Block Communications Inc., the parent company of the Pittsburgh Post-Gazette, has reached a settlement with its ousted CEO Allan Block, following a legal dispute over his exclusion from discussions about the potential sale of the company. The lawsuit, which involved several members of the Block family and the company’s board, has been dismissed with prejudice, according to an Ohio court order issued Monday.
Block Communications Settlement : Family Feud Over Company Sale
Allan Block, who was removed as CEO but remained a director, accused the company and board members, including his twin brother John Block, of attempting to orchestrate a sale of the company for their personal gain. He alleged that he was wrongfully kept out of the decision-making committee tasked with exploring the sale of Block Communications.
The case intensified as Allan Block sought financial records from his family and other board members to understand the motivations behind the potential sale. However, a key point in the dispute was resolved when the board eventually agreed to include Allan Block in the committee discussions about a possible sale.
Settlement Details Kept Confidential
The settlement details have not been disclosed, and Ohio Judge Jonathan P. Hein’s order did not provide specifics of the agreement. The order indicated that each party will bear its own legal fees and costs, “except as expressly set forth in the parties’ settlement agreement.” The court retains jurisdiction over the case to enforce the terms of the settlement, if necessary.
Block Communications Settlement : Legal Representation
Allan Block was represented by attorneys from Spengler Nathanson and Kirkland & Ellis LLP, including James P. Silk Jr. and Matthew Solum. Block Communications was represented by a team from Jones Day, and John Block enlisted counsel from K&L Gates LLP.
