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Murdoch’s Trust Battle Fails: Lachlan’s Role as Fox News Chief in Jeopardy

Rupert Murdoch trust dispute/ Lachlan Murdoch Fox News control/ Nevada probate court ruling/ family media empire/ RENO/ Nev./ Newslooks/ J. Mansour/ Morning Edition/ A Nevada probate commissioner has denied Rupert Murdoch’s attempt to alter his family’s trust, which would have cemented his son Lachlan Murdoch’s control over Fox News and its conservative editorial slant. The ruling criticized the plan as an attempt to sideline other heirs, who have differing political views.

FILE – Lachlan Murdoch appears at the Vanity Fair Oscar Party in Beverly Hills, Calif., on Feb. 9, 2020. Rupert Murdoch is stepping down at Fox and News Corp, son Lachlan will take over as chairman of both companies. For Lachlan Murdoch, this has been a long time coming — assuming, that is, his moment has actually arrived. On Thursday, his father Rupert Murdoch announced that he’s stepping down as the head of his two media companies — News Corp. and Fox Corp. — as of November. (Photo by Evan Agostini/Invision/AP, File)

Murdoch Trust Dispute: Quick Looks

  • Court Decision: Rupert Murdoch’s attempt to amend his family’s irrevocable trust was denied.
  • Conservative Control: The elder Murdoch sought to ensure Fox News retained its political leanings under Lachlan.
  • Family Split: Other heirs, including James and Elisabeth Murdoch, oppose Fox News’ conservative direction.
  • Legal Battle: Murdoch and Lachlan plan to appeal the decision.
  • Judge’s Remarks: Described the plan as a “carefully crafted charade” to secure Lachlan’s future control.

Murdoch’s Trust Battle Fails: Lachlan’s Role as Fox News Chief in Jeopardy

Deep Look

Rupert Murdoch’s bid to restructure his family’s trust to ensure Lachlan Murdoch retains control over Fox News and its conservative ideology has been thwarted by a Nevada probate court. The ruling comes amid long-standing tensions within the Murdoch family over the direction of their media empire.

The Trust and Its Stakes

The irrevocable family trust divides control of Murdoch’s media holdings equally among his four children—Prudence, Elisabeth, Lachlan, and James—following his death. Lachlan, who has helmed Fox News and News Corp since Rupert stepped down last year, was positioned to maintain the company’s conservative stance under his father’s proposed amendment.

Rupert argued that ensuring a unified direction for Fox News was vital to preserving its commercial value. However, the plan faced resistance from James and Elisabeth, who have expressed less conservative political views, potentially signaling a shift in Fox News’ editorial stance after Rupert’s passing.

The Court’s Ruling

In a scathing 96-page opinion, Probate Commissioner Edmund J. Gorman Jr. rejected the trust amendment, describing it as an attempt to “stack the deck” in Lachlan’s favor.

“The effort was an attempt to stack the deck in Lachlan Murdoch’s favor after Rupert Murdoch’s passing so that his succession would be immutable,” Gorman wrote.

The commissioner added that the legal maneuver was akin to a high-stakes poker game where “all the bluffs are called” and ultimately deemed the plan a “raw deal” for the family.

Reactions from the Family

Rupert Murdoch and Lachlan expressed disappointment in the decision, with their legal team confirming plans to appeal. In contrast, Prudence, Elisabeth, and James welcomed the ruling, emphasizing their desire to move past the litigation and repair strained family relationships.

What’s Next?

The ruling casts uncertainty over Lachlan Murdoch’s future leadership and the political direction of Fox News. As Rupert’s health and influence wane, the outcome of the appeal could significantly impact the trajectory of the Murdoch empire and its influence on global media.

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