STORY: A closed-door court battle over Rupert Murdoch’s media empire that begins Monday could determine the future of Fox News and The Wall Street Journal.
The 93-year-old is trying to change the terms of the family’s irrevocable trust to ensure its newspapers and television networks remain under the control of his eldest son and chosen heir, Lachlan Murdoch.
That’s according to The New York Times, which obtained a sealed court document detailing the succession drama.
The hearing is not taking place in the media centers of New York or London, but in Reno, Nevada.
Nevada estate planning attorney Elyse Tyrell thinks she knows why.
“We have the ability, quite easily, to go to court and, for lack of a better way to say it, amend an irrevocable trust which, by its nature, is not amendable.”
The trust is the vehicle through which Murdoch Sr. controls News Corp and Fox, with a roughly 40% stake in each company’s voting shares.
She is currently transferring voting shares upon her death to her four children, including James Murdoch, who has donated to progressive political groups and resigned from News Corp’s board in 2020, citing disagreements over editorial content.
Lachlan Murdoch runs Fox and is sole chairman of News Corp. But three of the siblings could potentially surpass him in voting power, setting off a battle over the companies’ futures.
Rupert Murdoch’s proposed amendment to the trust would block interference from three of Lachlan’s siblings, who are more politically moderate, the Times reported, citing a sealed court document.
Another Nevada estate planning attorney told Reuters that Murdoch Sr. will have to convince the court that the changes would not “sacrifice the rights of, or discriminate against, any of the parties this trust was intended to protect.”
Spokespeople for the Murdochs declined to comment, did not respond to a request for comment or could not be reached for comment.
