Rupert Murdoch, the 93-year-old media titan, faced a significant legal setback as a Nevada court commissioner denied his attempt to alter a family trust, which would have granted control of his expansive media empire to his eldest son, Lachlan.
The court’s decision comes after a contentious battle between Murdoch and three of his children—Prudence, Elisabeth, and James—over control of News Corp and Fox News after his death. Murdoch had sought to amend a family trust established in 1999 to allow Lachlan to take control without interference from his siblings.
A Nevada commissioner ruled that both Murdoch and Lachlan acted in ‘bad faith,’ referring to their attempts as a ‘carefully crafted charade.’ This ruling followed arguments presented in a sealed court decision that was reported by the New York Times. After the ruling, a spokesperson for Murdoch’s children expressed gratitude for the decision, stating hope for future reconciliation within the family.
Adam Streisand, representing Murdoch, indicated disappointment with the court’s ruling and disclosed plans to appeal. Despite the setback, the legal proceedings remain unresolved as the district judge still has the authority to make a final decision, which could potentially overturn the commissioner’s findings.
The high-profile case has drawn parallels to the popular TV series ‘Succession,’ a comparison the Murdoch family has consistently declined to acknowledge. According to reports, Murdoch’s children started discussing potential future scenarios after an episode of the show depicted a family patriarch dying, leading to chaos. In response, a ‘Succession memo’ was reportedly drafted to prevent such an outcome in the Murdoch family.
Murdoch’s trust, created in 1999, aimed at solidifying succession plans within his empire, while also including jobs for his eldest children within his companies. It specified eight family votes to influence decisions at News Corp and Fox News, with Murdoch controlling four votes and each of his oldest children controlling one.
The contentious issue focused not on financial gain, but rather on power and control over the direction of Murdoch’s media legacy, highlighting differences in political views and opinions among the children. The trust’s provision indicates that upon Murdoch’s death, his votes would be equally distributed among his four eldest children, further complicating any potential unilateral control by Lachlan.
This intricate legal and familial battle underscores the personal and professional complexities inherent in managing a media empire like Murdoch’s. Murdoch has been grooming his sons to succeed him since their teenage years, aiming to continue the influence and stature of his businesses. News Corporation’s broad portfolio includes influential newspapers like the Times and the Wall Street Journal, as well as the widely watched Fox News channel.
The ruling against Murdoch’s attempt to alter the trust marks a notable moment in the ongoing saga of one of the world’s most powerful media families. The future of the Murdoch empire’s leadership remains uncertain as appeals and potential legal challenges continue to unfold.
Source: Bbc
