Rupert Murdoch Loses Legal Battle to Alter Control of Media Empire

 

Rupert Murdoch’s efforts to grant his eldest son, Lachlan, full control over the family’s media empire have been thwarted by a Nevada court ruling, leaving all four of his adult children with equal voting power in the trust governing the global conglomerate.

The sealed decision, delivered by Commissioner Edmund Gorman and revealed by The New York Times, found that Rupert Murdoch, 93, and Lachlan acted in “bad faith” in attempting to alter the terms of the irrevocable trust that oversees the family’s empire, which includes Fox News, News Corp, The Wall Street Journal, and other major outlets.

The court described their actions as a “carefully crafted charade” designed to cement Lachlan’s executive control, disregarding the interests of the other beneficiaries. The ruling emphasized that the current structure, which grants equal voting power to Murdoch’s four oldest children—Lachlan, James, Elisabeth, and Prudence—must remain intact.

Murdoch’s three other children welcomed the decision, expressing hope for reconciliation. “We hope to move beyond this litigation to focus on strengthening and rebuilding relationships among all family members,” they said in a joint statement.

Lachlan, who has been more politically aligned with his father, had pushed the case forward under the guise of “Project Harmony,” claiming it would prevent future power struggles. However, James, Elisabeth, and Prudence were reportedly blindsided by the attempt.

James, in particular, has been openly critical of the conservative slant of the Murdoch media empire, stepping down from his executive role in 2020 and voicing concerns about climate denialism and misinformation. In contrast, Lachlan has embraced the company’s right-wing business model, which has driven significant ratings and revenue growth since Donald Trump’s political rise.

Murdoch’s lawyer, Adam Streisand, announced plans to appeal the ruling, leaving the final decision to a district judge in probate court. The legal battle has already involved high-profile attorneys, including former U.S. Attorney General William Barr, signaling the stakes involved in controlling the multi-billion-dollar empire.

If upheld, the decision could shape the trajectory of the Murdoch media empire. While all siblings share equal control, the business's profitability remains a unifying factor. Media scholar Robert Thompson suggests that despite differences in ideology, the family is unlikely to deviate from the highly successful right-wing business model established by Rupert Murdoch.

“The Fox model has worked very well,” Thompson said. “Jeopardizing that steady course would be bad for everybody.”

With Fox generating nearly $14 billion in revenue in fiscal year 2024 and maintaining its dominance in U.S. cable news, the ruling highlights the challenges of balancing family dynamics with business imperatives in one of the world’s most influential media empires.