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ARTICLE · 13 JANUARY 2009

Proskauer Obtains Stay Of Implementation Of E-Verify Regulation

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Federal contractors and subcontractors can temporarily breathe a sigh of relief and delay implementing use of the Department of Homeland Security’s ("DHS") E-Verify System.

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Federal contractors and subcontractors can temporarily breathe a sigh of relief and delay implementing use of the Department of Homeland Security's ("DHS") E-Verify System. The E-Verify System is designed to check whether new hires are eligible to work in the U.S. Pursuant to an Executive Order that was to have become effective on January 15, 2009, the final rule would have required contractors to begin use of E-Verify for new hires and to reverify any current employees working on existing contracts. Implementation of the final rule has now been suspended until February 20, 2009.

The decision to suspend the rule was a result of a legal challenge filed by Proskauer Rose LLP on December 23, 2008 on behalf of the U.S. Chamber of Commerce and four other associations. Proskauer's winning litigation team working on this matter includes Larry Lorber, David Grunblatt, James Segroves, and Malcolm Harkins III. The lawsuit, encaptioned Chamber of Commerce of the United States

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