The 240 days rule on extension of H1B visas - Can I continue working?

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The 240 days rule on extension of H1B - Can I continue working after 240 days?
The rule of 240 days on extensions of nonimmigrant visas such as H1B visas, L1 visas, O visas extensions has become very relevant in the past few years specially because the USCIS is taking a long time to process cases.

Filing for your H1B extension and H4 EAD extension - the rule of 240 days I94 and 120 days for EAD.

Your lawful nonimmigrant status ends, and you are out of status, when your Form I-94 expires, even if you have timely applied to extend your nonimmigrant status. Generally, as a matter of discretion, USCIS will defer any removal proceedings until after the petition is adjudicated and USCIS decides your request for extension of nonimmigrant status. Nevertheless, DHS may bring a removal proceeding against you, even if you have an application for extension of status pending. Even though you are not actually in a lawful nonimmigrant status, you do not accrue “unlawful presence” for purposes of inadmissibility under section 212(a)(9)(B) of the Act, while your extension of status application is pending if it was filed prior to the expiration of your Form I-94.

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