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Town of Chapel Hill header
File #: [26-0011]    Version: 1 Name:
Type: Consent Status: Agenda Ready
File created: 1/13/2026 In control: Town Council
On agenda: 1/21/2026 Final action:
Title: Valentine v. Town of Chapel Hill, 21-CVS-1314 Settlement Agreement
Attachments: 1. Resolution, 2. Settlement Agreement and Release
Related files: [21-0597]
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AGENDA ITEM EXECUTIVE SUMMARY

ITEM TITLE

title

Valentine v. Town of Chapel Hill, 21-CVS-1314 Settlement Agreement

presenter

RESPONSIBLE STAFF, TITLE, DEPARTMENT

James Baker, Interim Town Attorney, Town Attorney’s Office

STAFF RECOMMENDATION

Staff recommends that Council adopt the resolution to approve the terms of a Settlement Agreement and Release in Valentine v. Town of Chapel Hill, 21-CVS-1314-670 and authorize the Town Manager to execute the agreement.

body

ACTION/DECISION POINTS

Approval and execution of the Settlement Agreement and Release will end litigation related to application of the Town’s Short-Term Rental Ordinance to property owned by Joe and Irene Valentine.

LEGISLATIVE CONTEXT

State law requires Town Council to approve terms of settlements in litigation.

BACKGROUND AND CONTEXT

Town Council enacted a Short-Term Rental Ordinance on June 23, 2021 (Ordinance 2021-06-23/O-9). The ordinance created a short-term rental land use and classifications of short-term rentals within the Town.

Joe and Irene Valentine own property in a zone where use of a dwelling as a dedicated short-term rental is not permitted. The Valentines filed lawsuit 21-CVS-1341, Joe and Irene Valentine v. Town of Chapel Hill, in Orange County Superior Court challenging the Short-Term Rental Ordinance. This settlement would bring an end to the lawsuit. 

ATTACHMENTS

Settlement Agreement and Release

Resolution