SETTLEMENT AGREEMENT 11/09/2020 SETTLEMENT AGREEMENT
THIS AGREEMENT is made and entered into by and between Wendy Samuels("Ms.
Samuels"), the 82 Federal Street, LLC ("LLC"), and the City of Salem ("City") in the interest of
resolving a dispute regarding the use of the property at 82 Federal Street without resorting to
costly and protracted litigation.
WHEREAS the City of Salem has determined that Ms. Samuels and the LLC are in violation of
the City's Short-Term Rental Ordinance, Sections 15-1 through 15-9, which prohibits the
operation of a short-term rental in a non-owner occupied property; and
WHEREAS the City has issued Ms. Samuels, as manager of the LLC a cease and desist order
regarding the continuing operation of a non-owner occupied short-term rental in the City in
violation of the Zoning Ordinance and has cited Ms. Samuels and the LLC for the operation of a
short-term rental without a current registration and certificate of fitness at the second-floor unit at
82 Federal Street; and
WHEREAS Ms. Samuels and the LLC deny that 82 Federal Street is a non-owner occupied
property or is otherwise being operated in violation of the Zoning Ordinance.
WHEREAS Ms. Samuels,the LLC, and the City of Salem have agreed that it is in their mutual
interest to resolve this matter upon the terms and conditions more fully set forth herein.
NOW,THEREFORE, in consideration of the mutual promises and covenants herein set forth,
which consideration is acknowledged by the parties to be good and sufficient, the parties hereto
covenant and agree as follows:
1. The parties to this Agreement acknowledge and agree that the consideration provided
herein, constitutes good and sufficient consideration for this Agreement.
2. Ms. Samuels and the LLC shall immediately discontinue advertising the second-floor unit
at 82 Federal Street as a short term rental on any advertising platforms, including but not limited
to,any online platforms such as Itrip, Airbnb, Homeaway, and VRBO and continue to do so for a
period of one(1)year to expire December 1, 2021.
3. Effective December 1, 2020 and for a period of one (1)year to expire December 1, 2021,
Ms. Samuels and the LLC agree that they will not utilize the second-floor unit at 82 Federal
Street as a short-term rental as defined in Sections 15-1 through 15-9 of the City Ordinance.
4. Ms. Samuels and the LLC agree that the unit will only be eligible for return to use as a
short-term rental under City Ordinance after December 1, 2021 if the unit qualifies under the
definitions contained in Sections 15-1 through 15-9 of the City Ordinance or is otherwise
permitted by law.
5. In consideration for the promises set forth herein,the City agrees to withdraw all of its
past findings of violations,present enforcement actions, and waive any fines that have been or
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could be imposed through December 1, 2020. Should Ms. Samuels and/or the LLC fail to abide
by the terms of this Agreement and advertise or use the second-floor as a short-term rental as
defined in the City Ordinance, however,the enforcement actions and fines shall be reinstated and
each additional day the unit is rented or advertised may result in such additional fines as may be
permitted by law. The City warrants that, as of the date of this Agreement,there are no other
complaints or violations of City Ordinances concerning 82 Federal Street and that this Settlement
Agreement shall resolve all such existing complaints and violations concerning 82 Federal
Street.
6. The parties agree and acknowledge that the considerations exchanged herein do not
constitute and shall not be construed as constituting an admission of any sort on the part of the
City,Ms. Samuels, or the LLC.
7. The parties agree that this Agreement may not be used as evidence in any subsequent
proceeding of any kind except one in which either of the parties alleges a breach of the terms of
this Agreement or one in which either of the parties elects to use this Agreement as a defense to
any claim brought by the City, Ms. Samuels,the LLC, or any third-party.
8. Other than as stated herein, the undersigned parties warrant that no representation,
promise or inducement has been offered or made to induce any party to enter into this
Agreement, and that they are competent to execute this Agreement and accept full responsibility
therefor. Each party acknowledges that it has been advised by its own legal counsel in executing
this Agreement.
9. This Agreement shall be executed as an Agreement under seal and it shall be governed by
the laws of the Commonwealth of Massachusetts, and shall be binding upon and inure to the
benefit of the City, Ms. Samuels, and the LLC and their respective agents, representatives,
assigns, heirs, executors, successors and administrators.
10. Nothing in this agreement shall be construed as to bind any future owner or tenant of 82
Federal Street to the terms set forth herein, and it is personal only by and between Ms. Samuels,
the LLC, and the City.
11. The City agrees that all matters relating to the contents of this Agreement and any and all
discussions pertaining to settlement("Settlement Information") are confidential. The City agrees
that, unless required to do so by law, it will not disclose Settlement Information to any person
other than its legal and tax advisors,who shall also be bound by the confidentiality terms of this
Agreement.
THIS SPACE INTENTIONALLY LEFT BLANK
SIGNATURE PAGE TO FOLLOW
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WHEREFORE, the parties have read the above Agreement and attest that they fully understand
and knowingly and voluntarily accept its provisions in their entirety without reservation.
DATED this day of November 2020.
41, k -
Wendy Sa els,Manager Building Corn issioner
82 Federa eet, LLC City of Sal-
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Health Agen , Board of Health
City of Salem
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Approved as to form: 4\
City Solicitor - _
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