On February 7, 2021, a lawyer representing 10 Hopedale residents notified the Board of Selectmen they intend to sue the town for allegedly mishandling a settlement in the town’s lawsuit against the Grafton and Upton Railroad. 

The land in question is located at 364 West Street which the owners wanted to sell in 2020. The town had the right to purchase the land before it was offered to the general public because it was classified as “Chapter 61,” a special designation for forestlands wherein an owner pays a lower tax in exchange for allowing the town to purchase the land at a fair market price when the owner is ready to sell (also known as “right of first refusal”). 

In October 2020, in a nearly unanimous vote (400-1), Special Town Meeting voted to exercise its right of first refusal on the land to protect the town’s water quality, the aquifer, and to protect the future water supply ofHopedale and the Town of Mendon. The land includes forestland, wetlands, is just above the Hopedale Pond resource area, and is near the Upton Town Forest. Voters approved the purchase of 130.18 acres of forestland for $1.175 million and another 25 acres of wetland for $25,000. 

GURR purchased the property just days before the October special town meeting. Shortly after the town vote, the Board of Selectmen filed suit against GURR in an attempt to exercise its right of first refusal. In December, the Land Court recommended a mediation screening which took place on Jan. 8, 2021. 

After weeks of negotiations between the town, via special town counsel Peter Durning, and GURR, a “settlement term sheet” was negotiated and accepted on Jan. 25, 2021 by selectmen Brian Keyes and Louis Arcudi, selectwoman Glenda Hazard was opposed. 

Special town counsel Durning advised selectmen to accept the negotiated settlement noting that, due to an antiquated law that allows for eminent domain takings, railroads often win these matters in Land Court. At the Jan. 25 meeting where they approved the settlement, selectmen said they believed, based on legal advice, this was the best deal for the town and warned that proceeding to trial could be a risky “all or nothing” venture. 

The latest action brought by “at least ten taxpaying citizens” contends that selectmen did not follow the terms mandated by special town meeting. The 10-page letter from Attorney David E. Lurie of Lurie Friedman LLP in Boston asks that selectmen...

“cease and suspend any further action toward finalizing the purported Settlement with GURR because the Settlement Term Sheet prepared in mediation between the BOS and GURR is illegal and invalid for multiple reasons, namely, GURR is not the  rightful property owner, it is in violation of the Town’s right of first refusal pursuant to M.G.L. c.  61 and is an agreement to which the BOS has not been authorized to enter. We write to serve notice to the BOS that the Hopedale Citizens intend to sue the BOS pursuant to M.G.L. c. 40 § 53 (restraint of illegal expenditures) and c. 214 §7A (prevent damage to the environment) in the event the BOS does not suspend its actions towards finalizing the Settlement pending independent review by outside counsel.” 

The Hopedale Water and Sewer Commission has also asked the Board of Selectmen to cease and desist (see sidebar)

At their meeting the next day, on Feb. 8, which Lurie attended, selectmen explained that the agreement was signed and complete as of Jan. 25. 

After the Feb. 8 meeting, Mr. Lurie told Hopedale Town News his clients were deciding how to proceed. 

“The all-or-nothing argument is just smoke-and-mirrors. The Town has [Chapter] 61 rights which it properly exercised.  Since the [GURR] has no valid ownership claim to the 130 acres of forest land, it likewise has no valid claim that federal preemption applies to that land or the 25 acres of wetlands… The deal ‘negotiated’ by the Selectmen -- which allows the Railroad to pursue industrial development on some 90 of those acres, leaving only 40 acres of parkland for the Town -- is not only very bad for the Town, it is also illegal because it was never approved at Town Meeting,” said Lurie. “We remain perplexed why the Selectmen chose to hand over the Town’s parklands and water supply protection to the Railroad.”