Smith, et al. v. Chelmsford Group, LLC, et al. 

CHELMSFORD COMMONS MANUFACTURED HOUSING COMMUNITY

CLASS ACTION SETTLEMENT

CASE NO: 21-CV-10654-DJC (D. Mass.)

In 2021, the Northeast Justice Center brought a class action lawsuit that was removed to the U.S. District Court for the District of Massachusetts and that became known as Smith, et al. v. Chelmsford Group, LLC, et al., 21-CV-10654-DJC (“Class Action”). In the Class Action, one of the Plaintiffs claimed that the owners and operators of the Chelmsford Commons Manufactured Housing Community (“Chelmsford Commons”) were illegally charging different rents to Chelmsford Commons residents who were leasing similar home sites and receiving similar services from the community.

In 2023, the parties to the Class Action reached a Settlement requiring Chelmsford Commons to implement a Court-approved rent structure (the “New Rent Structure”), subject to Court oversight for an approximately ten-year period (“Settlement Period”). The New Rent Structure is designed to ensure that current or future Chelmsford Commons residents experience predictable rent increases and that rents in the community will equalize during the term of Settlement, equalization which is guaranteed by Defendants’ commitment to cap home-site base rent in the community at $964.37 per month during the Settlement Period.  

For Chelmsford Commons residents who have home-site lease or occupancy agreements that predate the Settlement, Chelmsford Commons will honor all such agreements, which limit base-rent adjustments to one annual increase of either 4.5% or a percentage tied to the U.S. Bureau of Labor Statistics Consumer Price Index for All Urban Consumers (CPI-U) Boston, Massachusetts – ALL items (1967=100) (“CPI Percentage”), whichever is greater. For Chelmsford Commons residents who did not sign occupancy agreements before the Settlement, and thus have at-will tenancies, Defendants will similarly limit base-rent adjustments to one annual increase of either 4.5% or the CPI Percentage, whichever is greater.

Once a resident’s base rent reaches $964.37, it will not increase during the Settlement Period.  And new residents who enter Chelmsford Commons will pay no more than $964.37 in base rent during the Settlement Period. 

This negotiated rent structure will remain in effect until every resident at Chelmsford Commons is assessed a home-site base rent of $964.37, that is, the Settlement Period. 

So, if you are a current Chelmsford Commons resident who is concerned about rent increases or is thinking about selling his/her home, you may find this website helpful in understanding special rights or remedies potentially available to you under the Chelmsford Commons Rent Litigation Class Action Settlement.

If you have questions about the Class Action Settlement or the New Rent Structure, please do not hesitate to contact Class Counsel, Ethan R. Horowitz, at 978.888.0624.