I met my wife in Feb 2003 and we got married in Aug 2003. I had started my green card application in late 2002, we consulted a lawyer in Aug 2003 to see if the wife could be put onto my application, unfortunately the answer was No. She had come to the US on an F1 (student) visa and was unfortunately out of status in April 2003. Her I-94 has "DS" (duration of stay) stamped on it and the lawyer we consulted said that her overstay wasn't unlawful. Three years on, I'm a green card holder, we have a daughter who's an American but we still have some issues with my wife's status. Here are my questions:

1) If the wife was to return to her country, what would be the chances of her being allowed back in to the US? Would she face a 10-year bar?

2) If the immigration reforms we hear about are passed, can she benefit from them?

3) Is there anything we could do change her status without her leaving the country?

To her credit she hasn't worked while she's been here, we have filed joint tax returns and neither of us have committed any crimes. We couldn't get a US driver's licence for her so she drives around with her country's licence, however, I have managed to get her onto my insurance policy as a named driver. What would happen if she was stopped by traffic police?