HERMON – The civil lawsuit brought against the town by a longtime councilor has reached a settlement agreement, which includes the councilor’s resignation from the council.

Councilor Louis F. LaChance officially resigned from the council in an executive session after Thursday night’s council meeting. His resignation, however, will not be effective until Nov. 6, the day before elections.

LaChance’s resignation from the council allows his company, Louis F. LaChance Inc., to maintain the town’s snowplowing contract.

“This seemed to be the settlement that would take care of the seven employees,” LaChance said after the council meeting.

In early June, LaChance filed a civil lawsuit against the town in Penobscot County Superior Court in an attempt to serve both as a councilor and as the town’s snowplowing contractor.

A town charter amendment, which went into effect July 1, prohibits councilors and their immediate family from holding a contract with the town. LaChance’s contract was most recently renewed in 2003, and his services are contracted through May 15, 2008. LaChance’s term was not set to expire until 2008, and he was re-elected to the Town Council in 2005, according to court documents.

“[From] the town standpoint we’re glad this issue is resolved,” Town Manager Clint Deschene said.

The town already has begun the process to fill his position in the November election, Deschene said. Nomination papers for the council vacancy will be available from Oct. 2 to Oct. 20 at the town office.

In the agreement, it states that Deschene, who is also the town’s road commissioner, cannot “micromanage” the snowplowing contract and must address complaints either in writing to LaChance or during a town council meeting. The agreement does state, however, Deschene and town employees can contact LaChance in the event of an emergency.

“I feel like I’ve done my share in this community, but I really wanted to stay,” LaChance said after the meeting, pointing out that he has served on the council since 1979.