Hidden Lakes Homeowners Association

HOA Covenants

Conditions and Restrictions

DECLARATION OF COVENANTS, CONDITIONS AND RESTRICTIONS FOR HIDDEN LAKE


Recorded Williamson County, State of Tennessee
06001276 – BK/PG: 3797/293-355

Table of Contents
ARTICLE 1 - Definitions
ARTICLE 2 - Submission & Term
ARTICLE 3 - Compliance with Management Documents
ARTICLE 4 - Property Rights
ARTICLE 5 - Open Space Easements and Rights of Way; Encumbrances
ARTICLE 6 - Open Space and Lot Maintenance
ARTICLE 7 - Use Restriction
ARTICLE 8 - Membership and Voting Rights
ARTICLE 9 - Covenants for Assessments
ARTICLE 10 - Insurance
ARTICLE 11 - Eminent Domain
ARTICLE 12 - Architectural Control
ARTICLE 13 - Mortgage Protection
ARTICLE 14 - Miscellaneous Provisions


DECLARATION OF COVENANTS, CONDITIONS AND RESTRICTIONS FOR HIDDEN LAKE

Declarant, Marlon and Gina S. Cunningham (original property owners) and Centex Homes (builder), deems it desirable for the management and administration of the planned development and for the preservation of the values and amenities of the planned development to incorporate the Hidden Lake Homeowners Association, Inc. as a non-profit corporation under the laws of the State of Tennessee for the purposes of administering and enforcing the limitations, covenants, conditions, restrictions, easements, liens and equitable servitudes created by or imposed in accordance with the provisions hereof, collection and disbursing the assessments and charges imposed in accordance with the provisions hereof, and exercising such other powers as many be authorized by this Declaration, by law, or by its Articles of Incorporation and Bylaws.


ARTICLE 1
DEFINITIONS

The following terms shall have the following meanings when used in the Declaration:

1.01 Articles. “Articles” means the Articles of Incorporation of the Association, including any amendments
thereto.

1.02 Association. “Association” means the Hidden Lake Homeowners Association, Inc., a Tennessee non-
profit corporation, its successors and assigns.

1.03 Board. “Board” means the Board of Directors of the Association.

1.04 Bylaws. “Bylaws” means the Bylaws of the Association including any amendments thereto.

1.05 City. “City” means the City of Fairview, Tennessee.

1.06 Committee. “Committee” means the Architectural Control Committee established and empowered as provided in Article 12 hereof.

1.07 County. “County” means Williamson County, Tennessee.

1.08 Declaration. “Declaration” means this Declaration of Covenants, Conditions and Restrictions for Hidden Lake and all amendments hereto recorded in the official records of the County.

1.09 Final Plat. “Final Plat” means the subdivision plat of the Property recorded in Book of Maps ___, Page ___, of the official records of the County and any revisions to such plat recorded, by an instrument signed by Declarant and Centex in the County registry.

1.10 Improvement. “Improvement” means any building, fence, wall, patio area, driveway, walkway, landscaping, antenna, sign, mailbox, pool, tennis court, or other structure or improvement which is constructed, made, installed, placed or developed within or upon, or removed from, any portion of the Project or any changes, alteration, addition or removal of any such structure or improvement other than normal maintenance and repair which does not materially alter or change the exterior appearance, condition and color of same.

1.11 Lot. “Lot” means any numbered lot or plot of land, together with any improvements thereon, as delineated by the Final Plat, which contains or is intended to contain a home.

1.12 Member. “Member” means a member of the Association.

1.13 Mortgage. “Mortgage” means a mortgage or deed of trust which constitutes a first lien upon a Lot given to a bank, savings and loan association or other institutional lender for the purpose of securing indebtedness incurred to purchase or improve a Lot.

1.14 Notice and Opportunity for Hearing. “Notice and Opportunity for Hearing” means giving at least fifteen (15) days’ prior notice of a proposed action and the reasons therefore, and an opportunity to be heard by the Board, orally or in writing, not less than five (5) days before the effective date of the proposed action.

1.15 Open Space. “Open Space” means all property, whether improved or unimproved, real and personal, or any easement, use right, maintenance obligation, or other property right or obligation therein, owned or held by the Association for the common use, enjoyment, or obligation of its Members, including without limitation (i) the Open Space Areas and the Stormwater Detention Areas, (ii) any Project screening or decorative wall designated for common maintenance, (iii) any Project entrance monuments, right-of-way landscaping, irrigation systems, drainage facilities, detention ponds, and such other improvements and facilities lying within dedicated public easements or rights-of-way adjacent to the Project as may be designated by the City or County for Association maintenance or as deemed appropriate by the Board for the preservation, protection and enhancement of the Project.

1.16 Open Space Areas. “Open Space Areas” means the real property and any improvements thereon located within those portions of the Project designated as “Open Space” or “Common Area” on the Final Plat.

1.17 Owner. “Owner” means the record owner, whether one or more persons or entities, of fee simple title to any Lot. “Owner” shall not include any person or entity who holds an interest in a Lot merely as security for the performance of an obligation or as a tenant.

1.18 Person. “Person” means an individual, corporation, partnership, trustee or other legal entity capable of holding title to real property.

1.19 Project. “Project” means the development known as “Hidden Lake,” which has been developed and constructed on the Property.

1.20 Property. “Property” means that certain approximate ___ acre track of land, together with any improvements thereon and appurtenances thereto, located in Williamson County, Tennessee, and described in Exhibit “A”, which exhibit is attached to and made a part of this Declaration, and any additional contiguous property subjected to the provisions of this Declaration pursuant to Section 14.10.

1.21 Rules and Regulations. “Rules and Regulations” means reasonable and nondiscriminatory rules and regulations as may be adopted from time to time by the Association.

1.22 Voting Power. “Voting Power” means the total number of votes held by Members (in a class of Members of the Association) whose membership at the time the determination of voting power is made has not been suspended in accordance with the provisions of this Declaration or the Rules and Regulations. Voting Power shall be computed by including all such Members whether or not such Members are present in person or by proxy at a meeting. All voting specifications and requirements shall apply to the entire Project.


ARTICLE 2
SUBMISSION AND TERM

2.01 Submission. The Property shall be held, conveyed, hypothecated, encumbered, sold, leased, rented, used, occupied and improved subject to each and all of the limitations covenants, conditions, restrictions, easements, liens, charges, assessments and equitable servitudes set forth herein, all of which are declared to be (i) in furtherance of a common scheme and general plan for development improvement and maintenance of the Project and (ii) for the purpose of enhancing, maintaining and projecting the value, desirability and attractiveness of the Project. All of the limitations, covenants, conditions, restrictions, easements, liens, charges, assessments and equitable servitudes set forth herein shall be appurtenant to and shall run with, be binding upon and inure to the benefit of the Property, shall be binding upon and inure to the benefit of each and every person having or acquiring any right, title or interest in the Project, shall be binding upon and inure to the benefit of the successors in interest of such persons, and shall inure to the benefit of the Association, it successors and assigns.

2.02 Incorporation of Declaration into Instruments. Any deed or other instrument by which a Lot is conveyed shall be subject to the provisions of this Declaration and shall be deemed to incorporate the provisions of this Declaration, whether or not the deed makes reference hereto.

2.03 Term. This Declaration shall remain in force for a term of thirty (30) years from the date this Declaration (original in 1999) is recorded, after which time it shall be automatically extended for successive periods of ten (10) years, unless sooner terminated by the affirmative vote of seventy-five percent (75%) of the total Voting Power of the Association or, the written consent of seventy-five percent (75%) of the Mortgagees.


ARTICLE 3
COMPLIANCE WITH MANAGEMENT DOCUMENTS

3.01 Compliance with Declaration and Other Documents. Each Owner, resident or tenant of a Lot shall comply with the provisions of this Declaration, the Bylaws, Rules and Regulations duly adopted by the Association, decisions and resolutions of the Association and its duly authorized representative, all as may be amended from time to time, and failure to comply with any such provisions, decisions or resolutions, shall be grounds for an action to recover sums due to damages or for injunctive relief.

3.02 Resolution of Conflicts Between Documents. The Owner covenants and agrees that the administration of the Project shall be in accordance with the provisions of this Declaration, the Articles, the Bylaws and Rules and Regulations duly adopted by the Association. If there are any matters of conflict or inconsistencies in the Bylaws, Articles and this Declaration, then the provisions of the Declaration shall prevail. In the event that anything shown on a Final Plat for all or any portion of the Project is in any way inconsistent with the provisions of the Declaration, then the provision of this Declaration shall prevail. If a dispute arises among Owners in regard to the administration of the Project, then the provisions of this Declaration shall prevail.


ARTICLE 4
PROPERTY RIGHTS

4.01 Open Space. Each Owner shall have a non-exclusive right and easement of use and enjoyment in and to the Open Space and of access to and from his Lot over any streets comprising a portion of the Open Space (if any). The foregoing rights and easements in and to the Open Space shall be appurtenant to and shall pass with a title to a Lot, subject to the following rights and restrictions:
(a) The right of the Association to grant easements and to dedicate or otherwise convey all or any part of the Open Space as provided in this Declaration;
(b) The right of the Association to borrow money to improve, repair, restore and reconstruct the Open Space and to place liens on the Open Space and otherwise encumber the Open Space for such purposes, subject to the approval of the Members and Mortgagees as otherwise provided in this Declaration;
(c) The right of the Association to adopt Rules and Regulations governing use and enjoyment of the Open Space;
(d) Easements for ingress, egress, use and enjoyment over, in, to and throughout the Open Space for the benefit of Owners.

4.02 Delegation. Any Owner may delegate his rights of use and enjoyment of the Open Space and any facilities thereon to the members of his family or household residing on his Lot and to his guests and invites while he is in possession of his Lot, subject, however, to reasonable restrictions imposed by the provisions of this Declaration, the Bylaws and the Rules and Regulations. Provided the notice required by Section 4.03 of this Declaration has first been given to the Association, a tenant of an Owner, while residing on such Owner’s Lot, shall be entitled to use and enjoy the Open Space and any facilities thereon and to delegate rights of use and enjoyment in the same manner as if such tenant were the owner of such Lot. No such delegation shall release an Owner from his obligations hereunder, including, without limitation, the obligation to pay regular and special assessments. Upon request, each Owner or tenant shall notify the Secretary of the Association of the names of all persons to whom such Owner or tenant has delegated any rights of use and enjoyment of the Open Space and the relationship that each such person bears to such Owner or tenant. Any delegated rights of use and enjoyment are subject to suspension to the same extent as the rights of the Owners.

4.03 Tenants.
(a) No Owner shall lease or rent less than an entire Lot and no more than one family shall live in the home constructed on any one Lot. The Lots shall not be leased or rented for hotel or transient purposes and no rental agreement or lease shall be made for a period of less than ninety (90) days. Subject to the foregoing restrictions, Owners shall have the right to lease or rent their Lots, provided that any lease or rental agreement between an Owner and a tenant shall be in writing and shall provide that it is in all respect subject to the provisions of this Declaration, the Bylaws, and the Rules and Regulations and that any failure by the tenant to comply with such provisions shall be a default under the rental or lease agreement. However, the failure of any lease or rental agreement to so provide shall not excuse any persons from complying with the provisions of this Declaration, the Bylaws, and the Rules and Regulations.
(b) In the event an Owner shall rent or lease his Lot such Owner shall immediately give to the Association in writing: (1) The name of the tenant and the Lot rented or leased; (2)The current address of such Owner; (3)A true and complete copy of the lease or rental agreement; (4) The certificate of the Owner that the tenant has been given a copy of this Declaration, any applicable amendments, the Bylaws and Rules and Regulations and that such tenant has been advised of any obligations he may have thereunder as a tenant.
(c) In no event shall any lease or rental agreement release or relieve an Owner from the obligation to pay regular and special assessment to the Association, regardless of whether the obligation to pay assessments has been assumed by the tenant in such lease or rental agreement.

4.04 Reciprocal Easements. There shall be reciprocal appurtenant easements between each Lot and such portion or portions of the Open Space as may be adjacent thereto and between adjacent Lots for the flow of rainwater from gutters and downspouts; provided, however, that no such easements shall unreasonably interfere with the use and enjoyment of the Open Space, or any adjacent Lot. If any Open Space improvement, or Lot improvement encroaches upon a Lot because of the placement, construction, reconstruction, repair, movement, settling or shifting of the improvements constructed, reconstructed or repaired in accordance with the provisions of this Declaration, an easement for the encroachment and for its maintenance shall exist to a distance of not more than one (1) foot as measured from any point on the common boundary between the Open Space and the Lot or between Lots, as the case may be, along a line perpendicular to such boundary at such point; provided, however, that in no event shall an easement exist for willful encroachment. If any Lot improvement encroaches upon the Open Space as a result of construction, reconstruction, repair, shifting, settlement or movement of any portion of the Project, an easement for the encroachment and for its maintenance shall exist so long as it remains.

4.05 Utility Easements.
(a) Easements for installation and maintenance of utilities, stormwater retention, detention ponds, and open space areas are reserved as may be shown on a Final Plat. In addition to the platted easements, each Lot shall be subject to a five foot (5’) drainage easement for the flow of stormwater runoff and drainage purposes along the side boundary lines of each Lot for the benefit of the Association and each of the Owners, including reasonable rights of access for persons and equipment to intall, construct, maintain, alter, inspect, remove, relocate, and repair any facilities or Improvements. Any easements for installation, maintenance, use or repair of public utilities or drainage facilities shall be kept free of buildings, and within such easements no structure shall be placed or permitted to remain which may damage or interfere with the installation, maintenance, use or repair of such public utilities or drainage facilities, or which may damage, interfere, or change the direction or flow of drainage in the easements. All such easements at all times shall be accessible to all persons installing, repairing, using or maintaining such utilities and drainage facilities.
(b) Association hereby reserves the right to grant perpetual, nonexclusive easements limited to the front ten (10) feet of each Lot and the rear five (5) feet of each Lot and the side five (5) feet of Lot for the benefit of non-exclusive easements upon, across, over, through and under any portion of the Open Space for ingress, egress, installation, replacement, repair, maintenance, use and operation of all utility and service lines and service systems, public and private, including, without limitation, cable television.

4.06 No Subdivision of Lots; No Time-Sharing. There shall be no further subdivision or partition of any Lot nor shall any Owner or any other person acquiring any interest in a Lot seek any partition or subdivision thereof. There shall be no time-sharing or other co-ownership which allows multiple Owners sequential possessory interest in a Lot.

4.07 Sale of Open Space. Except as otherwise provided in this Declaration, no sale, transfer, dedication, hypothecation, partition, subdivision, abandonment, release or alienation of the Open Space shall occur or be valid, whether by act or omission of the Association, without the vote or written consent of sixty-seven percent (67%) of the total Voting Power of the Association residing in Members.

4.08 Rules and Regulations. The Association, through the Board, shall have the right to adopt, publish and enforce Rules and Regulations governing the Project, and the use and enjoyment of the Open Space and any facilities thereon, and the personal conduct thereon of the Owners, their guests, invitees, members of their families of households and tenants, which Rules and Regulations shall be consistent with the rights and duties established by this Declaration. Such Rules and Regulations as to the Open Space shall be binding upon all Owners, occupants, invitees, and licensees, if any, until and unless revised or canceled by the Board or overruled, canceled, or modified in a regular or special meeting of the Association by the vote or written consent of sixty-seven percent (67%) of the total Voting Power of the residing in Members.

4.09 Enforcement. The Association shall have the right, after Notice and Opportunity for Hearing, to levy fines for infraction of the provisions of this Declaration or the Rules and Regulations, provided the Member shall have been warned in writing of a previous infraction within the preceding one (1) year.

4.10 Association Easements.
(a) The Association is granted the right and easement to maintain, repair, replace, and reconstruct any Project screening wall in substantially the same location as originally installed. Such easement rights shall include the right of access upon and across any portion of the Project as may be reasonably necessary to allow the performance of any such maintenance, repair, replacement, or reconstruction to any portion of such screening wall.
(b) The Association is granted the right and easement to maintain, repair, replace and reconstruct any Project entrance monument and related facilities, including without limitation, landscaping, lighting, and irrigation systems, in substantially the same location as originally installed. Such easement right shall include the right of access upon and across any portion of the Project as may be reasonably necessary to allow the performance of any such maintenance, repair, replacement, or reconstruction to any portion of such entrance monument easement area.
(c) The Association is granted the right and easement to enter upon any easement area granted, dedicated or reserved for the benefit of the Association, to maintain, repair, replace and reconstruct any Improvements or other facilities within such easement area.


ARTICLE 5
OPEN SPACE EASEMENTS AND RIGHTS OF WAY; ENCUMBRANCES

5.01 Dedications. The Association shall have the power to grant easements in, on, over, through and across the Open Space for any public or quasi-public improvements or facilities and their appurtenances, including, without limitation, street, sewer, drainage, water, gas and sprinkler improvements and facilities, provided (i) any such easement does not unreasonably interfere with the use and enjoyment of the Open Space, or any Lot and, (ii) prior written consent is obtained from the Federal Housing Administration and the Veterans’ Administration. Each Owner, by accepting a deed to a lot, expressly grants to the Association an irrevocable power of attorney for the purpose of granting such easements, in, on, over, through and across the Open Space. The President or other duly designated officer of the Association may execute, acknowledge and record in the official records of the County a certificate stating that the Board is the attorney in fact for the Owners for the purpose of such grant and that such power of attorney is properly exercisable in accordance with this Declaration. The acts of the Board in exercising its power of attorney shall be conclusively binding on all Owners. The power of attorney herein granted shall include authority to do such acts incidental to such grant and to incur such expenses as may be necessary in connection therewith. The Board, by resolution, shall instruct the appropriate officers of the Association to make, execute and deliver on behalf of any Owner, as his interest may appear, any and all instruments, certificates and documents, including but not limited to, releases, waivers, deeds, escrow instruction and conveyances of every kind and nature, as may be deemed necessary or covenant for such dedication or grant.
5.02 Encumbrances. The Association shall have the right to borrow money to improve, repair, restore and reconstruct the Open Space and to place liens on the Open Space and otherwise encumber the Open Space for such purposes upon the vote or written consent of sixty-seven percent (67%) of the Voting Power of the Association residing in Members.


ARTILCE 6
OPEN SPACE AND LOT MAINTENANCE

6.01 Maintenance by Association. The Association shall repair and maintain the Open Space and any Improvements, utilities and facilities located on the Open Space. The Association’s maintenance obligation shall arise upon the filing with the Association of a notice of completion of Open Space Improvements or any portion thereof, and the commencement of annual assessments against the Owners.

6.02 Maintenance by Owners. Each Owner, at all times, shall maintain, repair, and otherwise by responsible
for his Lot and the Improvements thereon. Without limiting the generality of the foregoing, an Owner shall be responsible for replacement and reconstruction of Improvements on his Lot required because of damage or destruction by fire or other casualty, and each Owner shall maintain, repair, and replace the surface and subsurface drainage facilities and appurtenances located on his Lot as may be necessary to maintain good and proper drainage of the Lot and other real property in the vicinity, except for such facilities the maintenance of which has been assumed by the Association, or by the City, County or other governmental entity. If any Owner, after Notice and Opportunity for Hearing, fails to maintain, repair and replace such drainage facilities and appurtenances as required herein, the Association, at the expense of such Owner, and the Board, without the vote or written consent of Members, may levy a special assessment against such Owner to obtain reimbursements therefore as provided in Section 9.07.
No Improvement shall be placed or permitted to remain on any Lot which may damage or interfere with the use, maintenance, repair or replacement of such drainage facilities and appurtenances and no Owner shall do any work, construct any Improvements, place any landscaping or suffer the existence of any condition whatsoever which shall alter or interfere with the drainage pattern for the Lots, the Open Space, as established in connection with the approval of the Final Plat or Plats applicable to the Project by the City, except to the extent such alteration in drainage pattern is approved in writing by the Association and all public authorities having jurisdiction. All such drainage facilities and appurtenances shall at all times be accessible to repairing or replacing such drainage facilities and appurtenances. The Association may from time to time present for recordation in the official records of the County instruments showing approximate locations or subsurface storm drainage facilities and of subsurface groundwater drainage facilities. If for any reason any such instrument is not accepted for recording, the Association shall maintain the same as part of its permanent records. In either event, each Owner shall be deemed to have notice of the location of such drainage facilities as may be shown in such instrument.

6.03 Negligence. The cost of repair or replacement of any Improvement to be maintained and kept in repair by the Association, which repair or replacement is required because of the act or omission of any Owner, shall be the responsibility of and paid for by such Owner.

6.04 Right to Enter. After reasonable notice to the occupant, the Association or its agents shall have access over and upon any Lot when necessary in connection with any repair, maintenance, or replacement of Improvements for which the Association is responsible or for the enforcement of this Declaration, and each Owner shall accept title to his Lot subject to such right of access of the Association or its agents.


ARTICLE 7
USE RESTRICTIONS

In addition to the restrictions set forth in Article 12 below, the following apply to the Project.

7.01 Nuisances. No noxious or offensive activity shall be carried on upon any Lot, nor shall anything be done thereon which may become an annoyance or nuisance to any Owner. Such nuisance shall include, but not be limited to, the use of power tools generating noise which can be heard beyond the boundary of a Lot between the hours of 9:00 P.M. and 7:00 A.M. No Owner shall permit anything to be done or kept on his Lot which would result in the cancellation of insurance on any other residence or which would be in violation of any law or ordinance.

7.02 Temporary Structures. No structure of a temporary character, including without limiting the generality thereof, any trailer, tent, shack, garage, barn, motor home or mobile home or other outbuilding, and no prefabricated or relocated structure shall be used on any Lot at any time as a residence, either temporarily or permanently.

7.03 Signs. No sign or emblem of any kind may be kept or placed upon any Lot or mounted, painted or attached to any House, fence or other improvement upon such Lot so as to be visible from public view except the following: (a) For Sale Sign. An Owner may erect one (1) sign not exceeding 3’x3’ in area, fastened only to a stake in the ground and extending not more than three (3) feet above the surface of the ground advertising the property for sale. (b) Political Signs. Political signs may be erected upon a Lot by the Owner of such Lot advocating the election of one or more political candidates of the sponsorship of a political, issue or proposal provided that such signs shall not be erected more than ninety (90) days in advance of the election to which they pertain and are removed within fifteen (15) days after the election.

7.04 Campers, Trucks, Boats, Commercial and Recreational Vehicles. No boat, trailer, recreational vehicle, Commercial vehicle with more than two (2) axles, camper or camper truck shall be parked, stored, or left (i) on any part of the Open Space or any street, (ii) in an driveway or (iii) on any other part of a Lot unless the same are fully enclosed within the garage located on the Lot, or are kept behind the front line of the house on the Lot and behind an approved fence which fully screens them from the view of the public walking by such Lots. In the event a Lot Owner is required by his or her employer to bring a commercial vehicle home, then that Lot Owner must obtain a waiver of this restrictive covenant from the Board pursuant to such requirements as the Board shall deem appropriate. Any automobile, motorcycle or truck shall be parked, stored or left wholly within the garage located upon the Lot, except to the extent a garage is already occupied to capacity, in which case such vehicle may be parked in the driveway. No boat, truck, trailer, camper, recreational vehicle or tent shall be used as living or dwelling area within the Property. No repairs to or maintenance of any automobile or other vehicle shall be made or performed on any driveway or front, side or back yard of a Lot. Such repair and maintenance work shall be confined to the garage and done in such a manner as to allow the garage door to be closed.

7.05 Pets, Livestock, and Poultry. No animals, livestock or poultry of any kind shall be raised, bred or kept
on any Lot, except for cats, dogs, or other generally recognized household pets of a reasonable number, provided that they are not kept, bred, or maintained for any commercial purpose; and provided further, that no more than three (3) adult animals may be kept on a single Lot except for newborn offspring of such household pets which are under nine (9) months of age. All such animals shall be kept in strict accordance with all local laws and ordinances (including leash laws).

7.06 Garbage and Refuse Disposal. No Lot shall be used or maintained as a dumping ground for rubbish. Trash, garbage or other waste shall not be kept except in sanitary containers. All equipment for the storage or disposal of such material shall be kept in a clean and sanitary condition. No cans, bags, containers, or receptacles for the storing or disposal of trash, garbage, refuse, rubble, or debris shall be stored, kept, placed, or maintained on any Lot where visible from any street, except solely on a day designated for removal of garbage and rubbish on which days only such cans, bags, containers, and receptacles may be placed in front of a residence and beside a street for removal but shall be removed from view before the following day.

7.07 Sight Distances at Intersections. No object or thing which obstructs sign lines at elevations between two (2) and six (6) feet above the roadways within the triangular area formed by the intersecting street curb lines and a line connecting them at points twenty-five (25) feet from the intersection of the street curb lines or extensions thereof shall be placed, planted, or permitted to remain on any corner Lots. The same sight line limitations shall apply on any Lot within ten (10) feet from the intersection of a curb line with the edge of a driveway pavement. No tree shall be permitted to remain within such distances of such intersections unless the foliage line is maintained at sufficient height to prevent obstruction of such sight lines.

7.08 Parking. No vehicles, trailers, implements or apparatus may be driven or parked in the Open Space or on any easement, except while in use for maintaining the Open Space. In order to enhance the aesthetic image of the community and to create a safer community for children, Owners will not park vehicles, trailers, implements or apparatus in the street and to park such in the garage or driveway on the subject Owner’s Lot.

7.09 Commercial or Institutional Use. No Lot, and no building erected or maintained on any Lot shall be used for manufacturing, industrial, business, commercial, institutional or other non-residential purposes. Nothing in this 7.09 shall prohibit an Owner’s use of a residence for quiet, inoffensive activities such as tutoring, giving music or art lessons, or operating a day care center, so long as such activities do not materially increase the number of cars parked on the street or interfere with adjoining Owner’s use and enjoyment of their residences and yards.

7.10 Detached Buildings. No detached buildings included but not limited to, detached garages and storage buildings, shall be erected, placed or constructed upon any Lot without the prior consent of the Committee. Every outbuilding, inclusive of such structures as a storage building, greenhouse or children’s playhouse shall be compatible with the dwelling to which it is appurtenant in term of its design and material composition. In no instance shall an outbuilding exceed one (1) story in height or have the total floor space in excess of ten percent (10%) of the floor area of the main dwelling and no more than one (1) outbuilding shall be permitted on each Lot.

7.11 Fences. All fences and non-retaining walls shall be located at or behind the front corners of the house. Privacy and pool fencing shall be located inside the setback lines. However, on a corner lot, privacy or perimeter fencing may project to the secondary front yard setback provided the fence does not extend beyond a line parallel to the rear of the home. (See Exhibit B). No fence or wall shall be constructed in the front yard of any Lot. Except for any Project entry monument, screening wall, retaining wall or fence installed by the Declarant which are expressly excluded from the restrictions in this Article 7, all fences constructed require prior written consent of the Committee. Chain link or other similar metal fencing is expressly prohibited. Perimeter fencing and privacy fencing around patios, decks or pools may not exceed six (6) feet in height. Privacy fencing, picket fencing and invisible fencing described in
Exhibit “B” attached hereto and incorporated herein by referenced may be used. Security or safety
fences at or enclosing public utilities are exempt from guidelines.

7.12 Pool Fences. It shall be a requirement within the Property, that any pool constructed within the Property shall be surrounded by a non-climbable perimeter fence of at least five (5) feet in height and equipped with a self-closing mechanism on all gates. The design for swimming pool construction must be submitted to the Committee for prior approval, and said approval will not be given unless the plans therefore include a perimeter fence in compliance with this section. The minimum fence requirements contained in Section 7.12 shall apply to any pool fences constructed within the Property. The foregoing limitation shall not alter, affect or exempt any requirement or limitations imposed by any law, regulation, ordinance or statue.

7.13 Vegetation. No weeds or vegetation, of any kind whatsoever shall be placed or permitted to accumulate on any Lot or any portion of the Property which would render it unsanitary, unsightly, offensive, or detrimental to any property in the vicinity thereof or to the occupants of any property in such vicinity. Grass, hedges, shrubs, vines and mass planting of any type on any Lot or any portion of the Property shall be kept trimmed and shall at regular intervals be mowed, trimmed and cut so as to appear neat and attractive. Trees, shrubs, vines and plants which die shall be promptly removed from the Lot and replacements of equal quality of value promptly installed.

7.14 Antennae, Satellite Dishes and Solor Collectors. (a) Solar Collections. No Owner may erect or maintain a solar collector panel or similar equipment upon any Lot unless such apparatus is approved by the Committee. (b) Antennae and Satellite Dishes. No Owner may erect or maintain a television or radio receiving or transmitting antennae, satellite dish or similar apparatus or equipment unless: (i) such apparatus is one (1) meter or less in diameter, (ii) the apparatus is screened from public view and location in the rear yard or affixed to the rear roof, (iii) the apparatus is not visible while standing at any point along the property boundary line in front of the house that abuts or is adjacent to a street, right-of-way or sidewalk, and (iv) the Committee has approved the apparatus, its location and the type of screening.

7.15 Exterior Finish. Subject to the provision of Section 7.25 of this Declaration, all exterior walls of all dwellings, garages and approved accessory buildings shall be completely finished with vinyl siding, wood, stucco, brick, stone, paneling or other material acceptable to the Committee. Notwithstanding the foregoing, exterior walls finished with aluminum siding are hereby expressly prohibited.

7.16 Clothes Hanging Devices. Clothes hanging devises exterior to a Home shall not be visible from outside the Lot.

7.17 Window Treatment. No aluminum foil, newspaper, reflective film or similar treatment shall be placed on windows or glass doors.

7.18 Oil and Mining Operations. No oil drilling, oil development operations, oil refining, quarrying or mining operation of any kind shall be permitted upon or in any Lot, nor shall oil wells, tanks, tunnels, mineral excavations, or shafts be permitted upon any Lot. No derrick or other structure designed for use in boring for oil or natural gas shall be erected, maintained or permitted upon any Lot. No tank for the storage of oil or other fluids may be maintained on any of the Lots above the surface of ground.

7.19 Mail Boxes. Mail boxes shall be standardized, and shall conform to the design specifications attached hereto as Exhibit “C” and incorporated herein by reference. Such design may be revised by the Committee.

7.20 Roof. Exposed roof surfaces on any principal and/or secondary structures shall be of composition shingles. The Committee shall have the authority to approve roof treatments and materials when in its determination such treatments and materials, in the form utilized will not be a detriment to the quality of the Project.

7.21 Setback Lines. Except for the fence requirements set forth in Section 7.12 above, all buildings or other structures, permanent or temporary, habitable, or inhabitable, must be constructed, placed and maintained in conformity with setback lines as required by Exhibit “D”. Notwithstanding the foregoing, the Committee shall have the right and authority to approve variances from the setback requirements for reasonable cause or to alleviate a hardship; provided, however, said variance does not relieve the requesting party form obtaining any necessary approvals from the applicable governmental authorities.

7.22 Reconstruction of Residence. In the event of damage or destruction to a residence by fire or other casualty, the Owner shall within four (4) months diligently commence to reconstruct such residence as soon as reasonably possible and substantially in accordance with the original plans and specifications thereof; provided however, that such residence shall be restored so that the exterior appearances thereof substantially resemble their appearances in form and in color prior to such damage or destruction. Notwithstanding the foregoing, however, any Owner of a damaged residence may request permission from the Committee to reconstruct or repair his residence in accordance with revisions in the plans and specifications. The Committee shall grant such requests only in the event that the proposed change or deviation will materially benefit and enhance the entire Project in a matter generally consist with the plan of development thereof.

7.23 Water and Sewage Systems. No individual water supply system or sewage disposal system shall be permitted on any Lot.

7.24 Basketball Goals. No owner may install a basketball goal without prior written approval of the Committee of the basketball goal and the location thereof. Use of the basketball goals after 9:30 P.M. is not permitted without the prior consent of the Owners affected by any disturbance created by such use.

7.25 Square Footage and Exterior Finish. (a) All Homes shall contain at least 1,100 square feet of enclosed area. (b) All Homes shall have full masonry or concrete foundations.
7.26 Driveways. All Homes shall have paved driveways consisting of either concrete or aggregate composition. No gravel or asphalt driveways are permitted.

7.27 Unlawful Activity. No unlawful activity shall be conducted on any Lot or in any other part of the Property. Nothing shall be done within the Property that is an unreasonable annoyance, inconvenience or nuisance to the residents of the Property, or that unreasonably interferes with the quiet enjoyment of the Lots by their respective Owners.

7.28 Statues. No statues, sculptures or three dimensional artwork or decorations, including, but not limited to, representations or models of persons, animals or other objects shall be placed on any Lot without the prior written consent of the Committee.

7.29 Pools. No above ground pools shall be installed, constructed or placed upon any Lot. No swimming pool shall be constructed or installed upon any Lot without the prior written consent of the Committee.


ARTICLE 8
MEMBERSHIP AND VOTING RIGHTS

8.01 Governing Body. The Association shall be the governing body for all Owners with respect to the management, administration, maintenance, repair and replacement of the Project, as provided by this Declaration, the Articles, and the Bylaws.

8.02 Membership. Membership in the Association shall be composed of and limited to Owners. Each Owner shall automatically be a Member of the Association and entitled to vote as set forth below. Membership shall be appurtenant to and may not be separated from ownership of a Lot. Upon termination of ownership, an Owner’s membership shall automatically terminate and be automatically transferred to the new Owner of the Lot.

8.03 Voting. The Association voting membership: Members shall be all Owners and shall be entitled to one (1) vote for each Lot owned. When more than one (1) person holds an ownership interest in any Lot, all such persons shall be Members, but not more than one (1) vote shall be cast with respect to any Lot. The vote for any such Lot shall be exercised as the Members holding an interest in such Lot determine among themselves. In the event of disagreement, the decision of Members holding a majority of interest in such Lot shall govern. Unless otherwise notified by a co-owner as to a dispute between the co-owners regarding their vote prior to the casting of that vote, the vote of any co-owner shall be conclusively presumed to be the majority vote of the Owners of that Lot.


ARTICLE 9
COVENANTS FOR ASSESSMENTS

9.01 Covenant to Pay Assessments; Lien. (a) Every Owner of any Lot by acceptance of a deed therefore, whether or not it shall be so expressed in such deed, covenants and agrees to pay, to the Association such regular annual assessment or charges and such special assessments or charges as may be levied by the Association pursuant to the provisions of this Declaration. (b)The amount of such annual and/or quarterly or special assessment plus any other charges thereon, such as interest, late charges and costs (including attorney’s fees), as such may be provided in this Declaration, shall be and become a lien upon the Lot assessed when the Association causes to be recorded in the official records of the County a notice of assessment, which notice shall state: (i) The amount of such assessments and such other charges thereon as may be authorized by this Declaration; (ii) A description of the Lot against which the same has been assessed; (iii) The name of the record owner of the Lot assessed. Such notice shall be signed by an authorized representative of the Association. Upon payment of such assessment and charges in connection with which such notice has been so recorded, or other satisfaction thereof, the Association, at the Owner’s cost and expense, shall cause to be recorded a further notice stating the satisfactory and the release of the lien thereof. The lien provided for herein shall be subordinate to the lien of any first mortgage against the Lot, but shall be prior to all other liens recorded subsequent to the recordation of such notice of assessment. Unless sooner satisfied and released or the enforcement thereof initiated as hereinafter provided, the lien shall expire and be of no further force or effect one (1) year from the date of recordation of the notice of assessment. The one-year period may be extended by the Association for a period not to exceed one (1) additional year by recordation of a written extension thereof. The lien may be enforced by an action in the name of the Association in like manner as a foreclosure of a mortgage on a real property in accordance with Tennessee law or in any other manner permitted by law. The Association shall have power to purchase the Lot at a foreclosure sale and to hold, lease, mortgage and convey the same.

9.02 Personal Obligation. Each regular annual and/or quarterly or special assessment, together with any late charges, interest, collection costs and reasonable attorneys’ fees, shall be the personal obligation of each person or entity, other than any Mortgagee, who held an ownership interest in the Lot at the time such assessment was levied as to such Lot. If more than one person or entity held an ownership interest in the Lot at such time, the personal obligation to pay such assessment or installment respecting such Lot shall be both joint and several. Quarterly payments are due on January 1, April 1, July 1, and October 1 of each year. Owners, who choose to pay the total annual assessment prior to January 1, can deduct an amount equal to 1/12 of the annual assessment. Any single payment that becomes one (1) month late is immediately subject to a late fee which is fifteen percent (15%) of the annual dues fee. No Owner may exempt themselves from payment of assessments, or installments, by waiver of the use or non-use of any Open Space within the Project or any other portion of the Open Space or by abandonment or leasing of their Lot.

9.03 Use of Assessments. Regular annual and/or quarterly or special assessments paid by Owners shall be used to pay for operation, maintenance, preservation, enhancement, repair and improvement of the Open Space, other purposes reasonably related to the foregoing, and to promote the recreation, health, safety and welfare of the Owners. In addition, such assessments shall be used to pay the cost of administration of the affairs of the Association, including payment of applicable taxes, and for the preservation of the Association’s existence, to the extent properly allocable to the performance and exercise of the Association’s duties and powers under this Declaration. The foregoing is intended as an authorization to the Association and shall not be construed to require expenditure of Association funds for any particular purpose.

9.04 Reserve Funds. The Board shall establish and maintain reserves in accordance with standard accounting practices and procedures for Open Space replacements and maintenance and the initial budget of the Association. Each budget subsequently adopted by the Board shall provide for funds to be placed in reserves. Funds deposited in reserves for a particular purpose shall be held for that purpose and shall not be extended for any other purpose, except that if the Board determines that funds held in reserve for a particular purpose exceed an amount reasonably required as a prudent reserve for that purpose, then, without the vote or written consent of Members, the excess may be allocated to and other reserve fund established by the budget of the Association and expended for the purpose for which such other reserve fund has been established.

9.05 Regular Assessments.
(a) The total anticipated operating expense for each assessment year shall be set forth in the budget prepared by the Board as required under Bylaws and this Declaration. The total anticipated operating expenses shall be apportioned equally among the Lots by dividing the total anticipated operating expenses as reflected by the budget other than those operating expenses which are properly the subject of a special assessment, by the total number of Lots, with the quotient thus arrived at being the regular annual assessment. If an assessment year shall have fewer than twelve (12) months, the regular annual assessment shall be appropriately prorated for the shorter period.
(b) The Board shall fix the amount and due date of the regular annual and/or quarterly assessment on a yearly basis at least sixty (60) days in advance of each assessment year. Written notice of the regular annual and/or quarterly assessment shall be provided to every Owner who is not present at the time the regular annual assessment is so fixed. If the Board fails to so fix the regular annual and/or quarterly assessment, the assessment applicable for the previous assessment year shall remain in effect until the Board shall fix a new regular annual and/or quarterly assessment. Regular annual assessments shall be payable on the first day of January. Regular quarterly assessments shall be payable on the first day of each January, April, July, October, or at such other time as the Board may fix. Assessments will be prorated for new Owners. The Association shall, upon demand, and for a reasonable charge, furnish to any person having a legitimate interest a certificate signed by an officer of the Association stating whether the regular annual and/or quarterly assessment and special assessments, if any, on a specified Lot have been paid and, if not, the amount due.

9.06 Special Assessments. In addition to the regular annual and/or quarterly assessments authorized herein, the Board may levy in any assessment year, a special assessment against all Owners applicable to that year only for the purpose of defraying in whole or in part the cost of any construction, reconstruction, repair or replacement of capital improvements and related fixtures and personal property on or comprising a part of the Open Space; provided in any fiscal year, special assessments which exceed five percent (5%) of the budgeted gross expenses of the Association for that fiscal year may not be levied without the vote or written consent of sixty-seven percent (67%) of each Member of the Association.

9.07 Assessment as Remedy. After Notice and Opportunity for Hearing, the Board, without the vote or written consent of Members, may levy a special assessment against an Owner as a remedy to reimburse the Association for costs (including attorneys’ fees) incurred in bringing the Owner, their Lot or their Home into compliance with provisions of this Declaration, the Bylaws or the Rules and Regulations.

9.08 Allocation of Assessments. Except as otherwise provided in this Declaration, all regular annual and/or quarterly and special assessments shall be levied equally against all Owners.

9.09 Revised Assessments. Subject to the provisions of Section 9.05, if at any time during the course of any year the Board shall deem the amount of the regular annual and/or quarterly assessment to be inadequate or over adequate by reason of a revision of its estimate of either expenses or income or otherwise, the Board shall have the right, at a regular or special meeting, to revise the regular annual and/or quarterly assessment for the balance of the assessment year. Any such revised assessment shall become effective on the first day of the month next following the date of adoption, and additional amounts payable shall be due (or refunds of overages shall be made by the Association) at such time as determined by the Board.

9.10 Delinquent Assessments; Fines. Any assessment not paid within thirty (30) days after the due date shall be delinquent. The Board may require that any delinquent assessment bear a late charge to cover administrative expenses incurred as a result of the late payment of the assessment. Late charges on delinquent assessments and fines levied as provided in Section 4.09 shall not exceed the following rates computed on the outstanding balance, which shall include any late charges previously assessed and unpaid, from month to month: (a) On so much of the outstanding balance as does not exceed one thousand dollars ($1,000), one and one-half percent (1.50%). (b) If the outstanding balance is more than one thousand dollars ($1,000), one percent (1%) on the excess over one thousand dollars ($1,000) of the outstanding balance. (c) If the late charge so computed is less than ten dollars ($10) for any month, ten dollars ($10). No charges may be imposed more than once each month for the delinquency of the same payment, provided, however, that the imposition of a late charge on any delinquent payment shall not eliminate or supersede charges imposed on prior delinquent payments. When an assessment is paid more than thirty (30) days after the due date of the assessment, late charges shall accrue from the first day following the due date of the assessment. The Association may bring legal action against the Owner personally obligated to pay a delinquent assessment or fine and, after Notice, and opportunity for Hearing, the Association may suspend a delinquent Owner’s membership rights in the Association while the assessment or fine remains unpaid. In any legal action to enforce payment of an assessment or fine, the Association shall be entitled to recover interest, costs, and reasonable attorney’s fees.


ARTICLE 10
INSURANCE

10.01 Duty to Maintain Insurance.
(a) The Association shall have the duty and the authority to maintain fire and extended coverage casualty insurance on the Open Space in an amount not less than the full insurable value thereof (based upon current replacement cost), and liability insurance with limits in and amounts adequate, under standards in the insurance industry existing from time to time, to protect the Association and the Owners in the event of property damage, personal injury or death occurring in or about the Project. The Board shall have the authority to settle or enforce on behalf of the Association and on behalf of the Owners, by legal action or otherwise, any claim arising under any insurance carried by the Association.
(b) Each Owner shall maintain casualty and personal liability insurance pertaining to his Lot, in such form and in such amounts as the Rules and Regulations may require.
(c) All policies of insurance carried by the Association or the Owners shall include a waiver of subrogation if such waiver can be obtained, unless otherwise provided in the Rules and Regulations.
(d) Notwithstanding any other provisions contained herein, the Association shall continuously maintain in effect such casualty, flood and liability insurance and a fidelity bond meeting the insurance and fidelity bond requirements for planned unit development projects established by the Federal National Mortgage Association and Governmental National Mortgage Association, except to the extent such coverage is not available or has been waived in writing by the Federal National Mortgage Association or Government National Mortgage Association.

10.02 Proceeds of Insurance. The proceeds of casualty insurance carried by the Association shall be paid to and held by the Association as trustee for the Owners and Mortgagees for disbursement in accordance with the provisions of this Declaration. Except as otherwise provided herein, casualty insurance proceeds shall be used for repair, replacement or reconstruction to the extent required to effectuate repair, replacement or reconstruction.


ARTICLE 11
EMINENT DOMAN

11.01 Eminent Domain. If all or any portion of the Open Space is taken by action in eminent domain (hereinafter called a “taking”), the Association shall given written notice of the proceedings to all Owners and Mortgagees, and the condemnation award shall be fairly and equitably apportioned among Owners, Mortgagees and the Association as the court may determine. A condemnation award which is not apportioned among the Owners by court judgment or by agreement between the condemning authority and each affected Owner shall be allocated first to the repair, restoration and reconstruction of any remaining portion of the Open Space and then any excess shall be distributed equally among the affected Owners (or any Mortgagee of an Owner to the extent such Mortgagee is entitled to such Owner’s share of the proceeds).

11.02 Repair, Restoration, Reconstruction. If only a portion of a Open Space facility is taken, the Board shall promptly contract for the repair, restoration or reconstruction of the Open Space facility to a complete architectural unit, to the extent such repair, restoration and reconstruction is reasonably necessary and practical. If the cost of repair, restoration and reconstruction of the Open Space exceeds the amount awarded by the court for such purposes, the difference may be recovered by a special assessment levied equally against all Owners.


ARTICLE 12
ARCHITECTURAL CONTROL

12.01 Establishment. “Committee” shall mean the Architectural Control Committee, which shall be the governing body charged with using its best efforts to promote and ensure a high level of taste, design, quality, harmony and conformity throughout the Project consistent with this Declaration. The Committee shall be composed of three (3) individuals appointed by the Board. The Committee shall act by simple majority vote. In the event of death, resignation or other removal of any Board appointed member of the Committee, the Board shall appoint a successor member. No member of the Committee shall be entitled to compensation for, or be liable for claims, causes of action or damages arising out of services performed pursuant to this Declaration.

12.02 Purpose of the Committee. The Committee is established to provide a system of review for the construction or modification of all Improvements within the Project. No Improvement shall be commenced, improved or altered, nor shall any grading, excavation, tree removal, landscaping or change of exterior color or other work which in any way alters the exterior appearance of an improvement be done without the prior written approval of the Committee.

12.03 Development Standards. The Committee is empowered to publish or modify from time to time, design and development standards for the Project including, but not limited to, standards for the following (“Standards”): (i) architectural design of Improvements, including, but not limited to, design standards for any Home or other Improvement constructed upon a Lot; (ii) fences, walls and similar structures; (iii) exterior building materials and colors; (iv) exterior landscaping; (v) exterior appurtenances relating to utility installation; (vi) signs and graphics, mailboxes and exterior lighting; (vii) building setbacks, pools and pool decks, side yards and related height bulk and design criteria; (viii) pedestrian and bicycle ways, sidewalks and pathways; and, (ix) all buildings, landscaping and Improvements on lands owned or controlled by the Association.

12.04 Requirement of Committee Approval. No Improvements of any kind shall be erected, placed or maintained, and no addition, alteration, modification or change to any Improvement shall be made without the prior written approval of the Committee.

12.05 Obtaining Committee Approval. In order to obtain the approval of the Committee, a complete set of plans and specifications (“Plans”) for proposed Improvements shall be submitted to the Committee for its review. The Plans shall include, as appropriate, the proposed location, grade, elevations, shape, dimensions, exterior color plans, approximate costs, and nature, type and color of materials to be used. The Committee may also require the submission of additional information and materials as may be reasonably necessary for the Committee to evaluate the proposed Improvement of alteration (“Submission”). The Committee shall have the right to refuse to approve any proposed Plans which, in its sole discretion, are not suitable or desirable. Any and all approvals or disapprovals of the Committee shall be in writing and shall be sent to each respective Owner submitting same. In the event the Committee fails to approve or to disapprove in writing any Plans and/or Submissions after: (i) submission to the Committee of the last item of the Plans and Submissions requested by the Committee, so that the Committee has a complete package of all Plans and Submissions requested by the Committee; and (ii) thirty (30) days have elapsed since submission and written request for approval or disapproval was delivered to the Committee by the Owner; then said Plans and Submissions shall be deemed to have been approved by the Committee provided, however, that no Improvement shall be erected or shall be allowed to remain which violates any conditions or restrictions contained in this Declaration, or which violates any applicable zoning or building ordinance or regulation. The approval by the Committee relates only to the aesthetics of the Improvements shown on the Plans and Submissions and not to their sufficiency or adequacy. Each Owner shall be responsible to and obtain the approval of the appropriate governmental agencies prior to commencement of any construction.

12.06 Scope of Review. The Committee shall review and approve or disapprove all Plans and Submissions solely on the basis of aesthetic standards as to the aesthetic quality of materials and workmanship to be used, suitability and harmony of location, structure and external design in relation to surrounding topography and structures and the overall benefit or detriment which would result to the immediate vicinity and to the Project as a whole and any other factors deemed relevant to the review by the Committee in is opinion, reasonably exercised. The Committee shall take into consideration the aesthetic aspects of the architectural design, placement of buildings, landscaping, color schemes, exterior finishes and materials and similar features, and shall not be responsible for reviewing, nor shall its approval of any Plans be deemed approval of, any design or plan from the standpoint of structural safety or conformance with building or other codes.

12.07 Variance from Standards. The Committee may authorize, in a reasonable manner so as not to destroy the general scheme or plans of the development of the Project, variances from compliance with any Standards which it has promulgated pursuant to its authority when circumstances such as topography, natural obstructions, hardship, aesthetics or environmental considerations may require. If any such variances are granted, no violation of that restrictions contained in this Declaration shall be deemed to have occurred with respect to the matter for which the variance was granted. The granting of such a variance shall not operate to waive any of the terms and provisions of this Declaration for any purpose, except as to that particular property and particular provisions hereof or Standards promulgated hereby which are covered by the variance. Such variance shall be evidenced in writing.

12.08 Enforcement. There is specifically reserved unto the Committee the right of entry and inspection upon any Lot or other portion of the Project for the purpose of determination by the Committee whether there exists any Improvement which violates the terms of any approval by the Committee or the terms of this Declaration. Except in emergencies, any exercise of the right of entry and inspection by the Committee hereunder should be made only upon reasonable notice given to the Owner of record at least twenty-four (24) hours in advance of such entry. The Committee is specifically empowered to enforce the provisions of this Declaration by any legal or equitable remedy, and in the even it becomes necessary to resort to litigation to determine the propriety of any improvement, or to remove any unapproved Improvements, the prevailing party in such litigation shall be entitled to recover all court costs, expenses and reasonable attorney’s fees in connection therewith. The Association shall indemnify and hold harmless any member of the Committee from all costs, expenses and liability, including attorney’s fees incurred by virtue of any member’s service as a member of the Committee, provided such member acted in good faith and without malice.

12.09 Subcommittee and Delegation of Authority. The Committee may establish subcommittees for the purpose of acting on behalf of the Committee with respect to similar circumstances, situations, or types of Improvements, such as a swimming pool subcommittee or a subcommittee which would deal with modifications of existing Improvements or additional new Improvements ancillary to an existing Home. All rights and powers of the Committee may be delegated to such subcommittee with regard to the subject matter of the subcommittee. The rights and powers of the Committee may be assigned to a management company, an architect, design professional or other entity, or any portion of such rights and powers applicable to a particular subcommittee or area of similar circumstances.


ARTICLE 13
MORTGAGE PROTECTION

13.01 Interpretation. In the event any provision of this Article 13 is inconsistent with or contrary to any other provisions of this Declaration, the provisions of this Article 13 shall control.

13.02 Notices. Any Mortgagee of any Lot, by written notice to the Association setting forth the Lot encumbered, the Owner thereof and the address to which notices may be sent, may request and thereby be entitled to receive written notice from the Association of (i) any default which is outstanding for sixty (60) days or longer by the Owner of such Lot in the performance of his obligations under or in compliance with the provisions of this Declaration, the Bylaws or the Rules and Regulations, (ii) any substantial damage to or destruction of the Open Space, including the Improvements located thereon, or, if known to the Association, any substantial damage to or destruction of a Lot, including the Improvements located thereon, and (iii) any proposed or threatened taking by owner of eminent domain of the Open Space or any portion thereof or of any Lot or portion thereof.

13.03 Mortgagee’s Right to Information. Upon written request to the Association, a Mortgagee is entitled to: (1) inspect the books and records of the Association during normal business hours; (2) receive an annual financial statement of the Association within ninety (90) days following the end of any fiscal year of the Project; (3) receive written notice of all meetings of the Association and to designate a representative to attend all such meetings.

13.04 Damage and Destruction Rights. In the event of substantial damage to or destruction of any Lot or Improvements to a Lot or any part of the Open Space, no provisions of any document establishing the Project shall entitle the Owner of a Lot or other party to priority over such Mortgagee with respect to the distribution to such Owner of any insurance proceeds.

13.05 Condemnation Rights. If any portion thereof or the Open Space or any portion thereof is made the subject matter of any condemnation proceedings or is otherwise sought to be acquired by a condemning authority, no provisions of any document establishing the Project shall entitle the Owner of a Lot or other party to priority over such Mortgagee with respect to the distribution to such Owner of the proceeds of any award or settlement.

13.06 Right of First Refusal. Any right given by an Owner of a Lot to any third person to purchase such Lot before it is offered for sale or sold to any other person (such right commonly known as a “right of first refusal”) shall not be binding upon or enforceable against any Mortgagee acquiring such Lot pursuant to exercise or remedies provided for in the Mortgage, including foreclosure by judicial action or exercise of a power of sale, or acceptance of a deed or assignment in lieu of foreclosure.

13.07 Subordination. The liens of the assessments provided for herein shall be subordinate to the lien of any first mortgage or first deed of trust on a Lot. Sale or transfer of any Lot shall not affect any assessment lien. However, the sale or transfer of a Lot pursuant to such a foreclosure of a mortgage or deed of trust, or any proceeding in lieu of foreclosure thereof, shall extinguish the lien of such assessments as to the payment thereof which became due prior to the date of such conveyance. No such sale or transfer shall relieve such Lot from liability for any assessment thereafter becoming due or from the lien thereof but the liens provided for herein shall continue to be subordinate to the lien of any first mortgage or deed of trust.

13.08 Collection of Assessments. No mortgagee shall be required to collect any assessment due under this Declaration.

13.09 Professional Management. In the event that the Association enters into any contract with any person or entity to provide management or maintenance services to the Project, such contract shall not exceed one (1) year and shall provide that the Association shall have the right to terminate the contract for cause upon thirty (30) days’ written notice and without cause upon ninety (90) days’ written notice, without payment of a termination fee.


ARTICLE 14
MISCELLANEOUS PROVISIONS

14.01 Power to Settle Claims. The Board shall have the power and authority to compromise, settle, release and otherwise adjust claims, demands, causes of action and liabilities in favor of the Association and the Owners, on behalf of the Association and Owners, as the case may be, provided any such claim, demand, cause of action or liability arises out of or relates to a condition or defect common to all or a majority of the Lots or Improvements constructed thereon, or to the development, design, construction, condition, repair or maintenance of or damage or injury to or defect in the Open Space or part thereof, and the Association shall have the right and power to make and receive all payments or other consideration necessary therefore or in connection therewith. For such purposes, the Board shall be, and hereby is, irrevocably appointed attorney in fact to act on behalf of all Owners upon such terms and conditions and for such consideration as may be approved by a majority of the Board.

14.02 Independence of Provisions. The provisions of this Declaration shall be deemed independent and severable. Invalidation or partial invalidation of any provisions of this Declaration by judgment or court
order shall not affect any other provisions of this Declaration, and the remaining provisions shall remain
in full force and effect.

14.03 Notices. Notices shall be in writing and shall be addressed as follows: (i) if to an Owner, to the address of his Lot, and (ii) if to the Association, to the address of the Project. The Association may designate a different address for notices by giving written notice of such change of address to all Owners. Any Owner may designate a different address for notices by giving written notice of such change of address to the Association.

14.04 Headings. The headings used in this Declaration are for convenience and reference only and the words contained therein shall not be held to expand, modify, or aid in the interpretation, construction, or meaning of this Declaration.

14.05 Enforcement. The failure of any Owner to comply with the provisions of this Declaration, the Bylaws or Articles shall entitle the Association, any Owner, or any of them, to maintain an action for the recovery of damages or injunctive relief or both, and such persons or entities, or any of them, shall have the right to enforce all limitations, restrictions, covenants, conditions, easements, liens, charges, assessments and equitable servitude’s imposed by or pursuant to the provisions of this Declaration. Failure to enforce the provisions of this Declaration shall not be deemed a waiver of the right to do so thereafter. All remedies provided in this Declaration shall be cumulative and in addition to any other remedies available under law.

14.06 Equal Opportunity Housing. This Project provides equal opportunity housing. Each lot sold shall be sold without regard to the race, creed, color, national origin, ancestry, religion, marital status, age, sex, or handicap of the purchaser.

14.07 Exhibits. The following Exhibits are attached to this Declaration and incorporated herein and made a part hereof by reference:
Exhibit A - Legal Description of the Property
Exhibit B - Permitted Fencing Types
Exhibit C - Mailbox Standards
Exhibit D - Articles of Incorporation
Exhibit E - Bylaws of the Association

14.08 Amendment.
(a) Any amendment of this Declaration shall require the vote or written consent of sixty-seven percent (67%) of the Voting Power of the Association residing in Members; provided, however, that the percentage of the Voting Power (Members of the Association) necessary to amend a specific provision of this Declaration shall not be less than the prescribed percentage of affirmative votes required for action to be taken under that provision.
(b) Any instrument amending this Declaration must be recorded in the official records of the County and shall be effective upon the date of recordation.

14.09 FHA/VA Approval. If any Mortgage is guaranteed or insured by the Federal Housing Administration or by the Veterans Administration, the following actions must be approved by either agency: (i) any annexation of additional property; (ii) any mortgage, transfer or dedication of any Open Space; (iii) any amendment to this Declaration, the Articles or the Bylaws, or (iv) any merger, consolidation or dissolution of the Association.

14.10 Right to Annex Additional Property.
(a) General Annexation. Annexation of any other real property shall require the vote or written
consent of not less than sixty-seven percent (67%) of the total Voting Power of the Association residing in Members and if applicable, the consent of the United States Veteran’s Administration (“VA”), the United States Federal Housing Administration (“FHA”), the Federal Home Loan Mortgage Corporation or any other governmental or quasi-governmental agency which insures, guaranties or purchases mortgages. Annexation of the additional property may be accomplished in phases.
(b)Procedures for Annexation. Any annexation shall be made by recordation of a Supplemental
declaration covering the real property to be annexed. The Supplemental Declaration shall describe the real property to be annexed and state that annexation is being made pursuant to this Declaration for the purpose of extending the jurisdiction of the Association to cover the real property being annexed. The Supplemental Declaration may contain such complementary additions and modifications to the terms of this Declaration as may be necessary or desirable to reflect the different character, if any, of the real property being annexed and as are not inconsistent with the general scheme of this Declaration.
(c) Annexed Property. Each Owner of any portion of the annexed property automatically shall be a Member of the Association and upon the recordation of a Final Plat for the annexed property, such Owners and annexed real property shall be subject to assessment by the Association for the benefit of the Project or any part thereof. Assessments of Lots in annexed property shall commence upon the first day of the month next following the first conveyance of a Lot improved with a home to an Owner other than a successor Declarant or Builder. The Association shall have the duties, responsibilities and powers set forth in this Declaration, the Articles and Bylaws with respect to annexed real property. Except as may otherwise be expressly provided in this Declaration or any Supplemental Declaration, the Project shall be managed and governed by the Association as an entirety. Assessments collected from Owners in the Project may be expended by the Association anywhere in the Project without regard to the particular phase, area or subdivision of the Project from which such assessments came. All owners shall have ingress and egress to and from all of the Common Area throughout the Project and any portion thereof and shall have use and enjoyment of any recreational facilities and other amenities contained within the Common Area throughout the Project, provided that any such use shall be subject to the provisions of this Declaration, any Supplemental Declaration, Bylaws and Rules and Regulations.


Originally established: 1999
Amended: November, 2005