Is the Murdoch empire heading towards a stalemate?

Even though Rupert Murdoch is still above ground, there is already speculation about the problems that will arise upon his death with his vast empire.

The following excerpts are from Andrew Edgecliffe-Johnson, Murdoch faces possible heir 'deadlock'FT.com, Nov. 28, 2008:,

News Corporation faces a potential "deadlock" once Rupert Murdoch's heirs take over, according to a biography of the 77-year-old media owner * * *.

An agreement giving equal economic rights in the Murdoch family's stake in the company to all six of its chairman's children - but voting control to the eldest four only - contains no provision for breaking tied votes, the book reports.

"A two-to-two vote means absolute deadlock in the affairs of one of the world's largest companies," writes Michael Wolff, author of The Man Who Owns the News, which will be published by Broadway Books, a division of Random House, on December 2. * * *

A person close to the family told the Financial Times: "This is not a family that believes it needs legal deadlock provisions. They have always been very happy to rely on old-fashioned talking, arguing, shouting, threatening and ultimately compromise to reach consensus."

Special thanks to Joel Dobris (Professor of Law, UC Davis School of Law) for bringing this article to my attention.