Control of the Murdoch media empire could be at stake in a closed-door hearing in Nevada
RENO, Nevada — A Nevada court will soon hear evidence behind closed doors in a case that could determine who will run Rupert Murdoch’s media empire after his death.
Murdoch, 93, arrived at court Monday for the hearing. Last year he attempted to change the terms of his irrevocable family trust in an attempt to ensure that his eldest son, Lachlanis still in charge of his executives at newspapers and television networks, including The Wall Street Journal and Fox News Channel, The New York Times reported, citing a sealed court document.
Evidence hearings in the case are scheduled for Tuesday of next week. The court has closed the hearings to the public and sealed most of the documents, largely denying requests for access from news organizations including The Associated Press.
According to the Times, the fund was originally set up to give his four eldest children equal control over Rupert Murdoch’s companies after his death.
Murdoch resigned as leader of both Fox News’ parent company and its News Corp. media holdings last fall. He argues that to preserve the commercial value of his companies for all of his heirs, the trust should be amended so that Lachlan can ensure that his newspapers and TV networks continue to have a conservative editorial focus, the Times reported.
Lachlan succeeded his father as chairman of News Corp. in November. He is also an executive officer of Fox Corp., home to the conservative news network Fox News, the Fox broadcast and sports networks, and local TV stations. The media empire spans continents and helped shape modern American politics.
Rupert Murdoch’s attempt to amend the trust has pitted him against his other three children named as beneficiaries: James, Elisabeth and Prudence. They have banded together to prevent their father from amending the trust, the Times reported.
Irrevocable trusts are typically used to limit inheritance tax, among other things, and cannot be changed without the consent of the beneficiaries or by court order.
Edmund J. Gorman, a probate commissioner in the Second District Court in Reno, Nevada, ruled this summer that Rupert Murdoch can amend the trust if he can show that he is acting in good faith and solely in the best interests of his heirs, the Times reported.
The court ruling said Murdoch wanted to give Lachlan permanent and exclusive control over his companies because the tycoon was concerned there would be a lack of consensus. among his children According to the Times report, this could have implications for the strategic direction of its businesses, potentially leading to a change in editorial policy and content.
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Alex Veiga, an Associated Press editor in Los Angeles, contributed to this report.