Judge rules Biden's 'Keeping Families Together' program for undocumented spouses is illegal

A federal judge has struck down the Biden administration's program known as "Keeping Families Together," dealing a major blow to the estimated half a million undocumented spouses of U.S. citizens that DHS estimates would have benefited.

The administration announced the program in June, but a coalition of 16 Republican-led states -- led by Texas and Stephen Miller's America First Legal -- quickly filed a lawsuit after applications were made available in August.

A federal judge put the program on hold just days after hopeful applicants filed their paperwork.

The program would have provided temporary relief from deportation for undocumented spouses and stepchildren of U.S. citizens through a process known as "parole in place." It would have allowed them to apply for legal status without having to leave the country.

Judge J. Campbell Barker ruled Thursday in favor of the Republican-led effort to dismantle the program, agreeing with Republican states that the administration had exceeded its statutory authority because the Immigration and Nationality Act allows for paroling people "into the United States," not to those already in the country.

"We strongly disagree with yesterday's ruling and we are evaluating next steps. This ruling sides with Republican state officials who are seeking to force U.S. citizens and their families, people who have lived in the United States for more than ten years, to either separate or live in the shadows in constant fear of deportation," White House spokesperson Angelo Fernández Hernández told ABC News Friday. "As the President has said, America is not a country that tears families apart. Our Administration believes in keeping American families together – this process would allow those who are already eligible for lawful permanent residency to remain in the United States with their families during that process, instead of being needlessly torn apart."

Noncitizen spouses are already eligible for legal status under current laws but often have to apply from their home countries and face up to a 10-year ban from returning to the U.S.

ABC News spoke with a 24-year-old woman in August who was one of the first people to be approved under the program. She is married to a U.S. citizen and they have a 3-year-old child.

It's unclear at the moment what will happen to people who have already submitted their paperwork, like Cecilia, and if they'll be able to get their application fees refunded.

"We are deeply disappointed in today's decision. Keeping Families Together would have allowed an estimated 500,000 noncitizen spouses and 50,000 noncitizen stepchildren of U.S. citizens to remain together with their families in the United States while completing their immigration process instead of having to endure potentially indefinite separation – providing them stability, unity, and freedom from fear," a Department of Homeland Security spokesperson said. "We firmly believe Keeping Families Together is grounded in well-established legal authority, and its purpose is consistent with fundamental American values."

"District Court Judge J. Campbell Barker did not just dismantle the Keeping Families Together program, he shattered the hopes of hundreds of thousands of American families. The Biden-Harris program would have allowed noncitizen spouses and noncitizen stepchildren of U.S. citizens to stay in the country after they've contributed to our communities, helped grow our economy, and built lives with their loved ones" Ashley DeAzevedo, president of American Families United, said in a statement to ABC News.

"We urge the Biden-Harris administration to immediately appeal Judge Barker's ruling, preventing Texas Attorney General Ken Paxton and 15 other Republican Attorneys General cruel lawsuit from devastating over 550,000 individuals in mixed-status families. Families like ours deserve better than this blatant attempt to stop a legal program, and we will not stop until the courts rectify this injustice," DeAzevedo said.