Paul Weiss, a major law firm, found itself in the spotlight when President Trump issued an executive order targeting the firm’s DEI policies and political affiliations. The order revoked security clearances for Paul Weiss lawyers and triggered a review of its government contracts. The firm had ties to Trump’s political opponents, including Mark Pomerantz, a former lawyer at the firm who later worked on the Manhattan DA’s investigation into Trump.
After the order, things got tense at the firm. They started losing clients, and uncertainty hung over their future. But then, on Friday, Trump announced he’d reached a resolution with the firm, lifting the executive order. The deal included Paul Weiss agreeing to provide $40 million worth of pro bono services to the administration.
The resolution shocked many in the legal world, with some seeing it as the firm giving in. In response, Paul Weiss Chairman Brad Karp sent an email to the staff on Sunday, addressing the situation.
In the email, Karp explained the firm had been facing a huge crisis since March 14 when Trump issued the executive order. He said it felt like a major threat to their existence, with the government targeting the firm and its clients. The order even suggested that the government wouldn’t hire Paul Weiss employees. The firm initially thought other law firms would step up to help, but instead, some firms took advantage of the situation, trying to recruit their clients and staff.
Paul Weiss had planned to challenge the executive order in court, but it quickly became clear that even if they won, the firm’s reputation with the administration would still be damaged. Clients told them they’d have to leave because of the perception that the firm was persona non grata with the government.
Eventually, the administration offered a way to resolve the situation. Working quickly with outside counsel, Paul Weiss negotiated a deal. The resolution had three main components: a commitment to diversity in recruiting and new matters, a promise to follow employment law while maintaining diversity, and a pledge to contribute $10 million annually for the next four years in pro bono work.
Karp stressed that the administration wasn’t telling the firm which cases to take, and that their pro bono work would continue in areas they’ve already been involved in, like supporting veterans, fighting anti-Semitism, and improving the justice system. The firm’s core values and commitment to clients would stay the same.
Karp also acknowledged that the decision to settle rather than fight in court sparked strong reactions both inside and outside the firm. He explained that the leadership had to prioritize the survival of the firm and the best interests of their clients, as well as protect the jobs of the staff. He recognized that many were uncomfortable with the resolution but stressed that they had acted under extreme pressure to secure a solution that would ensure the firm’s future.
He thanked the staff for their dedication and professionalism during the crisis and reassured them that Paul Weiss would continue to uphold its values. Karp closed by expressing his gratitude for the firm’s team and their resilience, saying they would come out of this stronger than ever.
Brad Karp Addresses Paul Weiss Team: Navigating Trump Deal and Client Relations
