March 31, 2000

Mary Keohan Ganz
779 Lafayette Road
Seabrook, NH 03874-0238

Dear Ms. Ganz,

The tenants at 47 Court Street, Dover NH have received your letter indicating that you are representing the interests of S. R. Associates. This letter is to inform you that the majority of the residents have chosen to withhold rent due to the willful disregard for our safety shown by Carole XXXXXXXXX of S. R. Associates since leasing this property to us. These rent monies will be held in escrow until S. R. Associates corrects the dangerous conditions in our household listed below, or until a suitable settlement has been arranged. These corrections must be made within our lease period, or the escrow monies will be returned to the tenants.

Documents obtained from the City of Dover Fire & Rescue indicate that Ms. XXXXXXXX was informed more than one month prior to leasing the rooms that the house could not continue to be a rooming house, although alternate uses might be acceptable. Specifically, the house required either an automatic sprinkler system or protected stairway enclosure. Neither of these corrections was made.

In early February, the City of Dover Office of the Building Official conducted an inspection of the property at 47 Court Street at our request. In this inspection it was noted that asbestos pipe insulation debris was present in the basement and furnace room, and that this must be removed. The letter from the Health Officer stated that this condition must be corrected within thirty days of his letter, dated February 7. Ms. XXXXXXXX later told the Health Officer that the material in the basement was not asbestos. Independent laboratory testing conducted at our request found that the pipe elbow debris contained a significant amount of asbestos. This material, along with suspect aircell pipe lagging and suspect cement asbestos board has yet to be removed.

Until these substantial threats to the health and safety of all tenants are corrected, the undersigned tenants will continue to withhold rent.

If you have any questions, please communicate them to the undersigned residents in writing.

Brendan Impson

For:
Brendan Impson
Aaron XXXXXX
Paul XXXXXX
Tim XXXXXX
Matt XXXXXX
James XXXXXX
Kevin XXXXXXX
William XXXXXXX