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Head of Paul, Weiss Says Firm Would Not Have Survived Without Deal With Trump

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Head of Paul, Weiss Says Firm Would Not Have Survived Without Deal With Trump

The head of the elite New York law firm that cut a highly criticized deal with President Trump last week asserted on Sunday that he made the agreement because the firm was unlikely to survive a protracted legal fight with the Trump administration.

Brad Karp, the managing partner of the firm, Paul, Weiss said in an email to its lawyers that it was initially prepared to fight an executive order Mr. Trump had signed that essentially crippled the firm’s ability to represent clients.

But the firm’s clients were deeply concerned that even if Paul, Weiss won in court, it would still be labeled “persona non grata with the administration,” Mr. Karp said. He said that would potentially prompt clients to move their businesses to rival firms and cause Paul, Weiss to go under.

The email — the second Mr. Karp has sent to his firm in four days in which he has tried to explain the deal — demonstrated his efforts to stem the fallout, both internally and externally, from his decision to strike the agreement with Mr. Trump.

Some members of Mr. Karp’s firm — particularly litigators — had pushed to fight the order in court, arguing that a judge would quickly block Mr. Trump’s executive order. But members of the corporate practice — who account for a significant part of the firm’s revenue — insisted that Mr. Karp reach a deal to prevent clients from fleeing.

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Mr. Karp, a prominent Democratic donor, had worked to harness the legal community against Mr. Trump during his first term and, in the past election cycle, to elect his Democratic opponent, Kamala Harris. Critics have sharply criticized Mr. Karp and the firm — which had $2.63 billion in revenue last year and represents corporate clients like Exxon Mobil and Apollo Global Management — for too quickly bending to the president instead of fighting him in court, where a judge had already ruled that his executive order was likely illegal.

But Mr. Karp said in the email that even if a judge did block Mr. Trump’s order, the firm’s clients would be too scared of being perceived as being on the wrong side of the Trump administration to continue working with Paul, Weiss.

The claims from Mr. Karp underscored the power and effectiveness of Mr. Trump’s efforts to target law firms with executive orders over the past month, signaling that even the courts could not stop the president from potentially putting firms out of business if they did not capitulate to his administration’s demands.

“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,” Mr. Karp said in the email. “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.”

Mr. Karp said that while the firm could stop the order from taking effect, “we couldn’t erase it.”

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“Clients had told us that they were not going to be able to stay with us, even though they wanted to,” Mr. Karp said in the email. “It was very likely that our firm would not be able to survive a protracted dispute with the administration.”

The firm, formally called Paul, Weiss, Rifkind, Wharton & Garrison LLP, has offices around the world. Its work involves mergers and acquisitions, private equity, white-collar and regulatory defense and litigation. Its clients also include Citigroup, Imagine Entertainment and Lucasfilm.

A week ago, Mr. Trump signed an executive order that essentially barred Paul, Weiss’s lawyers from entering federal buildings and dealing with the government. The order also said that companies doing business with Paul, Weiss could lose their government contracts.

Last Wednesday, Mr. Karp met with Mr. Trump in the Oval Office, and on Thursday, the president announced that Paul, Weiss had committed to represent clients regardless of their political views and would commit $40 million in pro bono legal work to causes Mr. Trump championed, including fighting antisemitism and helping veterans.

After the deal was announced on Thursday, Mr. Karp was widely criticized as capitulating to Mr. Trump and leaving other firms vulnerable.

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Mr. Karp said in the email that the deal “was unambiguously in our clients’ best interests.” He said that thousands of the firm’s clients had reacted with relief to 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.”

“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,” Mr. Karp said in his email.

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Crews Drape Tarp Over White House in Latest Trump Restoration

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Construction workers unfurled a large printed tarp to cover scaffolding installed at the White House’s front entrance. Doug Burgum, the interior secretary, said President Trump had ordered the repairs after noticing damage to columns.

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WATCH: Trump’s Energy chief reveals what escalating Iran tensions could mean for gas prices

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WATCH: Trump’s Energy chief reveals what escalating Iran tensions could mean for gas prices

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Energy Secretary Chris Wright is telling Americans not to be concerned about the possibility of another surge of sharp increases in gasoline prices as tensions with Iran have started to escalate once again.

Asked whether Americans should worry about higher prices at the pump and how the Trump administration is preparing to keep the economy stable if the conflict continues to worsen, Wright told Fox News Digital: “It has not been any good behavior from Iran that’s allowed oil to flow. It’s been the United States military.”

“That’s not changing,” he assured, speaking from the Great American State Fair on the National Mall this week.

US CLAWS BACK KEY CONCESSION TO IRAN AFTER FRESH ATTACKS ON COMMERCIAL SHIPS IN STRAIT OF HORMUZ

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(Mario Tama/Getty Images) (Mario Tama/Getty Images)

With Iran striking three commercial vessels transiting the Strait of Hormuz on Monday and Tuesday, Wright doubled down in urging citizens to not credit Iran for the U.S. military’s work to ensure oil shipments continue flowing through the strait.

“Look, the U.S. Military has been the key asset here,” he said. “They have assured the flow of oil and gas through the Strait of Hormuz throughout. Not at the beginning of this conflict, but through the last six weeks.”

Wright said the administration is closely monitoring global oil supplies as the tentative ceasefire with Iran seemingly came to come to a halt, with President Donald Trump telling Secretary-General Mark Rutte the call for peace with Iran is “over” at the NATO Summit in Turkey on Wednesday.

But, he pointed to the continued shipping through the Strait as evidence that markets should remain stable.

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TRUMP SAYS IRAN CEASEFIRE IS ‘OVER’ AFTER IRANIAN ATTACKS TRIGGER MASSIVE US RESPONSE

President Donald Trump speaks at the White House on Tuesday, April 22. (AP/Alex Brandon)

“We’re of course constantly watching the supply of oil, the supply of refined products and what’s going on there,” Wright said. “And I think still all positive trends.”

Beyond geopolitical concerns, Wright also praised the new chain of discounted gas stations across Pennsylvania and New Jersey, Freedom Fuel, which promises customers prices below the national average.

The Trump administration, though not involved with the network, has heavily endorsed the new chain and its 25 locations.

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“We love it,” Wright said when asked about Freedom Fuel. “I mean, look, any mechanism we can to lower energy costs for Americans of all kinds, we’re all in on.”

“With Freedom Fuels, they’re just lowering it down to their wholesale price of gasoline,” Wright said. “So they’re not making any money selling gasoline, but they’ve got convenience stores. That’s how most gas stations make money.”

NEWSOM UNDER FIRE AS CALIFORNIA GAS TAX HIKE SENDS PUMP PRICES EVEN HIGHER

Gasoline costs are a known concern for many Americans, and amid surging prices there has been a considerable increase in those opting to purchase electric vehicles to save money long-term at the pump — with Tesla dominating the market for these types of models.

Wright argued one of the benefits to living in America is having the option to choose what type of vehicle you drive.

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“We just want people to buy what they would prefer,” he told Fox News Digital when asked his thoughts on increasing calls for support of the electrification of cars. “Consumer choice — you wanna buy an electric car, you wanna buy a gas powered car, diesel powered car, buy a big truck. That’s the choice.”

“That’s why you live in America. You get the choice of all those.”

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Black mold and $1 wages: Settlement forces immigrant detention centers to protect workers

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Black mold and  wages: Settlement forces immigrant detention centers to protect workers

In 2023, California regulators levied more than $100,000 in fines against the private operator of a federal immigration facility, kicking off a three-year battle over whether detainees who do work at the facilities should be considered employees.

The question went beyond semantics: If considered employees, the detainees would be subject to state worker protection laws.

A legal settlement announced this week now affirms that private immigrant detention facilities are subject to California’s workplace safety and health requirements.

“Every worker deserves a safe and healthy workplace and should be able to report workplace hazards without fear of retaliation,” said Denisse Gómez, spokesperson for the California Division of Occupational Safety and Health or Cal/OSHA.

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“Individuals who perform work in these facilities are entitled to workplace safety protections, and this settlement reinforces Cal/OSHA’s commitment to enforcing those protections and safeguarding vulnerable workers,” she added.

Under the settlement between California and the GEO Group, a Florida-based private prison company, the company recently withdrew its legal challenges and agreed to pay more than $100,000 in the fines.

The GEO Group did not respond to requests for comment.

Back in 2023, Cal/OSHA issued $104,510 in fines against the GEO Group. The agency had found six violations of state code by the company after detainees complained about a lack of protective equipment and proper training while cleaning the facility for $1 per day.

Detainees alleged they routinely wiped black mold off shower walls at the facility, saw black dust spew from air vents and used cleaning solutions that lacked instructions during the COVID-19 pandemic.

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The biggest fine levied against the GEO Group was for failure to establish and maintain “effective written procedures to reduce employee risk of exposure to aerosol transmissible disease.”

Advocates viewed Cal/OSHA’S recognition of the detainees as workers as a victory that could pave the way for future labor rights fights at other detention centers in the state.

But the GEO Group appealed, arguing that detainees participating in ICE’s voluntary work program make their own schedules and aren’t employees, so hazard exposure couldn’t be “as a result of assigned duties,” as California law states. Plus, the company argued, there wasn’t enough evidence that detainees were exposed to any hazard.

Early last year, the state’s Occupational Safety and Health Appeals Board rejected the GEO Group’s argument and found that detainees should be considered “affected employees.”

The GEO Group sued, but three days before a California Superior Court hearing in May, the company and Cal/OSHA reached the settlement.

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Along with paying the fines, the GEO Group agreed to draft plans for avoiding aerosol transmissions at 12 secure and reentry facilities in California, including five detention centers that hold immigrants.

“GEO ensures detainees are afforded the necessary tools, equipment, and personal protective equipment … to safely and effectively perform any necessary tasks,” the settlement states.

Gómez said the settlement also leaves intact the appeals board’s ruling that civil immigration detainees who participate in work programs can participate in proceedings anonymously, “acknowledging the potential for retaliation when individuals raise workplace safety concerns.”

But the question of whether detainees are employees and deserve certain protections isn’t entirely resolved — at least not for the federal government.

Last month, U.S. Immigration and Customs Enforcement released new standards for detention facilities across the country. The revised guidelines “emphasize that detainee volunteers participating in the voluntary work program are not considered facility and/or government employees” and thus not entitled to labor regulations.

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Attorney Mariel Villarreal said the timing of the new detention standards made her question whether the GEO Group had asked ICE to specify in its standards that detainees are not workers in response to its battle with Cal/OSHA.

“To me, it’s a reaction to this very settlement,” she said. Villarreal works for the California Collaborative for Immigrant Justice, which filed the original complaint on behalf of detainees who said they worked in unsafe conditions.

Villarreal pointed to a Washington Post report that GEO Group executives privately asked ICE to specify that detainees are not employees of the facilities where they work. Two top Trump administration officials, border czar Tom Homan and acting ICE director David Venturella, previously worked for the GEO Group.

New versions of ICE detention standards take effect as contracts are established or modified, so this year’s rules won’t immediately apply to every facility.

An ICE spokesperson did not comment about the settlement. The spokesperson, who did not provide their name in an emailed statement Wednesday, said the agency has begun transitioning detention facilities to meet the 2026 standards, “building on its longstanding commitment to safe, secure, and professional detention operations.”

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“ICE has consistently implemented many of these best practices independently, reinforcing its role as the leader in detention operations,” the spokesperson added.

The GEO Group and other immigrant detention center operators have faced other legal battles over workers’ rights, including lawsuits in Washington, Colorado and California over the $1-per-day payment.

Villarreal said she’s confident that the Cal/OSHA settlement would continue to hold even if California facilities incorporated the new standards. But she said she believes the statements are an attempt by the GEO Group to “sidestep responsibility” and avoid the possibility of being fined under similar circumstances in other states.

“These statements in the new standards are a way for them to try and preserve profits as much as possible,” she said. “GEO and ICE are so intertwined at this point that they have the same motives.”

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