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Art of the deal: Trump reverses ban on Paul, Weiss in exchange for $40m

Roll on Friday

Donald Trump has made - and withdrawn - an executive order against Paul, Weiss which aimed to prevent the US firm from doing any work with the federal government.

The US President made a similar order against Perkins Coie, and signed off on a presidential action against certain lawyers at Covington & Burling.

On Thursday the changeable Prez withdrew his order against Paul, Weiss after the firm struck a deal with him.

Taking to his social media site TruthSocial, Trump announced that in return for dropping his order, Paul, Weiss had agreed to “not adopt, use, or pursue any DEI policies”, to engage experts “to conduct a comprehensive audit of all of its employment practices”, and to put $40 million during his term towards pro bono legal services to benefit veterans, increase fairness in the justice system, and combat antisemitism.

Kissing the ring, Paul, Weiss chair Brad Karp said, “We are gratified that the President has agreed to withdraw the Executive Order concerning Paul, Weiss. We look forward to an engaged and constructive relationship with the President and his Administration.”

Trump’s order  against Perkins Coie  stated that “the dishonest and dangerous activity” of the firm “has affected this country for decades” noting that it represented “failed Presidential candidate Hillary Clinton” in 2016. The order claims that Perkins Coie “hired Fusion GPS, which then manufactured a false 'dossier' designed to steal an election.” 

“This egregious activity is part of a pattern. Perkins Coie has worked with activist donors including George Soros to judicially overturn popular, necessary, and democratically enacted election laws, including those requiring voter identification,” stated Trump’s order.

In the order  against Paul, Weiss, Trump stated that “action is necessary to end Government sponsorship of harmful activity” by the firm, and that his “administration will no longer support taxpayer funds sponsoring such harm.”

The order referred to a Paul, Weiss partner who “brought a pro bono suit against individuals alleged to have participated in the events that occurred at or near the United States Capitol on January 6, 2021.”

It also referred to the firm hiring an “unethical attorney…who had previously left Paul, Weiss to join the Manhattan District Attorney’s office solely to manufacture a prosecution against me.” 

Both orders accused the firms of discrimination against their own “employees on the basis of race and other categories prohibited by civil rights laws” and of making “decisions around ‘targets’ based on race and sex.”

The US administration has also targeted twenty law firms  demanding that they prove  their diversity policies don’t breach discrimination legislation.

Trump also fired off a presidential action  against Covington & Burling  which sought to suspend security clearances for certain lawyers and staff who had provided legal assistance to former special counsel Jack Smith (who led the federal prosecution of Trump over the January 6 riots), and evaluate government contracts with the firm.

US associates penned  a letter  deploring Trump's actions: “We call on our employers, large American law firms, to defend their colleagues and the legal profession by condemning this rapid purge of 'partisan actors,' a group that seems to be synonymous with those the President feels have wronged him,” states the letter. So far it has received over 600 signatories.

One of its authors, Skadden associate Rachel Cohen, acting in a personal capacity, said she helped draft the letter as “we’ve tried silence, and it doesn’t seem to be working.”

The Law Society of England and Wales is among a group of  international legal organisations  to sign a joint-statement criticising the US government, which says: “Lawyers must be able to represent their clients without fear of retaliation and must not be punished because of who their clients are”. It also urges the US government to rescind its executive orders and “halt all acts of intimidation, hindrance or harassment of legal professionals.”

Some clients want the firms they instruct to speak up. One chief legal officer  reportedly said: “If there ends up being a split where some firms are vocal and others aren’t, I will absolutely use that in my purchasing or vendor decisions. I will want a firm that is aligned with my values”. However, perhaps notably, that GC and their company chose to remain anonymous.

Perkins Coie has gone on the offensive. Its Managing Partner  said  the order "unlawfully targets Perkins Coie" and "violates core constitutional rights, including the rights to free speech and due process".

Calling it "an unlawful attack on the freedom of all Americans to select counsel of their choice without fear of retribution or punishment from the government", the firm said it had filed legal action.

Paul, Weiss has found another solution: grit your teeth and bend the knee. 

 

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