Rupert Murdoch, center, and his wife Elena Zhukova Murdoch arrive at the Second Judicial District Court in Reno, Nev., Monday Sept. 16, 2024. (AP Photo/Andy Barron)
Headlines have been circulating in recent weeks about an ongoing legal battle between a high-profile media mogul and his children for control over the patriarch’s news empire — but no, the hit HBO series “Succession” is not back for another season.
The courtroom showdown involving Rupert Murdoch and four of his children is, in fact, all too real. Late last year, Murdoch made a change to the irrevocable Murdoch Family Trust, which was set up in 1999 to transition Murdoch’s vast media holdings, now consisting of News Corp and Fox Corporation, to the control of Murdoch’s four eldest children, each of whom would have an equal vote, upon his death. News Corp oversees such powerful media entities as the New York Post and the Wall Street Journal, while Fox Corporation is home to conservative juggernauts Fox News and Fox Business.
In a shocking twist, Murdoch changed the trust in 2023 to convert control of the vast entity to his eldest son Lachlan — much to the surprise of remaining siblings Prudence, Elisabeth and James, who opposed the change and sought to challenge it in court. Although the trust is irrevocable, the Nevada probate commissioner found in June that Murdoch could amend the trust if he is able to show he did so in good faith and for the sole benefit of his heirs.
Two additional Murdoch children, youngest daughters Grace and Chloe, do not have voting rights in the trust.
The trial kicked off Sept. 16 in probate court in Nevada. The children Murdoch tried to cut from the trust undoubtedly are seeking a favorable result in court, while the public, the legal world, and the media in general are left with more questions than answers. How will the court rule, now that oral arguments have reportedly concluded? What will this mean for the future of all the entities under the trust’s control? And finally, what impact will this result have on the media world in general?
The Murdoch family battle played out in downtown Reno. The state where the trust was created, Nevada, is known for providing more privacy and having favorable probate laws — perhaps the reason why Murdoch wanted the Silver State to have jurisdiction. The trial was closed to the media, yet a coalition of high-profile outlets such as CNN and the New York Times, which first revealed the change to the trust in July and the ongoing battle that followed, have filed motions to obtain access to the proceedings. They have cited the potentially massive impact this ruling would have not just on the Murdoch family, but on the multiple outlets owned by News Corp that have readers and viewers numbering in the millions. The matter is now before the Nevada Supreme Court, which may ultimately decide whether the court filings should be made public.
On Sept. 12, a federal judge rejected a majority of the outlets’ arguments and only allowed a few details about the case to be made public. As a result, the public has not been granted much insight into what evidence has been presented, what testimony has been given, or what potential way the court will rule. Yet one thing the public knows is that the key question the presiding probate commissioner will be focusing on is whether Murdoch was acting in good faith and for the benefit of his heirs when he made the change to the trust. One potential reason behind the change that some outlets have proposed is that Murdoch was allegedly attempting to ensure his media empire — and particularly Fox News — would still maintain its right-leaning viewpoints, as Lachlan, the son Murdoch named as successor to the trust, has been deemed more conservative than his siblings.
How the court will rule remains to be seen, but in the meantime, one must ask: What is at stake in the ultimate ruling?
The ruling would likely impact the overall viewpoint and editorial balance of News Corp and Fox Corporation and the companies the own, particularly Fox News — and such a change would affect the content and way those entities deliver that content to its viewers. Moreover, given the significant following Fox News has in terms of viewership, especially regarding politically-focused news, the change in the trust could possibly lead to real political outcomes, particularly given the upcoming 2024 presidential election. Finally, no matter what the ultimate decision the commissioner will render in this case, there is no doubt that this decision will be used as precedent by the heads of other media entities seeking to alter ownership or structure in leadership. One alteration in the Murdoch Family Trust could possibly significantly change the way numerous media entities work, the type of news they deliver everyday to the public, and critical decisions their followers make, including who they vote for, how they contribute to their communities, and what causes they support.
Access to the proceedings could also have an impact on the response to its outcome. Journalism and a free press are critical to a free society, and media organizations have sometimes stepped in to achieve justice where other industries cannot. In 2017, for example, an undercover investigation regarding sexual assault allegations against Harvey Weinstein sparked the MeToo movement and ultimately resulted in his conviction for sexual assault; a 2002 story by The Boston Globe featuring results of an investigation into sexual abuse in the Catholic Church led to prosecutions of five Catholic priests in Boston; and, ironically, in July 2009, Nick Davies, a reporter for The Guardian, broke a story revealing UK tabloid News of the World — which was owned by Murdoch — had apparently engaged in phone hacking to report some of its stories. The tabloid ended up folding in 2011.
The stakes for the Murdoch probate matter are high, given the crucial role the media plays in breaking news and the industry’s impact on society as a whole. Now that the legal battle has concluded — playing out entirely behind closed doors — all that’s left is to wait for the judge’s ruling.
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