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August 6, 2024

Namesake of Holy Cross performing arts center files federal lawsuit seeking to recover $20M+ in donations

Photo | Courtesy of the College of the Holy Cross The Prior Performing Arts Center on the campus of the College of Holy Cross

The College of the Holy Cross in Worcester finds itself in a legal dispute with a wealthy alumnus who donated millions towards the construction of the college’s performing arts center.

Cornelius Prior, a Holy Cross alumni who became the namesake of the college’s new $110-million performing arts center after donating $25 million for its construction, has sued the higher education institution in federal court as part of a dispute over Prior’s donations.

In his lawsuit, originally filed in the U.S. District Court for the District of Massachusetts in September, Prior claims he made a series of conditional donations to the school beginning in 2012, which he said were to accelerate the design and construction of a new performing arts center. 

Prior’s lawsuit claims the school broke several promises it had made in regards to the donation, including failure to adhere to a timeline for the performing arts center's construction and failure to segregate his donations in a separate account or provide accountability on how his donations have been spent. 

Prior alleges in the lawsuit he was coerced into making millions more in donations to the college in addition to his initial donation of $18 million, including $3 million to help boost construction of the school’s new athletic facilities, a project that Prior claims he was opposed to.

He claims Holy Cross canceled a celebratory concert to mark the opening of the center out of spite after he had requested more details on how his donations were being spent. 

In court filings and in a statement to WBJ, Holy Cross has denied Prior’s claims, instead saying Prior’s alleged failure to follow through on his alleged pledges has caused a financial burden for the school.

“We are disappointed Mr. Prior has not fulfilled his pledge and chosen to continue legal action instead of working to resolve the matter in mediation or arbitration,” the statement reads. “The college is confident it complied with the terms of the 2014 pledge agreement, which was approved by the college in accordance with its by-laws while Mr. Prior was a member of the Board of Trustees. We remain hopeful we can resolve this matter in mediation or if necessary arbitration, the dispute-resolution mechanisms laid out in the parties’ pledge agreement.

“Despite the multi-million dollar burden left by Mr. Prior's failure to abide by the express terms of a written pledge agreement from Mr. Prior to the College, the Prior Performing Arts Center opened in 2022, was dedicated in 2024, and continues to be a catalyst for creativity and learning,” the statement continues, “amplifying the arts at Holy Cross and providing the college, the Greater Worcester community, and visiting creative thinkers with an inspiring environment to pursue diverse questions of the human experience.”

During a hearing on Friday, U.S. District Court Magistrate Judge David Hennessy ordered Holy Cross to provide Prior more detailed accounting records on how his donations were spent, but agreed to consider the college’s request to stay the lawsuit under consideration for now, according to reporting by the Telegram & Gazette. A status hearing has been scheduled for later this month. 

Graduating from Holy Cross in 1956, Prior is the chair of the board of the telecommunications services company Atlantic Tele-Network, Inc, headquartered in Beverly. Now a resident of the U.S. Virgin Islands, his $25-million donation was the largest single donation in the school’s history, according to an article in Holy Cross Magazine.  

Eric Casey is a staff writer at Worcester Business Journal, who primarily covers the manufacturing and real estate industries. 

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