L1 to H1 Transfer as COS still working for L1 Employer

USA L1, L2 Visa
1

I came to US on L1 B for Employer A. Now L1 is expired and extension is in process. At the same time I applied for H1 B from employer B. But I am still working for L1 employer. Also, H1 employer has started generating pay stubs.

Questions:

  1. Is it legal to continue to work for L1 employer. If not what can be the issues?

  2. Pay stubs are generated by 2 companies now, what will be impact of this one?

  3. How can I avoid any illegal situation?

Thanks.

2
  1. Is it legal to continue to work for L1 employer. If not what can be the issues?

It is not legal to be employed by two employers on a work permit like L1 and H1.

  1. Pay stubs are generated by 2 companies now, what will be impact of this one?

  2. How can I avoid any illegal situation?

You got to resign from one of them. How did youe H1 employer start your payrol without you working for them?

Impacts can be in future and on your GC processing(if any)