HomeMy WebLinkAboutCovenants and Restrictions v. 4
RECEIVED
DEC 11 1999
DOCS
DECLARATION
OF
COVENANTS, CONDITIONS, RESTRICTIONS,
LIENS AND RESERVATIONS OF EASEMENTS
FOR
The Lakes of Hazel Dell
� 116-rRurl0`4 9.g44 $45
Prepared by:
Jan R. Weaning, Esq.
Frost & Jacobs LLP
2500 PNC Center
201 East Fifth Street
Cincinnati, Ohio 45202
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TABLE OF CONTENTS
PAGE
ARTICLE 1 - DEFINITIONS 1
1.1 Additional Property 1
1.2 Articles and Articles of Incorporation 2
1.3 Assessments 2
1.4 Association 2
1.5 Board 2
1.6 Builder 2
1.7 By-Laws 2
1.8 Common Expenses 2
1.9 Common Property 2
1.10 Declaration 2
1.11 Default 2
1.12 Developer 2
1.13 Dwelling Unit 2
1.14 Lot 3
1.15 Member 3
1.16 Owner 3
1.17 Phase or Section 3
1.18 Property 3
1.19 The Lakes of Hazel Dell 3
1.20 Trustee 3
ARTICLE 2 - ASSOCIATION MEMBERS AND VOTING 3
2.1 Members 3
2.2 Classes and Voting Rights
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2.3 Administration by Association ... 4
2.4 Compliance by Owners 4
ARTICLE 3 - ASSESSMENTS 4
3.1 Covenant of Payment; Creation of Lien 4
3.2 Purpose of Annual Assessment 4
3.3 Initial Assessment 5
3.4 Annual Assessment 5
3.5 Calculation of Annual Assessment 5
3.6 Special Assessment(Operating Shortfalls) 6
3.7 Individual Assessment 6
3.8 Interest 6
3.9 Creation of Lien and Personal Obligation of Assessments 6
3.10 Enforcement of Lien 7
3.11 Purchaser at Foreclosure Sale 7
ARTICLE 4 - COVENANTS AND RESTRICTIONS 7
4.1 Real Covenants 7
4.2 Residential 7
4.3 Activity Restrictions
4.4 Right of Association to Remove or Correct Violations 10
4.5 Board Hearing 11
ARTICLE 5 - COMMON PROPERTY 1 1
5.1 Rights of Enjoyment in Common Property 11
5.2 Subordination to Mortgage or Other Lien 12
5.3 Maintenance and Management of Common Property 12
5.4 Use of Common Property by Developer 12
ARTICLE 6 - LOT MAINTENANCE 12
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6.1 General Maintenance 12
6.2 Maintenance of Common Drives 12
6.3 Private Sewer Line 13
6.4 Storm Water Control Structures 13
ARTICLE 7 - EASEMENTS AND LICENSES 13
7.1 Utility and Support Easements 13
7.2 Conservation Easement 14
7.3 Common Property Easement 14
7.4 Owner License 14
7.5 Self-Help Easement 14
7.6 Prohibition 14
7.7 Easements to Run with the Land 14
ARTICLE 8 - ARCHITECTURAL CONTROL 15
8.1 Architectural Control 15
8.2 Enforcement 15
8.3 Fees 15
8.4 Approval of Plans by Developer 16
8.5 Handicap Accessibility 16
ARTICLE 9 - ANNEXATION AND ALTERATIONS TO THE PROPERTY 16
ARTICLE 10 - INSURANCE 16
10.1 Maintenance of Liability Insurance 16
10.2 Other Insurance 17
10.3 Insurance Limitation 17
10.4 Dwelling Unit Insurance 17
10.5 Premiums 17
10.6 Insurance Proceeds 17
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10.7 Casualty 17
ARTICLE 11 - REAL ESTATE TAXES AND ASSESSMENTS 18
11.1 Real Estate Taxes 18
11.2 Allocation 18
11.3 Common Property 18
ARTICLE 12 - MISCELLANEOUS 18
12.1 Duration 18
12.2 Assignment by Developer 18
12.3 Amendment 18
12.4 Personal Liability 19
12.5 Notices 19
12.6 Enforcement 19
12.7 Severability 20
12.8 Conflicts 20
12.9 Rights of Mortgage Holders 20
12.10 Condemnation 20
Exhibits
A -- Legal Description for the Property
B -- By-Laws of the Association
C -- Articles of Incorporation of the Association
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DECLARATIONS OF COVENANTS, CONDITIONS, RESTRICTIONS,
LIENS AND RESERVATIONS OF EASEMENTS FOR
The Lakes of Hazel Dell
THIS DECLARATION OF COVENANTS, CONDITIONS, RESTRICTIONS, LIENS
AND RESERVATIONS OF EASEMENTS FOR The Lakes of Hazel Dell ("Declaration") is
made this day of , 1999, by Zaring Homes of Indiana, L.L.C.
("Developer") and First Cincinnati Land LLC ("FCL"), under the following circumstances:
WHEREAS, FCL is the owner of all or part of certain real property located in Hamilton
County, Indiana, more particularly described in Exhibit A attached to this Declaration (the
"Property").
WHEREAS, Developer is the owner of or will be acquiring from FCL all or part of the
Property.
'WHEREAS, Developer desires to declare that the Property shall be held, sold and
conveyed subject to the provisions of this Declaration.
WHEREAS, Developer has formed The Lakes of Hazel Dell Homeowners' Association,
Inc., a non-profit corporation, which shall be responsible for the administration and enforcement
of the provisions of the Declaration(the"Association").
WHEREAS, Developer owns or may acquire other real property in the vicinity of the
Property that may be annexed to the Property, enjoy the benefit of all amenities in The Lakes of
Hazel Dell, and be subjected to this Declaration (the "Additional Property").
NOW, THEREFORE, for the purposes of establishing and assuring a uniform plan for
the development of the Property, and enhancing and protecting the value, desirability and
attractiveness of the Property, Developer declares that the Property shall be held, occupied, sold
and conveyed subject to this Declaration and be binding on all parties having any right, title and
interest in the Property or any part thereof, their heirs, successors and assigns and shall inure to
the benefit of each owner thereof.
ARTICLE 1 - DEFINITIONS
In addition to any definitions contained elsewhere in this Declaration, the following terms
used in this Declaration shall have the meanings set forth in this Article 1.
1.1 Additional Property. "Additional Property" means other real property in the vicinity of
the Property which is owned and/or acquired by Developer which may be annexed to The
Lakes of Hazel Dell, enjoy the benefit of all amenities in The Lakes of Hazel Dell, and be
subject to this Declaration.
1.2 Articles and Articles of Incorporation. "Articles" and "Articles of Incorporation"
mean those articles, as the same may be amended from time to time, filed with the
Indiana Secretary of State, incorporating The Lakes of Hazel Dell Homeowners'
Association, Inc. as a non-profit corporation under the laws of Indiana. A true copy of
the Articles is attached hereto as Exhibit C and made a part hereof
1.3 Assessments. "Assessments" means the charges established by Article 3 of this
Declaration.
1.4 Association. "Association" means The Lakes of Hazel Dell Homeowners' Association,
an Indiana non-profit corporation, which will own, operate and/or maintain the Common
Property, and any successor organization that owns, operates and/or maintains the
Common Property.
1.5 Board. "Board"means the Board of Trustees of the Association.
1.6 Builder. "Builder" means any person or entity, other than the Developer, who, in the
ordinary course of business, constructs a Dwelling Unit with or without accessory
structures (i) for resale to, or on behalf of, a third party, or (ii) for Builder's own use or
the use of Builder's family. A Builder may or may not be an Owner.
1.7 By-Laws. "By-Laws" means the By-Laws or Code of Regulations of the Association, as
the same may be amended from time to time. A true copy of the By-Laws is attached
hereto as Exhibit B and made a part hereof
1.8 Common Expenses. "Common Expenses" means those expenses described in Section
3.2.
1.9 Common Property. "Common Property" means all real and personal property owned
by, leased to or under the control of the Association for the benefit, use and enjoyment of
the Owners and including any easements or other rights over real property adjacent to or
near the Property which easements or other rights are created for the benefit of the
Association.
1.10 Declaration. "Declaration" means this instrument as the same may be amended from
time to time as hereinafter provided.
1.11 Default. "Default" means any violation, breach or any failure to comply with, this
Declaration or the By-Laws, or other standards, rules or regulations adopted pursuant to
this Declaration.
1.12 Developer. "Developer" means exclusively Zaring Homes of Indiana, L.L.C., an Indiana
limited liability company, its successors and assigns.
1.13 Dwelling Unit. "Dwelling Unit" means any building or portion of a building situated
upon a Lot designed and intended for use and occupancy as a residence by persons or a
single family.
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1.14 Lot. "Lot" means any parcel shown as such on the record plat of The Lakes of Hazel
Dell. Unless the context otherwise requires, the term "Lot" shall be deemed to include
both the parcel of land and the Dwelling Unit on that land, if any, excluding Common
Property.
1.15 Member. "Member" means any Owner who is a member of the Association as provided
in the Articles of Incorporation.
1.16 Owner. "Owner" means the record owner, whether one or more persons or entities, of a
fee simple title to any Lot which is a part of The Lakes of Hazel Dell, including
purchasers on land installment contracts and including contract sellers on other forms of
executory contracts for the sale of a Lot, but excluding those having such interest merely
as security for the performance of an obligation.
1.17 Phase or Section. "Phase or Section" shall mean all of the land area encompassing a
group of Lots as designated on a recorded subdivision plat including streets and Common
Property.
1.18 Property. "Property" means that real property located in Hamilton County, Indiana,
more particularly described in Exhibit A to this Declaration.
1.19 The Lakes of Hazel Dell. "The Lakes of Hazel Dell" means all phases or sections of the
record plat for The Lakes of Hazel Dell, a subdivision in Hamilton County, Indiana, and
consisting of the Property and Additional Property from time to time made subject to the
provisions of this Declaration.
1.20 Trustee. "Trustee" means any person elected or appointed to the Board.
ARTICLE 2 - ASSOCIATION MEMBERS AND VOTING
2.1 Members. Every Owner shall be a member of the Association, and such membership
shall be appurtenant to and may not be separated from ownership of a Lot. Developer
shall be a member of the Association so long as it qualifies as a Class A or Class B
member as defined in Section 2.2.
2.2 Classes and Voting Rights. The Association shall have two (2) classes of voting
memberships:
A. CLASS A — Class A members shall be all the Owners, except the Developer (if the
Class B membership exists). Except as provided below, Class A members shall be
entitled to one (1) vote for each Lot owned. When more than one (1) person holds
an interest in any Lot, the vote for such Lot shall be exercised as the majority of
such persons among themselves determine, but in no event shall more than one (1)
vote be cast with respect to any Lot notwithstanding the number of persons who
may own an interest therein. The Board shall be entitled to suspend voting rights of
a Member in the Association during the time period in which the Member is in
Default.
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B. CLASS B —The Class B member shall be the Developer, and such member shall be
entitled to such number of votes as will constitute seventy-five percent (75%) of the
total voting power of the Association, so long as the Class B membership continues
to exist. The Class B membership shall continue to exist to the extent permitted by
Indiana law and shall be converted to Class A membership upon the happening of
either of the following events, whichever occurs earlier:
(a) Upon the sale of seventy-five percent (75%) of the Lots included from time to
time to individual Lot Owners;
(b) Upon the expiration of seven (7) years after the date this Declaration is filed
for record. Provided, further, that nothing herein shall be construed to
prohibit the Class B member from converting its Class B membership to Class
A membership at any time earlier by written statement executed by Developer
and delivered to the Association.
2.3 Administration by Association. Subject to the rights retained by Developer pursuant to
this Declaration, the ownership, operation and maintenance of the Common Property and
of the administration and enforcement of this Declaration shall be by the Association in
accordance with the terms and provisions of this Declaration.
2.4 Compliance by Owners. Each Owner, tenant or occupant of a Lot shall comply with the
provisions of this Declaration, By-Laws, rules and regulations of the Association and the
decisions and resolutions of the Association or its representatives, all as lawfully
amended from time to time. Failure to comply with any such provisions, rules and
regulations, decisions and resolutions shall be grounds for an action to recover sums due
and for damages and injunctive and other appropriate relief.
ARTICLE 3 - ASSESSMENTS
3.1 Covenant of Payment; Creation of Lien. Each Owner of a Lot (other than Developer,
except as hereinafter provided), by acceptance of a deed or other instrument of
conveyance for a Lot, agrees to pay to the Association the Assessments provided in this
Article 3. The Assessments (including late charges and costs of collection, as provided
below) shall be a charge and a lien on each Lot and shall be the personal obligation of the
Owner of each Lot, to the extent and for the period provided in this Article 3.
3.2 Purpose of Annual Assessment. The annual assessment is established for the benefit
and use of the Association and shall be used in covering all of the Common Expenses; the
operation, maintenance, and repair of Common Property; other portions of the Property
that the Association is obligated to repair under this Declaration; and the performance of
all other duties and obligations to be performed by the Association under this
Declaration. The Common Expenses may include, but are not limited to, the costs of
employees' wages, materials, equipment, supplies, insurance premiums for the insurance
of Common Property, officers and Trustees liability insurance, rental fees for any
Common Property leased to the Association, the cost of reasonable reserves for
contingencies, replacements, and working capital, taxes and assessments on the Common
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Property, management fees, legal and accounting fees, capital improvements and
additions for Common Property, and all other costs and liabilities incurred by the
Association in the exercise of its powers and duties pursuant to this Declaration or the
By-Laws.
3.3 Initial Assessment. Upon the initial conveyance of a Lot by the Developer or a Builder
to an Owner, the Owner shall pay an initial assessment of $500.00. The initial
assessment shall be used as working capital for the Association and not collected in lieu
of any installments of the annual assessment. The initial assessment is non-refundable.
No initial assessment shall be due on any Lot purchased from an Owner other than the
Developer or a Builder, nor shall any initial assessment be due on any Lot purchased
from the Developer by a Builder.
3.4 Annual Assessment. The annual assessment or prorated portion thereof for each Lot
Owner in each respective Phase or Section of The Lakes of Hazel Dell shall commence
on the first day of the month following the conveyance of the first Lot from Developer or
Builder to an Owner(other than a Builder) in that Phase or Section of The Lakes of Hazel
Dell. Not later than the initial conveyance of a Lot in a Phase or Section to an Owner
(other than a Builder), the Developer shall convey all Common Property within that
specific The Lakes of Hazel Dell Phase or Section to the Association. The Board shall
have the right to require the annual assessment to be paid in periodic installments during
the year or in a single installment as determined by the Board and the annual assessment
shall be due and payable on such date or dates as determined by the Board. It shall be the
duty of the Board to determine the amount of the annual assessment allocated to each
Lot. The Board shall make reasonable efforts to determine the assessment amount for the
following year, by the first day of December of each year, and shall at that time, prepare a
roster of the Lots and the portion of the assessment allocated thereto, which shall be open
for inspection by any Owner upon reasonable notice to the Board. The Board shall be
entitled to change the method of collection of assessments as it may, from time to time,
elect. Notwithstanding anything herein to the contrary, the annual assessment allocated
to Lots owned by Developer or a Builder, if such Lots are not occupied, shall be equal to
fifty percent (50%) of the annual assessment allocated to Lots owned and occupied by
others.
Failure to act within any time period established in the Declaration shall not affect the
rights of the Board to collect assessments as provided herein.
3.5 Calculation of Annual Assessment. Each Owner shall be responsible for and shall pay
that portion of the annual assessment allocable to the Owner's respective Lot as
determined by the Board. The annual assessment shall equal the estimate of the Common
Expenses for the year, plus an amount determined by the Board as adequate to provide a
reserve fund for future use by the Association for the maintenance and/or replacement of
the Common Property. The Board during any calendar year shall be entitled to increase
the annual assessment for that year if it should determine that the estimated or current
assessment is insufficient to cover Common Expenses for that year, provided that the
Board shall give at least thirty (30) days advance notice thereof to the Owners.
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3.6 Special Assessment (Operating Shortfalls). In the event that the annual assessment is
less than the Common Expenses incurred for said year, the amount of any operating
deficit may, at the Board's sole option, be charged to the Owners by means of a special
assessment and the same shall be immediately due and payable as provided in Section
3.9.
3.7 Individual Assessment. If any portion of the Common Property that the Association is
obligated to maintain, repair and/or replace is damaged due to the willful or negligent act
or omission of an Owner or Owner's guest or invitee, the Board shall have the right to
undertake the necessary maintenance, repair or replacement. The choice between repair
and replacement is in the sole discretion of the Board. The cost so incurred by the Board
shall be assessed as an individual assessment against all Lots owned by the Owner
responsible for the damage. No such assessment may be levied against Lots owned by
the Developer without the written consent of Developer.
The Association shall also have the authority, through the Board, to establish, fix and
levy a special assessment on any Lot to secure the liability of the Owner thereof to the
Association arising from breach by such Owner of any provisions of this Declaration,
which breach shall require the expenditure of time or money, or both, by the Association
for the repair or remedy.
3.8 Interest. Delinquent assessments shall bear interest at such interest rates as are from
time to time established by the Board (which interest rate shall not exceed the maximum
legal interest rate allowed to be charged to an individual under the laws of the State of
Indiana). The Board shall have the right to establish a late charge for delinquent
payments in addition to interest charges.
3.9 Creation of Lien and Personal Obligation of Assessments. Each Owner, by
acceptance of a deed for the Lot, whether or not it shall be so expressed in such deed,
shall be deemed to have covenanted and agreed to pay to the Association the
Assessments. The Assessments, together with interest and costs, and reasonable
attorney's fees for collection, shall be a continuing lien upon the Lot against which each
such Assessment is made. Each such Assessment, together with interests, costs and
reasonable attorney's fees, shall also be the personal obligation of the person who was the
Owner of such Lot at the time when the Assessment was made. The personal obligation
for a delinquent Assessment shall not pass to a successor in title, unless expressly
assumed by such successor (although any liens for Assessments established hereunder
shall run with the land). If the obligation is so assumed by a successor in title, the
successor and the former Owner shall be jointly and severally liable for payment of the
amount due and payable.
Each Owner covenants for himself, his heirs, successors and assigns, to pay each
Assessment levied by the Association on his Lot within ten (10) days after receipt of an
invoice for the same, and further covenants that if said charge shall not be paid within
thirty (30) days from the date that said invoice is deposited, postage prepaid in the United
States mail, in an envelope addressed to the Owner at the address of the Lot, the amount
of such charge shall become a lien upon said Owner's Lot and shall continue to be such
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lien, until fully paid. The Association may perfect such lien by recording a notice of lien
with the Recorder of Hamilton County, Indiana. The lien shall be prior to all other liens
and encumbrances whatsoever,,except real estate taxes and assessments, liens of record in
favor of the United States of America, the State of Indiana, or other governmental
instrumentalities to the extent made superior by applicable law, and all bona fide
recorded first mortgages.
3.10 Enforcement of Lien. Any lien established under this Declaration may be enforced by
the Association in the same manner and to the same extent (including appointment of a
receiver, foreclosure sale and deficiency judgment) and subject to the same procedures as
in the case of foreclosure of a real property mortgage. In any enforcement proceeding, the
amount that may be recovered by the Association shall include all costs of the
proceeding, and, to the extent permitted by law, reasonable attorney's fees. In any
foreclosure sale, the Association may purchase the Lot.
3.11 Purchaser at Foreclosure Sale. Any purchaser of a Lot at a foreclosure sale shall
automatically become a Member of the Association and shall be subject to all of the
provisions of this Declaration. When the purchaser of a Lot acquires title to the Lot as a
result of a foreclosure action, if the proceeds are insufficient to pay all delinquent
Assessments, the purchaser shall not be solely liable for the share of the Assessments
chargeable to the acquired Lot that became due prior to the acquisition of title to that Lot.
Instead, any unpaid share of the Assessments that became due and payable prior to the
date of purchase shall be deemed to be part of the Assessments collectible from all of the
Lots, including that of the purchaser.
ARTICLE 4 - COVENANTS AND RESTRICTIONS
4.1 Real Covenants. The provisions of this Declaration are for the benefit of Developer,
Builders and Owners as provided herein, and run with the land and shall be binding on all
parties and all persons claiming ownership under them, except as otherwise specifically
provided herein.
4.2 Residential. All of the Lots shall be used for private residential purposes exclusively,
except that an Owner may conduct business activities within the Lot as long as: (a) the
existence or operation of the business activity is not apparent or detectable by sight,
sound, or smell from the outside; (b) the activity conforms to all zoning requirements for
the Property; (c) the activity does not involve regular visitation of the Lot by clients,
customers, suppliers, or other business invitees or door-to-door solicitation of residents of
the Property; and (d) the activity is consistent with the residential character of the
Property and does not constitute a nuisance, or a hazardous or offensive use, or threaten
the security or safety of other residents of the Property, as may be determined in the sole
discretion of the Developer or the Board. This Subsection shall not apply to any activity
conducted by Developer or a Builder with respect to its development and sale of the
Property or its use of any Lots which it owns within the Property.
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4.3 Activity Restrictions. Except for the activities of Developer or a Builder prior to the
date on which the Developer or a Builder has sold and conveyed all Lots in The Lakes of
Hazel Dell:
A. No noxious or offensive trade shall be carried on or upon any Lot, the Common
Property, or within any improvement situated upon the Property, nor shall
anything be done thereon which may or may become an annoyance or nuisance to
the neighborhood or the Owners; provided that this shall not apply to the
construction of Dwelling Units on the Lots or any construction, maintenance or
replacement of facilities on the Common Property.
B. The maintenance, keeping, boarding or raising of animals, livestock or poultry of
any kind, regardless of number, shall be and is hereby prohibited on any Lot,
except that this shall not prohibit the keeping of dogs, cats, caged birds or
aquarium fish or other domestic pets provided they are not kept, bred, or
maintained for commercial purposes, and provided they are kept according to the
rules and regulations of the Association. No Owner shall permit or conduct an
activity which may violate any applicable law affecting any Lot.
C. No burning of any trash, accumulation or storage of litter, new or used building
materials, or trash of any kind shall be permitted on any Lot or the Common
Property.
D. Except as provided herein, no commercial vehicle, trailer, trucks of more than one
ton, motorcycle, camper, camp truck, horse trailer, boat or the like shall be kept or
used on the Property unless totally enclosed within an improvement or garage, so
as not to be visible from the exterior thereof. No junk vehicle, inoperative or
unlicensed motor vehicle, structure of a temporary character, mobile home, tent,
shack, barn, or other outbuilding shall be kept or used upon any Lot or the
Common Property, nor (except for bona fide emergencies) shall the major repair
or extraordinary maintenance of automobiles or other vehicles be carried out
thereon. Notwithstanding the provisions hereof, Developer or any Builder and
their contractors may, for purposes of business use in connection with the
development of the Lots or construction of the Dwelling Units, maintain trucks,
equipment, temporary offices (including trailers) and structures in connection
with such development and construction.
E. Trash and garbage containers shall not be permitted to remain in the public view
except on days of trash collection.
F. No signs of any character shall be erected, posted, or displayed upon any Lot,
except street and identification signs installed by the Association or the Developer
and excepting one (1) temporary real estate sign not to exceed six (6) square feet
in area erected upon any Lot which advertises the same upon the market for sale
or rent. This restriction shall not apply to Builders who may erect such signs as
are authorized by the Developer.
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G. No structure, planting or other material other than driveways or sidewalks shall be
placed or permitted to remain upon any Lot which may damage or interfere with
an easement for the installation or maintenance of utilities, or which may change,
obstruct or retard direction of flow of any drainage channels.
H. No vegetable garden shall be larger that 300 square feet and must be maintained
so as not to be unsightly. No Owner shall be allowed to store more than two cords
of firewood on any Lot. Firewood must be neatly stacked and free of unsightly
debris, and storage of firewood by owners is not permitted on the Common
Property.
No oil drilling, quarrying, or mining operation shall be permitted on any Lot.
J. No above-ground swimming pools shall be permitted on any Lot of the Common
Property.
K. Swingsets,jungle-gyms, playhouses or similar yard equipment, basketball courts,
trampolines or any other recreational facilities may not be placed, installed or
maintained on any Lot without prior approval of the Board. Tennis courts shall
not be permitted, unless on the Common Property.
L. Mailboxes shall be of uniform design as specified by the Developer or as
approved by the Board. Mailboxes may be located within the signage, entrance
way and landscaping easement.
M.
(i) No fence or any portion thereof may be installed on that part of any Lot
which is closer to the street than the primary rear wall of the Dwelling Unit on the
Lot. The "primary rear wall" shall be determined by lineal feet of wall area at the
rear of the Dwelling Unit, and garage walls shall not be included in the
calculation of the primary rear wall if the garage extends further to the rear of the
Dwelling Unit than does the living area of the Dwelling Unit.
(ii) All fences shall be of a type and quality approved by Developer or the
Board; provided that any fence enclosing a swimming pool and located entirely
within thirty (30) feet of such pool may be of a design and construction as is from
time to time required by applicable government authorities for enclosure of
swimming pools.
N.
(i) The Association may regulate the location, manner of installation, color and
screening of any satellite dish or any television broadcast antenna placed outside a
Dwelling Unit (each, a "Reception Device"), as long as such regulation does not
(a) unreasonably delay or prevent the installation of an Owner's chosen Reception
Device(s), (b) unreasonably increase the cost of the installation, maintenance or
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use of an Owner's Reception Device(s), or (c) preclude reception of an acceptable
quality broadcast signal.
(ii) If an acceptable quality signal can be received by placing Reception Devices
inside a Dwelling Unit without unreasonable delay or unreasonable cost increase,
then installation outside a Dwelling Unit is prohibited. If not so prohibited, then
Reception Devices may be no larger or installed no higher than is absolutely
necessary for reception of an acceptable quality signal. Reception Devices may
not encroach upon any Common Property.
(iii) The Association may require an Owner to paint a Reception Device to
match the Dwelling Unit.with a specific type and color of paint, as long as such
paint will not preclude reception of an acceptable quality signal or void a
manufacturer's warranty for a Reception Device. The Association may require
repainting or replacement if the exterior surface of a Reception Device
deteriorates. The Association may require camouflaging of Reception Devices
through inexpensive screening or plantings at the Owner's expense if the
Reception Device is visible from other Dwelling Units or the Common Property.
(iv) Prior to the installation of a Reception Device, a Unit Owner must notify the
Association in writing of the type of Reception Device and proposed location and
provide the Association with a copy of any required permit.
O. There shall be no violation of any rule or regulation for the use of any Common
Property which may from time to time be adopted by the Board and promulgated
among the members in writing. The Board is hereby authorized to adopt such
rules.
P. The Owner of a Lot upon which a portion of the Common Property is located
shall not alter the Common Property and shall not otherwise adversely affect or
interfere with the intended use of the Common Property.
Q. There shall be no violation of any additional standards, rules, regulations or
restrictions which may be, from time to time, reasonably imposed on the Owners
by the Association in their use and enjoyment of the Lots and the Common
Property.
4.4 Right of Association to Remove or Correct Violations. The Association or Developer
may, in the interest of the general welfare of the Owners, and after reasonable notice to
an Owner, enter upon any Lot within reasonable hours on any day for the purpose of
directing Owner to correct any violations or breach or any attempted violation of any of
the covenants and restrictions contained in Article 4, or for the purpose of directing an
Owner to abate anything herein defined as a prohibited use or nuisance, provided,
however, that no such actions shall be taken without a resolution of the Board. Before
any improvements constructed may be altered or demolished pursuant to this Article, the
Association or Developer must have participated in binding arbitration with such Owner.
Such arbitration should be conducted in accordance with the commercial rules of
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arbitration of the American Arbitration Association. The arbitration award shall be final
and binding, and judgment may be entered upon it in any court of competent jurisdiction
to the fullest extent permitted under the laws of the State of Indiana. If the Owner refuses
to participate in binding arbitration as provided for herein, then judicial proceedings must
be brought against the Owner in order to alter or demolish any constructed
improvements. Notwithstanding the foregoing, any signs which are prohibited by
Section 4.3 (F) may be removed pursuant to a resolution of the Board and without
arbitration or judicial proceedings. All charges incurred by the Association or Developer
in correcting a violation hereunder, (including arbitration or court costs and reasonable
attorneys' fees) shall constitute a charge against the Lot and a personal obligation of the
Owner thereof, and the Association shall have a lien upon the property and Lot for such
expenses, and including costs of collection of such lien amount, which lien shall be
subordinate to real estate taxes and assessments, liens of record in favor of the United
States of America, the State in which the Lot is located, or other governmental
instrumentalities to the extent made superior by applicable law, and all bona fide
recorded first mortgages, as provided in Section 3.9.
4.5 Board Hearing. In the event of any dispute between Owners regarding the application
of this Declaration or any rule or regulation, the party aggrieved shall submit a complaint
in writing to the Board specifying the dispute. The Board shall set a time and place for a
hearing thereon within thirty (30) days thereafter, and give written notice to each party
thereof not less than five (5) days in advance of such hearing. The Board shall act as
arbitrator and, after hearing such evidence and arguments as it deems proper, shall render
a written decision on the matter to each party within thirty (30) days after such hearing.
No legal action may be instituted by either party on such dispute unless the arbitration
provided for herein has occurred, or unless the parties have waived the requirement for
arbitration.
ARTICLE 5 - COMMON PROPERTY
5.1 Rights of Enjoyment in Common Property. Each Owner shall have a right and a
nonexclusive easement for the use and enjoyment of the Common Property. This right
and easement shall be appurtenant to, and shall pass with the title to the Lot. Each Owner
shall have a perpetual right of ingress and egress across the Common Property to that
Owner's Lot, which shall be appurtenant to the ownership of the Lot. These rights and
privileges shall be subject, however, to the following:
A. The right of the Board to levy and collect the Assessments.
B. The right of the Board to adopt, enforce and amend reasonable rules and
regulations pertaining to the use of the Common Property.
C. The right of the Board to suspend the right of any Owner to use any of the
Common Property that is recreational in nature for any infraction of the rules and
regulations relating to the Common Property, which period of suspension shall
not exceed 60 days per infraction.
Il
01110 Olt
D. The right of the Board to suspend the right of any Owner to use any of the
Common Property that is recreational in nature for the nonpayment or
delinquency of any Assessments until paid.
E. All other easements, restrictions, and rights to which the Property is subject,
including, but not limited to, any easements granted or reserved pursuant to
Article 7.
F. The right of the Board to convey such Common Property to eliminate any existing
setback violation, encroachment or zoning violation created by the original
construction of Developer, free, clear and unencumbered from any and all
easements and/or licenses granted pursuant to the Declaration.
5.2 Subordination to Mortgage or Other Lien. The rights and privileges provided in this
Article shall be subordinate to any mortgage or other lien given by the Association for
purposes of acquiring, improving or maintaining the Common Property.
5.3 Maintenance and Management of Common Property. The Association shall provide
for the maintenance, repair, replacement and management of all Common Property. The
Association may fulfill this responsibility and any other duties and obligations of the
Association under this Declaration by contracting with any professional management
company upon such teims and conditions as shall be agreed upon by the Board and the
management company.
Until such time as the Developer has sold and conveyed all Lots within The Lakes of
Hazel Dell, the design of landscaping and plant, shrub and tree varieties installed on
and/or comprising any part of the Common Property shall be maintained as initially
installed unless otherwise approved by the Developer. Thereafter, modifications to
landscaping design and plant, shrub and tree varieties shall be approved by the Board.
5.4 Use of Common Property by Developer. In addition to the rights described in Section
5.1, Developer and its affiliates shall have the right during the period Developer owns
any Lot to use the Common Property, free of charge, for promotional, construction,
management, maintenance, repair, remodeling, rental and sales purposes.
ARTICLE 6 -LOT MAINTENANCE
6.1 General Maintenance. Subsequent to transfer of a Lot to an Owner, the Owner thereof
shall keep the Lot well-landscaped and in a good and well-maintained condition. In the
event that a portion of the Common Property is included within the boundaries of a Lot,
the Owner thereof shall be responsible for the maintenance of such portion of the
Common Property to the extent that the Association or Developer does not maintain the
same.
6.2 Maintenance of Common Drives. All Owners who share a common driveway for
ingress and egress to their Lots shall participate in the cost and maintenance, repair or
replacement of said common driveway based on their allocable use thereof. An Owner's
12
allocable use shall be calculated by taking the longest distance within the common
driveway which is being used for access by such Owner and dividing that distance by the
sum of all the longest distances of every Owner's use of the common driveway. The
maintenance, repair or replacement of a common driveway shall be agreed upon by the
Owners of said Lots. In the event Owners fail to agree on the manner in which such
maintenance, repair or replacement of the common driveway is to be performed, or the
amount of each Owner's allocable share thereof, then the same shall be determined by the
Board upon application by an interested Owner. The decision of the Board shall be final
and non-appealable. No parking shall be permitted on any portion of the common
driveway which serves another Lot.
6.3 Private Sewer Line. The maintenance, repair or replacement of utility distribution lines
and connections or private sewer laterals (which connect a Lot to sewer main) and are
located on or exclusively service the Lot shall be the responsibility of the Owner using
the line, connections or laterals. If more than one Owner is using a line, connection or
lateral and the Owners fail to agree on a formula to determine their share of the cost or in
the event the Owners fail to agree on the manner in which such maintenance, repair or
replacement shall be done, then the Board shall make such determination upon
application by an interested Owner. The decision by the Board shall be final and non-
appealable.
6.4 Storm Water Control Structures. The Association shall be responsible for the care and
maintenance of only those storm water control structures constructed by Developer or at
the direction of the Association and located on the Common Property and/or within
private drainage easements and/or private storm sewer easements (including detention
basin structures, outlet structures, paved channels, headwalls and any and all other storm
drainage structures) which are located outside the public right of way and depicted on any
record plat of The Lakes of Hazel Dell except for those specifically assumed by
governmental authorities. All such care and maintenance shall comply with and confoini
to any requirements, standards and specifications of such governmental authorities.
ARTICLE 7 - EASEMENTS AND LICENSES
7.1 Utility and Support Easements. Developer hereby grants, conveys, and reserves non-
exclusive easements over the Property as indicated on any record plat of The Lakes of
Hazel Dell for the purpose of (i) the construction, reconstruction, alteration, and
maintenance of all facilities necessary to provide utility services, including without
limitation, telephone, water, gas, sanitary and storm sewer services to each Lot and the
Common Property, and (ii) the cutting, grading and maintaining of slopes, retention walls
(including, but not limited to, the retaining wall located on Lot # 70, 71 and 72 for the
purpose of tree preservation) and other supports, both for the benefit of each Lot and the
Common Property. Developer further reserves the right to grant easements or modify
existing easements over any portion of the Property for any of the purposes set forth in
this Section 7.1. Upon sale of the last Lot in The Lakes of Hazel Dell by Developer to an
Owner, Developer's rights under this Section 7.1 shall automatically pass to the
Association.
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7.2 Conservation Easement. Developer hereby grants, conveys, and reserves a non-
exclusive easement over the Property as indicated on any record plat of The Lakes of
Hazel Dell for the purpose of tree preservation and conservation (the "Easement Area").
During the development of the Property for use as a residential subdivision, Developer
agrees to install construction fencing in order to preserve and maintain the trees located in
the Easement Area. Developer agrees to install such fencing in a location 15 feet from
the boundary of the Easement Area as shown on the any record plat. During the
development of the Property, Developer, at its sole cost and expense, shall engage a
consultant on a bi-monthly basis to monitor Developer's conservation of trees located
within the Easement Area and to prepare reports to be submitted to the authority of the
City of Carmel, Indiana having jurisdiction over tree conservation programs. As part of
the development of the Property, Developer shall plant two (2) trees on each Lot.
Owners must notify the authority of the City of Carmel, Indiana having jurisdiction over
tree conservation programs in writing prior to removing any trees located on Lots within
the Easement Area.
7.3 Common Property Easement. Developer hereby grants, conveys, establishes and
reserves an exclusive easement for the benefit of the Developer and Association over the
Common Property for the purpose of the construction, reconstruction, alteration,
maintenance and use thereof by Developer and the Association. Developer further grants,
conveys, establishes and reserves a non-exclusive easement over that portion of the
Property not defined as the Common Property for the temporary occupation thereof in
order to facilitate the exercise of any of the foregoing easements by either Developer or
Association.
7.4 Owner License. Developer hereby grants, conveys and reserves unto each Owner a non-
exclusive license over the Common Property designated by Developer, or the Association
upon the termination of the Class B membership therein, as defined in Article 2, for the
use and enjoyment of the individual Owners and of the Lots, including without limitation,
utilities, and sidewalks, roadways and similar amenities, if any.
7.5 Self-Help Easement. In the event that an Owner should violate any of the provisions of
the Declaration, the Association and the Developer are hereby granted a non-exclusive
easement over the Lot of the violating Owner so as to permit the Association to occupy
the same and to rectify such breach as set forth in Sections 4.4 or 12.6 hereof.
7.6 Prohibition. No Owner, other than Developer or Builder, shall grant an easement, right
of way or license over a Lot, without the prior consent of the Association.
7.7 Easements to Run with the Land. All easements and rights described in this
Declaration shall run with the land, perpetually in full force and effect, and at all times
shall insure to the benefit of and be binding on the Developer, the Association, and any
Owner, purchaser, mortgagee or other person now or in the future having an interest in
any part of the Property.
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ARTICLE 8 -ARCHITECTURAL CONTROL
8.1 Architectural Control. No building, fence, wall or other structure shall be commenced,
erected or maintained upon the Property , nor shall any exterior addition or change
(including any change in color) or alteration thereof be made until a detailed set of plans
and specifications is submitted to and approved by the Board. Notwithstanding the
foregoing, initial construction of Dwelling Units and improvements by a Builder or the
Developer shall be under the exclusive control of Developer as provided in Section 8.4,
below. All plans and specifications shall be delivered to the Board in such form and shall
contain such information as the Board may reasonably require, including but not limited
to any or all of the following: a site plan; proposed landscaping; patio and walkway
locations; description of materials; location of lighting; architectural plans including
cross-sections, floor plans and elevations; evidence of conformity with building codes;
the exterior design, color and the location of the proposed improvements in relation to the
surrounding improvements and topography of the surrounding Property. Review of the
plans and specifications shall include the following considerations: the continued
maintenance of The Lakes of Hazel Dell as a residential community of high aesthetic
quality; the promotion of the health, safety and welfare of all Owners, the preservation,
beautification and maintenance of the Lots, the Common Property, and all structures
thereon; the preservation and promotion of environmental quality; and the assurance of
adequate water, sewer and drainage facilities and other utilities and services. The Board
shall (i) approve the plans and specifications, (ii) disapprove them, or (iii) approve them
with conditions or qualifications. The approval of the plans and specifications by the
Board shall not constitute a representation or warranty by it as to the quality of the
workmanship, materials or architectural or engineering design covered thereunder, or the
proposed work's feasibility or compliance with any applicable laws. In the event the
Board fails to approve or disapprove such design and location and notify the Owner of its
decision within thirty (30) days after plans and specifications have been received by it,
approval will not be required and this Article 8 will be deemed to have been fully
complied with. Such submission to the Board shall be in person, or by registered or
certified mail, with return receipt, directed to the Association manager, or if there is no
manager, to its President.
8.2 Enforcement. In the event of a violation of the provisions of this Article 8, the
Association shall have the right to enforce this Article by any proceedings authorized in
this Declaration, the By-Laws, or by applicable law.
8.3 Fees. The Board may charge reasonable fees for the processing of said plans and
specifications and any inspections. Any modifications to be undertaken to the exterior of
a Dwelling Unit, Lot or the Common Property shall comply with the guidelines and
regulations of the United States Department of Housing and Urban Development for
buildings and facilities providing accessibility and usability for physically handicapped
people; and shall be undertaken pursuant to a contract, the terms, conditions and
specifications of which, shall be approved by the Board. The approved contractor shall
provide an adequate performance bond for the benefit of the Association.
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011111
Notwithstanding the other provisions herein, including those requiring approval of the
Members, the Board is authorized to make reasonable accommodations to any rules,
policies, practices or services as may be necessary to afford a handicapped person equal
opportunity to use and enjoy his Dwelling Unit and Lot, including the Common Property.
8.4 Approval of Plans by Developer. Each Builder, prior to initial construction of a
Dwelling Unit and/or accessory structures on a Lot, shall deliver its plans and
specifications to Developer and secure the Developer's approval of such plans and
specifications (as described in Section 8.1, above). Such approval of plans and
specifications by the Developer shall be conducted in the same manner and in the same
time frame as set forth in Section 8.1, above. The Developer shall have all legal and
equitable remedies available under this Declaration to enforce its decision against
Builders, Owners, or their successors.
8.5 Handicap Accessibility. Notwithstanding the other provisions herein, an Owner of any
Dwelling Unit and Lot may, at his expense, make such reasonable modifications to the
interior and exterior of his Dwelling Unit and Lot and the Common Property as may be
necessary to afford the physically handicapped appropriate access thereto. Fees shall be
paid at the time the plans and specifications are submitted to the Board for approval.
ARTICLE 9 -ANNEXATION AND ALTERATIONS TO THE PROPERTY
The provisions of this Declaration are imposed upon the Property including the Lots,
Dwelling Units, and Common Property located thereon. Developer shall have the right at any
time to remove any portion of the Property which has not been conveyed to an Owner from the
scope of this Declaration or to subject any Additional Property to the provisions of this
Declaration by the execution and recording of a supplement to this Declaration.
The Developer may annex to this Declaration any Additional Property without the
consent of the Members of the Association, within seven (7) years after the date this Declaration
is filed for record. However, the Developer is not bound to annex any of the Additional Property
to this Declaration, and until such time as any of the Additional Property is annexed, the same
shall not be subject to the provisions of this Declaration.
Any annexations made pursuant to this Article 9 shall be evidenced by filing an
amendment or supplement to this Declaration with the Recorder of Hamilton County, Indiana,
which amendment or supplement shall extend this Declaration to such annexed Additional
Property. The supplement or amendment to this Declaration may contain additional covenants,
conditions, restrictions, easements and liens as the Developer shall deem appropriate for the
purpose of completing the development of any Additional Property. Such Additional Property
shall enjoy the benefit of all amenities in The Lakes of Hazel Dell.
ARTICLE 10 - INSURANCE
10.1 Maintenance of Liability Insurance. The Association, as a Common Expense, shall
insure itself, the Board, Developer, all Owners and members and their respective families
16
41110
•
and other persons residing with them in the Dwelling Unit, their tenants, and all persons
lawfully in possession or control of the Lots, against liability for bodily injury, disease,
illness or death and for injury to persons or destruction of property occurring upon, in or
about, or arising from, the Common Property and the portions of the Lots to be
maintained by the Association, such insurance to afford protection with limits of not less
than $500,000.00 with respect to bodily injury, disease, illness or death suffered by any
one person and of not less than $1,000,000.00 with respect to bodily injury, disease,
illness or death suffered by more than one person in any one occurrence, and not less than
$500,000.00 with respect to damage to or destruction of property arising out of one
accident.
10.2 Other Insurance. The Association shall have a right to maintain officers and Trustees
liability insurance and such insurance or extended coverage insurance insuring the
Common Property in such amounts, against such perils, for such time periods and under
such circumstances as the Association through its Board determines, in their sole
discretion, is appropriate and in the best interest of The Lakes of Hazel Dell.
10.3 Insurance Limitation. Except as otherwise provided in Section 10.1, the policies of
insurance maintained by the Association pursuant to this Article 10 shall not insure
against liability for personal injury or property damage arising out of or relating to the
Lots. Each Owner shall be responsible for obtaining insurance with respect to any Lot
and improvements thereon and the contents thereof and any personal liability to the
extent not covered by insurance provided in this Article 10. All insurance procured by the
Association shall have such deductibles as the Board shall, from time to time, determine
necessary and appropriate.
10.4 Dwelling Unit Insurance. The Association shall have no responsibility or liability to
obtain or maintain any type of insurance upon any Dwelling Unit constructed on Lots and
such insurance shall be the sole responsibility of the Owner.
10.5 Premiums. All premiums paid for any insurance procured by the Association hereunder
shall be deemed to be a Common Expense.
10.6 Insurance Proceeds. Any and all insurance proceeds received by the Association shall
be held by the Association and used for the benefit of the Owners, the Common Property
and the Lots as the Board shall, from time to time, determine. No Owner shall have any
right in or to the proceeds of any such insurance.
10.7 Casualty. In the event that any portion of the Common Property is damaged or
destroyed, the Association shall restore the affected portion of the Common Property to
substantially its condition existing immediately prior to such damage or destruction to the
extent reasonably practicable. If such damage or destruction is not covered by insurance
maintained by the Association or the proceeds are insufficient to fully restore the affected
portion of the Common Areas as a result thereof, then the Association shall effect the
restoration thereof in such a manner as the Association may determine appropriate in its
sole judgment and shall levy a special assessment against each Owner for any deficiency
in a proportion to its respective share thereof.
17
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ARTICLE 11 - REAL ESTATE TAXES AND ASSESSMENTS
11.1 Real Estate Taxes. Each Owner shall be responsible for and shall pay when due all
taxes and assessments, general and special, levied or imposed upon his Lot and the
improvements located thereon.
11.2 Allocation. Prior to the time the taxing authorities establish separate tax parcels for each
Lot, Developer shall allocate the real estate taxes and assessments upon the Property
among and against the Lots and the Common Property in a fair and equitable manner so
as to allocate the real estate taxes and assessments charged in common to the various Lots
as well as the Common Property within The Lakes of Hazel Dell. The allocation made in
accordance with the terms hereof shall be binding upon all Owners and shall be paid by
Owners in the same manner as provided in Section 3.9.
11.3 Common Property. Taxes and assessments, general and special, charged against the
Common Property of The Lakes of Hazel Dell shall be paid by the Association when due
and shall be deemed a Common Expense.
ARTICLE 12 - MISCELLANEOUS
12.1 Duration. Except where permanent or perpetual easements or other permanent rights or
interests are herein created, the terms and provisions of this Declaration shall run with
and bind the Property, and shall inure to the benefit of and be enforceable by the
Association or by any of the Lot Owners, their respective legal representatives, heirs,
successors and assigns, for a term of twenty (20) years from the date of recordation of
this Declaration, after which the Declaration shall be automatically extended for
successive periods of ten (10) years in perpetuity, unless a recorded instrument signed by
the Owners of two-thirds (2/3) of the Lots have been recorded, agreeing to terminate the
Declaration. Notwithstanding the foregoing, this Declaration may not be teiiiiinated
without Developer's prior written consent as long as Developer owns any Lot.
12.2 Assignment by Developer. Developer shall be entitled to assign to any party by a
separate recorded instrument, all or a portion of the rights and benefits contained in this
Declaration which are reserved to the Developer. In the event of any assignment, such
party shall be deemed to be a "Developer" to the extent of the rights and benefits
hereunder which are assigned. Any such rights and benefits of the Developer contained
herein shall not be assignable or transferable without an express assignment hereof by
Developer. Such assignment may transfer rights and benefits exclusively or non-
exclusively.
12.3 Amendment. The Declaration may be amended, from time to time as follows:
A. Class B Members: Developer reserves, for the benefit of Developer, the right
and power, and each Owner by acceptance of a deed to a Lot is deemed to and
does grant to the Developer a Power of Attorney coupled with an interest, the
burden of which interest shall run with the title to the Lot, and shall be irrevocable
except by Developer for a period of seven (7) years from the date hereof, to
18
000
amend this Declaration without the approval of the Lot Owners, (i) to correct or
clarify the legal description of the Property or the Additional Property; (ii) to
expand The Lakes of Hazel Dell pursuant to Article 9; (iii) to correct clerical or
typographical errors; (iv) to make nominal changes in the Declaration; (v) to
clarify Developer's original intent; (vi) to the extent necessary to conform to any
requirements imposed or requested by any governmental agency, public authority
or financial institution, (including the U.S. Department of Housing and Urban
Development, the U.S. Veteran's Administration, Federal National Mortgage
Association, Federal Home Loan Mortgage Corporation, or similar agency); or
(vii) to the extent necessary to enable Developer to meet any other reasonable
need or requirement including those associated with completion of the
development of the Property and the Additional Property and to facilitate the
making and marketing of first mortgages upon any of the Lots. Any amendment
must be recorded and shall be effective upon recording.
B. Lot Owners. This Declaration may be amended at any time by an instrument
executed by persons or entities able to exercise seventy-five percent (75%) of the
voting power of all classes of the Association and approved by first mortgage
holders representing Lots having at least fifty-one percent (51%) of the voting
power and for whom the Association has received written notice of such
mortgage; provided, however, that Developer's rights hereunder may not be
amended or altered without Developer's prior written consent. Any amendment
must be recorded and shall be effective upon recording.
12.4 Personal Liability. Nothing in this Declaration, the Articles, or By-Laws of the
Association, or any rules or regulations enacted pursuant to any of the aforesaid, shall
impose personal liability upon any Trustee or any officer or employee of the Association
acting in their capacity as such, for the maintenance, repair or replacement of any
Dwelling Unit or part of the Common Property or give rise to a cause of action against
any of them except for damages resulting from their own willful acts or omissions or
misconduct, and each person who becomes an Owner or Member hereby releases and
discharges all persons now or hereafter serving as an officer, employee and/or Trustee
from any liability for injury or damages to such Member or Owner or to such Member's
or Owner's property and covenants not to initiate any legal proceedings against any such
person or persons unless such person is covered by insurance and in such event the
amount of recovery shall be limited to the amount of insurance.
12.5 Notices. Any notice required to be given to a Member or Owner under the provisions of
this Declaration shall be deemed to have been properly given when mailed, by ordinary
mail, postage prepaid, to the Member or Owner at his last known address appearing on
the records of the Association at the time of such mailing.
12.6 Enforcement. Enforcement of these covenants and restrictions shall be by any
proceeding at law or in equity against (i) any person or persons violating or attempting to
violate any covenant or restriction, to restrain and/or to enjoin violation and/or to recover
damages, and (ii) any Lot or Lots to enforce any lien created by these covenants; and the
failure or forbearance by the Association or any Owner to enforce any covenant or
19
0111
restriction herein contained shall in no event be deemed a waiver of the right to do so
thereafter. In the event of a Default, the Association shall have the right to enforce any
covenant or restriction by proceedings authorized in this Declaration, the Articles, By-
Laws or by applicable law.
12.7 Severability. Invalidation of any one of these covenants or restrictions by judgment,
decree or order shall in no way effect any other provision hereof, each of which shall
remain in full force and effect.
12.8 Conflicts. In the case of any conflict between this Declaration and either the Articles or
By-Laws of the Association, the Declaration shall control.
12.9 Rights of Mortgage Holders. Any mortgagee of a Lot may pay any taxes or other
charges which are in default and which may or have become a charge against the
Common Property or any part thereof any may pay any overdue premiums on hazard
insurance policies, or secure new hazard insurance coverage upon the lapse of a policy,
for such Common Property, and such mortgagee making such payments shall be owed
immediate reimbursement therefor from the Association.
The holder, insurer or guarantor of the first mortgage on any Lot shall be entitled to
timely written notice of the following:
A. Any condemnation or casualty loss that affects either a material portion of The
Lakes of Hazel Dell or the Lot securing its mortgage.
B. Any sixty (60) day delinquency in the payment of Assessments or charges owed
by the Owner of any Lot on which it holds the mortgage.
C. A lapse, cancellation or material modification of any insurance policy or fidelity
bond maintained by the Association.
D. Any proposed action that requires the consent of a specified percentage of
mortgage holders.
E. Any proposed action that requires the consent of a specified percentage of
mortgage holders.
A mortgage holder, insurer or guarantor shall send a written request to the Association,
stating both its name and address and the Lot number or address upon which it holds a
mortgage, in order to obtain the right to receive the foregoing notices.
12.10 Condemnation.
A. In the event any Lot or any portion thereof, is made the subject matter of any
condemnation or eminent domain proceeding or is otherwise sought to be
acquired by a condemning authority, the net proceeds of any award or settlement
shall be the property of the Owner and the holder of the first mortgage, to the
extent of their respective interests. Each Owner shall give the holder of a first
20
•
0111 01111
•
mortgage on the Owner's Lot timely written notice of such proceeding or
proposed acquisition.
B. In the event any Common Property or any portion thereof is made the subject
matter of any condemnation or eminent domain proceedings or otherwise sought
to be acquired by a condemning authority, the proceeds of any award or
settlement shall be distributed to the Association for the common benefit of the
Association, the Owners and their mortgagees, as their interests appear.
IN WITNESS WHEREOF, Developer has executed this instrument at the time and place
set forth above.
Signed and acknowledged
in the presence of: ZARING HOMES OF INDIANA, L.L.C.
By: ZARING HOMES, INC.,Member
A , L," :
Pr ame ' ` f Name. ; r
Print Name: r?,--L .4 _ 5
Title: 4-,N i {ter -5 c.1=-
Print
l Print a -: irf _ no6r4c o2
FIRST CINCINNATI LAND LLC
Print Name.'"�-C�c��,e �/`�,ati� By: ��__ �
Print Name: z_idWa!
Title: MW'
Print Name: /'WA'
21
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•
STATE OF TA W cu,-)o )
) SS:
COUNTY OF (f i 0N.). )
The foregoing instrument was acknowledged before me this , ‘--11---h-day of
�� , 1999 by , the of
ZARIN OMES, INC., a member of ZARING HOMES OF INDIANA, L.L.C., an Indiana
limited liability company, on behalf of such limited liability company.
'Ars V
Notublic
STATE OF L22 )
//// ) SS:
COUNTY OF/�/,4ih//%Or✓ )
The foregoing instrument was acknowledged before me this "? 71.12 day of
(-72,-/p , 1999 by X44. 6'7 %9.2, 24Z- , theil- „�.e& roof FIRST
d
CINCINNATI LAND LLC, an Ohio limit liability company, on behalf off limited
liability company.
Notary Public
637513.05
�1,,,,,,,,,./ THERESA J. PEARD
S‘��,0111111111/./ _
!}1 A L '�.i Notary Public, State of Ohio
�.` 'S r ..•••..,•SF. �� My Commission Expires Sept. 13, 2000
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22
011) EXHIBIT A
Legal Description of the Property
23
010 010
EXHIBIT B
BY-LAWS AND
CODE OF REGULATIONS OF
THE LAKES OF HAZEL DELL HOMEOWNERS' ASSOCIATION, INC.
This instrument prepared by:
Jan R. Weaning, Esq.
Frost & Jacobs LLP
2500 PNC Center
201 East Fifth Street
Cincinnati, Ohio 45202
s0114 01110
TABLE OF CONTENTS
PAGE
ARTICLE 1 - NAME AND LOCATION 1
1.1 Name and Location 1
ARTICLE 2 - DEFINITIONS 1
2.1 Declaration 1
2.2 Association, Owner, Property, Lot, Common Property, Dwelling Unit,
Member and Developer 1
ARTICLE 3 - MEETING OF ASSOCIATION 1
3.1 Annual Meeting 1
3.2 Special Meetings 1
3.3 Notice of Meeting; Waiver 1
3.4 Quorum 2
3.5 Proxies 2
3.6 Voting 7
3.7 Action by Association Without Meeting 2
3.8 Suspension of Voting Privileges 2
ARTICLE 4 - BOARD OF TRUSTEES; SELECTIONS; TERM OF OFFICE 2
4.1 Number 2
4.2 Term of Office 2
4.3 Removal 2
4.4 Compensation 3
4.5 Action Taken Without a Meeting 3
ARTICLE 5 - NOMINATION AND ELECTION OF TRUSTEES 3
5.1 Nomination 3
5.2 Election 3
' ARTICLE 6 - MEETINGS OF TRUSTEES 3
6.1 Regular Meetings 3
6.2 Special Meetings 3
6.3 Quorum 3
ARTICLE 7 - GENERAL POWERS AND DUTIES OF THE BOARD OF TRUSTEES 3
7.1 General Powers and Duties 3
ARTICLE 8 - OFFICERS 4
8.1 Number and Office 4
8.2 Powers and Duties 4
8.3 Officers 5
8.4 Term 5
8.5 Special Appointments 5
8.6 Resignation and Removal 5
8.7 Vacancies 5
8.8 Multiple Offices 5
ARTICLE 9 - COMMITTEES 5
ARTICLE 10 - PROTECTION FROM LIABILITY 5
ARTICLE 11 - MISCELLANEOUS 6
11.1 Books and Records 6
11.2 Fiscal Year 6
11.3 Execution of Association Documents 6
11.4 Conflict 6
11.5 Amendments 6
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BY-LAWS AND CODE OF REGULATIONS OF
THE LAKES OF HAZEL DELL HOMEOWNERS' ASSOCIATION, INC.
ARTICLE 1 - NAME AND LOCATION
1.1 Name and Location. The name of the corporation is The Lakes of Hazel Dell
Homeowner's Association, Inc., hereinafter referred to as "Association." The principal
office of the Association shall be c/o Zaring Homes of Indiana, L.L.C., 2629 Waterfront
Parkway East Drive, Suite 301, Indianapolis, Indiana 46214. Meetings of the
Association and Board may be held at such places within Marion County, Indiana or
Hamilton County, Indiana, as designated by the Board.
ARTICLE 2—DEFINITIONS
2.1 Declaration. "Declaration" shall mean and refer to the Declaration of Covenants,
Conditions, Restrictions, Liens and Reservation of Easements applicable to the Property
recorded in the office of the Recorder of Hamilton County, Indiana, as the same may be
amended, from time to time. The terms, provisions, conditions and restrictions of the
Declaration, as related to the Association and its Members, the Board, officers and
committees, are incorporated by reference with the same force and effect as is fully set
out in these By-Laws (hereinafter referred to as the"By-Laws").
2.2 Association, Owner, Property, Lot, Common Property, Dwelling Unit, Member and
Developer. As used in these By-Laws, the terms "Association," "Owner," "Property,"
"Lot," "Common Property," "Dwelling Unit," "Member," "Trustee," "Board" and
"Developer" shall have the same meaning as defined in the Declaration.
ARTICLE 3 —MEETING OF ASSOCIATION
3.1 Annual Meeting. The annual meeting of the Association Members for the purpose of
electing Trustees and for the transaction of such other business as may properly come
before the Association shall be held annually at such time and place as determined by the
Board.
3.2 Special Meetings. Special meetings of the Association shall be called at any time by the
President of the Association or by the Board, or upon written request of the Members
who are entitled to vote one-third (1/3) of all the votes of Membership.
3.3 Notice of Meeting; Waiver. Reasonable written notice of each meeting of the
Association shall be given to each Member. Each notice shall specify the date, time and
location of the meeting, and, in the case of a special meeting, shall specify the purpose of
the meeting. The notice shall be delivered personally or mailed postage prepaid to all
Members. Failure by a Member to receive a properly mailed notice shall not affect the
validity of action taken by the Board at any meeting for when the notice was issued.
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3.4 Quorum. The presence at the meeting of Members entitled to vote, or of proxies entitled
to vote, fifty percent (50%) of the votes, including the Class B Member (if Class B
Membership then exists) shall, constitute a quorum for any action except as otherwise
provided in the Articles of Incorporation, the Declaration or these By-Laws. Whether or
not a quorum is present, the majority of the Members present at a meeting may by vote
adjourn that meeting.
3.5 Proxies. At all meetings of the Association, each Member may vote in person or by
proxy. All proxies shall be in writing and filed with the Secretary of the Association prior
to commencement of the meeting. Every proxy shall be revocable and shall
automatically cease upon conveyance by the Member of his/her Lot.
3.6 Voting. The affirmative vote of the Class B Member(if Class B membership then exists)
and a majority of the Class A Members present, either in person or by proxy, shall decide
any issues brought before the Association, unless the issue is one upon which a quorum
or a different vote is required by provision of the laws of the State of Indiana, the
Declaration, the Articles of Incorporation or these By-Laws.
3.7 Action by Association Without Meeting. Any action that may be taken at a meeting of
the Association may be taken without a meeting if written approval and consent, setting
forth the action authorized shall be signed by the Class B Member (if the Class B
membership then exists) and a majority of the total voting power of all Class A Members
of the Association. This written consent shall be filed with and entered upon the records
of the Association.
3.8 Suspension of Voting Privileges. No Member shall be eligible to vote or to be elected
to the Board who is shown on the records of the Association to be more than thirty (30)
days delinquent in the payment of any assessment due the Association.
ARTICLE 4 —BOARD OF TRUSTEES; SELECTION; TERM OF OFFICE
4.1 Number. Until altered by a vote of the Association, there shall be five (5) Trustees of
the Association. It is not necessary that the Trustees be Members of the Association.
4.2 Term of Office. At the first annual meeting, the Developer shall elect three (3) Trustees
for a term of one (1) year, and the Members, other than the Developer, shall elect two (2)
Trustees for a term of one (1) year, and at each annual meeting thereafter, the Class A
Members shall elect two (2) Trustees and Class B Member shall elect three (3) Trustees,
for a term of one (1) year, or until their successors are elected and qualified. At such time
as Class B membership terminates, as provided in the Declaration and the Articles of
Incorporation, all Trustees shall be elected by the Association for a term of one (1) year,
or until their successors are elected and qualified.
4.3 Removal. Any Trustee may be removed from the Board, with or without cause, by a
majority vote of the Association. In the event of death, resignation or removal of a
Trustee, the successor shall be selected by the remaining Trustees on the Board and shall
serve for the unexpired term of the Trustee's predecessor. However, any Trustee elected
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or appointed by the Developer may only be removed by the Developer, and the successor
may only be appointed by the Developer, to serve for the unexpired term.
4.4 Compensation. Trustees shall serve without compensation except Trustees may be
reimbursed for the actual expenses incurred in the performance of their duties.
4.5 Action Taken Without a Meeting. The Trustees shall have the right to take any action
without a meeting which they could take at a meeting by obtaining the written approval
of all Trustees. Any action so approved shall have the same effect as though taken at a
meeting of the Board.
ARTICLE 5—NOMINATION AND ELECTION OF TRUSTEES
5.1 Nomination. Nomination for election to the Board shall be made from the floor at the
Association's annual meeting. Nominations may be made from among Members or non-
Members. The Board of Trustees shall take as many nominations for election to the
Board as it shall in its discretion determine, but not less than the number of vacancies that
are to be filled.
5.2 Election. Election to the Board shall be by secret written ballot. At such election, the
Members, in person or by proxy may cast, in respect to each vacancy, as many votes as
they are entitled to exercise under the provisions of the Declaration and Section 3.6 of
these By-Laws. The individual receiving the largest number of votes shall be elected.
Cumulative voting is not permitted.
ARTICLE 6 —MEETINGS OF TRUSTEES
6.1 Regular Meetings. The Board shall meet annually after the annual meeting of the
Association. In addition to its annual meeting, the Board shall have regular meetings
established as to time and location by resolution of the Board. In the event any regular
meeting falls upon a legal holiday, then that meeting shall be held at the same time on the
next day which is not a legal holiday.
6.2 Special Meetings. Special meetings of the Board shall be called by the President of the
Association, or by any three (3) Trustees, after not less than three (3) days notice to each
Trustee unless such notice period is waived.
6.3 Quorum. A majority of Trustees shall constitute a quorum for the transaction of
business. Every business decision made by a majority of the Trustees present at a
meeting at which a quorum is present shall be regarded as an act of the Board.
ARTICLE 7—GENERAL POWERS AND DUTIES OF THE BOARD OF TRUSTEES
7.1 General Powers and Duties. The Board shall have the power to:
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7.1.1 maintain corporate surveillance over all the Association's activities;
7.1.2 determine the Association's programs and policies, and assure that such
policies and programs are designed to serve the philosophies, objectives and
purposes of the Association;
7.1.3 approve organization aspects of the Association and delegation of authority on
matters;
7.1.4 delegate to appropriate persons the authority to conduct the business of the
Association and carry out the policies and programs approved by the Board;
7.1.E appoint a competent staff and determine its authority and responsibilities;
7.1.6 make provisions for establishment of various auxiliaries to aid in
accomplishing the objectives of the Association;
7.1.7 provide for financial stability;
7.1.8 analyze and evaluate the total operation, including all activities and services;
7.1.9 adopt and publish rules and regulations governing the use, maintenance, repair
and replacement of all easement areas and Common Property;
7.1.10 suspend the voting rights and the right to use the Common Property and
community facilities of a Member during any period in which such Member
shall be in default in the payment of any assessments levied by the
Association, such rights may also be suspended after notice and hearing, for a
period not to exceed sixty (60) days per infraction of published rules and
regulations; and
7.1.11 employ a managing agent, and independent contractor, or such other
employees as the Board deems necessary and to prescribe their duties.
ARTICLE 8 —OFFICERS
8.1 Number and Office. The officers of the Association shall consist of a President, Vice-
President, Secretary and Treasurer. The Officers shall be elected by a majority vote at
the first meeting of the Board following each annual meeting of the Members.
8.2 Powers and Duties. Subject to such limitations as the Board may from time to time
prescribe, the officers shall each have powers and perform such duties as generally
pertain to their respective offices and such further powers and duties as may be conferred
from time to time by the Board.
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8.3 Officers.
8.3.1 President. The President shall be the principal officer of the Association and
shall be a Member of the Board.
8.3.2 Vice President. In the absence of the President, the Vice President shall
assume the powers and the duties of the President.
8.3.3 Secretary. The Secretary shall be responsible for sending notice of all
meetings of the Association and the Board. The Secretary shall keep the
minutes of the Association and the Board meeting.
8.3.4 Treasurer. The Treasurer shall collect and disburse the funds of the
Association and report on the financial condition of the Association.
8.4 Term. The officers of the Association shall be elected annually by the Board and each
shall hold office for one (1) year until a successor is elected, unless an officer shall
resign, be removed or otherwise disqualified to serve.
8.5 Special Appointments. The Board may elect such officers as the affairs of the
Association may require, each of whom shall hold office for such period, have the
authority and perform the duties as the Board may, from time to time, determine.
8.6 Resignation and Removal. Any officer may be removed from office with or without
cause by the Board. Any officer may resign at any time by giving written notice to the
Board, the President or the Secretary. The resignation shall take effect on the date the
notice is received or at any time specified therein. The acceptance of such resignation
shall not be necessary to make it effective.
8.7 Vacancies. A vacancy in an office shall be filled by an appointment by the Board. The
officer appointed to a vacancy shall serve the remaining term of the officer replaced.
8.8 Multiple Offices. The office of Secretary and Treasurer may be held by the same
individual. No individual shall simultaneously hold more than one of the other offices
except in the case of special offices created pursuant to Section 8.5 of this Article.
ARTICLE 9— COMMITTEES
The Board is hereby authorized to appoint committees as deemed appropriate in carrying
out its purposes as provided in the Declaration or By-Laws.
ARTICLE 10—PROTECTION FROM LIABILITY
To the full extent permitted by the provisions of the Indiana Nonprofit Corporation Act of
1991, as amended, or laws succeeding to or replacing such Act, the Association shall indemnify
any person who was or is a party or is threatened to be made a party to any threatened, pending,
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contemplated or completed action, suit or proceeding, whether civil, administrative or
investigative (whether by or in the right of the Association or otherwise) by reason of the fact
that he or she is or was a Trustee of the officer of the Association, against expenses (including
attorney's fees), judgments, fines and amounts paid in settlement of or in connection with any
such action, suit or proceeding, provided that such expenses,judgment, fine and amounts are in a
reasonable sum and are reasonably incurred. The indemnification provided herein shall not be
deemed exclusive of any other rights to which those seeking indemnification may be entitled to
under the Articles of Incorporation, these By-Laws or any agreement, vote of disinterested
Trustees or otherwise, both as to action in his or her official capacity and as to action in another
capacity once he or she ceases to be a Trustee, officer, employee or agent, and shall inure to the
benefit of the heirs, executors and administrators of such a person.
ARTICLE 11 —MISCELLANEOUS
11.1 Books and Records. The books, records and papers of the Association shall at all times,
during reasonable business hours, be subject to inspection by any Member, and any
holder, insurer or guarantor of a first mortgage on a Lot. The Declaration, Articles and
these By-Laws of the Association shall be available for inspection by any Member at the
principal office of the Association, where copies may be purchased at reasonable cost.
11.2 Fiscal Year. The fiscal year shall begin on the first day of January every year, except
that the first fiscal year of the Association shall begin on the date of incorporation. The
commencement date of the fiscal year herein established may be changed by the Board
should corporate practice subsequently dictate.
11.3 Execution of Association Documents. All notes, contracts, other documents, checks
and other drafts shall be executed on behalf of the Association by such officers, agents or
other persons as are from time to time designated by the Board.
11.4 Conflict. In the case of any conflict between the Articles and these By-Laws, the
Articles shall control; and in the case of conflict between the Declaration and these By-
Laws, the Declaration shall control.
11.5 Amendments. These By-Laws may be amended at a regular or special meeting of the
Association, by affirmative vote of a majority of the total number of votes cast.
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We, the undersigned Trustees of The Lakes of Hazel Dell Homeowners' Association,
Inc., a nonprofit Indiana corporation, No. , recorded on Roll at Frame , of the
records of incorporation and miscellaneous filings in the office of the Secretary of State of
Indiana, do hereby approve the adoption of the foregoing By-Laws, for the government of said
corporation.
Executed at on , 1999.
Peter Hils, Trustee
Shad McConkey, Trustee
od Klein, Trustee
638054.01
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EXHIBIT C
ARTICLES OF INCORPORATION
OF
THE LAKES OF HAZEL DELL HOMEOWNERS' ASSOCIATION,INC.
The undersigned sole incorporator, Mark Schumacher, executes these Articles of
Incorporation for the purpose of forming and hereby forms a non-profit corporation pursuant to
the provisions of the Indiana Nonprofit Corporation Act of 1991, in accordance with the
following provisions:
ARTICLE 1 - NAME
The name of the corporation shall be The Lakes of Hazel Dell Homeowners' Association,
Inc.
ARTICLE 2—TYPE OF CORPORATION
This corporation is a mutual benefit corporation.
ARTICLE 3—PURPOSE
The purpose for which said non-profit corporation is formed, and other provisions
pertaining to this non-profit corporation and its powers are set forth in the Articles herein. This
non-profit corporation, hereinafter sometime referred to as the "Association," does not
contemplate pecuniary gain or profit to its Members. The specific purposes for which this
corporation is formed is to act as the Lot Owners' Association with regard to the Property
specifically described in the Declaration of Covenants, Conditions and Restrictions, Liens and
Reservation of Easements (the "Declaration") applicable to the Property (as defined in the
Declaration). The Declaration will be recorded in the property records of Hamilton County,
Indiana. Capitalized terms not defined herein shall have the meanings given such terms in the
Declaration. In addition, this Association is formed to provide for the maintenance, preservation
and architectural control of the Property and the buildings and improvements situated thereon
under the terms of this Declaration, and to promote the health, safety and welfare of the residents
and Owners of the Property and to act in the same manner with regard to any other property
which may hereafter be brought within the jurisdiction of the Association as part of the same
plan, and for these purposes:
(a) to exercise all the power and privileges and to perform all of the duties and
obligation of the Association as set forth in the Declaration or as the same may be
amended from time to time;
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(b) to fix, levy, collect and enforce payment by any lawful means of all charges or
assessments pursuant to the terms of the Declaration; to pay all expenses in
connection therewith and all office, administrative, and other expenses incident to
the conduct of business of the Association, including all license fees, taxes or
governmental charges levied or imposed against the Property of the Association;
(c) to acquire (by gift, purchase or otherwise), own, hold, improve, build upon,
operate, maintain, convey, sell, lease, transfer, dedicate for public use or
otherwise dispose of real or personal property in connection with the affairs of the
Association and subject to the terms of the Declaration;
(d) to borrow money, and with the assent of a majority of the voting power of the
Association, to mortgage, pledge, deed in trust, or hypothecate any or all of its
real or personal property as security for money borrowed or debts incurred, but
only to the extent permitted by the Declaration;
(e) to acquire additional Lots, easement areas, and Common Property, in addition to
that described in the Declaration when it was first recorded, but only in
accordance with the provisions of the Declaration;
(f) to own, acquire, build and operate real and personal property in accordance with
the Declaration;
(g) to obtain, pay for and maintain insurance to the extent provided in the
Declaration;
(h) to do any other things necessary, expedient, incidental, appropriate or convenient
to the carrying out of the foregoing purposes or which will promote the common
benefit and enjoyment of the residents or Owners of the Lots, insofar as not
prohibited by law or the Declaration; and
(i) to have and to exercise any and all powers, rights and privileges which a
corporation organized under the Indiana Nonprofit Corporation Act of 1991, as
amended, by law may now or hereafter have or exercise, insofar as not prohibited
by the Declaration.
ARTICLE 4 - REGISTERED OFFICE AND AGENT
The Association's initial registered office in Indiana is 2629 Waterfront Parkway East
Drive, Suite 301, Indianapolis, Indiana 46214 and the initial registered agent at such address is
Peter Hils.
ARTICLE 5 - ADDRESS
The mailing address of the Association's principal office is 2629 Waterfront Parkway
East Drive, Suite 301, Indianapolis, Indiana 46214.
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0110ARTICLE 6 -TRUSTEES
The Association shall be managed by the Board, who need not be members of the
Association. The number of Trustees may be designated as not less than three (3) nor more than
seven (7) members by said Association. The names and addresses of the persons who are to act
in the capacity of initial Trustees until the selection of their successors are:
Name Term of Address
Office
Peter Hils One Year 2629 Waterfront Parkway East Drive, Suite 301,
Indianapolis, Indiana 46214
Shad McConkey One Year 2629 Waterfront Parkway East Drive, Suite 301,
Indianapolis, Indiana 46214
Jarrod Klein One Year 2629 Waterfront Parkway East Drive, Suite 301,
Indianapolis, Indiana 46214
ARTICLE 7- MEMBERSHIP
The Association will have members. Every Owner(as defined in the Declaration) subject
to the covenants contained in the Declaration, and to assessments levied by the Association,
including purchasers on land installment contracts and contract sellers on forms of executory
contracts for the sale of a Lot (as defined in the Declaration), but excluding those holding record
title or a similar interest merely as security for the performance of an obligation, shall
automatically upon acquisition of such ownership interest in a Lot be a member of the
Association. Membership shall be appurtenant to and may not be separated from ownership of
any Lot. Membership shall teiiuinate upon the sale or other disposition by an Owner of his/her
ownership interest, at which time the new Owner shall automatically become a Member of the
Association.
ARTICLE 8 -VOTING RIGHTS
The Association shall have two classes of voting membership:
Class A - Class A Members shall be all Owners (with the exception of the Developer (as
defined in the Declaration) for as long as Class B membership exists), who shall be entitled to
one vote for each Lot owned. When more than one person holds an interest in any Lot, the vote
for such Lot shall be exercised as the majority of such persons among themselves deteilliine, but
in no event shall more than one vote be cast with respect to any Lot notwithstanding the number
of persons who may have an interest therein. The Board shall be entitled to suspend voting
rights of a Member in the Association during the period in which the Member has breached the
provisions of the Declaration or any of the By-Laws, rules or regulations of the Association.
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Class B - The Class B Member shall be the Developer, and such Member shall be
entitled to a number of votes as will constitute seventy-five percent (75%) of the total voting
power of the Association, as long as the Class B membership continues to exist. The Class B
membership shall continue to exist to the extent permitted by Indiana law and shall be converted
to Class A membership upon the happening of either of the following events, whichever occurs
earlier:
(a) Upon the sale of seventy-five percent (75%) of the Lots included from time to
time to individual Lot Owners;
(b) Upon the expiration of seven (7) years from the date the Declaration is recorded.
Provided, further, that nothing contained in the Declaration or herein shall be construed
to prohibit the Class B Member from converting its Class B membership to Class A membership
with the results set forth above at any time prior to the occurrence of the alternative events
referred to above, by a written statement executed by the Developer and delivered to the
Association.
ARTICLE 9 - DISSOLUTION
Upon dissolution of the Association, any assets remaining after payment or adequate
provision for payment of all debts and obligations of the Association shall be expended in
furtherance of the purposes set forth herein. If no successor in interest to the Association is
formed to administer the property of the Association, its assets shall be distributed by the Board
consistent with the provisions of the Indiana Nonprofit Corporation Act of 1991, as then in
effect.
ARTICLE 10 - DURATION
The Association shall exist perpetually, unless dissolved earlier under the terms of these
Articles.
ARTICLE 11 - AMENDMENTS
Amendments of these Articles shall require the assent of Members holding at least
seventy-five percent (75%) of the total voting power of the Association, except as provided in
the Declaration.
ARTICLE 12 - DEALINGS WITH ASSOCIATION
A Trustee or officer of the Association shall not be disqualified by his/her office from
dealing or contracting with the Association as a vendor, purchaser, employee, agent or otherwise;
nor shall any transaction, contract or act of the Association be void or voidable or in any way
affected or invalidated by reason of the fact that any Trustee or officer or any firm which such
Trustee or officer is a member, or any corporation of which such Trustee or officer is a
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shareholder, director or officer, is in any way interested in such transaction, contract or act. No
Trustee or officer shall be accountable or responsible to the Association for or in respect to any
such transaction, contract or act, or for any gains or profits realized or by any organization
affiliated with him/her as a result of such transaction, contract or act. Any such Trustee or officer
may be counted in determining the existence of a quorum at any meeting of the Board which
shall authorize or take action in respect to any contract, transaction or act, and may vote to
authorize, ratify or approve any such contract, transaction or act, with like force and effect as if
the Trustee or officer were not interested in such transaction, contract or act.
ARTICLE 13 - INDEMNIFICATION OF
TRUSTEES, OFFICERS OR EMPLOYEES
The Association shall indemnify any and every Trustee or officer against expenses,
judgments, fines, penalties or amounts paid in settlement in connection with the defense of any
pending or threatening action, suit or proceeding, to which such Trustee or officer is or may be
made a party by reason.of being or having been such Trustee or officer provided a determination
is made by the Trustees in the manner set forth in the Indiana Nonprofit Corporation Act of
1991, as amended, to the effect (a) that such Trustee or officer was not, and has not been
adjudicated to have been, negligent or guilty of misconduct in the performance of their duty to
the Association of which they are a Trustee or officer, and (b) that they acted in good faith in
what they reasonably believed to be the best interest of the Association. Such indemnification
shall not be deemed exclusive of any other rights to which such Trustee or officer may be
entitled under these Articles, the rules and regulation of this Association, any agreement or any
insurance purchased by this Association, or by vote of the Members, or otherwise.
IN WITNESS WHEREOF, for the purpose of forming this Association under the laws of
the State of Indiana the undersigned Incorporator of this Association has executed these Articles
of Incorporation on this 27 'ilday of ,j,› , 1999.
)000,111:"P
Ma . macher, Incorporator
2629 Waterfront Parkway East Drive, Suite 301
Indianapolis, Indiana 46214
638054 01
5
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01110 011111
I'. y,
ORIGINAL APPOINTMENT OF REGISTERED AGENT
The undersigned, being the sole incorporator of THE LAKES OF HAZEL DELL
HOMEOWNERS' ASSOCIATION, INC. hereby appoints Peter Hils, a natural person and
resident of the State of Indiana, upon whom any process, notice or demand required or permitted
by statute to be served upon the corporation may be served. The complete address of Peter Hils is
2629 Waterfront Parkway East Drive, Suite 301, Indianapolis, Indiana 46214.
Date: `l , , 1999 r
M. k-. umacher, Incorporator
ACCEPTANCE
I, Peter Hils, hereby accept appointment as registered agent of The Lakes of Hazel Dell
Homeowners' Association, Inc., and any process, notice or demands required or permitted by
law to be served upon the Association may be served upon me.
Date: —7/2--7 , 1999
Peter Hils
638054.01
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