Is there a concept of F1 OPT to H1B 'CAP GAP' when outside USA?


I am currently on F1 STEM OPT and my H1B has been approved. My OPT ends in July and the H1B starts in October. I am seeing out my OPT from India (by working remotely) as I had to make an emergency travel to India in February.

I will be scheduling my H1B VISA appointment (with consular process and NOT COS because I was already out of the country at the time of H1B petition filing) soon, but my question is: Can I continue employment with my employer between end of my OPT and start of H1B?

My employer’s attorney insists that as I am not in USA it is ok to continue employment with the company during that time, but I think that I will be ‘out of status’ and will not be able to work for the employer…

Any guidance?