Closed hearing could decide control of Murdoch empire
Rupert Murdoch and his wife Elena Zhukova Murdoch were in court in Reno for at least part of the case. Photo: AAP
A probate court in Nevada will begin reviewing evidence behind closed doors in a case that could determine who will control Rupert Murdoch’s media empire after his death.
Murdoch, 93, arrived at court on Monday (US time) for the hearing.
In 2023, he moved to change the terms of his irrevocable family trust to try to ensure that his eldest son, Lachlan, remains in charge of his cadre of newspapers and television networks, including The Wall Street Journal and Fox News Channel, according to reporting by The New York Times based on a sealed court document.
Evidentiary hearings in the case are scheduled to run until Tuesday next week.
The court has kept the hearings closed to the public and most documents sealed, largely rejecting requests for access by news organisations including The Associated Press.
The trust was originally set up to give equal control over Murdoch’s businesses to his four oldest children upon his death, according to the New York Times.
Murdoch stepped down as leader of both Fox News’ parent company and his News Corp media holdings last northern autumn.
He is arguing that to preserve his businesses’ commercial value for all his heirs, the trust must be changed so Lachlan can ensure his newspapers and TV networks continue to have a conservative editorial outlook, the NYT reported.
Lachlan succeeded his father as chairman of News Corp in November. He is also executive officer at Fox Corp, home to conservative news network Fox News, the Fox broadcast and sports networks, and local TV stations.
The media empire spans continents and helped to shape modern American politics.
Murdoch’s bid to change the trust has pitted him against his other three children named as beneficiaries: James, Elisabeth and Prudence.
They have united to stop their father from revising the trust, according to the NYT.
Murdoch also has two younger daughters, Grace and Chloe. They are not involved in the trust.
Irrevocable trusts are typically used to limit estate taxes, among other reasons. They cannot be changed without permission from the beneficiaries or via a court order.
Nevada Probate Commissioner Edmund J Gorman of the Second Judicial District Court in Reno ruled that Murdoch could amend the trust if he could show that he was acting in good faith and for the sole benefit of his heirs.
The court’s ruling notes that Murdoch sought to give Lachlan permanent and exclusive control over his companies because the mogul was worried that a lack of consensus among his children could affect the strategic direction at his companies, including potentially leading to a change in editorial policy and content, according to the NYT report.
Earlier in 2024, Murdoch married for a fifth time. He tied the knot with 67-year-old retired molecular biologist Elena Zhukova at his Californian vineyard.
-with AAP