Rupert Murdoch's Trust Bid Fails

By Dawn Chmielewski

(Reuters) – Rupert Murdoch has lost a bid to modify his family trust to consolidate control of his media empire in his son Lachlan's hands, according to the New York Times.

Nevada commissioner Edmund Gorman concluded that Rupert and Lachlan had acted in "bad faith" during their attempt to amend the irrevocable trust. While the court's decision was filed privately, it indicates that the current trust divides control among Rupert’s four oldest children: Lachlan, James, Elisabeth, and Prudence.

Rupert proposed changes to ensure Lachlan's leadership after his death, potentially blocking interference from his politically moderate siblings. This scenario raised concerns about conflicts over the media outlets' future, despite Lachlan’s current leadership role at Fox and News Corp.

Gorman referred to the amendment effort as a "carefully crafted charade" aimed at securing Lachlan's control regardless of its effects on the companies or family beneficiaries. Rupert's lawyer expressed disappointment in the ruling, and plans to appeal the decision.

The trust, designed for confidentiality, was established in Nevada. Rupert Murdoch, aged 93, did not comment, while Lachlan also remained silent.

In response, Lachlan’s siblings welcomed the ruling and expressed hope for healing family relationships, stating: "We can move beyond this litigation to focus on strengthening and rebuilding relationships among all family members."