2025 March, 22, 12:36:20 PM

Trump Abandons Law Firm Order After $40M Pledge

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Trump Withdraws Order Targeting Law Enforcement Agencies After $40 Million Promise

President Donald Trump has rescinded an executive order targeting a prestigious international law firm after it promised to abandon diversity policies and provide $40m (£31m) worth of free legal work to support White House initiatives.

Background

Paul, Weiss, Rifkind, Wharton & Garrison LLP, a multinational law firm headquartered in New York, faced an executive order on March 14 that terminated federal contracts and suspended security clearances for its lawyers. The order claimed the firm was undermining the US judicial system.

President Donald Trump signing an executive order
Trump has signed dozens of executive orders since his return to the White House, often targeting critics

The Agreement

The White House rescinded the order after a meeting between Trump and Brad Karp, chairman of Paul, Weiss, Rifkind, Garrison & Wharton. Key concessions included:

  • Providing $40 million in pro bono legal services to support the Administration's initiatives.
  • Committing to "merit-based" hiring and promotion practices.
  • Abstaining from adopting or pursuing any DEI (Diversity, Equity, and Inclusion) policies.

Reactions

The agreement has sparked significant controversy within the legal community.

  • Outrage: Many lawyers have expressed outrage, with one calling it a "sad day for the legal industry."
  • Criticism: Marc Elias, a former Perkins Coie partner and top lawyer for Democrats, criticized Paul Weiss for setting a "new standard for shameful capitulation."
  • Resignation: Rachel Cohen, an associate at Skadden Arps, resigned in protest of the agreement.

Defense of the Agreement

Brad Karp defended the agreement in an internal email, stating it aligns with the firm's commitment to political independence.

Potential Impact on the Firm

With over $2 billion in annual revenues and employing more than 1,000 attorneys, the firm's security clearance revocation could have significantly hindered its work with corporate, security, and Wall Street clients.

Executive Order Details

The original executive order accused Paul Weiss of undermining the judicial process, citing:

  • A partner filing a pro bono lawsuit against perpetrators of the January 6, 2021 riots at the Capitol.
  • Former partner Mark Pomerantz's work with the Manhattan District Attorney on the Stormy Daniels case.
  • Allegations of discrimination against employees based on race and other protected categories.

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