Lawsuit accuses former Superior Shores manager of financial misconduct

A new civil lawsuit says former Superior Shores manager Bryce Campbell used Burlington Bay condominium owners’ money to cover resort debts, kept control of the association’s finances for years, and left unit owners without the financial reports and distributions they say they were owed.

The Burlington Bay at Superior Shores Association filed the case in Minnesota’s Sixth Judicial District Court in April 2026 against Campbell, North Shore Resort Company, and Shores Resort Company. The complaint accuses them of financial misconduct, civil theft, and breach of fiduciary duty. It seeks return of transferred funds, payment of unpaid dues, punitive damages, and legal fees.

At the center of the dispute is a March 2024 City of Two Harbors water shut-off notice that was issued because of overdue bills. The association says Campbell and North Shore Resort Company moved $99,677.85 from association accounts to pay that debt, even though the utility obligation should have been borne by the manager and not by owners who were already paying through monthly rental-management invoices.

The filing says Campbell controlled both the association’s finances and its board from 2020 through April 2024 through his companies. It also alleges that Superior Shores generated about $1.23 million in revenue from April 1 through July 25, 2024, but that financial reports and distributions were not provided to unit owners. In addition, the complaint says Campbell’s businesses owe roughly $100,000 to $120,000 in unpaid association dues tied to units they owned.

The lawsuit lands against the backdrop of a much larger unraveling at Superior Shores Resort near Two Harbors. A Lake County judge removed Campbell from management in July 2024 after separate allegations that he had missed three balloon payments totaling nearly $13 million under a contract for deed tied to the property. Kinseth Hospitality Companies took over management on July 26, 2024.

Court reporting from that period said Campbell bought Superior Shores in January 2020 for about $14.5 million from Joe Re and Dale Jensen. It also said he failed to pay property taxes and other expenses and did not keep the property in good repair. After taking over, Kinseth executive Bruce Kinseth described the resort as a “financial disaster.”

The new case extends that pressure across Campbell’s North Shore holdings. In January 2026, North Shore Resort Company sued Owners Insurance Company over a denied $16.5 million claim tied to the February 6, 2024 fire that destroyed the main lodge at Lutsen Resort. For Lake County, the latest lawsuit raises a wider question about who absorbs the losses when a resort operation fails: owners, workers, creditors, or the communities that depend on stable lodging businesses to keep the North Shore economy moving.