Procedure for converting a L2 visa to a H1B, USCIS, immigration adjustment procedure

If your wife was in H-1B visa status within the last six years and has not left the US for more than 365 days, then she should be able to qualify for H-1B employment at a new employer and not/not be subject to the H-1B cap; but she will need to document her prior H-1B status. She would normally document her prior H-1B status by showing a copy of the prior H-1B petition approval (Form I-797), H-1B travel visa (if any), and pay stubs and W-2s from employment with the prior H-1B employer. The new H-1B employer's lawyer can advise on what documentation is necessary to show H-1B cap exemption now.