Henry was born in Waterbury, Vermont, the son of James Madison and Matilda Henry. He taught school in his hometown for one year, then caught 'gold fever,' and moved to California in 1851. He served as constable in White Oak, El Dorado County, California, in 1856. He returned to Vermont in 1857 and joined his father's business manufacturing pharmaceuticals. Henry married on August 5, 1857, Mary Jane Beebe, daughter of Lyman and Mary Beebe of Waterbury, Vermont. They had five children. Mary Jane died in 1871, and Henry married Valeria Heaton, daughter of Timothy and Susan Heaton of Waterbury.
He was commissioned first lieutenant of Company D, 2nd Vermont Infantry, on May 20, 1861, but resigned on November 5, 1861, for medical reasons. He rejoined his father's business, and returned to the Washington area, selling drugs to sutlers and military surgeons. He then accepted a position as major of the 10th Vermont Infantry on August 26, 1862. He was promoted to lieutenant colonel on October 17, 1862, and assumed command of the regiment as colonel on April 26, 1864, replacing Albert B. Jewett, who had resigned. He commanded his regiment at the battles of the Wilderness, Spotsylvania, North Anna, Totopotomy Creek, Cold Harbor, and Cedar Creek. He was wounded in action six times, slightly at Cold Harbor on June 3, 1864, and Monocacy on July 9, 1864, and was hit four times at Cedar Creek on October 19, 1864. Due to his wounds and other medical reasons, he resigned his commission on December 17, 1864 and was mustered out of the volunteer service. His departure from the regiment, was "greatly regretted by the officers and men, and their personal regard and regret found expression in a highly complimentary parting testimonial, signed by all but two of the officers of the regiment. In this paper they also requested Colonel Henry to carry home with him and present to the Legislature of Vermont the tattered colors of the regiment, under which no less than twenty of the color guard had been killed or wounded." After Henry was mustered out of the Union Army, on March 7, 1865, President Abraham Lincoln nominated Henry for appointment to the brevet grade of brigadier general, to rank from March 7, 1865, and the U.S. Senate confirmed the appointment on March 9, 1865. On December 21, 1892, he received the Medal of Honor for his actions at Cedar Creek, "though suffering from severe wounds, rejoined his regiment and led it in a brilliant charge, recapturing the guns of an abandoned battery."
Rank and organization: Colonel, 10th Vermont Infantry. Place and date: At Cedar Creek, Va., October 19, 1864. Entered service at: Waterbury, Vt. Born: November 21, 1831, Waterbury, Vt. Date of issue: December 21, 1892. Citation:
Though suffering from severe wounds, rejoined his regiment and let it in a brilliant charge, recapturing the guns of an abandoned battery.