Trump Versus Big Law: Which Side are You on, Boys, Which Side are You On?

N.Y. Times, Rivals Pounce on Paul Weiss, a Top Law Firm, After Trump’s Order: Fears that competitors could take its top rainmaking talent added to the law firm’s worries about a Trump executive order that targeted it

The Guardian, ‘A capitalistic cowardice’: big law firms being threatened by Trump face pressure to speak out

Letter to Paul Weiss from 140 Alumni

Politico, This Law Firm Stood Up to Government Intimidation—and Came Out on Top: A scrappy law firm decided to represent federal workers accused of disloyalty and survived to become a legal behemoth

Financial Times, Donald Trump widens war on legal industry with order targeting Jenner & Block

Yahoo News, Jenner & Block signals it will stand its ground after being targeted in Trump’s war on Big Law

Comments

Jenner & Block

It’s early days yet, but initial indications are that Jenner & Block is telling Mango Mussolini, “Go pound sand. See you in court.”

That’s consistent with my intuition—for what it may be worth—that in going after Jenner & Block, Trump has picked the wrong bunch of hombres to mess around with. 

Paul Weiss

The New York Times piece is, as the saying goes, deeply reported. In other words, as I would have expected, Paul Weiss is leaking like a sieve. 

I don’t want to be a Monday morning quarterback. I don’t want to make this situation into a medieval morality play. I don’t want to make the Paul Weiss imbroglio a simple story about courage versus cowardice. That said, several points occur.

One, despite all the leaking and all the reporting, I doubt that we’ll ever know, I doubt that the Paul Weiss partnership at large will ever know, what all the key players—the firm’s biggest clients and its biggest movers and shakers—said to one another, to bring about Mr. Karp’s surrender. 

Two, I think the Paul Weiss brand will never be the same. I think that nobody is going to put Humpty Dumpty together again.

Three, I think the situation with the firm is very fluid. A giant law firm looks solid and powerful and invincible from the outside. Until, one day, maybe it isn’t.

A law firm’s assets consist of people. People have legs. They can walk out the door. When enough of them walk out the door, no more law firm. Ask Dewey & LeBoeuf. Ask Howrey LLP. Ask Thacher Proffitt & Wood. And many others.

Third, and closely related: the associates as well as the partners of Paul Weiss are highly skilled and highly employable. Every mother’s daughter and son of them could get an excellent job somewhere else. Tomorrow. They could be sitting at their new desks this coming Monday. 

Fourth, while I’m not predicting the firm’s demise, I do think it will quickly become apparent that the firm has badly blotted its copybook and that its brand will never be the same. 

Who wants to join a law firm that has the reputation for being a bunch of wimps?

If you have major legal exposure and need to hire someone to represent you, who wants to hire a law firm perceived to consist of a bunch of doormats?

Increasingly, it looks like Trump versus everyone else. It looks like Trump stands for kakistrocracy, corruption, and chaos. 

It looks like a time for the legal community to ask, “Which side are you on, boys, which side are you on?”

Big Law: It’s Tuesday Afternoon, and the News is not Good

Washington Post, Law firms refuse to represent Trump opponents in the wake of his attacks: The result is an extraordinary threat to constitutional rights of due process and legal representation and a far weaker effort to challenge Trump’s actions in court than during his

Financial Times, Elite US law firms brace for more retaliation from Donald Trump: Capitulation of Paul Weiss strikes fear in American legal boardrooms

Donate to the ACLU

Further to L’Affaire Paul Weiss: Hang Together or Hang Separately

Deborah Perlstein (N.Y. Times), They Are America’s Most Powerful Law Firms. Their Silence Is Deafening.

Professor Perlstein is a distinguished constitutional scholar and a professor at Princeton. Her analysis parallels mine in important respects. 

I commend her full article to your attention; I won’t attempt to quote or paraphrase all of it. I also strongly commend to your attention Paul Weiss’s side of the story.

The Need for Collective Action

Prof. Perlstein writes,

[W]here many ordinary judges, law school deans and public interest attorneys of both political parties have found the courage to push back against Mr. Trump’s anti-constitutional histrionics, Big Law has largely stayed silent or worse.

These firms face a classic problem of collective action: Every individual firm has an incentive to keep quiet, but if everyone stays silent, all will lose. The problem is understandable. It is also solvable. It requires firms to find the courage to act together.

A Joint Amicus Brief Supporting Perkins Coie as a Means of Collective Action?

The idea has been much mooted, and a draft joint amicus brief has reportedly been prepared. But, on reflection, I’m strongly inclined to think that

  • Perkins Coie’s legal case is rock solid, and the other big law firms could tell the courts nothing—nothing—that the courts don’t already know, and that
  • a joint amicus brief would do nothing to change the odds of Perkins Coie wins or loses in the courts.

The latter question will come down to whether a majority of the Supreme Court choose to follow the law, or whether they choose to join the Trump ass kissers. 

Professor Perlstein evidently agrees that the reasons for collective action are largely symbolic. She says, 

[An] excuse circulating among Big Law lawyers is that speaking out won’t make a difference either way. Perkins Coie, after all, won its case without the broad support of its peer institutions.

That argument misses the point. Coming to Perkins Coie’s defense isn’t a decision about litigation strategy. It is about standing up to the administration’s intimidation. Signing on to joint briefs is not the only way to do that. Fellow firms and their clients could contribute to a joint defense fund, to help defray the costs of litigation and lost business for those on the receiving end of Mr. Trump’s score-settling wrath.

The point is for Big Law to do something — anything — as a group to demonstrate that they will continue to place their obligations to their clients and to the law above their fear of the bully. Solidarity can prove that point. And it can shore up the hope we all retain that the world’s strongest economy and oldest democracy will not both, simultaneously, fall.

The excuses made for Big Law’s silence are of course not limited to Big Law. The same collective action problem no doubt informs the discussions taking place inside the corner offices of the firms’ corporate clients, in the boardrooms of major media enterprises, at the gatherings of university trustees. The solutions to such problems are limited. But one tried and true approach remains clear: joining forces to fight back.

A Side Note on Law Firm Collective Action: The Bar Associations’ Statement

joint statement by the New York City Bar Association and many other bar associations calls for rejecting “any efforts to use the tremendous power of the government against members of the legal profession for performing their duties.”

Note that the leadership of the New York City Bar Association includes many lawyers with leading law firms.

Collective Action? Yes, But Bring in the Business Roundtable and the United States Chamber of Commerce Along with the Top 200 Law Firms

Like many ideas, collective action is a wonderful idea, provided it works. I don’t think it will work unless and until the American business elite comes to its senses and realizes that Trump is, in truth, a tyrannical madman. You are not going to jollify him. You are not going to mollify him with minor bribes, like paying a few million dollars in bogus “settlements” of bogus lawsuits he has brought. He is, instead, a mortal danger to your businesses. And he is a mortal danger to you. Yes, you can bribe him on Monday. But he won’t stay bought. On Wednesday, you’ll have to do it all over again. 

You have got to reach the point where you wake up and smell the coffee. Let the DOGE cuts wreak havoc on Trump voters. Let the tariffs wreak havoc on the economy. And then take collective action. 

Paul Weiss’s Side: Let’s Review the Bidding

Now that we have read Paul Weiss’s account of l’affaire Paul Weiss, let us step back and take stock. 

So, we’ve got a law firm with 200 partners, 1,000 associates, and annual revenue of $2.6 billion. We’ve got a president eager to violate every law on the books, to extort the law firm without mercy, and to bend it to his will. (Why? You may well ask. The answer is because the president is scared shitless that the courts are going to try to resist his tyrannical impulses—and he’s trying to frighten all the lawyers because he’s not sure he’ll succeed in frightening all the judges.)

You’ve got a law firm facing an existential threat to its existence. You’ve got a firm that tries to organize collective action to defend itself, but without success. You’ve got a firm that considers injunctive relief in the courts, thinks it could get that injunctive relief, but also thinks it would go belly up anyway.

In these circumstances, the head of the firm goes to meet Mango Mussolini, they talk for three hours or so, and they reach a deal. 

And what, pray tell, were the terms of that deal? Well, on one side, President Mussolini abandoned his threat to squash Paul Weiss like a bug. 

And what did Paul Weiss do in return? Find a slightly indirect way to share, maybe half a billion dollars with Orange Jesus? 

No, as its consideration, Paul Weiss gave bupkis.

In the chairman’s telling, 

First, we reiterated our commitment to viewpoint diversity, including in recruiting and in the intake of new matters. Second, while retaining our longstanding commitment to diversity in all of its forms, we agreed that we would follow the law with respect to our employment practices. And third, we agreed to commit $10 million per year over the next four years in pro bono time in three areas in which we are already doing significant work: assisting our Nation’s veterans, countering anti-Semitism, and promoting the fairness of the justice system.

Such a deal.

Such a deal. 

What is Wrong with this Picture?

From one perspective, Paul Weiss made out like bandits. But what’s the problem? What is wrong this this picture?

I assume that what Trump really wanted—and what he certainly got—were a lot of headlines along the lines of “Great Big Bad Law Firm Bends Knee to Trump and Kisses His Fat Ass.”

And certainly, for a long, long time to come, Paul Weiss will be known as the first big law firm to knuckle under. 

Remember that a key aspect of competition for a firm like Paul Weiss is competition to recruit able you associates—so that you can sell their time at retail for $1,000 or more per hour.

If there are any brilliant law grads yearning for careers as Trump’s towel boys, I am sure they will relish the golden opportunity to come work for Paul Weiss.

As to the brilliant law grads who still have some self-respect, not so much, or so I would think.

Paul Weiss’s Tale: Brad Karp’s Email of Sunday, March 23

Mr. Karp writes,

From: Karp, Brad S
Sent: Sunday, March 23, 2025 2:51 PM
To: GRP-ALL-WW
Subject: Statement to the PW Community

Dear Members of the Paul, Weiss Community,

I wanted to take this opportunity to speak with all of you more fully about the events of recent days. I know that this has been a profoundly unsettling time for all of you. Information gaps have been filled with speculation, concern, and misinformation, and I wanted to take this opportunity to address your concerns directly. Thank you for taking the time to listen.

Late in the evening of Friday, March 14, the President issued an executive order targeting our firm. Since then, we have been facing an unprecedented threat to our firm unlike anything since Samuel Weiss first hung out a shingle in downtown Manhattan on April 1, 1875—almost exactly 150 years ago.

Only several days ago, our firm faced an existential crisis. The executive order could easily have destroyed our firm. It brought the full weight of the government down on our firm, our people, and our clients. In particular, it threatened our clients with the loss of their government contracts, and the loss of access to the government, if they continued to use the firm as their lawyers. And in an obvious effort to target all of you as well as the firm, it raised the specter that the government would not hire our employees.

We were hopeful that the legal industry would rally to our side, even though it had not done so in response to executive orders targeting other firms. We had tried to persuade other firms to come out in public support of Covington and Perkins Coie. And we waited for firms to support us in the wake of the President’s executive order targeting Paul, Weiss. Disappointingly, far from support, we learned that certain other firms were seeking to exploit our vulnerabilities by aggressively soliciting our clients and recruiting our attorneys.

We initially prepared to challenge the executive order in court, and a team of Paul, Weiss attorneys prepared a lawsuit in the finest traditions of the firm. But it became clear that, even if we were successful in initially enjoining the executive order in litigation, it would not solve the fundamental problem, which was that clients perceived our firm as being persona non grata with the Administration. We could prevent the executive order from taking effect, but we couldn’t erase it. Clients had told us that they were not going to be able to stay with us, even though they wanted to. It was very likely that our firm would not be able to survive a protracted dispute with the Administration.

At the same time, we learned that the Administration might be willing to reach a resolution with us. So, working with our outside counsel, we did exactly what we advise our clients to do in “bet the company” litigation every day: we talked with the Administration to see if we could achieve a lasting settlement that would not require us to compromise our core values and fundamental principles.

In a matter of days, we were able to negotiate such a resolution. That resolution, the terms of which I shared with all of you on Thursday evening, had three primary components. First, we reiterated our commitment to viewpoint diversity, including in recruiting and in the intake of new matters. Second, while retaining our longstanding commitment to diversity in all of its forms, we agreed that we would follow the law with respect to our employment practices. And third, we agreed to commit $10 million per year over the next four years in pro bono time in three areas in which we are already doing significant work: assisting our Nation’s veterans, countering anti-Semitism, and promoting the fairness of the justice system.

To be clear, and to clarify misinformation perpetuated from various media sources, the Administration is not dictating what matters we take on, approving our matters, or anything like that. We obviously would not, and could not ethically, have agreed to that. Instead, we have agreed to commit substantial pro bono resources, in addition to the $130+ million we already commit annually, in areas of shared interest. We will continue all of the existing pro bono work we already do and will continue in our longstanding role as a leader of the private bar in the pro bono and public interest sphere.

This existential crisis required the leadership of our law firm to make incredibly difficult decisions under extraordinary time pressure. In making those decisions, we were guided by two fundamental principles. First and foremost, we were guided by our obligation to protect our clients’ interests. As I mentioned earlier, we concluded that even a victory in litigation would not be sufficient to do so, because our firm would still be perceived as persona non grata with the Administration. We simply could not practice law in the Paul, Weiss way if we were still subject to the executive order. This resolution was unambiguously in our clients’ best interests.

Equally important, we were guided by our fiduciary duty to all of you—by our obligation, as stewards of the firm, to protect the livelihoods of the 2,500 lawyers and non-legal professionals who work at Paul, Weiss. That consideration—the need to ensure, above all, that our firm would survive—weighed extremely heavily on all of us, and especially on me, as the leader of the firm.

In today’s political environment, it is unsurprising that the announcement that we have negotiated a resolution with the Administration, rather than fighting it in court, has generated intense feelings across the firm and indeed across the entire legal and broader community. As is often the case in situations like this, the extensive media coverage and social media commentary surrounding recent events has taken on a life of its own, with its own factual narrative and its own momentum. The coverage has been decidedly unhelpful, piecemeal, and incorrect in many fundamental respects. But it is not particularly constructive for any of us involved to debate factual discrepancies. Instead, what is most important is to look to the future. In this regard, I want to provide some clarity and perspective as we move forward.

First, and most important, we have quickly solved a seemingly intractable problem and removed a cloud of uncertainty that was hanging over our law firm. Our clients have been overwhelmingly supportive, expressing relief at the resolution of this situation and the fact that, as the President publicly has acknowledged, our firm now has an engaged and constructive relationship with this Administration. Thousands of clients have reached out directly to express their continued confidence in Paul, Weiss and their appreciation for our unwavering dedication to their matters throughout this period and our ability to quickly secure a resolution that will redound to their benefit. Even those who have expressed personal disappointment that we didn’t fight the Administration have said they fully appreciate what was at stake for our law firm and respect our decision.

Second, the resolution we reached with the Administration will have no effect on our work and our shared culture and values. The core of who we are and what we stand for is and will remain unchanged. To that end, we will continue our proud, century-long legacy of courageously standing up for fundamental rights and liberties, for fairness in the justice system, and for our society’s most vulnerable individuals. That commitment is woven into our DNA; it was and will never be subject to negotiation or compromise.

Third, we will continue to support each of you in your career journey, providing you with the world’s best training and opportunities to advance and thrive in your field. Above all, we will continue to be a place where we enjoy working together; where we respect each other; where we can practice law at the highest levels of excellence.

I know many of you are uncomfortable that we entered into any sort of resolution at all. That is completely understandable. There was no right answer to the predicament in which we found ourselves. All of us have opinions about what is going on right now in America. This is an incredibly consequential moment for our country. It is very easy for commentators to judge our actions from the sidelines. But no one in the wider world can appreciate how stressful it is to confront an executive order like this until one is directed at you.

I want to close by expressing my profound gratitude to each of you. Since March 14, we have seen Paul, Weiss at its very best, supporting each other in the face of an unprecedented threat. You have demonstrated, once again, the extraordinary caliber of our Paul, Weiss community. Your professionalism, your dedication to our clients, your support for one another, and your commitment to our firm have been nothing short of remarkable under these impossibly challenging circumstances. I am confident that, just as we have in past crises, we will get through this together and become even stronger and more resilient as a community.

To that end, my door is open to you as we navigate next steps, as are the doors of firm leadership. This has been a deeply painful experience for me and for the other leaders of the firm. I know it has been a profoundly difficult period for many of you. Since March 14, we have been weathering a terrible storm. But I know that we will get through this storm, and that we will continue to uphold the proud traditions that have defined Paul, Weiss for the last 150 years. I am so thankful for each and every one of you, and for all that you do every day for this very special place and for our broader communities.

Brad

Brad S. Karp | Chairman
Paul, Weiss, Rifkind, Wharton & Garrison LLP

Sound Familiar?

“Such has been the patient sufferance of these Colonies; and such is now the necessity which constrains them to alter their former Systems of Government. The history of the present King of Great Britain is a history of repeated injuries and usurpations, all having in direct object the establishment of an absolute Tyranny over these States. To prove this, let Facts be submitted to a candid world.

“He has refused his Assent to Laws, the most wholesome and necessary for the public good.

“He has forbidden his Governors to pass Laws of immediate and pressing importance, unless suspended in their operation till his Assent should be obtained; and when so suspended, he has utterly neglected to attend to them.

“He has refused to pass other Laws for the accommodation of large districts of people, unless those people would relinquish the right of Representation in the Legislature, a right inestimable to them and formidable to tyrants only.

“He has called together legislative bodies at places unusual, uncomfortable, and distant from the depository of their Public Records, for the sole purpose of fatiguing them into compliance with his measures.

“He has dissolved Representative Houses repeatedly, for opposing with manly firmness of his invasions on the rights of the people.

“He has refused for a long time, after such dissolutions, to cause others to be elected, whereby the Legislative Powers, incapable of Annihilation, have returned to the People at large for their exercise; the State remaining in the meantime exposed to all the dangers of invasion from without, and convulsions within.

“He has endeavoured to prevent the population of these States; for that purpose obstructing the Laws for Naturalization of Foreigners; refusing to pass others to encourage their migrations hither, and raising the conditions of new Appropriations of Lands.

“He has obstructed the Administration of Justice by refusing his Assent to Laws for establishing Judiciary Powers.

“He has made Judges dependent on his Will alone for the tenure of their offices, and the amount and payment of their salaries.

“He has erected a multitude of New Offices, and sent hither swarms of Officers to harass our people and eat out their substance.

“He has kept among us, in times of peace, Standing Armies without the Consent of our legislatures.

“He has affected to render the Military independent of and superior to the Civil Power.

“He has combined with others to subject us to a jurisdiction foreign to our constitution, and unacknowledged by our laws; giving his Assent to their Acts of pretended Legislation:

“For quartering large bodies of armed troops among us:

“For protecting them, by a mock Trial from punishment for any Murders which they should commit on the Inhabitants of these States:

“For cutting off our Trade with all parts of the world:

“For imposing Taxes on us without our Consent:

“For depriving us in many cases, of the benefit of Trial by Jury:

“For transporting us beyond Seas to be tried for pretended offences:

“For abolishing the free System of English Laws in a neighbouring Province, establishing therein an Arbitrary government, and enlarging its Boundaries so as to render it at once an example and fit instrument for introducing the same absolute rule into these Colonies:

“For taking away our Charters, abolishing our most valuable Laws and altering fundamentally the Forms of our Governments:

“For suspending our own Legislatures, and declaring themselves invested with power to legislate for us in all cases whatsoever.

“He has abdicated Government here, by declaring us out of his Protection and waging Waragainst us.

“He has plundered our seas, ravaged our coasts, burnt our towns, and destroyed the lives of our people.

“He is at this time transporting large Armies of foreign Mercenaries to compleat the works of death, desolation, and tyranny, already begun with circumstances of Cruelty & Perfidy scarcely paralleled in the most barbarous ages, and totally unworthy the Head of a civilized nation.

“He has constrained our fellow Citizens taken Captive on the high Seas to bear Arms against their Country, to become the executioners of their friends and Brethren, or to fall themselves by their Hands.

“He has excited domestic insurrections amongst us, and has endeavoured to bring on the inhabitants of our frontiers, the merciless Indian Savages whose known rule of warfare, is an undistinguished destruction of all ages, sexes and conditions.

“In every stage of these Oppressions We have Petitioned for Redress in the most humble terms: Our repeated Petitions have been answered only by repeated injury. A Prince, whose character is thus marked by every act which may define a Tyrant, is unfit to be the ruler of a free people.”

My Bad: It’s $40 Million in Pro Bono Legal Services Over Four Years, Not One Year

There is an error in the immediately preceding post. Contrary to my previous understanding, Paul Weiss did not promise $40 million in Trump-approved pro bono work over one year. Instead, it promised $10 million each over four years.

Even less chicken feed. 

The Financial Times apparently got its hands on the supposedly confidential email to Paul Weiss employees spelling out the alleged rationale for the Trump deal. Based on that, the paper reports as follows:

The head of Paul Weiss defended his decision to strike a deal to end a dispute with US President Donald Trump on Sunday, arguing that the survival of the elite law firm was at risk.

Brad Karp, the chair of Paul Weiss, wrote in a note to colleagues that Trump’s executive order targeting the firm posed an existential threat and left him no choice but to negotiate.

“Only several days ago, our firm faced an existential crisis,” Karp wrote in the email on Sunday, which was circulated on social media. “The executive order could easily have destroyed our firm. It brought the full weight of the government down on our firm, our people and our clients.”

Paul Weiss is one of the most high-profile law firms to come under attack from the White House in recent weeks as Trump punishes perceived enemies. Other law firms including Perkins Coie and Covington & Burling have also been targeted through executive orders, with the former still fighting the administration in court. 

About a dozen more are likely to be the subject of new executive orders, according to a White House official.

Without the deal, Karp said it was “very likely” the firm would not have been “able to survive” a drawn-out dispute with the White House. He also criticised rival law firms’ behaviour since the executive order, arguing that some of them had seen the fight as an opportunity to target Paul Weiss clients.

Paul Weiss initially prepared a lawsuit to fight the executive order in court, but decided to negotiate with Trump after it became clear the directive threatened to unravel the firm by scaring off existing clients and new business, Karp said.

The deal struck between the White House and Paul Weiss last week commits the law firm to providing $10mn worth of legal services on a pro bono basis annually over the next four years. That legal counsel will focus on issues important to the administration, including supporting veterans and fighting antisemitism.

In the email to colleagues, Karp denied that the administration was controlling which matters the law firm took on, insisting they were areas of “shared interest”.

In the initial executive order this month, Trump took issue with former Paul Weiss partner Mark Pomerantz, who in 2021 joined the Manhattan district attorney’s office where he investigated Trump and his businesses.

On Friday, Trump issued another statement outlining the agreement with Paul Weiss, writing that the law firm had “indicated that it will engage in a remarkable change of course”.

Karp, who was a prominent supporter of and fundraiser for Kamala Harris’s presidential campaign, added that his decision to negotiate with the White House was driven in part by a fiduciary duty to the firm’s employees.

“There was no right answer to the predicament in which we found ourselves,” he wrote. 

“All of us have opinions about what is going on right now in America . . . But no one in the wider world can appreciate how stressful it is to confront an executive order like this until one is directed at you.”

A Brief Comment on the Article—and on Mr. Karp’s “Existential Threat”

The nature and extent of the “existential threat” would depend on which Paul Weiss clients threatened to bale, and how much of its billings were coming from the faint-hearted clients. 

Barring further leaks—and there may well be further leaks—there’s no way to know for sure. But among the law firm’s biggest clients are ExxonMobil, Amazon, and Google. 

Just saying. 

L’Affaire Paul Weiss: Pollyanna Speaks

My daughter Pollyanna called this morning to cheer me up. She made some good points. Here are five of them. 

First, collective action by Paul Weiss and other large corporate law firms is not necessary to save the rule of law, nor is it sufficient to save the rule of law in the United States.

It isn’t necessary because the issues are clear as day, and the deficiencies in Trump’s position are well known to the federal judiciary. (For further information see the opinions and other filings in Perkins Coie v. Dep’t of Justice as well as a variety of background materials available on the Perkins Coie website.

Nor is it sufficient. Survival of the rule of law requires, first of all, resolute action by the federal judiciary generally and by at least five Supreme Court justices in particular, and then, secondly, widespread support on the public’s part for resistance to tyranny. That alone will suffice.

Second, to the extent that specialized legal learning about the constitutional case law is needed to defend the rule of law, the big law firms largely do not have that expertise. They know a lot about securities law, environmental law, tax law, antitrust law, and intellectual property law.

Constitutional law, not so much. 

Third, while it’s regrettable that Paul Weiss temporized, that’s not at all surprising. That’s what generally happens when someone is faced with a new and unexpected situation, with strong incentives pulling in wildly different directions. 

But, fourth, the situation remains fluid. 

Paul Weiss and its peers are in the business of hiring junior lawyers with sterling credentials—Harvard Law Review and the like—paying them very large salaries, and parceling out their time, hour by hour, at $1,000 or more, for services rendered to gigantic corporations. 

Apparently, a good portion of corporate America is still sleep walking, looking to the Trump administration for those sweet, sweet tax cuts and deregulatory policies, and still imagining that his talk about tariffs and invading Canada, etc., is all bullshit. 

Paul Weiss as we know it cannot exist without a lot of corporate clients paying it $2.6 billion a year.

On the other hand, Paul Weiss as we know it cannot exist without a continuing supply of very able young lawyers. A lot of them are very upset indeed. And, I would bet good money, a fair number of the partners are not happy, either. 

Fifth and finally, if you look closely at what Paul Weiss actually “agreed” to do, it looks like Trump did not get very much apart from headlines along the lines of “Big Law Firm Capitulates.”

The firm “agreed” to supply $40 million in legal services—not money, but the “value” of the legal services—to pro bono clients as mutually agreed between Trump and the firm. $40 million is 1/65 of the firm’s annual earnings. And the firm is “paying,” not in cash, but in services. 

Back of the envelope calculation: If the contributed pro bono services are “worth” on average, say, $1300 per hour, then the $40 million figure works out to 30,769 hours per year. If Paul Weiss’s 1200 lawyers bill on average 2,000 hours/year to their paying clients—and that may be low—then, collectively, they’re billing 2.4 million hours. The promised Trump pro bono 30,769 hours represent 1/78 of the estimated total current billable hours.

Chicken feed. 

The firm also “agreed” not to turn away business based on the prospective client’s political affiliation. Fine. They probably shouldn’t do that anyway.

And the firm seems to have discussed with Trump having some sort of a look-see about its employment practices. 

I just looked. The firm’s “inclusion page” is still up.

In short, the firm’s “obligations” seem trivial, ambiguous, and, to a significant degree, illusory. I’ll bet Mr. Karp of Paul Weiss walked out of his meeting last week with Trump thinking that he had just yanked the wool over Orange Mussolini’s eyes, good and proper.

This week, though, things probably look more complicated. 

L’Affaire Paul Weiss: The Lay of the Land, as of Sunday Evening

The Wall Street Journal sums it up:

President Trump took a broad swing at the [legal] industry Friday night after three earlier orders punishing Paul Weiss and two other firms. In a presidential memorandum, he broadly accused law firms of abusing the legal system to challenge his policies, stymie immigration enforcement and pursue partisan causes. He instructed Attorney General Pam Bondi to seek sanctions in court against lawyers and firms who engage in “frivolous, unreasonable and vexatious litigation.”

Trump also directed Bondi to launch a broad review of conduct by lawyers in litigation against the government over the last eight years to determine whether additional firms should face the same type of punishments he has issued already, most notably the termination of government contracts held by firm clients.

Administration officials already have built a list of more than a dozen law firms they might target with executive orders, and Trump has expressed eagerness in signing more of them, according to people familiar with the planning.

Trump’s latest pronouncement landed particularly hard in an industry that was still processing Paul Weiss’s decision to cut a deal with the White House rather than challenge the administration in court. Trump on Thursday rescinded his order against the firm after it agreed to provide $40 million in pro bono legal services to support the administration’s initiatives, such as assisting veterans and fighting antisemitism.

Several law-firm chairs and senior partners said they were working to calm clients and employees, with younger associates increasingly calling for lawyers to take a stand against Trump. Some firm leaders said their clients—and their fellow partners—were split on whether they would rather their firms take a deal if targeted or fight it out in court. A number of firms were trying to draw distinctions to clients between their work and the activities of the firms that Trump has punished already. Corporate lawyers with a connection to the Trump administration have been tapped to open communication lines with the White House, and several firms were seeking to engage lobbyists, people familiar with the discussions said.

Paul Weiss chairman Brad Karp spoke with other firms’ leaders in recent days and told them he found the deal with the White House distasteful but said he had little choice but to take it, according to people familiar with those conversations.

“Clients had told us that they were not going to be able to stay with us, even though they wanted to,” Karp told firm lawyers and employees in an internal email Sunday viewed by the Journal. “It was very likely that our firm would not be able to survive a protracted dispute with the Administration.”

One firm, Perkins Coie, which was hit with a Trump executive order on March 6, continued to lead the fight against the administration over the weekend.

“Now more than ever law firms and lawyers across the political spectrum have to stand up for our timeless values,” David Perez, a Perkins Coie partner said on LinkedIn. The Paul Weiss agreement, he said, emboldened Trump “to ratchet up his attack on one of the strongest checks on his power: lawyers and the rule of law.” 

Perkins Coie sued the administration on March 11 and won a restraining order against the administration, with a judge saying the executive order was likely unconstitutional. But while the firm is winning in court, it is struggling to manage the fallout behind the scenes.

Perkins is losing clients who fear Trump’s wrath, and a number of top companies that work with the firm have called other firms about representation, people familiar with the matter said. One of the people said some competing lawyers have made sympathetic calls to Perkins to say they aren’t trying to steal the firm’s clients and would step aside if those clients wanted to return to Perkins after the situation calmed down. 

An effort across a number of firms to file a court brief in support of Perkins continues to flounder because not enough firms are willing to sign it, for fear of antagonizing the administration, people familiar with those negotiations said.   

While many industry leaders have been reluctant to speak publicly against the administration, that began to shift after Trump’s Friday memorandum.

San Francisco-based Keker, Van Nest & Peters urged law firm leaders “to resist the administration’s erosion of the rule of law.” 

“Our liberties depend on lawyers’ willingness to represent unpopular people and causes, including in matters adverse to the federal government,” the firm said. “An attack on lawyers who perform this work is inexcusable and despicable.” 

Trump’s campaign in part has been focused on paying back opponents. Perkins, for example, worked with Hillary Clinton’s presidential campaign and an opposition-research firm that compiled a discredited dossier against Trump. Covington & Burling, another firm hit with an executive order, provided legal counsel to former special counsel Jack Smith. And Trump cited Paul Weiss’s previous ties to Mark Pomerantz, who also worked on the Manhattan district attorney’s investigation into Trump and his business.

But the president’s Friday memorandum also signaled Trump’s broader frustrations with lawyers challenging his initiatives in court—and winning. His administration is currently locked in a showdown with a Washington federal judge over Trump’s invocation of wartime powers to deport alleged Venezuelan gang members. A number of the president’s other initiatives have been put on hold by the courts, including the termination of thousands of government employees and limits on birthright citizenship and transgender rights. 

Public-interest legal organizations and smaller firms have been leading many of those cases.

Sid Davidoff, a New York lawyer who was famously on President Richard Nixon’s “enemies list,” said industry leaders were caving to pressure.

“You have some top notch firms, significant legal minds, and they’re just being whipped,” Davidoff said. “I guess they are trying to protect their bottom line, but it’s really upsetting.”

Paul Weiss Redux—Questions to Ponder

My Answers Will Come in later Posts. Meanwhile, Please Ponder The Questions. 

Washington Post, Law firm Paul Weiss agrees to deal with Trump, prompting criticism: The firm will provide $40 million in pro bono legal services to support Trump’s agenda after the president threatened to rescind some government contracts with the firm and its clients.

N.Y. Times, How a Major Democratic Law Firm Ended Up Bowing to Trump: Paul Weiss was targeted by an executive order from President Trump. Its chairman, who had worked against Mr. Trump during his first term, then went to the Oval Office and cut a deal.

A deeply researched article on the goings on at Paul Weiss, based on lots of things, including the thoughts of the firm’s managing partner, who tries to tell his side of the story.

N.Y. Times, Paul Weiss Deal With Trump Faces Backlash From Legal Profession: Paul Weiss, a law firm targeted by President Trump, reached a deal to settle a conflict. Many in the legal field are condemning the agreement. 

Wall Street Journal, Why Law Firm Paul Weiss Pleaded Its Case With Trump, and Not With a Court: Firm’s decision to cut deal with Trump shocked legal industry bracing for more executive orders.

Open Letter on the Rule of Law from Big Law Firm Associates

Washington Post, New Trump memo seen as threat to lawyers, attempt to scare off lawsuits

Questions

Here are some questions. (As I said, I’ll give my personal answers in later posts; others may have different answers than mine.)

Is the “agreement” between Trump and Paul Weiss legally enforceable—and does it even purport to be legally enforceable?

What did Paul Weiss actually “agree” to do?

What lies did Trump tell about the “agreement”?

In addition to the points in the agreement, what points are missing? In other words, what hound dogs are not barking in the night?

When the managing partner of Paul Weiss walked out of his meeting with Mango Mussolini, did the said managing partner think, “Man o man, did I just snooker Trump”?

What did Trump actually want from the “agreement,” and did he actually get the thing that he actually wanted?

Did Mr. Karp, Paul Weiss’s managing partner, overlook the forest for the trees?

Big law firms like Paul Weiss compete in three important dimensions. (1) They compete for the business of rich clients with legal issues. (2) They compete for associates (salaried junior lawyers); central to their business model is hiring able associates, paying them a lot of money—i.e., buying their time at wholesale—and then marking up their time to sell at retail, at exorbitant hourly rates. (3) They compete to steal partners with good “books of business” from other firms, and they strive to keep the partners they have from walking out the door. How will the Trump “agreement” impact Paul Weiss’s ability to engage effectively in these three modes of competition?

Paul Weiss probably expects to hire several dozen new associates from the graduating law class of 2025. How will the Trump “agreement” affect the thinking of those potential new hires? How will it affect their incentives to join—or not to join—Paul Weiss? How many of the 2025 law grads who have Paul Weiss offers are actually going to show up at the firm this summer? How many will decide to look for work elsewhere?

Would it be in the collective self-interest of the big firms to take the “Trump factor” out of their competition for corporate business, their competition for able associates, and their competition for partners?

In the next two weeks or so, is Paul Weiss likely to turn around and modify its position?

If a lot of the big firms decide, on reflection, that they would collectively be better off to stand together against Trump, what steps might they take to implement that decision?

In the next two weeks or so, is it likely that many of the big law firms will come to the epiphany that they need—in their own stone cold self-interest—to take collective action to support the rule of law?

Is Perkins Coie likely to win or lose in its lawsuit against Trump—and would one or more amicus briefs likely affect the outcome substantially?

President Lizard Brain seems to think he can head off the lawsuits against him—there are now well over a hundred, and he’s losing most of them—by punishing the lawyers who represent plaintiffs with legal positions adverse to him. But is there in fact there a constitutional right to sue? And does a litigant have a legal right to counsel of their choice? And is it lawful for the government to punish someone for exercising a constitutional right?

Is collective action against Trump by the major law firms a matter of life and death for democracy and the rule of law, or is it more like Kabuki theater?

If rule of law is ultimately to be preserved, what three factors will achieve the preservation?

And apart from that, how did you enjoy the play, Mrs. Lincoln?