Conservative Media Empire at Stake... Media Mogul Murdoch Faces Inheritance Dispute with Three Children

Opposition Arises as Trust Modification Proposed to Concentrate Power on Eldest Son

Rupert Murdoch, the global media mogul who owns Fox News, The Wall Street Journal, and more, is reportedly engaged in an inheritance dispute with his three children, The New York Times (NYT) reported on the 24th (local time). The conflict arose as Murdoch tried to empower his eldest son to maintain a conservative editorial stance, which sparked opposition from his other children.

According to documents obtained by the NYT, Murdoch made a surprising move at the end of last year to change the terms of the family trust so that his eldest son, Lachlan, whom he had designated as his successor, could continue to lead the vast TV networks and newspapers.

Rupert Murdoch [Photo by Reuters]

Currently, the family trust stipulates that upon Murdoch's death, ownership passes to his four eldest children. Furthermore, all four children have equal say in the company's management. However, the NYT reported that Murdoch argues that concentrating company management in Lachlan's hands is necessary to maintain the conservative editorial stance and protect the company's commercial value. Unlike Lachlan, the other three children are known to have relatively moderate political views.

In response to Murdoch's attempt to rewrite the family trust, the other three children?James, Elizabeth, and Prudence?have united in opposition. Lachlan has sided with Murdoch.

Murdoch, 93 years old this year and originally from Australia, has built a media empire that includes Fox News, the influential financial newspaper The Wall Street Journal (WSJ), the New York Post, as well as major newspapers and TV broadcasters in the United Kingdom and Australia, wielding immense influence.

Last month, a notary public in Nevada ruled that the trust could be amended if it could be proven that Murdoch acted in good faith and solely for the benefit of the heirs. The NYT anticipates that a trial to determine Murdoch's good faith will begin in September. Both sides are reportedly assembling teams of high-profile lawyers to respond.

The NYT noted, "Surprisingly, the dispute (within the family) has proceeded completely out of the public eye," and assessed that Murdoch is taking action to maintain his media business as a conservative force.

When Murdoch officially designated his eldest son Lachlan as his successor in 2018, rampant speculation about the succession ended, but now family disputes have resurfaced. Due to the inheritance conflict, it is reported that Murdoch's three children did not attend his fifth wedding held last month in California, USA.

According to the NYT, since Murdoch designed the trust about 25 years ago, the political views within the Murdoch family have sharply diverged. The NYT stated, "During Donald Trump's rise, Murdoch and Lachlan closely united to push Fox News, the company's most influential outlet, further to the right, which increasingly made the other three children uncomfortable."

Considering Murdoch's advanced age, the NYT stated that this fight is likely to be the last battle for control over Murdoch's media empire.