Microsoft isn’t the only company switching law firms lately amid President Trump’s ongoing battle with Big Law. Some in-house lawyers are quietly pulling work away from some law firms that have made deals with President Trump, citing their objections to such deals, according to interviews with legal department chiefs.
Some general counsel continue to distrust settling firms, questioning whether a firm can be trusted to effectively represent clients if it is unwilling to fight the government for itself.
Several firms that have made agreements with President Donald Trump have faced client scrutiny or significant backlash, with at least some work being pulled away. One general counsel recounted taking such action with two firms that have made deals with the White House: Skadden, Arps, Slate, Meagher & Flom and Willkie Farr & Gallagher.
“I have pulled firms off of prospective new work. I had Skadden on one, and I had Willkie on another, and I pulled them off because of their settlement,” one energy company general counsel, who could only speak under the condition of anonymity, told Law.com. “I’m literally in a thread with other GCs, and those two firms have been pulled from other people’s panels as well.”
The energy GC added that “more than a dozen companies are actively [issuing requests for proposals] for new work, and they’ve just changed the panel. Firms that they would normally have gone to, they’ve just pulled them out.”
Skadden and Willkie couldn’t be reached for comment on the issue.
“I don’t have a ton of work right now; I have work only with one of the firms, and it’s a very small project, but it’s highly sensitive. I can’t move it yet, but I will move it when I can, and for any new work, I absolutely will not send it to any of the firms that capitulated,” said one general counsel with expertise in tech, who would only speak under the condition of anonymity to protect client relationships.
Lawyers, both in-house and at other firms, are taking a keen interest in how other firms have responded to Trump’s demands.
“There’s a lot of spreadsheets being shared,” the tech GC said, containing data on “which firms have capitulated, which firms haven’t, and who are the partners to contact to put pressure [on] if you use the firm,” they added. “There was a lot of activism in the first few weeks.”
“It is no longer a matter of a firm representing a client we disagree with,” the energy GC said. “It’s actively volunteering the firm to an administration that is doing things that are inherently oppositional to the rule of law. … It doesn’t feel like a smart business move to associate ourselves with a firm that is donating its time to an administration that many find repellent.”
The tech GC, who is an ex-Latham & Watkins lawyer, added, “I’m heartbroken that Latham capitulated. … I won’t be sending them more work, it was crushing to learn that they did that.”
Latham didn’t immediately respond to a request for comment.
General counsel who want to move from one law firm to another might face pushback from their CEOs, but the recent decision by Microsoft to shift work from Simpson Thacher & Bartlett toward Jenner & Block on a matter related to the company’s acquisition of Activision Blizzard could embolden them to make the switch, the tech GC said.
Microsoft and Jenner & Block declined to comment on the record. Simpson Thacher did not reply to requests for comment. Microsoft told press last week it continues to use Simpson Thacher for representation on other matters.
It can be “more of a struggle to move all your book of business away immediately, because you have relationships with those firms over a long period of time, and especially in corporate, it’s harder to move away,” the tech GC noted. But, they added, “when somebody like Microsoft publicly does this, what it means is, if there is tension between the GC who wants to move work and the executive team who may not know or care, it gives the GCs evidence and backup. … It’s not just validating for me as a GC, it’s ammunition for me to go to my executive team and board and say, ‘no, this is a big deal, and even Microsoft is doing it.’”
More Work For Competitors
While some law firms were quick to make a deal with the administration, others have decided to fight back. Perkins Coie, which was targeted by a Trump executive order challenging its diversity hiring policies, is one of the firms defending itself in court. A federal judge in Washington, D.C., ruled on Friday that the executive order is illegal and could not be enforced.
Perkins Coie’s strong stance is prompting more general counsel to support the firm.
“People are asking, how can I get more work to Perkins?” another tech GC said. “All of a sudden, firms that … wouldn’t really have necessarily been on your hit list are now going to start getting those calls.”
This GC added that, right now, Perkins Coie is “the only” firm they’d heard was gaining more work because of its litigation in response to an executive order. But other firms have signed onto amicus briefs in support of their peers, which some firm leaders say has helped boost workloads.
“When a firm signs an amicus brief in a high-profile case like this, it’s making both a legal and professional statement,” said Gina Rubel, CEO and general counsel of legal strategy firm Furia Rubel Communications.
Am Law 200 firms that added their signatures to amicus briefs in support of law firms fighting executive orders include Arnold & Porter Kaye Scholer; Covington & Burling; Crowell & Moring; Davis Wright Tremaine; Fenwick & West; Susman Godfrey; Williams & Connolly; Choate Hall & Stewart; Foley Hoag; Hanson Bridgett; Manatt, Phelps & Phillips; Munger Tolles; Patterson Belknap Webb & Tyler; and Stoel Rives.
“On the one hand, it demonstrates alignment with the core principles of rule of law and judicial independence,” Rubel said, adding, “this action can strengthen a firm’s culture and attract like-minded professionals and clients who value these beliefs. Of course, it also poses a risk to those who may oppose these views or prefer to remain neutral. It’s a strategic decision that signals what a firm stands for.”
Kristina Lawson, managing partner of Hanson Bridgett, said, “We have had a very positive reaction from our clients, across all of the practices of the firm,” following its decision to sign onto amicus briefs supporting other firms. She noted that Hanson Bridgett might realize a recruiting benefit too, adding, “We’ve also had very positive feedback from lateral attorney candidates. The people that are joining us, they had very positive reactions, and were very excited to see us sign on.”
Another senior law firm leader, speaking on condition of anonymity, said: “We’ve had a number of clients who have been incredibly supportive of both…the positions we staked out, and also the fact that they feel like they can rely on us to advocate aggressively against the government.”