L1 extension applied. L1 to H4 COS. (without leaving USA)


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I am on H1B visa. My wife’s L1-B visa expired May 2013. Her I-94 is valid till Dec 7,2014. Her company applied for L1-B extension on June 15,2014.

1) If her L1 extension is getting delayed (RFE or processing times) to till October 2014, can she apply for H4 COS? I donot mind if she get H4 as the second decision.

2) If L1 is denied, can she apply for H4 COS & stay without leaving USA, even if the H4 COS application is pending. I will apply for a COS probably in October 15, 2014.

Please tell me what you guys think/know. 

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