Family Feud Over Murdoch's Empire: Court Decides on Succession

The power struggle over Rupert Murdoch's global TV and publishing empire is commencing in a courtroom in Reno, Nevada. Here, a judge will review the controversial succession plan of the 93-year-old media mogul. Murdoch is attempting to alter the conditions of the family trust, which holds significant stakes in Fox News' parent company Fox and Wall Street Journal owner News Corp. The objective is to ensure that the media companies remain under the control of his eldest son, Lachlan Murdoch, after his death. This information was made public by the New York Times, which obtained a sealed court document. The hearing, intended to determine whether Murdoch's actions are in good faith, is taking place in probate court and is not open to the public. On Thursday, a judge in Nevada rejected an objection from Reuters and other news organizations that had requested access to the hearing. The news organizations argued that the fate of such culturally and politically influential media companies is of public interest. However, the judge cited the need to protect confidential personal and financial information. Most documents remain sealed. The Murdoch trust was established around the time of his divorce from his second wife, Anna, in 1999. Through this trust, Rupert Murdoch holds about 40% of the voting rights in News Corp and Fox. Upon Murdoch’s death, the voting shares of News Corp and Fox will be transferred to his four eldest children – Prudence, Elisabeth, Lachlan, and James. Theoretically, three of the heirs could overrule the fourth, potentially causing conflicts over the future direction of the companies, even if Lachlan Murdoch leads Fox and is sole chairman of News Corp. Murdoch's proposed amendment aims to block any interference from Lachlan’s three siblings, who are politically more moderate, as reported by the Times citing the sealed court document. Lachlan Murdoch is seen as ideologically aligned with his conservative father. In contrast, James Murdoch, who has donated to progressive political groups, resigned from the News Corp board in 2020, citing disagreements over editorial content.