Frank Stronach's lawsuit against family is in true form for billionaire, says business columnist
'Frank Stronach does not sit on beaches,' says Andrew Willis who has been covering the family for 30 years
It's a family feud that has resulted in a $520 million lawsuit.
Magna International founder Frank Stronach is suing his daughter Belinda Stronach, and two grandchildren among others, alleging his heirs have mismanaged the family's assets.
It's a move that seems completely in character for the billionaire, according to a Globe and Mail business columnist who has been covering the family for 30 years.
"Everybody thinks, well Frank's 86 years old, he's created Magna, he's had all this success, he should just go gracefully off and sit on a beach. Frank Stronach does not sit on beaches," Andrew Willis told The Current's guest host Michelle Shephard.
"Family relationships within a business can be challenging. My children and I love my father. However, his allegations are untrue and we will be responding formally to the statement of claim in the normal course of the court process," Belinda said in a statement to The Current.
Tiffani Steer, VP of communications and events at The Stronach Group, said in a separate statement that the company has been "performing very well in a number of its core businesses," adding that its revenue has increased from $600 million US in 2013 to $1.1 billion in 2017.
Tensions between Belinda and Frank have been brewing for years, according to Willis.
The basis for the divide comes down to Frank's role in the company he created versus a daughter who wants to take the company in her own direction.
"Frank is Frank, and he's never going to be able to give up the company he built — and Belinda's got ambitions that, sadly, she hasn't been able to achieve with him on the scene," he explained.
To discuss the family feud and lawsuit in more depth, Shepard spoke to:
- Bill Finley, a reporter with the Thoroughbred Daily News who broke the story.
- David C. Bentall, a Canadian advisor in family enterprise and the founding chairman of the Business Families Centre at UBC. He's also the author of Leaving a Legacy: Navigating Family Businesses Succession.
- Andrew Willis, a business columnist at The Globe and Mail who has been covering Frank Stronach and Magna for more than 30 years.
Listen to the full discussion near the top of this page.
Produced by Danielle Carr, Julie Crysler and Zena Olijnyk.