After a bruising battle for control of one of the Twin Cities' largest family-owned businesses, the former chief executive of Twin City Fan Cos. has reached a truce with his son and other family members.
Under terms of the deal, longtime chief executive Charles Barry has agreed to sell his 26.6 percent share of the company for $15 million to $20 million, according to an attorney who has been briefed on the terms. His son Michael gains control of the manufacturing company, which employs 1,500 people in five states.
Several ongoing lawsuits were put on hold this month after family members agreed to a term sheet resolving all claims, according to an order filed by Hennepin County Judge Bruce Peterson. The cases have been suspended for a year to give family members time to finalize an agreement.
The family feud erupted in early 2016 after an internal investigation triggered by the pending sale of the company revealed questionable spending by Charles Barry, court documents show. Though the sale later collapsed, family members turned against Barry when they found out he had provided at least $11 million in support to his longtime girlfriend and current wife Kathleen Bryan-Barry, court records show.
Family members accused Barry of misusing corporate resources to support Bryan-Barry, a charge Charles Barry has repeatedly denied. Charles Barry accused his ex-wife and children of using the affair to shove him out of the company.
The pending settlement finalizes the departure of Charles Barry, whom family members fired from his $3.5 million-a-year job this spring. Lawyers continue to hammer out many of the details, including who is going to pay for Charles Barry's multimillion-dollar life insurance policies.
"It's a very detailed term sheet," said one attorney.
With annual sales of $275 million, Twin City Fan is one of the largest makers of industrial fans in the United States. Its products range from small exhaust fans to large blowers that move air in automobile and steel factories.
