Simon Arshad, the president-elect, spoke out against the decision. “I am very disappointed by the Federal Court’s decision to invalidate the decision. When I heard about it I said to my legal team, I will go to [the Federal Court] every day and get it right,” he said. “If they want, I will appeal that decision as well.”

A spokesman for Mr Trump’s transition team in Washington, DC said: “The transition team respects the federal courts and will ask the courts to apply appropriate relief if required.”

Justice Mokhtar Babar, who oversaw the case, said the case was brought after the State Department expressed “serious misgivings”.

“The plaintiff brought claims in January – following Trump’s inauguration – seeking the executive departments’ official policy concerning the temporary nonresident alien for-profit status, that the federal government should not be bound by the immigration laws,” the court ruled.

For-profit companies may only be granted relief if they are the “best” and “most appropriate” way of resolving the immigrant’s legal immigration status.

The court ruled the agencies were not “appropriately qualified” to settle this claim on a case where the defendant’s primary claim was a “federalism concern” and that, by failing to consider the issue in the initial petition, the agency had not complied with a constitutional principle of “federalism”.

Shape Created with Sketch. President Donald Trump life in pictures Show all 16 left Created with Sketch. right Created with Sketch. Shape Created with Sketch. President Donald Trump life in pictures 1/16 Donald Trump poses in a rocking chair once used by President John F. Kennedy at his New York City residence Reuters 2/16 Developer Donald Trump with his new bride Marla Maples after their wedding at the Plaza hotel in New York Reuters 3/16 Donald Trump and Celina Midelfart watch the match between Conchita Martinez and Amanda Coetzer during U.S. Open. She was the date whom Donald Trump was with when he met his current wife Melania at a party in 1996 Reuters 4/16 U.S. Supreme Court Justice Clarence Thomas serving as the grand marshal for the Daytona 500, speaks to Donald Trump and Melania Knauss on the starting grid at the Daytona International Speedwa Reuters 5/16 Developer Donald Trump talks with his former wife Ivana Trump during the men’s final at the U.S. Open