Firms That Did Trump Deals Forgot They Were Law Firms, Says Prof
On this episode of our podcast, On The Merits, we take another look at the reasoning behind the deals law firms struck with the Trump administration earlier this year to avoid punitive executive orders.
We previously heard from Yale Law School professor John Morley, who said these firms had no choice because an executive order could have kickstarted a devastating run on the partnership. Today's podcast guest sees it differently.
David McGowan, a professor at the University of San Diego School of Law, says the firms that settled did so because they forgot the unique role they play in the American justice system and, instead, see themselves as more of business venture.
"To me, the firms that have come to terms with the administration are signaling that, at their essence, they are financial services, financial adviser companies," he said. "I don't think that that is a given. I think that that is a choice."
Do you have feedback on this episode of On The Merits? Give us a call and leave a voicemail at 703-341-3690.
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Goodwin Chair on Revenue Rise and New Competitors for Law Firms
Goodwin Procter made a splash this month when it announced it had raked in $2.7 billion in the 2025 fiscal year, a record for the firm and a 12% gain from the previous year
On this episode of our news podcast, On The Merits, we hear from the firm's chair, Anthony McCusker, about how Goodwin managed this feat. He tells Bloomberg Law reporter Tatyana Monnay that he attributes the firm's recent success to a long-term strategic plan it developed called "Goodwin 2033." He also talks about where he thinks the legal industry is heading when it comes to tech—specifically, AI—and growing competition for law firms.
"In a world where maybe the legal answer might be free, or quick to get into the world, clients are going to value that deep industry experience," McCusker said. "Clients are going to value that business advisory expertise that our lawyers bring. And so ensuring that we are preparing all of our people to be able to deliver that type of benefit to clients is one of the things we're really focused on."
Do you have feedback on this episode of On The Merits? Give us a call and leave a voicemail at 703-341-3690.
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Trump Attacks Could Have Killed Law Firms, Yale Prof Says
President Donald Trump's attacks on law firms have hand their intended impact, even as courts shoot down executive orders against some as unconstitutional and the details of White House deals with others remain unclear, according to Yale Law School professor John Morley.
"The point here is to extract a demonstrative form of obedience," Morely said. He said he's already seen a "chilling effect" with firms less willing to take on matters pushing back against the administration than in Trump's first term.
Morley, who has studied law firm collapses, does not blame the leaders of firms that struck deals with the White House to avoid punitive executive orders. Court wins for the four firms who have challenged orders targeting them so far show that those firms made the right, albeit risky, choice to fight.
"I am absolutely certain that, if one of these executive orders survived a temporary injunction proceeding, that would be the death of the firm," Morley said. "Or at least I think the probability is very high."
Morley spoke to Bloomberg Law reporter Roy Strom on this episode of our podcast, On The Merits, about what has become of Trump's attacks on Big Law and what would happen if the President resumed them. He also discussed how they've changed the attitudes of his students at Yale about which firms they may want to work at in the future.
Do you have feedback on this episode of On The Merits? Give us a call and leave a voicemail at 703-341-3690.
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NY's Oldest Law Firm Loses Key Partners, Faces Tough Choices
You don't get to be the oldest law firm in New York without weathering some rough spots. But this may be one of the most difficult periods Cadwalader, Wickersham & Taft has ever gone through.
The Wall Street firm, which this week announced a new managing co-partner, has lost nearly three dozen partners just this year. And not all of them have left because of the firm's controversial deal with President Trump for free legal services.
On today's episode of our podcast, On The Merits, Bloomberg Law reporter Justin Henry explains why Cadwalader may be too specialized to thrive in today's full-service legal industry. He also talks about ways the firm can turn itself around without having to resort to a merger.
Do you have feedback on this episode of On The Merits? Give us a call and leave a voicemail at 703-341-3690.
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Every Law Firm Should Build Their Own AI, Yale Professor Says
Law firms "have gold sitting on their hard drives," according to Yale Law School professor Scott Shapiro.
Shapiro has enthusiastically embraced the use of generative AI in his classroom. He says firms should draw on the mountains of proprietary information at their fingertips to build their own tools.
"If only they would train the large language models correctly, they, I believe, would get absolutely stupendous results," he said.
Shapiro spoke to Bloomberg Law editor Jessie Kokrda Kamens for our podcast, On The Merits, about why he thinks every firm should make its own AI and he explains how he and his students actually did this themselves using years of documents from his Yale legal clinic.
Do you have feedback on this episode of On The Merits? Give us a call and leave a voicemail at 703-341-3690.
On The Merits takes you behind the scenes of the legal world and the inner workings of law firms. This podcast offers in-depth analysis on the latest trends, challenges, and opportunities shaping the business of law and the legal industry overall. You'll gain insights into how the latest government actions, policies, and business developments are impacting the industry and hear from leading attorneys, legal scholars, industry experts, and our own team of journalists as they share their perspectives on the forces driving change.
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