On May 21, 2026, U.S. Citizenship and Immigration Services (USCIS) released Policy Memorandum PM-602-0199, formally reaffirming that adjustment of status under INA Section 245 is a matter of discretion and administrative grace. It is not an entitlement, and it is intended as an extraordinary alternative to the standard consular visa process.

While this legal principle is not new, issuing a formal policy memo signals that USCIS intends to apply heightened scrutiny when evaluating I-485 applications going forward. Here is what we know, what we are watching, and our early read on who may be most affected.

What the Memo Says

The memo instructs USCIS officers to view adjustment of status as an extraordinary remedy. This is the pathway that allows applicants to obtain a green card without leaving the United States and going through the normal consular process abroad. Officers are directed to evaluate all applications on a case-by-case basis, weighing the totality of the circumstances, including the following factors:

The memo also clarifies that when USCIS denies an application on discretionary grounds, officers must issue a written denial that specifically explains why negative factors outweigh positive ones. This is a meaningful procedural requirement that could affect how denials are appealed or challenged in the future.

What We Are Watching

The memo establishes a legal and policy framework, but the real-world impact will depend on how officers apply it at the adjudication level. We are closely monitoring how this guidance translates into actual approval and denial rates, particularly for applicants who entered on parole and those with minor immigration violations.

Our Early Read: Dual Intent Visa Holders Likely Less Impacted

One notable carve-out in the memo is its acknowledgment that applying for adjustment of status is not inconsistent with maintaining nonimmigrant status in a category that carries “dual intent.” This directly protects applicants in H-1B, L-1, O-1, and certain other classifications. Immigration law has long recognized that a foreign national can simultaneously hold nonimmigrant status and pursue lawful permanent residence in these categories.

However, the memo also cautions that maintaining lawful dual intent status is not, on its own, sufficient to warrant a favorable exercise of discretion. Other factors in the totality of the circumstances still apply and must be weighed.

Our early prediction is that applicants adjusting from dual intent nonimmigrant categories with clean records and no immigration violations are likely to remain largely unaffected. Applicants in single-intent categories, those with overstays, or those who entered on humanitarian parole programs may face a higher bar going forward.

We will continue to update our clients as adjudicatory trends emerge. If you have a pending I-485 or are planning to file, this is an important time to discuss your specific situation with your attorney.

The Bottom Line

This memo does not change the law, but it signals a clear policy posture. USCIS has put officers on notice that adjustment of status is a privilege and not a right, and that discretionary denials must now be more thoroughly documented and explained. For applicants with complicated immigration histories, this could increase risk. For applicants with strong equities and clean records, the practical impact may be minimal.

CTM Legal Group will continue monitoring developments and publishing updates in our Insights section as the adjudicatory picture becomes clearer.

This article is for informational purposes only and does not constitute legal advice. Reading this content does not establish an attorney-client relationship with CTM Legal Group.