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Since returning to office in January 2025, President Donald Trump has moved quickly to put his stamp on the federal regulatory landscape. For business lawyers, the implications are broad and fast-evolving, touching everything from litigation exposure and securities regulation to political risk, capital markets, and tax planning. This article offers a practical overview of five key practice areas for business lawyers: government affairs, corporate litigation, federal securities regulation, private equity and venture capital, and taxation.
1. Government Affairs: Political Realignment and Industry-Specific Disruption
The 2024 elections delivered unified Republican control of Congress, with the GOP holding a narrow majority in the House (220 R to 213 D) and a more solid advantage in the Senate (53 R to 47 D, including two independents who caucus with Democrats). This shift, combined with Republican momentum in several state legislatures and governorships, has created a political environment highly conducive to sweeping federal policy changes and aggressive administrative action.
The Trump administration’s early moves have included a regulatory freeze, a 10-to-1 deregulation order (requiring federal agencies to eliminate ten existing regulations for every new proposed regulation), and a rollback of diversity, equity, and inclusion (“DEI”) programs across agencies and federal contractors. Select industries—particularly financial services, hospitality, and tech—are feeling the immediate impact. Recent tariff hikes on goods from China, Canada, Mexico, and the EU are further disrupting global supply chains and forcing companies to reevaluate sourcing, pricing, and international contracts.
In addition to the waves from the new executive branch, business lawyers must also navigate the ripple effects of key judicial branch decisions, including the Supreme Court cases of Loper Bright Enterprises v. Raimondo, which curbed Chevron deference, and Food and Drug Administration v. Alliance for Hippocratic Medicine, in which the Court unanimously dismissed the case on standing grounds—leaving the FDA’s regulatory authority intact, but highlighting the ongoing legal vulnerability around agency actions in politically charged areas.
2. Business and Corporate Litigation: Executive Orders and Political Exposure
Corporate litigators must navigate emerging risks arising from recent executive orders that affect law firm operations, modify federal enforcement practices, and alter established compliance frameworks. Notably, the administration has issued a wave of multiple executive directives (with no end in sight) that: (1) eliminate DEI mandates; (2) restructure digital asset regulation; and (3) penalize firms perceived to have political conflicts.
Perkins Coie, Jenner & Block, and WilmerHale are each currently litigating actions that revoked the security clearances of their attorneys and barred federal contract access. These cases will likely provide important judicial guidance on the limits of executive power in determining eligibility for federal contracting and legal access.
Broader risks for corporate clients include increased scrutiny of labor practices, trade policy violations, and supply chain transparency. To mitigate exposure, business lawyers should advise clients on proactive compliance, robust documentation, strengthened internal controls, and dispute resolution planning. Cross-functional coordination between legal, HR, and government affair teams is increasingly essential.
3. Federal Regulation of Securities: A Refocused, Leaner SEC
President Trump’s nomination of Paul Atkins to chair the Securities and Exchange Commission (“SEC”) is expected to pivot the agency toward a more streamlined regulatory approach. Even though (as of this writing) Atkins has yet to be confirmed, the SEC has already begun realigning its agenda by, among other things, dissolving the Climate and ESG (environmental, social, and governance) Task Force, scaling back SEC staff’s enforcement discretion, and prioritizing capital formation initiatives. Furthermore, the departure of more than six hundred members of the Staff, representing more than 10 percent of the SEC’s workforce, will accelerate the need to narrow regulatory focus and reallocate resources.
Securities lawyers can expect (1) less aggressive disclosure mandates (especially for ESG and climate issues); (ii) expanded accommodations for emerging growth companies and non-U.S. issuers; and (iii) renewed scrutiny of shareholder proposals, proxy advisors, and beneficial ownership reporting. Meanwhile, a newly formed Crypto Task Force is working to (finally) develop a more coherent and durable framework for digital assets, with increased engagement from the SEC staff expected in the months ahead.
In sum, the SEC is likely to offer increased engagement and guidance on priority issues, while avoiding expansive new rulemakings that extend beyond its core statutory mandate.
4. Private Equity and Venture Capital: Deregulation Meets Strategic Uncertainty
The Trump administration’s deregulatory stance offers potential benefits across the venture and private equity landscape. Legal and regulatory burdens may ease for emerging companies, corporate venture programs, and financial sponsors alike—particularly in areas like investment adviser compliance, marketing restrictions, and disclosure obligations. The administration’s focus on capital formation, reduced enforcement around ESG-related reporting, and openness to digital asset innovation create a more permissive environment for venture-backed businesses, fintech startups, and transactional activity.
While broader market volatility has spiked following recent tariff escalations and stock market declines, private capital markets remain relatively insulated. Many venture-backed and private equity portfolio companies are not directly exposed to short-term public market swings. However, the ongoing closure of the IPO window—highlighted by high-profile delays such as Klarna and other unicorns—has complicated near-term exit planning. Most market participants view the shutdown as temporary, with expectations of a rebound once macroeconomic uncertainty and policy direction stabilize, potentially within the next several months.
Despite current headwinds, many in the PE/VC community remain optimistic that a shift in antitrust policy will lead to a more permissive M&A climate. Under the prior administration, heightened Federal Trade Commission (“FTC”) scrutiny created obstacles to strategic exits, delaying liquidity events and limiting capital recycling within the ecosystem. A more deal-friendly regulatory regime should help restore exit pathways and improve certainty for acquirers, sellers, and investors alike.
At the same time, political volatility—including abrupt regulatory shifts, heightened scrutiny of ESG strategies, growing Committee on Foreign Investment in the United States (“CFIUS”) exposure, and unpredictable executive actions—has introduced new risks across the ecosystem. These are particularly pronounced in cross-border transactions, co-investment structures, and sectors involving artificial intelligence, semiconductors, and defense-adjacent technologies. Trade nationalism, scrutiny of foreign investors, and enhanced national security reviews continue to elevate uncertainty around foreign capital and global dealmaking. While such an approach may seem counterintuitive under a Republican administration, it reflects a bipartisan realignment around economic nationalism and technological sovereignty. Legal counsel should prepare clients—whether funds, startups, or strategic investors—for enhanced diligence, evolving state and federal oversight, and reputational considerations in an increasingly complex regulatory climate.
5. Taxation: Modest Tools, Big Ambitions
While the 2025 congressional budget resolution provides no reconciliation pathway for major tax cuts, the Trump administration continues to press for extending key Tax Cuts and Jobs Act (“TCJA”) provisions and introducing new exemptions, especially for businesses impacted by tariff-related pressures. Absent new legislation, changes may occur through regulatory reinterpretation, IRS enforcement reprioritization, or executive-led guidance (e.g., on Global Intangible Low-Taxed Income (“GILTI”), Base Erosion and Anti-Abuse Tax (“BEAT”), or passthroughs).
At the same time, IRS staffing reductions and lower audit rates—particularly for high-income individuals—pose compliance risks that practitioners should monitor closely. Loper Bright, already shaping administrative law more broadly, may also expose longstanding tax regulations to legal challenge, contributing to a more uncertain regulatory climate.
Business lawyers should help clients navigate timing decisions and planning strategies around asset sales, intercompany transfers, and restructurings, with special attention to evolving litigation risks and guidance gaps.
Conclusion
The Trump administration’s second term has ushered in a uniquely fast-moving and ideologically driven transformation of the legal landscape. For business lawyers, this moment demands agility, vigilance, and strategic foresight. Whether advising a public company, a startup fund, or a multinational enterprise, attorneys must prepare clients for a regulatory environment where norms are shifting, institutions are evolving, and risk is increasingly political as well as legal.
