Today, the United States District Court for the District of Maryland heard oral arguments in the E-Verify Federal Contractor lawsuit (Chamber of Commerce of the United States of America, et al. v. Michael Chertoff, et al). As previously reported,  the U.S. Chamber of Commerce and several other organizations filed a federal lawsuit in December last year, challenging the legality of President Bush’s Executive Order and the FAR (Federal Acquisition Council) regulations requiring federal contractors and sub-contractors to use E-Verify. Today’s hearing gave both parties an opportunity to argue on pending motions before the Court. Sources indicate that the judge is expected to issue a ruling on the case within the next week.

If the judge rules in favor of the government, DHS has indicated that it will implement the rule on September 8, 2009. Once in effect, federal contracting officials are instructed to insert the “E-Verify clause” in all new contracts awarded with a performance period longer than 120 days and a value above $100,000. More information regarding the E-Verify Federal Contractor rule can be found in our earlier post last year.