The city of Salem is suing Robert Kunke and his restaurant company that operated as Rudy’s Steakhouse for nearly $89,000 for unpaid rent and fees. The lawsuit, filed Dec. 4 in Marion County Circuit Court, argues that Kunke and his business didn’t pay rent for the restaurant’s main space for over a year. The business’ failure to pay rent for months in 2024 and earlier this year led to the city’s closure of the restaurant April 15. Kunke has maintained that he presented rent checks the same day that were rejected by the city. A Salem Reporter investigation earlier this year found that as Kunke and his business struggled to pay rent over years at the downtown location, city officials continued to provide Rudy’s chances to make up the debts. Kunke and Rudy’s owe the city $62,125 for the main restaurant space and $26,844 for its pub and banquet spaces, the complaint said. That added up to a total of $89,969 in rent, fees and late charges, according to the complaint. Kunke failed to pay five months of rent for a pub space, totaling $16,915, and several months for a banquet space, $9,929, the complaint said. Rudy’s Steakhouse fails to pay debts as city officials request thousands, records show Kunke told Salem Reporter Wednesday that he hadn’t known about the city’s lawsuit. “I’m not concerned about it whatsoever,” he said. “It has not been a healthy back and forth. There’s been zero effort on their end to try and make things right.”  Kunke said he still has many personal belongings inside the restaurant. He said city officials have not let him recover thousands of dollars in wine and bourbon, vintage decorations, vehicle titles and his passport. Kunke provided Salem Reporter with screenshots of October and November emails between him and Sal Diaz, a city real estate employee, discussing property left behind in the restaurant. In an Oct. 30 email, Kunke asked Diaz for time to collect his belongings. On Nov. 6, Diaz responded, “There is no more personal property to pick up.” Kunke’s leases with the city declare that any “trade fixtures, furniture and equipment” would be used, sold or destroyed by the city if the lease was terminated. The leases between Rudy’s and the city ended April 15, per city notices taped to the doors. City representatives didn’t answer questions about city efforts to collect money Rudy’s owed since the closing earlier this year.  The complaint accuses Kunke and his business of violating a repayment agreement he signed in 2024 with then-City Manager Keith Stahley to catch up on unpaid rent and large amounts of late fees. According to the agreement, Kunke at the time was in debt to the city for $106,578. The city forgave $39,655 of that amount, leaving the business to pay $66,922. The agreement required Rudy’s Steakhouse pay the city $5,577 per month for a year, in addition to rent going forward. If any payment was more than 30 days late, the city would seek all owed money, including the forgiven fees, the agreement said. PREVIOUS COVERAGE: Rudy’s Steakhouse fails to pay debts as city officials request thousands, records show Despite city’s leniency, money troubles mounted for Rudy’s Steakhouse ahead of closure City terminates Rudy’s Steakhouse lease over unpaid rent Contact reporter Madeleine Moore: [email protected]. A MOMENT MORE, PLEASE– If you found this story useful, consider subscribing to Salem Reporter if you don’t already. Work such as this, done by local professionals, depends on community support from subscribers. Please take a moment and sign up now – easy and secure: SUBSCRIBE. The post City of Salem sues Rudy’s Steakhouse for over $88k in unpaid rent, fees appeared first on Salem Reporter. ...read more read less