New employers not willing to do H1B transfer since my I-94 is expired


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My H1B visa and I-94 is expired on 30 September 2019. We have filed an extension in regular processing and waiting for USCIS approval. Meanwhile my current client project will be ending mid of February. My employer instead of arranging new projects, they told me to looks outside opportunities through H1B transfer. I have reached out so many consultancies. They are not willing to do H1B transfer since I donot have valid H1B visa now. So I discussed back the situation with my current employer ans requested their support to get new projects with their clients. They said they will help. But few days back they sent a termination letter(two pages) with the termination date match to the client project end date(Mid of Feb). I contacted them to get more details. But they are not giving clear details. So I am afraid about my current situation. 

1.  If I do not get any other project assignment before the termination date, can I stay legally in USA without any Job? How long I can stay like that?

2. I have asked my employer to convert my H1B extension regular processing to Premium processing. Waiting for their response. So that if it is approved, I can try for H1B transfer option with other employer. But I don't have enough time now. 

Please suggest me.

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