I94(first h1b) expired new transfer pending over 8 months

[harsha09]

Hello everyone,
My intial H1B expired on August 25,2016 and with it my I94 as well. I was being laid off and knew a few days before that my employer wouldn't be renewing my visa. In the meantime I found another job(consulting) and this new Employer had applied for my H1B. The receipt date on this new petition is Aug 30th,2016. My new employer did not apply premium processing and in the meanwhile the premium processing was susprended by USCIS. I have been working since the date on receipt(8/30/2016). My doubts:
1.Since it is more than 240 days since the expiry of my I94 AND date on receipt notice, can I legally stay in US?
2.What are my options-stay in the US and not work until USCIS processes the case(latest status: Case was transferred to another office...), continue working, leave USA and which one would be better from a legal/professional standpoint.

[newacct]

You can stay in the US as long as a timely-filed change of status or extension of status application is pending, no matter how long it takes. However, it seems yours was not timely-filed, as you were already out of status when it was filed. If USCIS rejects it, you may be screwed as the whole time you've been staying in the US after the I-94 expired could be considered "unlawful presence".

[harsha09]

You can stay in the US as long as a timely-filed change of status or extension of status application is pending, no matter how long it takes. However, it seems yours was not timely-filed, as you were already out of status when it was filed. If USCIS rejects it, you may be screwed as the whole time you've been staying in the US after the I-94 expired could be considered "unlawful presence".

Can I contine to work beyond the 240 day limit while case is in processing?

[raghvi]

Can I contine to work beyond the 240 day limit while case is in processing?

No.

This is my opinion not legal advice.

[harsha09]

Update: After almost 250 days, today,my online case status shows approved. My employer/attorney raised an SR a few days ago. Will have to wait until they receive notice to see if it is approved with/without I94.