I know, you’re wondering what I’ve smoked or ingested that has me engaging in crazy thoughts like Fox News, Trump/MAGAs driving force might one day cease to be shameless promoters of conservative bullshiite and RWNJ propaganda. Bear with me because while nothing will happen soon the fact is it really is possible that the Fox created three decades ago could change and in a huge way. Rupert Murdoch has tried to ensure his son Lachlan who shares his vision will rule the family media empire when he dies. He’s already transferred day-to-day control of operations to Lachlan although he’s still able to intervene whenever he wants. But for some years now the plan has been for Lachlan to carry on and do what Rupert himself would have done. There’s long been a flaw in that plan, and one Rupert has tried to “fix” but he just took a major legal hit and Lachlan could find himself on the outside and looking in when old Rupert dies!
Bear in mind that Rupert Murdoch is OLD. As in 93 years old. There are no indications he’s got health issues. No reports of illness like cancer or heart problems. But while he seems ok for someone that’s in their 90s he’s not exactly a vigorous man anymore. He’s freaking OLD. Even with access to the best medical care people that age can develop something that spirals them down to death’s door pretty damned fast. That’s all the more reason Rupert Murdoch has been on a legal quest in recent years.
Back in September I saw a small blurb about an obscure legal proceeding taking place in Nevada. I wrote about it here on PZ in fact. The general thrust was that although the details of what was going on were locked down like the nuclear codes it was something we should watch for details later on. Well, it’s “later on.” News outlets (except for Fox) have been furious about the whole proceeding being locked down and private. However, we now have some actual news and it’s not at all what Rupert Murdoch had hoped for. Here’s the short version:
Back in 1999 Rupert Murdoch created a Family Trust to ensure an orderly succession to running the empire he’d created after his death. He’d been preparing his two sons James and Lachlan to take over when the time came. (Why am I not surprised their two sisters weren’t considered for the eventual job?) Four Murdoch children, specifically sons James and Lachlan as well as daughters Prudence and Elisabeth would hold equal shares in the trust. I honestly don’t know whether either of the daughters had a real interest in taking over for Rupert one day, but no matter. It was a long time ago, and it was clear it would be either James or Lachlan with the two daughters having good and good paying roles if they wanted them.
In fact, for a good while it seemed like James would be the heir apparent. So much so that Lachlan decamped to Australia (where the family originated) and was mostly out of the picture. Something, somewhere along the line changed and Lachlan came back into the fold, or rather the management of the media empire. James got eased out. It turned out James’ beliefs had shifted, and like his sisters he came to dislike how ole dad was using his vast influence on the news. Lachlan for a time didn’t seem all the way on board himself but once offered the power and money he drank the Rupert Kool-Aid. Now there’s no doubting things would continue under him just like they’ve been with his father.
Except for that pesky family trust. It became abundantly clear that under the terms of the trust with each of the four named children holding an equal share that James would gain control. And Lachlan would be tossed aside. THAT would mean changes and big ones within that whole media empire, starting with Fox News. One could expect additional changes at other major outlets like the Wall Street Journal which always had a conservative bent but at least didn’t allow outright bullshit like it sometimes now does.
Alas, breaking up a Family Trust like the one Rupert Murdoch created is damned near impossible to do unless everyone agrees. Guess what? Three of his kids chose not to role over and allow the keys to the Kingdom to be handed to Lachlan when the old man dies. The only choice was to go to court and try to come up with a legal reason that could pass muster to break up the trust. Which leads us to Nevada and that hearing that the media was shut out of.
There’s still a lot we don’t know, but starting last night numerous outlets have reported the decision from the judge, a Commissioner actually who heard the case was a scathing rejection of Rupert Murdoch’s bid to break the Family Trust. Not much more is known today but the articles, like this one from the BBC are filling in with some more information. It notes how the Murdoch family was at least partly the inspiration for the TV series Succession (I’ve never seen any of it), something the family has refused to comment on. What matters is that supposedly one of the daughters started thinking after seeing an episode and wanted to ensure when the time came there would be no surprises – as in the terms laid out in the Family Trust would be in force. What are those terms? Per the BBC:
In 1999, the Murdoch Family Trust, which owns the media companies, was supposed to largely settle the succession plans.
It led to Mr Murdoch giving his eldest children various jobs within his companies.
The trust gives the family eight votes, which it can use to have a say on the board of News Corp and Fox News. Mr Murdoch currently controls four of those votes, with his eldest children being in charge of one each.
The trust agreement said that once Mr Murdoch died, his votes would be passed on to his four eldest children equally
Bluntly put you have three children with progressive leanings (all supported Harris) vs. one who is like old dad and conservative. And one of them at one point had been groomed to take over when Rupert died. It’s not a stretch to think that if James wanted to take over and shift Fox and other outlets away from RWNJ propaganda and into being legitimate news organizations his sisters would go along. That would be a Three to One vote against Lachlan and the current business model. Now, if Rupert were to keel over dead from a heart attack before this day is out nothing would change right away. There are still legal proceedings to play out. However, right now in Fox News world I’ll bet pre-earthquake tremors are being felt. Trump’s too stupid to sense the danger yet but he will soon enough be clued in.
Why? As this article from The Telegraph indicates the person presiding over that super-duper-secret Sept. hearing issued a scathing ruling. 96 pages worth of raking Rupert Murdoch over the coals and when terms like “bad faith” are part of a ruling that lengthy WHY such a term was used will be spelled out for the judge/judges doing the inevitable review when it’s appealed as it surely will be:
In a 96-page judgment, Mr Gorman wrote that Mr Murdoch’s aim was to “permanently cement Lachlan Murdoch’s executive roles … regardless of the impacts such control would have over the companies or the beneficiaries” of the family trust.
Mr Gorman said that Mr Murdoch and Lachlan’s representatives had “demonstrated a dishonesty of purpose and motive”.
Gorman cited an ‘expert’ of Rupert (and I presume Lachlan) who’s ‘expertise’ was apparently pretty much watching that TV series Succession and Google searches. You’d think someone with Murdoch’s resources could come up with someone with actual credentials. There were other witnesses too apparently, as well as evidence in the form of documents other than the trust itself. But Rupert’s choice(s) of who would testify on his behalf about breaking the Trust didn’t go over well at all, Again from The Telegraph:
Mr Gorman said Mr Murdoch’s attempt to change the trust was “an attempt to stack the deck in Lachlan Murdoch’s favour after Rupert Murdoch’s passing so that his succession would be immutable”.
He added: “The play might have worked; but an evidentiary hearing, like a showdown in a game of poker, is where gamesmanship collides with the facts and at its conclusion, all the bluffs are called and the cards lie face up.”
So where do things now stand? A full hearing was held where both sides got to present their case. The Commissioner who heard it has issued a lengthy, scathing ruling AGAINST Rupert (and Lachlan) Murdoch. It will go on to a judge who could wait anywhere from weeks to months to put a final stamp of approval on it but one can assume Gorman’s ruling is solid. One can also assume Rupert and Lachlan will avail themselves of every possible appellate court to overturn the ruling. They were facing a steep uphill fight to begin with and it’s now steeper.
Like I said, if ole Rupert kicks the bucket tomorrow not much will change at Fox, at least in the near term. However what’s been a ‘below the radar’ legal proceeding will suddenly become very high profile indeed. There are legal reasons why this was heard in Nevada – the laws there allowing for this to be a private matter even though a very PUBLIC and publicly held international corporation is at stake. I simply don’t see this whole thing staying under the radar anymore. In fact, if Rupert were to suddenly pass away it will be a huge news topic every week until the matter is resolved. Especially with a Trump administration and DOJ trying to influence the outcome! The stakes for Trump/MAGA if Fox is no longer able to mainline RWNJ Trump Orange Kool Aid into MAGA’s veins on a daily basis is catastrophic.
Again, a major change in Fox News is neither imminent or even inevitable. However a ‘bigly’ step towards a major shift has just taken place. If things play out the way the law calls for them to do so, and three SANE people who care about the future gain control over the Murdoch empire there’s real hope that a change for the better could come sooner rather than later.
