Innovator HOA CCR

7/27/2019 Innovator HOA CCR

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Master Ddara t ion ..................... . ....2.....................................Member, Membership ..................................................................................................................................erchant Builder...........................................................................................ortgageMortgagee,Mortgagor ......................... ..............................................................................................................otice and HearingOwner ..............................................................................................

Person ...........................................................................................Phase 1 ............................................................................................Phase of DeveIopment ............................ . ............................Properties ..........................................................................................Public Property ..................................................................................Record, File, Recordation ................................................................................................................................................estrictions :Rules andRegulations .......................................................................Supp1.ementalMasterDeclaration ...............................................................................................................................A ..........................M a t i o n ofEasements.......................... ..........................................2.1 . Easements forPublic Service Use ....................................................................................................................................2. OtherEasements I

3. Nabmas CrossingCommunityAssociation .................................. i.............. 73.1. Organidonof MasterAssociation ................................................. 73 2 Duties and Powers ............................................................................. 73.3. Membership ...................................................................................... 73.4. Transfer .............................. i. 7

.........4 Vuting.Fti&ts .............................................................................. ..'...... 84.1. Classes of Voting Membemhip ......................................................... 84.2. Voting Rights ........................... . ............................................... 9

5 . Functions and Jurisdiction of-MWerAssociation ........................................ 10...........................................................................1. Permitted Functions 10..............................................................................2 . Powers and Duties 105.3. Rdw andRegulations ............................ .................................... 12..........................................................................4. Prohibited Activities 11

............................................................................. Covenant forAssessments 12............*.......... ................1 CreationofAssessmentObligation ...-.. 12

6.2. GeneralOperatingFuods .............................................................. 126.3. Disbursements .................................. .,,, ...................................*......... 12...................................................4. AnnualAssessments ...................,,.. 13


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...........................................5. Commencementof Annual Assessments 13....................................6. LimitationsonAnnualAssessment Increases 13

6.7. UniformRate of Assessment ............................................................ 146.8. Exempt Property ............................................................................. 147 Nonpayment ofAssessments; Remedies ............................................. 157 . Nonpayment of Assessments; Remsdies .......................................... 15...................................................2. Notice of Delinquent Assessment ,, 15........................................................3. MortgageProtection . 157.4. AlternativeDispute ResoIution ......................................................... 15

....................................................................embers ofCommittee ..................................................eviewofPlansand Specifications........................................................................eetings of the ARCNoWaiver of Future Approvals ......................................................................................................................ompensationof Members...........................................................................qwt io n ofWokScope ofReview ...............................................................................valiance ............................................................................................Pre-Appmvals .......................................-.........................A&s ......;...........................................................................................Maintenance and Repair Obligations ...................,....*.............*............. 19

9 1. Maintenance Obligations of Owners ................................................ 19......................................................2. Fm ProtectionAccess Easements 209.3. Party walls . 209.4. Damage to DweUingUnits-Recombdon ...................................... 20

.0. Use R d c t i o n s 21................................. .....*.*..............-.0.I. Single F d y Residence .. 21.....................................................0.2. Businessor.CommercialActivity 21....................................................................................0.3. N u h c e s .. 21

10.4. Signs ................................................................................................. 22..................................................0.5. parking andvehicular ~estrictions 23

...................................................................0.6. AnimalRestrictions ..,.. 24................................................................0.7. Trash and Unsightly Items 2410.8. TemporaryBuildings ......................................... .................... 24..........................................................................0.9. Outsidehstallations 24...........................................................................................0.10. Antennae 2510.11. Drilling ............................................................................................. 25

..................................................................0.12. Further Subdivision . 26iii


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10.13. Drainage ...................................,. .......................................10.14. Watersupply Systems ....................................................................10.1 . Inside Installations ..................... ......... .................................10.16. Views .................................................................................................10.17. Solar Energy Systems ......................................,..............................10.18. Installation of Front Yard Landscaping ...................... ..............10.19 Rights ofDisabled ...........................................................................10.20. Post TensionConcreteSlab System ................................................

11.1. InsuranceObligations of Owners ................................................. 2811.2. Liability andOther Insurance ........................................................... 28..................................................1.3. Notice of Expiration Requirements 2912.1. Notice ................................................................................................ 2912.2. RightofFiFst~fusal....................................................................... 30

...................................... ..........-2.3. LimitedAssessmentExemption i.. 3012.4. FiaanciaI Records .............................................................................. 3012.5. Agreementswith Agencies ............................................................... 30

13. D e c l h t andMerchantBuilderRights and Exemptions ............................. 313 1nterestSofI)ecl~tandMe~h~tBuild~................................. 3113.2. Exemptions ....................................................................................... 31..................................................................3.3. Declarant Representative 32

14.1. Enforcemetltof~~tiom........................,..................................14.2. Severability .............................................. ......................................14.3. Term *........,...,..;..................*...,.......*.............*........*...........................................................................................................4.4. Interpretation14.5. Termination and Amendment ...........................................................14 6. No PublicRight orDedication ..........................................................f 4.7. ConstructiveNotice andAcceptme .......................................................................*............ ...*...........4.8. Notices .14.9. Nonliability and Indernnification ....................................................14.10. Priorities and Incomistencies............................................................14.11. MergersorConsofidations ................................................................14.12. DisputeNotification and Resolution Procedure

(Declarant andMerchantBuilder Disputes) .....................................'14.13. Additionai Provisions .......................................................................14.14. NoRepresentationsor Warranties ...................................................


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................................................................................4.15. Drainage Control14.16. Gradiing .................................................................................................................................................................................4.17 Improvements14.18. Property Lines ...................................................................................14.19. PreliminaryTileReport ....................................................................................................................................................4.20. Natomas Ah-port ..........................................4.21 Tramportation Management Association.......................................................................4.22 Approvalby Declarant...................................................................................4.23 Attorneys' Fees ..........................................................4.24 Post-Judgment Attorneys'Fees.............................................................................................4.24. Captions

15. h e x a t i o n ofAdditionalProperty to the Properties ................................... 45.....................................................................5.1 Additions by Declarant 45.. .................................................................................5.2. OtherAd&hons 45

15.3. RightsofAdded Territary Members ................................................. 46................................................................5.4. DeclarationofAnnexation 46........................................................5.5. Deannexation andAmendment 46


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EXHIBIT "A"- ARTICLES OF INCORPORATIONOF THEMASTERASSOCIATION-

EXHIBIT "B" BYLAWS OF THE MASTER ASSOCIATION


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MASTER DECLARATiON OF COVENANTS, CONDITIONS,RESTZUCTlONSAND RESERVATION OF EASFMENTS

FORNATOMAS CROSSING COMMUNITY(SINGLE FAMILY RIWIDENTIAL}

TWISMASTER DECLARATION OF COVENANTS, CONDITTONS,RIESTRICTIONSAND RESERVATION OFEASEMENTS PORNATOMASCROSSING COMMWNITY (SINGLE FAMILY RESIDIWMAL) (this %asterDscldon") ismadeby ALLEGHANY PROPERTIES, XNC,, aDelaware corporation(nDeCim4").

A. DecaarantistheOwnet.ofdpropertyc*phae '~intheCityof. Sacmmento,Courrty ofSacramento, Sfate ofCalif- dmribedin Schedule 1 a m x e d 'hereto an d incorporatedhereinby thisreference.

B. Deckanthasdeemed it desirable, for the efficientpmewationof hevdua and amenitiesintheh p r t i e s (as here idkc ddhed), to createa general p h orthe development,wed njoyment thereof ThePropatiesam p l d o constitutea"subdivision," s defined in S d o n 11000 of the Cal'IfordaBusiness aridRofessbnsCode,mnhhhg two or more product types CO by two ormore MerchmtBuilders (as f i n e dherein). Thageneralplan for developmentof the Propertieswillinclude a corpo~onormed pursuanttothe ~orniaNonproFit ublicBenefitCorporationLawta which will be assigned thepowers of (1) a d m m k m g. andenforcingthe Restrictions,and (2) coIIwkg and disbursing the asesmmts and chargeshereinaftercreated. I k hm twiUorhas causedsucbw m o n , heMembersofwhichwill be he OwnersofLots in theProperties,to be formedto exercise suchpowers. .C . D e c W ntends to deveIop and conveydlof hePmpwties pmm t to ageneralplan and subjectto he p e c t i v ewvwmts, conditions,d c t i o w , rights,reservations,easements,equitable~~, andchargesset forthherein. h l &alonemay execute, acknowledgeand Record a SupplementalMasterDeclarationaffecting solely aPhase of Development, so ong asD w h t m ll of#e realproperty tobe affectedby such SuppIementaf MasterI)ecWoaSuchSupplementalDeclarationshallnotconflictwith theprovisionsofthisMaster kdaration, but m yimposeMet conditions,covenantsandrestrictionsfor the opetation, protection andm a i m = of that Phase of Development


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D. Declarant hereby declares that the Properties shallbe held, sold,conveyed, encumbered, hypothecated, leased, used, occupied and mproved subject to heeasements,restrictions, reservations, rights,covenants, conditions and equitableservitudes contained in this Master Declaration, all ofwbich are for the purpose ofenhancing and protecting the value, attractiveness and desirability of the Properties, infurtherance of a comprehensive, general plan for the protection, maintenance,Wv i s i o n , improvementand sale of the Properties or any portion thereof. Thecovenants, onditions, restrictions, rights, reservations, easements and equitableservitudesset forthherein (1) shall run with andbwden the Properties and shallbebindingupon ll Personshaving or acquiring any interest in the Propertiesorany partthereof, their heirs, successorsand assigns;(2) shdI inure to thebenefitof very portionof theProperties andany interest therein; (3) shall inure to the benefit of and be bmdhgupon Declarant, Merchant Builders, and heirrespective successors- in-interest, eachOwner mdeach Owner's successors in n t e ~nd (4) may be enforcedby D ~ b t ,my Merchant Builder, any Owner and he Master Association.

1. Definitions. Unless otherwiseexpressly provided, the fobwing wordsand phraseswhen used herein have the following specified meanings.

1.I. hexable Territory. Annexable Territorymeans the real propertydescribed inExhibit "C"attachedhereto and incorporatedherein by thisreference(excepting Phase 1 therefrom), allor any portionofwhich may be made subjectto thisMaster ~eclaration ursuantto theprovisions bf ArticleXV hereof.

1.2. ARC. RC means theAxchikcturdReviewCod t t e e createdpursuant toArticleVIII hereof.1.3. Articles. Articlesmeans theArticles of ncorporationof heMaster Association as mend ed or restated. A copyofthe initialArticles is attachedheretoasExhibit "Anand incorporated herein by this reference.1.4. Assessment,Am&. AnnualAssessment means a charge againsttheOwnets and their Lots, representinga pottion of theCommonExpenses, whichistobe evied asprovidedherein.1.5. Assessment, Special. Special Assessmentmeansa chargeagainst

amcular Ownerdirsctly attributable to, or reimbursable by, thai Owner, equd to thecast incurred by theMaster Associationfor correctiveactionperformdpursuantto theRestrictions, or a fineor penaltyassessed by the Board, plus interest and other hag^ onsuchSpecial Assessments as provided forherein, SpecialAssessmm&shallnot includeany late paymentpenalties, interest charges or costs (including attorneys' fees) incurredby he EvlasterAssociation in the collection ofb u d ssessments.

1.6. Beneficiary. Beneficiarymeans aMortgageeunder aMo-e oraBeneficiaryunder aDeed of T m t and the assigneesof uch Mortgage orBeneficiary.


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1.7. Board or Board ofDirectors. Board or Board ofDirectors meansthe Board of Directors of the Master Association.

2.8. Budget. Budget means awritten, itemized estimate of theMasterAssociation's income and CommonExpenses prepared pursuantto the Bylaws.1.9. Bylaws. Bylaws means the Bylaws of heMasterAssociation asadopted by the Board initially in the form ofExhibit "Bnattached hereto and incorporatedherein by thisreference,as amended.1 lo. City. City means the City of Sacramento,in the County ofSacramento, Stateof California,and its various departments, divisions, employees andrepresentatives.1.11. Close ofEscrow. Close of Escrow means the dateonwhich adeedis Recorded conveyingaLotwithin aPhase of Development. Among other exempt

tsansfers, the term "Closeof Escrow"herein shall not include the Recordationof adeed(i) between Dsclarant and (a) any successor to any rights ofDeckant hereunderor@) any Merchant Builder, or (ii) betweenMerchant Builders.

1.12. Common Expenses, Common Expenses means, subject to theprovisionsof Section 5.4 of thisMaster Declaration, those expenses for which theMasterAssociationisresponsible under th is Master Declaration, including the a d ndestimatedcosts of: unpaid Special Assessments; managing andadministeringthe MasterAssociation including, but not limited to, compensation paid by the Master Associationtomanagers,accountants,attorneys and other consdtants and employw, liabilityinsurance, workds wmpensationinswrance,andotherbwance covering the directors,officers and agents of theMaster Association;bonding themembers of themanagementbody; axes paid by theMaster Association; and all other items incurred by the MasterAssociation for any reason wh-ver in cumectionwith the Properties, for thecommonbenefit of the Owners.

1 .1 3. County. County means the County of Sacmento in the State ofCalifornia, and itsvariousdepartments, divisions,employeesandrepresentatives.1.14. Declarant. Declarantmeans AlleghanyProperties, Inc., aDelaware corporation, its successors and any Person to which it shall have assignedcertainspecific righishereunder, inwhole or inpart, by expresswritten assignment Anysuch assignment may include some or all of the rights of the DecIarant andmay besubjectto suchconditions or limitations asAlleghany Properties,Inc. may imposein itssole and absolute discretion. As used in thisSection, "successormmeans aPerson whoacquiresDeclaxaat or substantially al l of its assets, orwhomergeswithDeclarant, by

sale, merger, reverse merger, consokiation, partnership reorganization, sale of stwk oxassets, operation of law orotherwise.1.15 Declaration of Annexation. DeclarationofAnnexationmeans an

htmmentRecord4 pursuant to ArticleXV hereof to annexadditiond real property tothe Properties.


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1.16. Deed ofTrust. Deed of Trust means a Mortgage as defined herein.1.17. Dwellingunit. Dwel l ingUni tmeansabui~ding l~catedon~L~designedand intended for use and occupancy as a residenceby a single Family.1.18. Family. Family means (a) one or more natural persons relatedtoeachother by blood, matriage or adoption, or@) a group of natural persons not all so

related, butwho maintaina common household inaDweUing Unit ona Lot.1.19. FHLMC. FHLMC means the Federal Home Loan Mortpgecqmration created by TitleII of the Emergency Home Finance Act of 1970, nd itssuccessors.1.20. Fiscal Year. Fiscal Year means the h a l accountingd e p o wperiod ofthe Master Association selected by the Board.1.21, FNMA. FNMAmeanstheFederalNationalMortgageAssociation, agovernment-sponsoredprivate corporation establishedp m t oTitle VILI oftheHousing and UrbanDevelopment Act of 1968, and ts suocessors.1.22. CfNMA, GNMA means theGovernmentNational MortgageAssociationadministeredby the United States Departmentof Housing andUrbanDevelopment, and its successors.1.23. Improvement, Improvement m&ns any structureor a p p u r t e ~ ~ ~ ~ ~ e

thheteto, hcIuding,but not limited to,buildings, w a k w y s , sprinklerpipes, recreationalkilities, rods, driveways, parking meas, fences, screeningwalls, blockwalls, retainingwalls, stah, decks, landscaping, antennae, the paint onall &or surfaces, hedges,windbreaks,patio covers, rail-, plan- planted trees and shrubs,poles, signs,storage areas, exterior air conditioning andwater-softening f m t u a or equipment.124. LadGovernmental Agency. Lmal GovernmentalAgency meansthe City, the County and anyother local or municipal governmental entity or agencyincludii , without l i ~ o hny specialassessm&t district,mintman= orcommunity facilities district.1.25. &. Lot means any&dentid Lot shownupon any Recordedsubdivisionmap of anyportionof theProperties (as such otmaybemodifiedby anyRecorded lot lineadjusment),together with Improvements,if any, hereon.1.26. Manager. Manager meansthePerson, firm or agent employedas

an ndependent contractorby theMasterAssociation to@om functioqsof heMasterAssociation,as limitedby theR b ct i o n s and the terms of the agreementbetween theMaster Association and said Person.1.27. Marketing Period, Marketing Period meansthat period of t h e-mnmencitlgon he date of Recordation of hisMaster Declmtion and extending untilthe earlier to occur of (i)Close of Escrow for the sale of dl Dwelling Units in he


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Properties following annexation of a11of the Amexable Territory, or(ii)ifteen (15)years following the first Close of Escrow for the sale ofaLot withina Phase ofDevelopment.1.28. MasterAssociation. Master Association meansNatomasCrossing

CommunityAssociation, a California nonprofit corporation (formed p m t o theCaliforniaNonprofitPublic Benefit Corporation Law), ts successorsand assigns.1.29. Master Declaration. Master Declarationmeans his instrumentasamended or restated.1.30. Member, Membership. Membermeans any PersonholdingaM m k h i p . Membershipmeans theproperty, voting and other rightsandpdvilegesofMembers asprovided in the Restrictions, together with the correlativeduties andobligations contained therein.1.31, Merchant Builder. Merchant Builder means 'aPersonwho acquires

a portion of he Properties for the pwpose of developing such portion forresaleto thegeneral public and who is designated by DeclarantasaMerchantBuilder in aRecordeddocument;provided,however, that the term "MerchantBuildernshallnot meanDeclarant.1.32. Mortgage. Mortgage meansany Record4 mortgage or deed of

trust or other conveyance of one ormore Lots or otherportionof the Properties to securetheperformance ofan obligation, which will be reconveyedupon he compfetion of suchperformance.1.33. Mortgagee,Mortgagor. Mortgagee means aPerson towhom a

Mortgage is made and includes theBeneficiary of a Deed of Trust. Mortgagor meam aPersonwho mortgagesbis or her Lot toangther (i.e., he maker ofaMortgage), andincludes the Trustorof aDeed of Trust. The erm "Trustor"is synonymouswith the term"Mortgagor"and the erm "Beneficiary" s synonymouswith the term"Mortgagee."1.34. Notice and Hearing. Notice and Hawing means written noticeanda hearing before the Board aspmvidsd in the Bylaws.1.35. Owaer. Ownermeans the Person orPersons, including Declarant

and Merchant Builders, holding fee simple or long-term ground leasehold interest ofRecord to any Lot which is part of theProperti=. The term "Owner" includes a sellerunder an executory contractof sale but excludes Mortgagees. For purposes of t h i sMaster Declaration,a "long-termground leasehold interest"means a leasehold interesthaving an initial term of ten (10) years or longer.1.36. Persoa Person meansa natureh individual or any other entity with

the legal right to hold title to real property.1.37, Phase 1. Phase J means all of the red property describedinParagraphA ofthe Preamble of thisMaster Declaration.


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1.38. PhaseofDevelopment. Phase .ofDevelopment orPhase meam(i) Phase 1or (ii) any portion of the Properties consisting of ten or more conti@owLotsas iet forthon he applicablephasing scheduleprepared by aMerchant Builder andapproved by Declarant in its sole and absolute discretionand covered by aDeclaration ofAnnexation.

1.39. Properties. Properties means Phase I , togetherwith suchprt i~mof theh e x a b l eTerritory which are described in aDeclarationof Annexation.

1.40. Public Prop@. Public Property means allmedian strip, slopes,h m , w i n g , parks, trails, sidewalks, intersectionplazas and irrigation and-e system on public property ownedor maintainedby aLocaIGovernmentAgency.

1.41. Record, Fib, Recordation. Record, File, orRecordation means,with fespect to any document, the recordationor filing of such document in the officeoftheCounty Recorder,

1.42. Mctions. Restrictionsmeam th is MasterDeclaration,theArticles, Bylaws and the Rules and Regulations of he Master Association.

1.43. Rules and Rejqdations. Rules and ReguMommeans the rules and~ g d a t i o n sdopted by he Board pursuant to thisMaster Declarationor the Bylaws,asamended or &ted. - -1.44. SupplemeatalMaster Declaration. SupplementalMasterDeclaralionman s m y declaration of covenants,conditions andrestrictionsand

' reservationof easements or s h i h ocument supp)ementbgthis Master Declaration foralloraportionofthe Propdies,whichbumen t shall be Recorded inOfficial Recordsof theCounty.1.45. m. A m e a n s t h e D e ~ e n t o f V e t e r a n sAffaixsoftbeUnitedStates of America and mydeparbnentor agency of the United Statesgovernmentwhichsucceeds to VA's function of issuing guaranteesofnotes secured by mortgages onresidentid real estate.

ARTICLE112. Reservationof Eslsements.

2.1. Easements for Public Se dc e Use. Declmt hereby reserveseasementsover the Properties for public services ofthe Local GovernmentalAgencies,includingbut not imited to, therightof law enforcement andfire protectionpersonnel toenterupon any part of the Properties for thepurpose of carryingout their officialduties.2.2. OtherEasements. Declarant hereby resemes for thebenefitofdlof heProperties reciprocal easements for access,ingressand egress for all Ownersto4from theirr e s m v e Lots; or installation and repair ofutility d c e s ; fox necessary


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. maintenance and repair of any Improvement constructedby Declarant or a MerchantBuilder; easementsasmay be shown on any Recorded subdivision map of any portion ofthe Properties;and for such otherpurposes specified in th is Master Declaration. Sucheasementsmay be used by Dedarant and theMerchant Builders,their successors,invitees and purchasers, the Master Association, and all Owners, their guests, tenants andinvitees,residing on or temporarily visiting the Properties, for pedestrianwalkways,vehicular accessand such otherpurposes specified herein or reasonably necessary for theuse, maintenance and enjoyment of aLot.

3. Natomas CrossingCommunity Association.3.1. OrganizationofMaster Association. TheMaster Associationis orshall be ncorporatedunder the name of Natomas Crossing Community Association,as acorporationnot forprofitorganized under the ~alifomia onprofitPublic BenefitCorporationLaw.3.2. Duties and Powers. TheMaster Associatioi has theduties andpowers set forth in the ~ c t i o n snd also has thegeneral and implied powers ofanonprofit public behefitwxpoxation,generally todo all things that acorporationorganid under the lawsof the State ofCalrforniamay lawfully dowhich arenecessaryorp r o p inoperating for the peace, hedth, comfort, safety and generalw e b f itsMembers, subjectonly to the limitationsupon he exerciseof such powers se t forth in heRestrictions.3.3. Membership. Every Owner shall automatidy be aMemberandshall remainaMember until such OmdsLot ownership ceases, atwhich time suchOwner" Membership shall automatically cease. Ownershipof aLot is the soleqMcation for Membership. Memberships are not assignabIeexcept to the Person to

whom title to theLot has been transferred, and every Membership is appurtenant toandmay not be separated from the fee ownership of such Lot.3.4. Transfer. The Membership of any Owner may not be transferred,pledged or alienated inanyway, exceptupon the transfer or encumbrance of suchOwner's Lot, and then ody to the transferee or Mortgageeof uch Lot. A prohibitedtransferis void and will not be reflectedupon the books and recordsof the MasterAssociation. A Member who has sold his Lot to a contractpurchaser under an agreementto purchase may delegate his Membershiprights to he contractpurchaser. Thedelegation must be inwriting and must be deliveredto theBoard before the contractpurchaser may vote. The contract seller shall remain liable for ail chargesandassessments attributableto the contract seller's Lot which accrue before feetide to the Lot

is transferred. If anOwner fails orrefuses to transfer his Membershipto thepurchaser ofsuch h e r ' s Lotupon ransferof fee title (or long-term leasehold) hereto, the Boardmay record the transfer upon the Master Association'sbooks. Until satisfactory evidenceof such transferhas been presented to theBoard, hepwchaser will not be entitledto voteat Master Association meetings. The Master Associationmay levy a reasonable transfer


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fee against a new Owner and such Owner'sLot (which fee shall be added to the AnnualAssessment chargeable o such new Owner) to reimburse theMaster Association for theadministrativecostof bansferring the Membership to thenew Owner on the MasterAssociation's records. Such feemay not exceed theMaster Association's act& costinvolved n changing its records.

ARTICLE IV4. Voting Rights.

4.1. Classesof Voting Membership. The Master Association hasthree(3) classesofMembershipas follows:4.1 -1 . Class A. Class A Members are alI Owners, exceptDecIarant andMerchant Builders shallnotbeC k s A Members for so long as hereexistsaClassB Membership. EachClass A Member is&titled to one (1) vote for eachLot ownedby suchClass A Member which is subjecttoAnnual Assessments purmant oSection 6.1below. Declarmt and Merchant Builders shall become Class A Members

upon onversionof their respectiveClass B Membershipsas provided below. Wheamore than one (I ) Personowns any Lot, all suchPersons are Members. The vote forsuchh t hallbe exercised in accardance with Section 4.2, butno more thanone (1) .Class A vote may be cast for anyLot.

4.1.2. ClassB. The Class B Members are Decfarant and dlMerchant Budders. The ClassB M m b m are entit14tothee (3) votes for eachLotownedby theDeckant ormy Merchant Builderthat ssubjecttoAnnual Assessmentsp w b t o W o n 6-1blow. The Class B Memberships shallbe converted to Class AM e m h h i p s immediately upon the Close ofh w or the sale of three hundred eighty-niae (389)Lots in the Properties.4.1.3. ClassC. The Class CMemkr &all beD e cW t

w v e f whether Declmnt is or is not an Owner. The ClassC Membership shallnotbe considered a part of thevoting powerof the Master Associationand DecIamt isnot entitlsdto exercise anyClassC ote ex* for thepupuseof electingthosemembersoftheBoard which the ClassCMembership is entitledto electhereunder. TheClassC Member is entitledto solely electamajority of themembers of tbe Board ofDirectorsuntil the last day of he MarketingPeriod; provided,however, that at any timeprior to the ast day of the Marketing Period,Declsrmt xhall have theright to termhatebechant'srights asaClassCMember by executing and deliveringto theMasterAssociationa letterwhereby Declarantrelinquishes all of Declarmtsrights as a Class CMemberpursuanttotbis Section4.1.3. Notwi-ding anything containedhereinto the'c~ntrqy, eelmt shall nut be entitled (using theClassCvote or Class B vote, orothekse) to electmore than seventy-fivepercent (75%) of the members of theBoard ofDirectors.


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4.2. Voting Rights.4.2.1. Specified Actions. All voting rights are subject to theRestrictions. As long as DeclaranthoIdsa veto right pursuant to Section4.2.3 andSection 4.2.4 below, any provisionof the Restrictions which expresslyrequires a vote or

written consent ofa speczed percentage ( is . , other than actionsrequiring merely thevote or written consentof amajority ofaquorum) of the Master Association'svotingpower before action may be undertaken shall require the approval of such specifiedpercentage of the voting power of the Membership as well as he writtenc o m tofDeclarmt. Upon terminationof Declaranttsveto right, any provisionof theRestrictionswbich expresslyrequires a vote or written consent of Owners representing a specifiedpercentage (i.e.,other than actionsrequiring merely thevote or written consentof amajority ofaquorum) of the Master Association's votingpower before action may beundertaken shallthen require the vote or written consentofMembers representing suchspecified percentageof both ( I ) the Master Association's total voting power and (2) theMaster Association'svoting power residing inMembers other than.Declarantand everyMerchant Builder.4.2.2. Co-Owners. Members are entitled to one (1) vote for eachLot inwhich they hold the interest required for Membership, When more than one (1)Person holds such nterest in anyLot ("co-owner"), aI1suchco-ownmare Membexs andmay attend any Master Association meetings, but only one (1) such co-ownerMI beentitled to exercise the vote to which theLot is entitled. Co-ownersowningthemajorityinterests in a Lot may designate inwritingom (1) of theirnumber to vote. Fractional

votes shall notbe allowed, and the vote for each Lot shaXI be exercised,if at all, ss aunit.Where no voting co-owner is designated or ifthe designationhas been revoked, thevotefor the Lot shall be exercised as he co-ownas owning the majority interestsin the Lotagree. UnIess the Board receivesawritten objectionin advancefromaco-owner, it shallbewnclusively presumed that the corresponding voting -owner isacting withhisco-ownerstconsent. Novotemay be cast for anyLot if the co-ownerspresent in personorby proxy owningthemajority interestsinsuchLot cannotagree o said vote or otheraction. The nonvotingco-owneror co-ownen are jointly and s evd l y responsible for allofthe obligationsimposedupon hejointly owned Lot and are entitled to all otherbenefitsofownership. All agreements and determinations lawfully madeby he MasterAssociation in accordancewith the voting percentagesestablished in the R d c t i o n s arebinding onall Owners and their successors in interest.

4.2.3. Declarant's Veto Right. D e c l m t shall haveaveto rightwith respect o specified actions ofthe Master Association asprovidedin theRestrictions. Such veto right shdl termhate upon the last day of the Marketing Period.,provided, however, that atmy time prior to the last day of the Marketing Period,Declarapt shall have the right to terminate I)eclarantfsveto right by executing etnddelivering to the Master Association a letter whereby Declarant relinquishes all ofDeclarat's veto rightpurmant to Section 4.2 and theRdctiom.

4.2.4. Actions SubjecttoVeto. In addition to other veto rights ofDsclarant set forth herein, the following actions authorized by this Master Declaration are


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subject to the veto right of Declarant: actions for which Mortgagee consent isrequedunder Section 14.5.2 of this Master Declaration;the activities listed in Section 5.4 ofthisMaster Declaration; any increase inAnnual Assessmentsas provided in Sections 6.6 ofthis Master Declaration; any changein the architectural and andscapingdesign,provided in Sections 8.8 of this Master Declaration; and any proposed termhationoramendment to thisMaster Declaration.

5, Functions and JurisdictionofMaster Association.5.1. Permitted Functions. TheMaster Assodation is formedexclusively for those socialwelfare purpos& and activitieswhichare specifidllyanddirectly related to administeringand enforcing heRestrictions(the "PermittedFunctions"). Notwithstanding the foregoing,Permitted Fmctions do not include thoseactivities prohibitedby Section 5.4 below. The fundsmdresources of the MasterAssociationMl be utilized solely and exclusively forthe direct costs of PermittedFunctions.5.2, Powers and Duties. The Master Association has all of the powersofaCalifornianonprofit public knefit corporation,subiectonly to such imitationsupon.

the exerciseof suchpowersasare expressb set forth inintheestrictions.Subject to theRestrictions,including without limitationthe exemptionsofDeclarant and Merchant' Builders herein, theMaster Association has the p e r o perfomanyand all lawful actswhich may be necessary or proper for or incidental to he exercise of any of the expresspowers of theMaster Association. Subjectto the foregoingprovisions, the MasterAssociation,acting through theBoard, has:

5.2.1. Assessments. Thepower andduty to levy assessmentsonth6Ownersof Lots inPhases of Development inwhich assessmentsbave commendandto c01Iect and enforce payment ofsuch assessments inacmrdancewitb the provisionsofArticleVI hereof.

5.2.2, L e d and Accounting Services. Subjectto the tams andptovisionshereof, he powerbutnot the duty, if deemed appropriate by the Board, toretain andpay for legal and accounting services necessaryorproperin enforcing theRestrictions, and performing anyof heother Master Associationduties or rights.5.2.3. Contracts. Except as otherwise providedin this MasterD e c l d o ~eitherD e c l m t nor any of its agents shall enterany wntnrct which would

bindthe Master Associationor the Board for aperiod in excess ofone (1) year.52.4. Audit. Thepower and duty topermit any Owner,whomybe accompaniedby anaccountant orother consultant,at saidO d s oleexpense toaudit or inspect the Master Association'sbooks and records; providedthat such auditorinspectionis made during normal business hours and without unnecessary interferencewith the operations oftheManager or theMaster As s o c ~o n .


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5.2.5. Litigation. The power but not the duty to initiate, defend,settle or intervene in mediation, arbitration,judicial.or administrativeproceedings onbehalf of the Master Association inmatters pertaining to the application or enforcementof theRestrictions.5.2.6. Insurance. The power and duty to maintain liability andfm hw a n c ewithrespectto personal property, if any, owned by he Master Associationas provided herein in furthering the purposes of and protecting the interestsof theMasterAssociationand Members and asdirected by theRestrictions.

5.3. Rulesand Regulations. TheBoard may adoptsuch Rules andRegulations as itdeems proper for the use and occupancy of the Properties. To beeffective, a copyof heRules and Regulations, as adopted, amended or repealed, must bemailedor otherwisedelivered to each Owner. Whenmailed, delivered orposted, theRde s andReguZatiotiSshall have the same forceand effect as ifthey were set forthherek, provided, however, that the Rules andR e ~ o n shall be enforceableonly tothe extentthatthey are consistentwithtbisMaster Declaration,my applicableSupplemental Master Declaration, the Articles and he Bylaws, andmay notbeusedtoamend any of suchdocuments.

5.4. ProhibitedActivities, Notwithstanding any otherprovisions ofthisMasterDeclarationor the other R&ctions, the Master Association is expresslyprohibited fmm undertaking or performingany of the followingactivities,or expendingor otherwiseutilizing Master Association funds or resources herefor, and the followingactivities s h d not constitute PermittedFunctions of the Master Association:

5-4.1. Prom Manager. TheMaster W i a t i o n shall not hireany full t ime employees, or rent, lease orotherwise furnishoffices,personnelor otherfacilities, whether located within the Propertiesor off-site. The Master AssociationManager shall at dl times beaprofessional manager employed as an ndependentcontractorofficedat its own place ofbusiness.

5.4.2. OffsiteNuisahces. The MasterAssmiationshall notuseanyAnnualAssessments or Special Assessments or ~ n daster Association funds orresources to abate any annoyanceor nuisance emmating from outside the physicalboundariesofPhases ofDevelopmentinwhich Annual.Assessments have commenced.5.4.3. Political Activities or Contributions. TbeMasterAssociation shall notengage in any F e d d , State or localpolitical activities oractivitiesintended to influence a g o v e m m d action affecting areas outside the boundariesof theProperties (e-g., endorsement or supportof (a) legislative or admiitrative actionsby aLocal GovernmentalAgencywbich affectpersons or property outside theProperties,

(b) candidates for elected or appointed office, and (c) initiatives, recall electionsorotherballot proposals). TheMaster Association is prohibited fromconducting, sponsoring,participatingin or expending fundsor resources onany activity, campaignor event,includingwithout limitation any social or political campaign, eventor activity,wbicbdoesnotdirectly and exclusivelypertain to a Permitted Function.


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54.4. Subassociation. For so long as Declarant has a veto r ightunder Section 4.2.3 of this Master Declaration,neither the Master Association nor myOwner nor any Merchant Builder, withouttheprior written consent ofDeclarant, shallform an association for the purposeofmanaging dl or any portion of the Properties.5-45. MortgageeConsents.For so long asDeclafanthas a vetofightunder Section 4.2.3 of this Master Declaration, theMaster Association may not,without the prior written consentof Declarant, take any action listed inSection 14.5.2 oftheMaster Declaration for which the consent of Ownersor firstMortgagees is required.5.4.6. Reserved Rights ofDsclarant and Merchant Builders.For so 10ng as I ) e c h t or anyMerchant Builder isentitledtoexercise any right, or avail-itselfofany exemption, inAc1eXUI or elsewherein thisMaster Declaration,neithertheMaster Association,nor theBoard, nor any Owner shall take any actionwhich isinconsistent with, or which would abrogate, any such right orexemption.

6. Covenant for Assessments.6.1. CreationofAssessmentObligation. Declmt and eachMerchantBuilder, for eachLot owned, hereby covenantstopay, andeachOwner, by acceptan= ofa deedto a Lot, whether ornot it shalt be so expressed insuch deed, isdeemedtocovenantto pay to theMastex AssociationAnnual Assessments and Specid Assammts

to be establiihedand collected asprovided herein. TheMasterAssociationmy notor collectmy AnnualAssessment or Special Assessment that e x d hemoun tfor the purpose or purposesfor which it islaid Except asprovided in hisSection 6.1, allAnnual Assessments and Specid Assessments, together with interest,costs and reasonable attorneys'fees for thewflection hereof, are thepersod obligationofthe Person who was theOwner of heLot at the timewhen fheAnnualAssessmentspecid Assessment fell due. The personal obligation for delibquenth u a l Assessmentsor Special k e n t s ay notpass to anynewOwner ("Purchasern)unless expre~slyassumedby thePurchaser. The Master AssmiationMl notimposeor collectanyAnnual AssessmentOr Special Assessment,penaltyor feewGchex& theBMOWI~n ece sq for the purpose or purposesforwhich it is levied,

6.2. GeneralOperatingFunds. TheBoard shall Budget, establishandmaintain an account into which shall be deposited al lm o n k paidto theMasterAssociation(the "GeneralOperating Fund!?), and from which disbursements shallbemade,as provided herein, for Common Expenses oftheMaster Associationa d uchother expenses ncurredby the Master Association'sp e r f o ~ c ef ts functionsthe Restrictions. Disbursementsfrom the General OperatingAccount shallbemade forsuchpurposesas arenecessary for the discharge of theMaster Associationtsresponsibilitiesunder the~ c t i o n s ,or the common benefit of dlOwners.

6.3, Disbursements. Disbursements fromthe General Operating~ k u n thall be made for thepurposes set forth in Section6.2above and for suchother


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purposes as are necessary for the discharge of theMaster Association's responsibilitiesunder the Restrictions, for the common benefit of all Owners. All amountsdeposited intothe General Operating Account must be used solely for the pwposes authorized by th eRestrictions.6.4. AnnualAssessments. The Master Association Common Expensesshallbe allocatedamong the Owners and heir respective Lotswithin the Propertiesbasedupon the number ofAssessment Units chargeable to each suchLot. Unless otherwiseprovided in a Supplemental Master Declaration, each Lot, and the Owner thereof, shall beallocated one (1) ,AssessmentUnit. AnnualAssessments shall be levied against theOwnersof Lots in he mounts as set forth in he Master Association Budget on filewith

theManager.6.5. Commencement of Annual Assessments.

6.5.1. CommencementDate. Annual Assessments shallcommence as o eachLot in eachPhase of Developmenton the firstday of he fixstmonth following the month inwhich the firstClose of Escrow occurs for the sale of aLotin suchPhaseofDevelopmentof the Properties. Each and everyLotin suchPhaseshallthereafterbe subjsct to its shareofthe thenestablished AnnualAssessmentasset forthherein The&-stAmual Assessmentshall be adjusted accordingto the number ofmonths remainingin the k a l ear establishedpursuant to he Bylaws.

6.5.2. PaymentPmcedure. TheBoardsballfixthearzlountoftheAnnualAssessment to be evied againstLots at least thirty (30) ays in advance of each-Annual Assessmentperiod. However, unless otherwiseestablishedby theBoard, theinitialA n n d Assessment shall be levied in accordance with themost recent Budgetonfikwith the Manager. Writtennotice of any increase in the amountof the h u a lAssessment shall be sent by firstclassmail to every Owner subject thereto, not less thanthirty (30) nor more than sixty (60) days prior to the increased Annual Assessmentbecoming due. All hstahentsofAnnual Assemeats shall be collected inadvanceona regularbasisby the Board, at such requency and on such due dates as theBoarddetermines from time to time in its sole and absolute discretion,6.5.3. ExcessFunds. The Board of Directors may determine that

excess funds remaining in the General Operating Account, overandabovethe amountsused for the operationof the Properties, may beured to reducethe fdowing year'sAnnual Assessment.6.6. Limitations on AnnualAssessment Increases. TheBoard shall notlevy, for any fiscal year, an Annual Assessment which exceeds the "MaximumAuthorid Annual Assessment"as determined pursuanttoSections6.6.1 and 6.6.2

below, unless first approved by the vote of Members epresentingat least amajority ofvotes at a meeting orwritten ballot ofMembers in which more than ifty percent (50%)of he total votingpower of the Master Association is represented.


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p ~ n a$w&- W 'mad p s y qrns 8-p t r q w a qpm p gAm JOJ 3uauIssassvpw wogtnv ummpty atpwq sa~mom.mq n a m s s x wpw rn SayaI v o a q j I 7~nassassvnmv -1 qrns Am 31 SnaarssassvPW P=POWW - P FW aVv ~l3na~=wpv Aqpapw d~~adazdaq XQW a o p e ! ~ o s ~a m ~q o suoputy pgu assa puts vnq~odqtp JRQ saqmwp

pE08 JI -Wa~SSaSV ~ ~ ~ 3 l d d I l sCg.9 .


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ARTICLEVrI7. Nonpayment ofAssessments;Remedies.

7.1. Nonpayment ofAssessments;Remedies. Any installment ofAnnual Assessmentsor Specid Assessments is delinquent if not paid within fifteen (15 )days of the due date establishedby the Board and shall be subject to alate charge in anamountequal tothe greater of tenpercent (1 0%) of the amount of the delinquentpaymentorTenand no1100 Dollars ($10.00). Any installment ofAnnual Assessments or SpecialAssessmentsnot paidwithin thirty (30) daysafter the due date, plus all reasonablecostsof collection (including attorneystfees) and late charges asprovided hereinbears interestat the maximum rate permitted by law commencing thirty (30) days from the date thatsuch Annual Assessmentor SpecialAssessment becomesdueuntil paid. TheMasterAssociation shall be entided to any andalirights and remedieswhich the MasterAssociation mayhave at law or inequity, includingasuit to recover a money judgmentforunpaid &sements. TheMasterAssociation need not acceptmy tender of a partialpayment of my imtahentofAnnual Assessments or Special Assessmentsanddl costsand attorneys' fees attributablethereto, andany acceptanceofany such tender does notwaive theMaster Association'srightto demand and receive full payments thereafter.

7.2. Mortg;ag;eProtection, The enforcementof any provision hereofshall not defeat or render invalid the rights of he Beneficiary under anyRecorded Deedof Trust upon aLotmade ingood faith and for value. After a Beneficiary or other Personobtains title to a Lot by udicial foreclosure or by meansset forth in aDeed of Trust, theLot shall remain subjectto the Master Declarationand the payment ofdl k t a h e n t s ofAssesmeotsaccruing after the date the Beneficiary or otherPerson obtains title.

7.3. Alternative Dispute Resolution.Inaddition to such other rightsandremedies that he Master Associationmay have at law or in equity, the MasterAssmiation may, in its soleand absol&discretion, submit& disputebetween anOwner and the Master Association regarding the Annual Assessmentsor SpecialAssessments imposed by the Master Association, to mediation, the final resolution ofwhich shall bebjnding on he parties thereto. Such arbitrationshallbe conductedpursuant to the arbitmtion proceduresadoptedby the Am eric ai ArbitrationAssociation

' ar any successortheretoor to any otherentity offeringarbitrationservicesthat isacceptableto he parties*

ARTICLE VIIl8. Architectural Control.

8.1. Membersof Committee. The ArchitecturalReview Commitlee,sometimes referred toherein as the "ARC,"hall be comprised of fivemembers. Theinitial members of theARC shallbe representatives of Dedarant until one (I ) year afterthe date of this Master Declaration("First Anniversary"). After theFirst Anniversary, theBoard may appoint and remove two (2 ) members of theARC, andD e c l m t may appoint


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and remove a majority of themembers of the ARC and fillany vacancy of suchmajority,until the last day of the Marketing Period; provided, however, that at any time prior to thelast day of the Marketing Period, Declarant shall have the rightto erminateDeclarant'sright to appoint and remove a majority ofmembers of theARC by executingaaddelivering to the Master Association a letter whereby Declarant relinquishes all ofDeciarant's rights pursuantto this Section 8.1. ARC members appointedby the Boardmust be Memkrs, butARC members appointedby DecIarant neednotbe Members. TheARC has he right andduty topromulgatereasonablestandadsagainstwhich to examineany request made pursuant to thisArticle in order to enswethat the proposed plansmnfomharmoniouslyto the exterior design and existing materids of the buildings in theProperties. Boardmembersmay also serve asARC members.

8.2. Review of Plans and SpecXcations. TheARC shall consider andactupon dl plans and sp%c&ons submined for its approval under th is MasterD e c l d o n andperform such other duties as the Board assigns to it, including inspectionof c~nstr~ctionn progressto assure conformance with p h pproved by the ARC. NOreconstnrction of an existing Improvement, installation ofanew Improvement after Closeof Escrow h m eclarant or a Merchant Builder, or alteration of an existingImpmvementof ny type, in the Propertiesmay be commencedormaintained until. heplans and specifications therefor showingthe nature, kind, shape,height, width, exteriorcolor scheme,materids Etnd locationthereof have been submitted to and approved inwriting by the ARC; provided, however, that my Improvementm y e repaintadwithoutARC approvalso long as he Improvement isrepainted he identid color which it waslastpainted. Without limiting the generality of he foregoing, theprovisions of thisM c l e VIU apply o the coastruction, W a t i o n and alteration of soIarenergy systems,asdefinedinSection801.5 ofthe California Civil Code, subjectto the provisionsofCaliforniaCivil Code Section714, theCity Building Code, applicable zoning regulations,and associatedCity ordinances, TheOwner submitting the plans and specifications("Applicantn)shaJl obtain awritten, datedreceipt therefor from an authorized agentof heARC.Until changed by the Board, the address or submission ofsuchplans andspecificationsisthe Master M 1 a t i on tsprincipal office. The ARC shall approve p kand specifications submitted for itsapprovalonly if it determines that a) the nstallpltion,construction or alterations c 0 n t empW thereby in he Iodons ndicatedwillnotbedetrimental to the appearanceof he m u n d i u g areaof he Properties as a whole, and@) the appearanceof ny structure plffected thereby wil l be in harmony with thesurrounding structum. D e c l m t and eack Merchant Builder neednot seek or obtainARC approvalofanynew Improvements consbuctedonthe Properlies by Declarant ortheMerchantBuilder, because hejwisdiction of the ARC s limited to new work andmodificationsto existing mprovementswhichare commencedby anOwner after CloseofEscrow for the sale from aMerchant Builder orDeclarant. Moreover, each Ownermay mnstsuct ina timely manner any damaged or destroyed Improvementonthe Lotof he Owner with the same rnakrhis andto the same specificationsas the Improvementexisted before it was damaged ordestroyedwithout the approvalof heARC, o long asthe hprovementwhenorighdly constructedwas eitherexempted hereunderorptpproved by the ARC.


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Tbe ARC may conditionits approvalof roposals or plans and specifications forany Improvementupon any of he folIowing: (1) the Applicant's fumishhg the MasterAssociationwith security acceptable to the Master Association against any mechanic'slienor other encumbrancewhich may be Recorded against the Propertiesas a result ofsuchwork, (2) such changes themin as it dee ms appropriate,or (3) the Applicant'sagreement to complete the proposedwork withina stated period of time, and may requiresubmissionof additional p h s nd specificationsor other infomation prior to approvingor disapproving material submitted. The ARC shall also issuerules or guidefinesPARCRules") setting forth standards, specificationsandprocedures for the submissionof plansfor approval, requiring a fee (as may be necessary)to accompany each application forapproval, or statingadditional factors which it will consider inreviewing submissions.TheARC may providethat the amount of such fee be uniform, or that it be determined inany other reawnable manner, suchas by he reasonable costofthe construction,alterations or installations contemplated. The ARC may requiresuch detail inplans andspecifications submitted for its reviewas t deems proper, including,without limitation,landscapeplans, floor plans, siteplans, drainageplans, elevationdrawings anddescriptionsor samples of exterior material and colors. Until receipt by.theAR C ofanyrequired plans and spifications, the ARC may postponereviewafmy plans submittedfor approval. TheARC shall transmit its decisionandthereasons therefor to theapplicant at the address set forth in the application for approvalwithin forty-five(45)days after theARC eceives a l l required materials. Any application submitted pursuantto fhis &don 8.2 shall be deemed approved unless the ARC transmits writtend i ~ v a lr arequest for additional information or materials to the Applicant withinforty-five(45) days after he date theARC receives all requiredmaterials. The Applicantshallmeet any Pevieworpermitrequirementsof the City prior tomaking anycomtruction, imtaktionor alterationspermittedhereunder.

8.3. M &gs of theARC. TheARC shall meet asnecessary toperform its duties. The ARC may, by resolutionadopted inwriting, designate an ARCrepresentative(who may, but neednot, be one of its members) to take any action orperform any duties for and on behalf of the ARC except the granting of variancespursuant to Section8.8. In the absenceof uchdesignation, the vote or writtenconsent ofa majority of the ARC constitutesan act of the ARC.

8.4. No Waiver of Future Appmvals. The ARC'Sapprovalofanyproposals or plans and specifi.catimor drawings for any work done orproposed or inconnectionwith any otber matter requiring the ARC'S approval does not waive any righttowithhold approval of any similarproposals,plans and specifications,drawings ormatters subsequentIy or additionallysubmitted for approval.8.5. Compensation of Members. Except as otherwise approvedby amajority of the members of the Board, the ARC'S members shall receive nocompensation

for services rendered, other than reimbursementfor expenses incurredby them nperforming their duties.8.6. . Ifispectionof Work. TheARC or its duly au t ho r i drepresentativemay inspectmy work for which approval of plans is required underthis

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ArticleWl[("Work"). The right to inspect includes the right to require any Owner totake suchaction asmay be necessary to remedy any noncompliance with theARGapprovsd plans for the Work orwith the requirements of t h i s Master Declaration("N~ncomplimce'').8.6.1. Time Limit. The ARC'Sright to inspect the Work andnotifythe responsible Owner of anyNoncompliance shall terminatesixty(60)days after

the Work hasb m omp1eted and theARChas receivd written notice from the Ownerthat he Work has been completed. If the ARC fails to send a notice ofNoncompliance toanOwner before th is time limit expires, the Work shall be deemedto comp1y with theapproved plans.8.6.2. Remedy. If anOwner fails to remedy myNoncomplimcewithin sixty (6U) aysh m he date of notificationfrom theARC, the ARC &dlnotify

theBoard inwritingof such failure. UponNotice andHearing, theBoard &dldeterminewhether there isaNoncompliance ad,fso, the natwethereofandtheestimatedcost ofCO or removing the same. If aNoncomplianceexists,the Owner shall remedy orm o v e the samewithinaperiod ofnot more thtrn forty-five (45) days rom the date thatnoticeof heBoard ruling isgivento the Owner. If theOwner doesnot comply with theBoard ruling within thatperiod,th; ~oard ay RecordaNotice ofNoncomp1iance (ifpermitted by aw) and commenceakwrmit for damages or injunctive relief, asappropriate, tom e d y he Noncompliance,

8.7. Scope of Review. The ARC shall reviewand approve,conditionally approve ordisapproveallplans submittedto it for any propsedcom t rdon , installation or alteration solely on he basis of aestheticconsiderations,~0~1~istencyiththisMasterD e cW o n , and the overall benefit or detrimentwhichwould resultto the immediatevicinity and the Properties g enedy . TheARC s h dconsiderthe aestheticaspectsof the a r c h i t d designs, placement ofbuildings,. Iadsq img,color schemes,exterior k h e s and mate& and similar features. TheARC'S approval or disapproval&dlk ased solely on he considerationsset forthin hisArticleVIH. TheARC s not responsiblefor reviewing,normay its approvalof any planor design bedeemed approval of, any plan or design from tbe standpointofstructuralde ty orconformmoewithbuilding or othercodes. TheARCmayneitherconsider theimpactofviews from other Dwelling Units, Lots nor privacy right claims as factorsinreviewing,approvingor disapproving any proposedlandscaping,constructionorotherImprovement. Neither Declarantnorany MerchantBuilder warrants any protectedviewswithin he Properties, and neither Deckant nor anyMerchantBuilder guaranteestheexistenceorutlobstmcted continuationof anyparticularview from any Dwelling Unit orLot.TheARCmay not change the architecturaland landscapii design of thePmp d e s ,as approvedby D e c l m t , withoutthe prior written consent of D e c l m t for so long asDeclarant is entitled to exercise its veto rightunder Section 4.2.3 of this MasterDeclaration.

8.8. Variance. Subject to the approval ofa majority of the members oftheBoard as hereinafterprovided, the ARC may authorizevariances from mmplimcewith any of he olrc&cfmd provisions of thisMaster Declaration, including without


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limitation,restrictions upon height, size, floorarea or placement of structures, or similarreshictions, when circumstances such as topography, natural obstructions, hardship,aesthetic or environmental considerationmay q u i r e . Suchvariancesmust be evidencedinwriting, must be signedby amajority of the ARC, and become effectiveuponRecordation. No variance authorizedby the AR C is eff'tive unlessand until amajorityof the members ofthe Board approves suchvariance, which approval or disapproval maybe givenin the Board's sole and absolutediscretioh. If such variances are granted, noviolation of the cuvenants,conditionsand restrictions contain4 in this MasterDeclaration shall be deemed tohave occurred with respectto the matter for which thevariancewas granted. The grantingof sucha variance doesnotwaive any of he termsand provisions of thisMasterD e c ~ d o nor anyputpose except asto he particularprom and particular provisionhereof coveredby the variance, nor does it affect theOwner's obligation to comply with dl applicablegovernmentalordinancesaffecting the-use of his LotandDwelling Unit.

8.9. Pre-Approvals. TbeARC may authorize pre-approval of certainspecifiedtypes or classesofcunstnrctionactivities if, in the exerciseof the ARC'Sjudgment, preappmval of such typesor classes of hpmvements is appropriate incarrying out the purposes of this Master Deck ation ,

8.10. Appeals. Except as provided in Section8.8 above, for so long asDeclaranthas he righttoappoint and remove amajorityofthe ARC'Smembers, theARC'Sdecisionsare fd , and there isno appeal to theBoard. When Deckant is nolonger entitled to appoint and remove a@or@ of the ARC'Smembers, the Board mayadopt policies and procedures for the appeal of ARC decisionsto the Board The Boardhasno obligation to adopt or implementany appl procedures, andin he absence ofBoard adoption of appeal p m e d m , a l lARC decisions areM.ARTICLETx

9. Maintenance andRepair Obligations.9.1. Maintenance Obligationsof Owner. Each Owner shall, at theOwner's sole expense,subject to theprovisions ofthisMaster Declaration requiringARCapproval,maintain, repair, replace and restore all Improvements lmted on he Owner'sLot, aswell as the laud in a neat, sanitary and attractive condition. Suchmaintenanceresponsibilities include, but arenot limited to , themaintenance of the entireDwellingUnit on heLot, aswell asany fenceorwall constructedon he Lot along the Lot lineabutting any Public Property. In addition, each Owner whose Lot orUnit utilizes aprivate W a g e system installed by Declarant or anyMerchant Builder is responsible forthemaintenance and repair ofthatportion of thesystemwhich is locatedon heOwner'sLot. If any Owner permits any Improvement which such Owner is responsible for

maintaining, to fall intodisrepair or to become unsafe, unsightiy or unattractive,or tootherwiseviolate thisMaster Declaration, the Board may seek any remedies at law or inequity which it may have. In addition, the Board may, afterNotice and Hearing, enterupon such Owner'sLot or Unit to make suchrepairs or to perform such maintenanceand


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10. Use Restrictions. The Properties shall be held, used and enjoyed subjectto the following restrictionsand the exemptions of Declarant and MerchantBuilders setforth in thisMaster Declaration.10.1. Single F d y Residence. Each Lot shall be used as a residencefor asingleFamily and for no other purpose. An Owner may rent his Lot to a singleFamily provided that the Lot is rented pursuaat to a written lease or rental agreementsubject to all of the provisions of this Master Declaratioa10.2. Business or CommercialActivity. No part of the Properties may

everbeusedinmy way, directly or indirectly, for any business,commercial,mufactwing, mercantile,storage, vending or other nonresidential purposes, includingwithout limitation any activity for which the provider is compensated or receivesanyconsideration,regardless of whether the activity is engaged in full or part-time, generatesor doesnot generate a profit, or requiresor does not require a license; except D e c h tand Merchant Builders may use any portion of the Propertiesfor amodel home site anddisplay and salesoffices inaccordancewith Article X I 1 hereof. This Section10.2doesnot preclude any of heabove-described activitieswithout externalevidence hereof,provided that: a) suchactivities are conducted inconformance with all applicablegovernmental o ~ c e s ;b) the patrons or clientele of suchactivitiesdo not visit theLot orpark automobiles or othervehicles within theProperties; (c) the existence oroperationof suchactivities isnot apparentor detectable by sight, sound or smeU fromoutside theboundaries of theh t ; d) no such activity incmses the Master Asmiation'sliability or d t y nsuranceobligationorpremium; and (e) suchactivitiesareconsistentwith the residentid characterof theProperties and conformwith the provisionsof this MasterDeclaration.

10.3. Nuisances, No noxiousor offensive activities may be carried onupon the Properties oron any public streetabutting orvisible h r n the Propertiesincluding,but not limited to, the installation of excessively bright or coiorful i ~ ~ t son he exterior of he DwellingUnit. No exteriorhorns, whistles, bells or othersounddevices, except security devicesused exclusively to protect the security of aDwKingUnit and itscontents, may be placsd ox used on any Lot;provided,however, thatsuchsecurity devices shall automatidy resetwithin f i n 1 5) minutes after the soundingofthealarm. Noisy, unsightly, unusuallypaintedor smoky vehicles, large power equipmentand large power tools (excluding lawn mowers and other equipmentu t i W inconnectionwithordinary landscapemaintenance), or items which mayunreasonablyinterferewith telephone, televisionor radio reception to any Lot, and objects whichcreate oremit loud noises or noxious odorsmay notbe ocated, usedor placed in heProperties or on any public street abutting the Properties, orexposed o the view of otherOwnerswithout the B o d s prior written approval in ts sole and absolute discretion.The Board is entitledto determine if any noise, odor, or activityproducing suchnoise orodor constitutesanuisance. No Owner may (a) permit or causemything to be done orkept onthe Propertiesor onanypublic street abutting the Propertieswhich may(i) ncrease the rateof insurance in the Properties, (ii) result in thecancellation of such


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insurance, or (iii) obstruct or interfere with fherights of other Owners, or (b) commit orpermit any nuisance hereonorviolateany Iaw. Each Owner shall comply with allrequirements of the local or state healthauthorities and with all other a p p h b l egovernmental o r d i c e s regarding occupancyanduse of a Dwelling Unit. EachOwneris accountable to theMaster Assaciation and other Owners for the conduct and behaviorof personsresiding inor visitinghis Lot. Any damage to the property of anotherOwnercausedby suchpersons shall be repaired at the sole expense of theOwner of the b twhere such persons are residingorvisiting.

10.4. Signs. SubjecttoCivilCode Sections 712 nd 7 3, no sign,poster, bilillboard,Moon advextisingdeviceorother display ofmy kind shall kdisplayedwitbin the Properties or on any public streetwithin or abutting the Propertiesexcept for the followingsigns, so long as they comply with applicable City o d i c e s :(a) signs (regardless of izeorconfiguration)usedbyDeclamntinconnectionwiththe sale, construction,alteration ordevelopment of thePropertiesand the AnnexableTerritoryor sale; leaseorother disposition of Lots in thePropertiesor the Annexable Territory,@) entrymonuments, community idw~cationigns,or trafficorpuking control signsmaintained by theMasterAssociation,(c) one (1) nameplateor similarOwner m e r address-- dentificationsign foreachLot which complieswithARC rules;(d) one (1) sign for a Lot advis'ig of the existenceof ecurity

services pm- a h t which complieswithARC rules;(e) one (1) signwhichmay be displayed on eachLotadvertihg th eLot forde or ease; provided that such for sale or lease signs complywith the following requirements:

(i) the sign isnot larger than eighteen inches(1gn) bythirt).inches(30")n size;{ii) the signis attached to the groundby aconventional, singlevertical stakewhich doesnot exceed tw o hhes (2")by threeinches 3"') indiameter (i-e.posts,pillars, frames or similararrangements areprohibited);(iii) the top of the sign is not more than three fset(3') in heightabovetheground level;(iv) the sign is ofa color andwle authorizedbytheARC and

ARC. (v) other signs or displays authorizedby he

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10.5. Paxking and Vehicular Restrictions.10.5.1. Authorized Vehicles. The followingvehicles areAuthorized Vehicles: standardpassenger vehicles, inciudingwithout limitationautomobiles, passenger vans designed to accommodate ten (1 0) or fewer people,

motorcycles andpick-up truckshavhg a rnanufachuer'sratingorpayload capacity ofone(1) tonor less. Authorized Vehiclesmay be parked in any portion ofthePropertiesintended for parking of motorized vehicles; provided, however, that no Owner may(a) park his orhervehiclein amannerwhich either d c t s he passage of pedestriansorvehicles over streets or sidewalks within the Properties, or extends beyond the limitsofthe space where the vehicle isparked or (b) charge a fee for parkhg any motorizedvehicleswithintheProperties.

10.5.2. ProhibitedVehicles. The followingvehic1es areProhibited Vehicles: li) recreational vehicles (e.g., motorhomes, travel trailers, campervans, boats, eto.), (ii) Gmmercial-typevehicles(eg.,takebed trucks, tank trucks, dumpmcks, stepvans, concrete trucks, limousines, etc.), (iii)buses orvans designedtoaccommodate more than en (10) people, (iv) vehicleshavingmore than wo (2) d e s ,(v) trailers, inoperablevehiclesorparts ofvehicles,(vi) aircraft,other similarvehicles orany vehicle or vehicular equipment deemed anuisance by the Board. ProhibitedVehiclesmay not be parked, storedorkept on any public or private street within,adjacent toorvisibleh m he Properties except for brief periods for loading,unloading, makingdeliveries or emergency repairs; provided, however, that recreational vehicles, motorhomes and trailersmaybeparked for up to forty-eight (48) hours, ProhibitedVehiclesmay only lxparked withinanOwner's fully enclosed garagewith the door closed so longastheir presence on he Propertiesdoesnot otherwise violate the provisions of thisMaster Declaration.

10.5.3. General R ~ c t i o n s . ubject to the restrictiononProhibited Vehicles, all vehicles owned or operated by or witbin the control of an Owneror a resident of anOwner's Lot andkept within the Properties must be parked in thegarage of that Ownerto theextentofthe space available;provided that each Owner shallensurethat any such garagewill at dl times~accommodatet least one (1) AuthorizedVehicle. No repair,maintenanceorrestoration ofany vehiclemay be conductalonthehoperties exceptwithin an enclosedgaragewhen the garage door isclosed,providedsuch.activity is notundertakenas a business, and provided that suchactivitymay beprohibited entirelyby the Board if the Boarddeterminesthat it constitutes a nuisance.10.5.4. Parking Regulations. TheBoard may enforce dlparkingand vehicle use regulations applicableto the Properties, including removing violatingvehiclesb m he Properties pursuant to California Vehicle Code Section 22658.2 orotha applicable ordinances or statutes. There shall beno blocking of the fire access

lanes, asM e r rovided in Section 9.2 ofthisMaster Declaration. Zf he Board fails toenforce any of theparking or vehicleususe regulations, the City may enforce suchregulationsin accordam with applicable laws and ordinances.


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10.6. Animal Restrictions. No animals, fowl, reptiles, poultry, fish orinsects ofanykind ("animals") may be raised, bred or kepton he Properties, except thatdogs, cats, ish, birds and otherusualhouseholdpets may be kept on Lots, rovided thatthey are not kept, bred ormaintainsdfor commercialpurposes,not inunreasonablequantitiesnor in violationofany applicable local ordinance, nor in violation of theRestrictions. As used in thisMaster Declaration, "unreasonablequantities" o r d i d ymeans not more than wo (2) pets per household;provided, however, that theBoard m ydetermine that a reasonable number in any instancemay be more or less. The MasterAssociation, acting through the Board, may Iimit the sizeof pets and may prohibitmahmuceof any animal which, in the Board's opinion, constitutes anuisanceanddanger to any other Owner or any tenants, invitees, or guests ofOwner. A n i dklonging to Owners,occupants or their licensees, tenantsor invites within theProperties must be either kept within an enclosure or ona leashheld by a person capableof ontFo1Fingtheanimal. Any Owner shallb iable to each and all remaking Omen ,their fadies,guests, tenants and invitees, for any unreasonablenoise or damage top e m n or property caused by any aaimals brought orkeptupon the Properties by suchh e r rby such h e r ' s amily, tenantsorguests. EachOwnerWl cleanup aftersuchOwner'smbds whichRaveusedany poxtionof he Properties or public streetabutting or visibleb m heProperties.

10.7. Trash andUnsightly Items. No trash may be kept or permittedupon the Properties oron anypublic streetabutting orvisible from theProperties, e x ~ p t& sanitary c&ahers located appropriateareas screened fromview, sod no odor maybe permitted to arise therefrom so astorender the Properties or any portion thereofunsanitary, unsightly, offensiveor detrimental to any other propertyin the vicinitythereof or to its occupants. Such ontainersmay be exposed to he view ofneighboringh t s only when setout for a reasonable period of time (not to ex& twelve (12) hours)bfore and after scheduld trash collection hours. No exterior fires are pmitted, exceptbarbecueh s ontained within receptacles therefor and firepits in.enclosed areas anddesigned in suchamannerthat they do notcreate a fire hazard. No clothing, householdfabricsorother unsightly articlesmay behung, dried or airedon or over any Lot. Noplants or seeds nfectedwith noxious insects or plant diseases may bebroughtupon,grownormaintainsdupon theProperties.

10.8. TemporaryBuildings. No outbuildimg, tent, shack, shedor othertempomy building or Improvement may be placed upon any portionof he Propertieseither temporarilyor permanently,without the prior written consent of theARC. NOgarage,v r t , taiIer,camper,motor home, recreationvebicle orother vehiclem y ewsed asaresidence in the Properties, either temporarily or pemanently.10.9. Outside Installations. No projectionsofany type may beplaced or

e t t e d o remain h v e he roofofmy b u i l d i within the Properties, except one or&rcchimneys and vent stacks origbalG installed, if atdl,by &larant or byaMerchant Builder, or asotherwise approvedby theARC. No basketball bakboard orother fixedsports apparatusmay bewmtmcted or maintained in the Propertieswithoutthe ARC'Sprior approval. TbeBoard may authorize and regulateportable basketballstands or hoops and 0 t h portable sports equipmentin he Rules and Regulations. No


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fence or wall may be erected, altered or maintained on any Lot exceptwith the ARC'Sprior approval. No patio cover, wiring, or air conditioning fixture, water softeners, orother devices may be W e d n he exteriorofaDwelling Unit or be ailowed toprotrudeh u g h he walls or roof of theDwelling Unit (with the exceptionof those itemsW I e d dwing the originalconstsuctionof the Dwelling Unit) unless theARC'Spriorwritten approval is obtained. No grills or bars may be installed on the windows oftheDwellimg Unit unless he ARC'S prior writtenapproval is obtained.

10.10. Antennae. Owners areprohibitedfrom nstalling any antennaeon he exterior of a DweIIing Unit for anypurpose, except for an "AuthorizedAntenna"An "AuthorizedAntennanmay be installed so long as he proposed location for suchinstallation ensures thatthe visibility of the Authorized Antenna isnmmmd. . withrespectto other Owners. 'l%e ARC, sing its sole good faithdiscretion,may requirethatthe placement of anyAuthorized Antennabe changed so long as thenew ocationidentified by ARC does not ( I ) unreasonably delay, prevent or substantially increase thecostofmaintenanceoruseofanAuthorizedh t e m a , or (2) preclude receptionof anacceptable quality signal. The ARC may prohibit tbe nstallation ofanAuthorizedAntenaaif he installation, location ormaintenanceofsuchAuthorized Antennaaffectsthe safety of anyPerson.

An " A u t h o WAxl#mmnmeans0) nantema that is desigaed to receivedirectbroadcast satellite&ce, including d i m - t o - h ~ m eatelliteb c e , hat is one meter orlessindiameterand s screened from view h m he ground but isinno eventmore thanfour (4) feet above themf,(i i) antenna thatisdesignedto receivevideo p m p m i n gservice, including multichannel multipoint distribution service, instructional television~ e dc e , and localmultipointdistribution service, that is one meter or less indiameter or diagonalmeasurement and isscreened rom view from the g o d ut isinno event more tban four (4) feet above the roof,or(ii) n antema that is designed toreceive televisionbroadcastsignals,that is one meter or less in diameter or diagonalmeasurement and is screened fmm view h m he ground but is inno eventmore thanfour (4) feet above themf.

The Boardmay adopt additional mhictions on installation or use ofanAuthorized Antenna onanOwner's Dwelling Unit asa part ofthe Master Association'sRules and Regulations so long assuch restrictionsdo not (1) unreasonably delay, preventor substantially increase the cost of installation.,maintenance or use ofanAuthorizedAntenma, or (2) preclude receptionof an acceptable quality signal, or (3) violateapplicable law.

TheBoard alsohas the p o w q o (i) prohibit an Owner from nstallinganAuthorized Antenna on property which such Ownerdoesnot own r isnot entitled toexclusively use under theRestrictions, or (ii) allow an Owner to install an antennaothertfiatlanAuthorized Antenna subject to applicable a r c h i t s c ~tandardsand review andapprovalby theARC,

10.11. Drilling. No oil drilling, oil, gas or mineral developmentoperations, oil rehing, geothermal exploration or development, quarryingor mining


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operations of anykindmaybe conducted uponthe Properties, nor are oil wells, tanks,tunnels orm i n d excavations or shafts permitted upon the surfaceof any Lot orwithinfivehundred feet (500') below the surface of the Properties.10.12. Further Subdivision. Except as otherwise provided herein, noOwner may further partition or subdivide his h t r any portion thereof, includingwithout limitation any division of suchOwner'sLot into ime-share estatesor time-share

uses. This provisiondoesnot limit therightofanOwner to (a) rent or lease his entireLotby means of awritten leaseor rental agreement subject to this Master Declaration;(b) sell such O w n d s Lot; or (c) transferor sell any Lot to more than one Person to lxheld by them as enants-in-common, joint tenants, tenants by the entirety or ascommunityproperty. Any failureby the lesseeofsuchLot to complywith theRestrictions comtihrtesa default under the lease or rental agreement.

10.13. Drainage. The Owner, by accepting a grant deed toPhase 1oftheProperties, acknowledges andunderstandsthat Phase 1of the Properties is part ofamaster drainage plan forPhase 1andthe other Properties, No onemay interferewith oralter theraingutters, downspoutsor *age systemsoriginallyW e d y Deckant orthe Mmhamt Builders, alterthe g&hg ofanyportionofPhase 1,orotherwisedter orinterferewith the established drainage pattern overmy Lot unlessanadequatealtemtive

' provision ismade for proper drainagewith the ARC'Spriorwritten approval. For thepurpose hereof, "establiihed"drainagemeans the drainagepattern and drainagehpmvernentswhichexistat the time tbat he Lot is conveyed to theOwner by DeclarantorMerchant Builder.EachOwner,by acceptingagrantdeed to his Lot, acknowledgesmd understandsthainconnectionwith the developmentoftheProperties, Declarant or aMerchantBuilder may have installed one or more "subdmins" e a t h the surface of uch Owner'sLot. The subdrabd l appurtenant improvementsconstnrctedor installed byD e c h t or aMerchant Builder ("DrainageImprovementsn),if any,provide forsubterraneandrainage ofwater fmm and o various portions ofthe Properties. To ensure

adequatedrainagewithin beProperties, it isessential that the D d g e mprovements, ifany,not be mdif~ed, emovedorblocked without having firstmadedkrmtivedrainagearrangements. Therefore,noOwnermay alter,modify, remove orreplace any Drabgefmprovements located within such Ownefs I;otwithout receivingpriorwritten approvalfrom theARC inaccordancewithArticleVXIhereof. Inconuectionwithobtaining suchqpmval, the Ownermust submitaplan to th e ARC foralternativedrainageacceptable totheARC.mere shall be no violationof hedrainage requirementsof the applicableLocal Governmental Agency, notwithstanding any approvalby he ARC.10.14. Water Supply Systems. No ndividual water supply system,sewage disposal.system orwater softener system is permitted on any h t nless suchsystem is designed, loated, constructedand equipped in accordance with therequirements, standardsand recommendationsofmy appiicable FxlcalGovernmentalAgency.


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10.15. Inside Installations. No window inany Dwelling Unit may bepartially orcompletely covered, inside oroutside,with aluminum foil,newspaper,paint,;eflec& tint orany othermaterial the ARC deems inappropriate for such use;provided,however, that an Owner mayuseplain clean white sheets o coverwindows for a periodnot to exceed six (6)months after the Close ofEscrow pending the installationof drapes,curhim, shutters or other appropriate interior window coverings.

10.16. Views. There are no views in he Properties which are protectedto any extentby thisMaster Declaration, and no Ownexwho becomessubjsct to the te rmhereof shallthereby obtain any vim rights whatsoever. Notwithstanding any otherprovision of any Declaration of Annexationor Supplemental Declaration recordedpursuantto Section 154 ofthisMas#erDeclaration, eachOwner and theMasterAssociation,by acceptingadeed to aLot, acknowledges that any constructionorinstallation by Deckwantor a Merchant Builder or by other Owners followingARCapprovalas provided inArticle VIZI hereof may impair the viewof uchOwner, and eachOwner and the Master Association onbehalf of theMembers hereby consent to suchimpairment.

10.17. SolarE n w Systems, Each Owner may install a solar energysystem onhis Lot which serves his DwellkgUnit, so long as (a) the design and locationofthe solar energysystem meet the requirementsofd pplicable governmentalo ~ c e snd theapplicable Lmal Governmental Agencies, and (b) said design andlocation receive the prior writtenapproval of the ARC.10.18. Installationof FrontYard Landscaping. In eachand every case .where a Merchant Builder does not instail landscaping for the Owner, eachOwner shallcompletethe nstallationof landscapingon he front yardof uch Owner's Lotin

accordancewith a plan approvedby theARC within six (6) months after the Close ofEscrow. EachOwner shall obtain allpermitsnecessary and shall comply with allrequirementsof the applicableLmalGovernmental Agency, Inno event shall thisprovisionconstitute a waiver ofany obligationofaMerchant Builder to Decl-t toinstall such frontyard landscaping.

10,19. Rights ofDisabled. Subject to the provisions ofArticleVIIIhereof, eachOwner may modify hisDwelling U t nd theroute over the Lut lading tothe front doorofhis Dwelling Unit, at his sole expense,inorder to facilitate accessto hisDwellingUnit by v n s ho areb h d , visually impaired, deaf or physicallydisabled,or to dter conditions which could be hamdous to suchpersons, in accordancewith anyapplicable lawor ordinance.

10.20. Post Tension Concrete Slab System. By acceptanceofa deed toaLot, each Owner aclmowledges and understands that due to varying soil conditions,some DwellingUnits have been constmcted using apost tension concrete slab system("S~stem'~),hich involves placing a grid of steel cablesunder high tensionin theconcrete slab foundation h e a t h each Dwelliig Unit. Any attempt to modify, alter orotherwise tamperwith the foundation (for example, saw cutting, drillingor installing asubmanean safe) is very hamdous and might resultin serious injury or damage. By


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a c ~ e p t i ~d d oa Lot that hasbeen cmskuctsd with the Systern, eacb Owner herebyspecifically cuvemts and agrees that theOwner:(a) Shall notcut into or otherwisetamper with the System;fb) Shall not howingly permit or allow any other P e r mto cuthto or&mmwith the Systemso long assuch Ownerownsmy in- intheDwellingUnit;(c) Shall disklose theexistenceoftbe System tomy tenant ork s e e of the Dwelling Unit; and(d) Shall h h m i f y andhold Declarant, snd its respectiveemployees,contractorsandagents,harmless from andagainst any and al l~b,amages, losses OXorher iability (including attorneys' fees)&sing from ?hemodificationor alterationthereof.

11.1. l ~ c ebligationsofOwners. EachOwner is responsible fork u h g ispersona].properly and all otherproperty and Improvementswithin his- -~ ~ 1 l i i& Eachh&er isalsorespowbleformr~&~ubliciability inswan= intheamount suchOwner deems desirable o cover such Owflds individual liability fordamage toperson orproperty occuniog inside suchOwner'sD w e K i Unit or e&wbereuponsuchOwndsLot Suchpoliciesshallnot adversely &ect orW s h my liability

. under any h w a n ~ ebtainedby or onbhs i fo f the MasterAssociation, and duggatecopiesof such 0th oliciesshall be depositsdwith theBoardupon the Board'srequest.If any loss intended to be coveredby imummd e d y or onbehalfof theMasterAsswkdion owamand he p c d s ayable @ereunderare r e d u d due to insurancewriedby myOwner, suchOwner shall assign the p of such insuranceto theMasterAssmidon,to the extentof uch reduction,fox application by theBoard to them e urpes as he reduced proceedsare o be applied.

11.2. Liability and Other Insurance. The Master Association shall obtaincomprehensivepublic liability inswan* includingmedical paymentsandmaliciousrnischiet insuch imitsas it deems desirable, ins& a g e iability for bodily injury,death andproper@damage &sing from theMasterAssociation'sactivitiesincluding,ifobtainable, a cross-liability endorsement insuring each insured against liabidity to eachother insured. The Board sball review all innuancepolicies at leastannually andin- the limits in its discretion. The Board moly also obtain such emrs and omissionsinsurance, indemnity bonds, fidelity bonds and otber insurance as it deems advisable,insuring the Board, theMaster Association's officers and theManageragainstanyliability forany actor omissionh h g ut the'i obligationshereunder,ord h gfrom theirmembershipon he B o d or onany committeethereof. However, fidelitybond coveragewhich xzames theW&.r Association asan obligeemustk btained byoronkhetlf of theMasterAssociation for any person or entityhandlingtheGen d

Innovator HOA CCR

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