The trustees of the Otto Bremer Trust, one of the largest grantmakers in Minnesota, have responded to a call for their resignations by requesting that a jury hear the case, which centers on a dispute over the future of Bremer Bank, the Minneapolis Star-Tribune reports.

The bank, the fourth largest in the state by asset size, is owned by the trust — the only such relationship in the country — although the foundation does not control the bank's board or its day-to-day operations. Last year, OBT trustees clashed with bank management over a prospective sale of the bank. The trust's grantmaking, which is focused on organizations in Minnesota, North Dakota, and Wisconsin, is chiefly funded with profits from the bank. According to the Star-Tribune, the governing document of the trust, which was created after the death of its founder Otto Bremer, says the bank "may only be sold if, in the opinion of the Trustee, it is necessary or proper to do so owing to unforseen (sic) circumstances."

According to the Star-Tribune, OBT trustees have argued in previous filings that the banking industry has been reshaped by technology, bank consolidations, ultra-low interest rates, and changes in consumer behavior. The trustees claim that selling the bank would immunize the trust from the ups and downs of the banking industry and enable it to grow its assets through a broader range of investments.

Last week, in a filing with the Ramsey County judge who is presiding over multiple lawsuits in the dispute, Minnesota attorney general Keith Ellison accused OBT's trustees of violating state laws by putting their personal interests ahead of those charities and the bank. In his statement, Ellison suggested the three trustees — Brian Lipschultz, Daniel Reardon, and Charlotte Johnson — had long sought to change the trust "from a charitable foundation to a finance-focused private-equity firm benefiting their private interests” and suggested three candidates qualified to replace them: Pamela Alexander, a retired Hennepin County judge; Marcia Avner, former public policy director of the Minnesota Council on Nonprofits; and Carleen Rhodes, former CEO of the St. Paul Foundation and the Minnesota Community Foundation.