Shareholders’ Lawsuit Targets Murdoch Leadership at Fox Corp.

Shareholders filed a suit three years ago seeking to hold Rupert Murdoch, his son Lachlan Murdoch, and several board members liable for a business model that repeatedly exposed Fox Corp. to scandal-related litigation. The case was ignited by a nearly $800 million settlement Fox paid to Dominion Voting Systems over 2020-election coverage. A Delaware judge on Friday ordered the company to produce roughly 700 documents—including board minutes, emails from former Ford CEO Jacques Nasser’s accounts, and records containing the phrase “phone hacking”—and to provide a list of every email address ever used by Murdoch or Nasser.

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The shareholders point to multiple prior controversies: the Dominion settlement, an ongoing Smartmatic lawsuit seeking $2.7 billion, an undisclosed settlement with the family of Seth Rich, and a British phone-hacking scandal that has cost News Corp. about $1.5 billion. Jacques Nasser served as an independent director on News Corp., 21st Century Fox and Fox Corp.

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Vice Chancellor Bonnie David ruled fully in the plaintiffs’ favor, compelling Fox to disclose the requested documents and email lists. Fox has not provided comment beyond that statement.

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If the shareholders can demonstrate that more than half of Fox’s board lacked true independence, the case could proceed to trial, potentially exposing the company to further financial liability beyond the existing settlements. The forced disclosure of board minutes and email records may also illuminate how Murdoch’s alleged “spoliation” of evidence—deleting texts relevant to the Dominion and Smartmatic cases—was conducted.

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• “That documents were deleted wholesale is incorrect,” — Anitha Reddy, Fox attorney

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