Rupert Murdoch’s attempts to reshape his family trust could cost Fox News billions in defamation lawsuits.
At a Glance
- Rupert Murdoch’s plan to give full control of his media empire to his son Lachlan is being contested in court
- Fox News faces a $2.7 billion defamation lawsuit from Smartmatic over 2020 election fraud claims
- Smartmatic’s lawyers want to question Murdoch about his trust changes, believing it could reveal Fox Corp.’s involvement in editorial decisions
- The legal battle highlights the intersection of family trust administration and media ethics
Family Drama Meets Media Ethics
The future of Fox News and Rupert Murdoch’s vast media empire is hanging in the balance as a family feud unfolds in a Nevada probate court. Murdoch’s plan to amend his trust, giving full control to his eldest son Lachlan, has ignited a firestorm of opposition from his three eldest siblings. This power struggle isn’t just about family dynamics; it’s about the direction of one of the most influential conservative media outlets in America.
At stake is the control of global media assets including Fox News, the Wall Street Journal, and the Times of London. Lachlan’s siblings, particularly James, have expressed concerns over Fox News’ hard-right stance. This family discord has now become intertwined with ongoing legal battles facing the network, including a massive defamation lawsuit from voting machine company Smartmatic.
Fox News is being sued in a $1.6 billion defamation lawsuit by Dominion Voting Systems, which alleges the company knowingly spread false claims about their voting machines during the 2020 election.@stephgosk reports on Rupert Murdoch’s deposition, according to court documents. pic.twitter.com/OEnoDkmTn4
— NBC Nightly News with Lester Holt (@NBCNightlyNews) March 1, 2023
The $2.7 Billion Question
Smartmatic is suing Fox News for a staggering $2.7 billion, alleging defamation related to false claims about the 2020 election. This comes on the heels of Fox’s $787.5 million settlement with Dominion Voting Systems over similar allegations. Now, Smartmatic’s legal team is pushing to depose Rupert Murdoch, believing his trust changes could reveal Fox Corp.’s involvement in editorial decisions that led to the broadcasting of election fraud claims.
Fox News maintains it was simply reporting on newsworthy allegations made by Trump’s attorneys, not engaging in defamation. The network’s lawyer, K. Winn Allen, argues that Murdoch’s trust changes have “nothing at all to do with” the case and that Smartmatic’s inquiries are “not appropriate.” However, the voting machine company’s persistence in linking the trust changes to editorial decisions underscores the complex interplay between corporate governance and journalistic integrity.
A Family Divided
The Murdoch family drama adds another layer of intrigue to this legal battle. Lachlan Murdoch, who currently holds executive positions in both Fox Corp. and News Corp., is seen as the heir apparent. However, his siblings, particularly James, have been critical of Fox News’ direction. James has even gone so far as to publicly denounce the network’s content as “lies.”
This family divide reflects broader questions about the future of conservative media and the ethical responsibilities of news organizations. As the probate commissioner weighs whether Murdoch’s proposed trust changes benefit all heirs, the decision could have far-reaching implications for the media landscape and the political discourse in America.
The Road Ahead
As Fox News continues to navigate these turbulent waters, the outcomes of both the family trust dispute and the Smartmatic lawsuit could reshape the network’s future. Lachlan Murdoch has already made significant changes, including the high-profile ousting of Tucker Carlson. However, with billions of dollars and the network’s reputation on the line, the pressure to maintain Fox News’ identity while addressing legal and ethical concerns is immense.
