Columbia (Case No. 1:24-cv-918-ACR)**, asserting that:

- The **October 2023 USCIS guidance was issued improperly**, without going through the required **notice-and-comment rulemaking** process.
- The policy is **destabilizing the EB-5 marketplace**, leading to investor confusion and potential compliance issues.
- IIUSA offered a **compromise solution**: 
    - USCIS would retract the guidance
    - Investors who relied on the old rule would retain protection
    - USCIS would engage in formal rulemaking on a mutually agreed timeline

## 🏛️ USCIS’s Response: Delay and Rulemaking

USCIS has requested that the case be **held in abeyance** — essentially paused — while it undertakes rulemaking to address the issue. However, the timeline is murky:

- The agency estimates a **Notice of Proposed Rulemaking (NPRM)** by **November 2025**, but won’t commit to that date
- It offers **no firm deadline** for when a final rule would be published
- USCIS argues that rushing rulemaking could trigger **additional litigation** from other investor groups, especially given complexities tied to the **EB-5 Reform and Integrity Act of 2022 (RIA)**

## 🕊️ Stalemate as of March 2025

In their most recent **Joint Status Report (March 21, 2025)**, both sides confirmed they’ve **failed to reach a settlement**.

- IIUSA urges the Court to move forward and issue a decision
- USCIS continues to push for an indefinite delay while it develops regulations
- The case now sits at a legal crossroads — with investors, developers, and attorneys stuck in the middle

## 🔎 Why This Lawsuit Matters to EB-5 Investors

This case goes beyond procedure — it directly affects:

- 🧾 **How long your investment must remain at risk**
- 🕒 **When you can safely exit your project after conditional residency**
- ⚖️ **The legality of USCIS policies moving forward**

It also underscores the broader tension between **Congressional immigration authority**, **executive agency rulemaking**, and the interests of **foreign investors navigating U.S. immigration law**.

## 🧠 Key Takeaways

- IIUSA is challenging USCIS’s **unilateral policy shift** on the EB-5 sustainment period
- The outcome of this lawsuit could **clarify or redefine investment timelines**
- USCIS is delaying change through a lengthy rulemaking process, with no clear end in sight
- Investors should prepare for both legal and policy uncertainty over the next 12–24 months

## 📩 Want to Know How This Could Affect Your EB-5 Strategy?

Whether you’re an investor planning your I-526E filing or a project sponsor designing exit timelines:

👉 **[Book a strategy call with our team](https://www.eb5visainvestors.com/eb5-application-consultation)** to understand how this legal challenge might impact your petition or regional center operations.  
Or  
📚 **[Learn more about the EB-5 visa and how it works](https://www.eb5visainvestors.com/eb5-program)** — and explore our USCIS-approved investment opportunities.

[View full post](https://blog.eb5visainvestors.com/2025/04/23/iiusa-vs-uscis-the-eb-5-lawsuit-that-could-reshape-sustainment-policy)

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