Murdoch family resolves succession dispute with Lachlan remaining in control of media empire

CNN Rupert Murdoch s chosen son Lachlan will remain in charge of the family business forestalling a predicted challenge from his siblings over the political bent of the conservative media empire Instead three siblings are exiting the business altogether in an ending worthy of a dramatic series finale A protracted legal battle over the future of the Murdoch family trust was resolved on Monday according to statements from the two companies Fox Corp and News Corp The companies mentioned that the Murdoch family s existing trust setup is being replaced Prudence MacLeod Elisabeth Murdoch and James Murdoch described in legal filings as the departing members will receive about billion each for their shares a person with knowledge of the transaction announced James for one has been deeply troubled for years about Fox News Channel s right-wing activities and about other aspects of the family business He has also donated to Democrats and supported progressive groups Particular of James associates have talked about a scenario where he could work with Prue and Elisabeth to dethrone Lachlan in the event of their father s death Fearing precisely that possibility Rupert made several moves to bolster Lachlan who closely aligns with his father s conservative views and is the executive chairman of both companies The succession drama really kicked off in when the elder Murdoch attempted to amend the family trust The original trust established decades ago after Murdoch s divorce from his second wife split up voting shares between Rupert s four oldest children The patriarch wished to consolidate control with Lachlan and cut out his other children a both shockingly personal and overtly political maneuver The trio opposed the move contesting it in a court in Reno Nevada a state that offers one of the the greater part private settings for issues like family trust decisions allowing parties and judges to lock the cases behind closed doors to such an extreme degree that their very existence is not even publicized on court dockets A judge refused to unseal the proceedings but word of the legal battle leaked out Sources narrated CNN that the disputes over the family trust had been tearing the family apart The Nevada court ruled against Rupert Murdoch last winter finding that Rupert Lachlan and their representatives had worked in bad faith James Elisabeth and Prudence commented at the time that they hoped to move beyond this litigation and focus on strengthening and rebuilding relationships among all family members The Nevada ruling apparently spurred legal talks that resulted in what the companies on Monday called a mutual resolution of the legal proceedings Lachlan and two younger sisters Grace and Chloe will have shares in a new trust that will have the controlling stakes in both companies going forward