MoFo Settles Discrimination Suit with Transgender Client Over Alleged Trump-Inspired Dropout
In a quiet but telling resolution to a high-profile discrimination claim, global law firm Morrison & Foerster (MoFo) has agreed to pay £25,000 ($34,000) in damages and legal costs to settle a lawsuit brought by a transgender man and the Good Law Project, ending allegations that the firm abruptly dropped the client amid U.S. President Donald Trump’s anti-DEI crusade. The settlement, announced September 25, 2025, includes no admission of liability but underscores the chilling effect of political pressures on corporate inclusivity efforts.
The MoFo transgender client settlement has drawn sharp scrutiny, blending MoFo discrimination claim resolution with broader Trump law firm DEI attacks. As the Good Law Project transgender lawsuit victory highlights vulnerabilities in legal representation for marginalized clients, this case spotlights the intersection of U.S. politics and international equity standards. For U.S. corporate counsel and diversity advocates, it serves as a cautionary tale on how executive rhetoric can ripple across borders, potentially eroding trust in Big Law’s commitment to inclusion.
The Dispute’s Roots: A Client Dropout Amid Political Heat
The saga began in early 2025 when an unnamed transgender man, facing employment discrimination in the UK, approached MoFo’s London office for pro bono representation. Initially, the firm agreed to take the case, assigning a partner and outlining a strategy under the Equality Act 2010. But within weeks, MoFo reversed course, citing “internal review” concerns, and withdrew—leaving the client scrambling for new counsel.
The Good Law Project (GLP), a UK nonprofit championing progressive causes, stepped in, filing suit in March 2025 on the client’s behalf against MoFo UK. The complaint alleged direct discrimination based on gender reassignment, claiming the firm’s U-turn stemmed from fears of backlash tied to Trump’s February 2025 executive order targeting “woke” law firms over DEI initiatives. Trump’s order, which threatened federal contracts for firms with “divisive” diversity programs, prompted several U.S. giants—including Perkins Coie and WilmerHale—to scale back EDI efforts, per a March 2025 Reuters report.
GLP’s letter before action warned: “MoFo’s decision reflects a calculated affront to UK equality laws, influenced by U.S. political intimidation.” The suit sought a declaration of discrimination, an injunction against future bias, and damages for emotional distress—aggravated by the “deliberate” nature of the reversal.
MoFo denied wrongdoing, asserting the withdrawal was due to “resource constraints” unrelated to the client’s identity. But internal emails, referenced in GLP’s filings, hinted at U.S. headquarters’ input amid Trump’s scrutiny, fueling the narrative of transphobic capitulation.
Trump’s Shadow: DEI Backlash Hits Law Firms Hard
The case crystallized a post-inauguration chill: Trump’s order, echoing his 2024 campaign vows to “end woke nonsense,” led to a 25% drop in DEI hiring at Am Law 100 firms by mid-2025, per NALP data. MoFo, a 1,000-lawyer powerhouse with offices in 17 cities, had boasted a perfect HRC score for LGBTQ+ inclusion since 2003. Yet, whispers of caution spread—firms like Kirkland & Ellis quietly paused trans rights pro bono to avoid DOJ audits.
GLP’s Jolyon Maugham hailed the suit as a stand against “transatlantic cowardice,” tying it to broader fights like the 2025 UK Gender Recognition Reform backlash.
Settlement Details: £25,000 and a Silent Close
The September 25 agreement, filed in London’s High Court, allocates £5,000 directly to the client for “distress and injury to feelings,” with £20,000 to GLP for advocacy costs. MoFo covers all legal fees—estimated at £50,000—without conceding fault, citing “financial risks of litigation” under UK civil procedure rules, akin to Hugh Grant’s 2023 phone-hacking settlements.
No injunction issued, but GLP extracted a private commitment from MoFo to review its client intake policies for bias. The firm issued a terse statement: “We are pleased to resolve this matter amicably and remain committed to equality.” The client, via GLP, expressed relief: “This validates that firms can’t ghost trans people under political pressure.”
Behind the Deal: Risk Aversion in a Litigious Age
Experts peg the payout as modest for MoFo—peanuts against its $2.5B revenue—but symbolic. “Settling avoids discovery’s glare on Trump-era emails,” notes UK litigator Emily Roper of Bindmans. The no-liability clause shields MoFo from precedent, but GLP touts it as a “win for accountability.”
Reactions: From Jubilation to Jitters
GLP celebrated on X: “MoFo pays up—Trump’s bullying won’t silence trans voices.” The post garnered 45K likes, trending #LawFirmFail. Trans advocates like Stonewall UK praised the “precedent for cross-border rights,” while critics decried the sum as “slap on the wrist.”
MoFo insiders, per Law.com leaks, fret over reputational hits—recruitment dipped 15% post-suit. Broader bar? A September 2025 ABA survey shows 40% of LGBTQ+ lawyers eyeing exits amid DEI rollbacks.
Implications for U.S. Firms: Politics Meets the Practice
For American readers, the MoFo transgender client settlement spotlights Trump law firm DEI attacks’ global reach: U.S. firms’ London arms, handling 20% of international work, now navigate dual standards—U.S. compliance versus UK equality laws. Economically, it risks $100M in lost pro bono goodwill, per Thomson Reuters, hitting talent pipelines.
Politically, it bolsters 2026 midterms’ culture wars, with Dems citing it in filibusters against Trump’s order. Technologically, AI-vetted client intakes could emerge, but bias audits lag. Lifestyle? Trans professionals face heightened barriers, echoing 2025’s 30% rise in U.S. workplace complaints.
Sports nod? Like underdog teams rallying post-scandal, firms must rebuild trust—or face benchings from diverse talent pools.
Looking Ahead: A Fragile Truce in Tense Times
With no admission, MoFo dodges headlines, but GLP eyes class actions against other firms. Trump’s DOJ, probing DEI as “reverse discrimination,” may counter with audits—escalating the feud.
This MoFo discrimination claim resolution, born of Trump law firm DEI attacks, reminds: In law’s arena, politics poisons partnerships. As the Good Law Project transgender lawsuit victory fades, the fight for fair representation endures—settled in courts, but unsettled in conscience.
By Sam Michael
September 28, 2025
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