By Ioana Monica Dorhoi, PhD
March 26, 2025
The legal world was rocked by a stunning turn of events as President Trump issued an executive order targeting the prestigious law firm Paul, Weiss, Rifkind, Wharton & Garrison. The order, which severely restricted Paul Weiss’s ability to represent its clients and conduct government-related business, sent shockwaves through the firm and its competitors. What followed was a high-stakes struggle for survival, a calculated political deal, and an intense battle for legal talent.
A Targeted Attack on Paul Weiss
Paul Weiss has long been known for its deep ties to Democratic causes and its history of litigating against Trump-era policies. The executive order not only barred the firm from dealing with the government but also threatened the loss of government contracts for companies associated with Paul Weiss. The move was widely condemned as an attack on the legal profession’s independence, with lawyers across the country warning that such executive overreach could set a dangerous precedent.
For rival law firms, however, the chaos at Paul Weiss was an opportunity. Within days of the executive order’s announcement, competitors—including Sullivan & Cromwell, Kirkland & Ellis, and Wachtell, Lipton, Rosen & Katz—began reaching out to Paul Weiss’s top lawyers, offering them lucrative exit opportunities. These firms assured Paul Weiss’s rainmakers that they sympathized with their predicament but stood ready to provide them a way out of the turmoil.
A Law Firm in Crisis
At the heart of Paul Weiss’s internal turmoil was a fear of mass defections. The firm’s corporate practice, the main driver of its revenue, was particularly vulnerable. Partners worried that if high-profile attorneys like Scott Barshay—head of the corporate department—chose to leave, a wave of exits would follow. Losing top lawyers would not only damage the firm’s reputation but also threaten its financial stability, as elite attorneys often take their clients with them when they move.
Adding to the pressure, another embattled firm, Perkins Coie, took a different approach—choosing to fight the executive order in court. Initially, Paul Weiss considered forming a united front with other major firms to challenge the order. But as the fear of an exodus grew, so did the urgency to find a resolution.
Striking a Deal with Trump
Faced with the prospect of losing its top talent and clients, Paul Weiss’s leadership opted for a controversial solution: negotiating directly with Trump. On March 18, firm chairman Brad Karp met with the president and his advisers, including longtime Trump ally Robert Giuffra, co-chair of Sullivan & Cromwell. The meeting, which started with casual conversation about golf, quickly turned into a high-stakes negotiation over the firm’s future.
The result was a deal that required Paul Weiss to provide $40 million in pro bono legal work for causes aligned with the White House. In exchange, Trump lifted the executive order. The agreement allowed Paul Weiss to regain its footing but came at a significant reputational cost. Many viewed the deal as a capitulation rather than a victory.
Backlash and Fallout
The fallout was swift. Paul Weiss faced a wave of internal dissent and public condemnation. A group of 140 former Paul Weiss attorneys signed an open letter denouncing the firm’s decision, calling it “a permanent stain on the face of a great firm.” Critics argued that by conceding to Trump’s demands, Paul Weiss had set a precedent that could embolden future administrations to target law firms based on political leanings.
Despite the outrage, the firm’s leadership defended the decision as necessary for its survival. “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,” Karp wrote in an internal email.
Surprisingly, Paul Weiss did not suffer an immediate loss of partners or major clients. Even Steven Schwartz, a high-profile client facing federal bribery charges, reconsidered switching firms after the executive order was lifted. For now, the firm has stabilized, but its long-term reputation remains uncertain.
A Dangerous Precedent?
Paul Weiss’s ordeal may not be an isolated event. Just days after lifting the restrictions on Paul Weiss, Trump issued a similar executive order against Jenner & Block, a firm that had employed a lawyer involved in the Mueller investigation. This latest move suggests that the battle over the politicization of law firms is far from over.
As the legal industry grapples with the implications of these executive orders, Paul Weiss’s experience serves as a cautionary tale. The firm may have successfully navigated a political minefield, but its standing in the legal community—and in the eyes of history—remains in question.
Ioana Dorhoi, PhD – Government Relations and Public Affairs 