President Donald Trump has officially rescinded an executive order targeting powerhouse law firm Paul, Weiss, Rifkind, Wharton & Garrison (Paul Weiss)—but not without extracting significant concessions.
The original order, issued on March 14, 2025, was aimed at revoking security clearances for Paul Weiss attorneys and threatening their federal contracts, citing concerns over the firm’s DEI (diversity, equity, and inclusion) practices and its past involvement with former partner Mark Pomerantz, who participated in investigations into Trump’s finances.
The Deal That Changed Everything
Just days after the executive order was signed, Paul Weiss struck a private agreement with the Trump administration, brokered through talks between firm chairman Brad Karp and the White House. In exchange for lifting the order, Paul Weiss agreed to:
- Provide $40 million in pro bono legal services supporting Trump administration initiatives, including veterans’ issues and combating antisemitism.
- Revise its hiring policies, reportedly removing DEI considerations in favor of a “merit-based” system.
- Publicly acknowledge alleged misconduct by former partner Mark Pomerantz, distancing the firm from his role in previous Trump-related probes.
Fallout Before the Reversal
The executive order had an immediate chilling effect on Paul Weiss’s operations:
- Clients began fleeing, including high-profile individuals like former exec Steven Schwartz, who dropped the firm due to the reputational and operational risks.
- The loss of security clearances posed a serious problem for ongoing legal work requiring access to sensitive government documents.
- Industry insiders warned this could set a dangerous precedent, politicizing legal practice and punishing firms for representing certain clients or holding internal hiring philosophies.
A Broader Crackdown on Big Law?
Paul Weiss isn’t the only firm under scrutiny. The Trump administration has reportedly targeted other elite law firms—including Perkins Coie and Covington & Burling—with similar executive orders tied to DEI policies and prior political affiliations.
The move has triggered legal challenges and constitutional questions, with critics arguing it infringes on free association, equal opportunity practices, and attorney-client independence.
What’s Next for Paul Weiss?
With the executive order now officially rescinded, Paul Weiss is attempting damage control, but the firm’s reputation has taken a hit from both sides:
- Progressive legal circles are blasting the firm for abandoning DEI principles.
- Conservative backers of the administration see it as a victory for merit-based hiring and accountability.
The long-term impact on the firm’s client base, recruitment, and internal culture remains to be seen.
Bottom Line
The clash between Paul Weiss and the Trump administration is more than just a legal squabble—it’s a flashpoint in a broader national debate about DEI, political loyalty, and the independence of America’s legal institutions.
In making this deal, Paul Weiss may have protected its bottom line—but it now faces a storm of scrutiny over what it gave up to do so.