Here's my conclusion from this experience: if you are in a business that depends on Intellectual Property competes globally (i.e. not a nail salon hiring local workers), then in the area that gives you your competitve advantage YOU NEED TO HIRE THE BEST GLOBAL TALENT. Period.
If the immigration system doesn't allow that, then either you'll hire remote, or you'll be beaten by an international competitor with more liberal skilled immigration rules. Neither is a great outcome.
There are simple ways to ensure H1-B is used to hire this type of talent. The recent rules that prioritize H1-B applicants based on their salary are positive IMO and address a lot of the Tata/Infosys abuse (which is real). If you are truly going after the best global talent, that won't be cheap!
H1-B is super old school. The notion is that you only hire someone in H1-B if there's nobody that can do the job. However, the challenge today is not if you can do the job, but can you do it better than the global competitors? That concept is super foreign to immigration legislation (no pun intended :).
Short of a whole new immigration framework, increasing the number of H1-Bs and prioritizing based on salary would be a good short term fix - no lawsuits needed.