Ex-Brooks Brothers Owners Sued for $100 Million by Investor (1)

Brooks Brothers Group Inc.’s former owners were sued by a minority shareholder for allegedly putting their interests above those of other investors while pursuing a sale of the famous clothing company.

The shareholder, TAL Apparel Ltd., alleges that former chairman and chief executive officer Claudio Del Vecchio and his son Matteo refused to pursue certain bids for Brooks Brothers in 2019 because those deals would have forced them to pay TAL millions of dollars. TAL cited a “make whole” provision that would reimburse it if the clothing company’s value fell below that of their investment.

TAL, which filed ...