H-1B - Specialty Occupation

We were recently retained to address a strange problem. An H-1 petition was approved, but the parties did not receive the approval notice for two years. The notice was apparently lost in the mail. They submitted an application for a duplicate approval notice, which also was issued and also lost in the mail. The employer then filed an application for an extension of status, which was granted without an I-94 attached to it. CIS considered the beneficiary to be out of status, because the employer had not placed the beneficiary on their payroll for two years. We submitted a motion to reconsider to USCIS as well as a supplemental brief together with an application for extension of H-1 status pointing out the legal implications of CIS decision.