The court blocked the rule from being enforced in Connecticut, New York and Vermont.
The rule makes it more difficult for immigrants to obtain legal status if they use public benefits such as Medicaid, food stamps and housing vouchers. It immediately met pushback, and was subsequently blocked by courts, following its release.
"The current state of affairs is that pursuant to the district court's order from last week, the Department of Homeland Security's public charge rule is blocked until the public health emergency caused by the Covid 19 pandemic ends," said Susan Welber of The Legal Aid Society who serves as counsel for the plaintiffs in Tuesday's case.
Tuesday's ruling doesn't affect Daniels' order issued last week.
In a statement to CNN, USCIS said it's "currently reviewing the court's decision, and we have no additional comment to provide at this time."