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HomeMy WebLinkAboutCovenants and Restrictions • DECLARATION OF COVENANTS AND RESTRICTIONS Ashbrooke Carmel, Indiana _ Recorded , 1991 Instrument No. 91— Office of the Recorder of Hamilton County MARKED COPY _ DATED: Q.ac-A ZS, V"1 For your convenience in comparing this to the prior draft, new material is underscored and a deletion is indicated by a " A ". BARNES & THORNBURG DECLARATION OF COVENANTS AND RESTRICTIONS ASHBROOKE INDEX — Page 1. Definitions 2 2 . Declaration 6 3 . Additions to the Tract 6 4 . The Lakes 7 5 . Drainage System 7 6 . Maintenance of Entry Ways and Landscape Easements 8 7 . [Intentionally Omitted. ] 8 8 . Construction of Residences 8 (a) Land Use 8 • (b) Size of Residence 9 (c) Temporary Structures 9 (d) Building Location and Finished Floor Elevation 9 (e) Driveways 9 (f) Yard Lights 9 (g) Storage Tanks 10 (h) Construction and Landscaping 10 (i) Mailboxes 10 (j ) Septic Systems 11 (k) Water Systems 11 (1) Drainage ii 9 . Maintenance of Lots 12 (a) Vehicle Parking 12 (b) Signs 12 (c) Fencing 12 (d) Vegetation 13 (e) Nuisances 13 (f) Garbage and Refuse Disposal 13 (g) Livestock and Poultry 13 (h) Outside Burning 14 (i) Antennas and Receivers 14 (j ) Exterior Lights 14 (k) Electric Bug Killers 14 10. Ashbrooke Homeowners Association, Inc. 14 (a) Membership 14 (b) Powers 14 _ (c) Classes of Members (d) Voting and Other Rights of Members 15 -i- Page (e) Reserve for Replacement 15 (f) Limitations on Action by the Corporation 15 (g) Mergers 16 (h) Termination of Class B Membership 16 11. Assessments 17 (a) Creation of the Lien and Personal Obligation of Assessments 17 (b) General Assessment 17 (i) Purpose of Assessment 17 (ii) Basis for Assessment 17 (iii) Method of Assessment 18 (iv) Allocation of Assessment 18 (c) Architectural Control Assessment 19 (d) Special Assessment 19 (e) Date of Commencement of Assessments 19 (f) Effect of Nonpayment of Assessments; Remedies of the Corporation 19 (g) Subordination of the Lien to Mortgages 20 (h) Certificates 20 (i) Annual Budget 20 12 . Architectural Control 20 (a) The Architectural Review Board 20 (b) Purpose 21 (c) Conditions 21 (d) Procedures 22 (e) Guidelines and Standards 22 (f) Application of Guidelines and Standards 22 (g) Design Consultants 22 (h) Existing Violations of Declaration 23 (i) Exercise of Discretion 23 13 . Community Area 24 (a) Ownership 24 (b) Density of Use 24 (c) Obligations of the Corporation 24 (d) Easements of Enjoyment 24 (e) Extent of Easements 24 (f) Additional Rights of Use 26 (g) Damage or Destruction by Owner 26 (h) Conveyance of Title 26 14 . Easements 27 (a) Plat Easements 27 (i) Drainage Easements 27 (ii) Sewer Easements 27 (iii) Utility Easements 27 (iv) Entry Way Easements 28 (v) Landscape Easements 28 (vi) Lake Access Easements 28 (vii) Non-Access Easements 28 (b) General Easement 28 -ii- Page (c) Public Health and Safety Easements 29 (d) Drainage Board Easement 29 (e) Crossing Underground Easements 29 (f) Declarant ' s Easement to Correct Drainage 30 (g) Water Retention 30 15 . Declarant ' s Use During Construction 30 16 . Enforcement 30 17. Limitations on Rights of the Corporation 31 18 . Approvals by Declarant 31 19 . Mortgages 31 (a) Notice to Corporation 31 (b) Notices to Mortgagees 32 _ (c) Notice of Unpaid Assessments 32 (d) Financial Statements 32 (e) Payments by Mortgagees 33 20 . Amendments 33 (a) Generally 33 (b) By Declarant 33 (c) Effective Date 33 21. Interpretation 33 22 . Duration 34 23 . Severability 34 24 . Non-Liability of Declarant 34 25 . Annexation 34 Execution by Declarant 34 Exhibit A Description of Development Area Exhibit B General Plan of Development Exhibit C Description of the Tract -iii- DECLARATION OF COVENANTS AND RESTRICTIONS ASHBROOKE This Declaration, made as of day of , 1991, by CARWINION ASSOCIATES, L.P. , an Indiana limited partnership, ("Declarant") , WITNESSETH : WHEREAS, the following facts are true: A. Declarant is the legal or equitable owner of the real estate located in Hamilton County, Indiana, described in Exhibit A and depicted on Exhibit B, upon which Declarant in- tends , but is not obligated, to develop a residential subdivi- sion to be known as Ashbrooke. B. Declarant has or will construct certain improvements and amenities which shall constitute Community Area . C. Declarant desires to provide for the preservation and enhancement of the property values, amenities and opportunities in Ashbrooke and for the maintenance of the Tract and the im- - provements thereon, and to this end desire to subject the Tract together with such additions as may hereafter be made thereto (as provided in Paragraph 3) to the covenants, restrictions, easements, charges and liens hereinafter set forth, each of which is for the benefit of the Lots and lands in the Tract and the future owners thereof . D. Declarant deems it desirable, for the efficient pres- ervation of the values and amenities in Ashbrooke, to create an agency to which may be delegated and assigned the powers of owning, maintaining and administering the Community Area, ad- ministering and enforcing the Restrictions, collecting and disbursing the Assessments and charges hereinafter created, and promoting the recreation, health, safety and welfare of the r% Owners of Lots in Ashbrooke. E. Declarant has incorporated under the laws of the State of Indiana a not-for-profit corporation known as Ashbrooke Homeowners Association, Inc. for the purpose of exercising such functions . NOW, THEREFORE, Declarant hereby declares that all of the Lots and lands in the Tract and such additions thereto as may hereafter be made pursuant to Paragraph 3 hereof, as they are held and shall be held, conveyed, hypothecated or encumbered, 4 I leased, rented, used, occupied and improved, are subject to the following Restrictions, all of which are declared to be in furtherance of a plan for the improvement and sale of Lots in the Tract, and are established and agreed upon for the purpose of enhancing and protecting the value, desirability and attrac- tiveness of the Tract as a whole and of each of Residences, Lots and lands situated therein. The Restrictions shall run — with the land and shall be binding upon Declarant, its succes- sors and assigns, and upon the parties having or acquiring any interest in the Tract or any part or parts thereof subject to such Restrictions, and shall inure to the benefit of Declarant and its successors in title to the Tract or any part or parts thereof . 1 . Definitions . The following terms, as used in this Declaration, unless the context clearly requires otherwise, shall mean the following: "Architectural Control Assessment" means the Assessment levied by the Corporation pursuant to Para- graph 11(c) . "Architectural Review Board" means that entity established pursuant to Paragraph 12 of this Declara- tion for the purposes therein stated. "Articles" means the Articles of Incorporation of the Corporation, as amended from time to time. "Ashbrooke" means the name by which the Tract shall be commonly known. "Assessments" means all sums lawfully assessed against the Members of the Corporation or as declared by this Declaration, any Supplemental Declaration, the Articles or the By-Laws . "Board of Directors" means the governing body of the Corporation. "Bv-Laws" means the Code of By-Laws of the Corpo- ration, as amended from time to time. "Community Area" means (i) the Drainage System, (ii) such portions of the Lakes as are located in the _ Development Area and the Lake Access Easements located therein, (iii) the Entry Ways, (iv) any utility ser- vice lines or facilities not maintained by a public utility company or governmental agency that are lo- -2- _ cated on, over or below or through more than one Sec- tion, and (v) any areas of land ( 1) shown on any Plat, (2) described in any recorded instrument prepared by Declarant or its agents, or (3) conveyed to or ac- - quired by the Corporation, together with all improve- ments thereto, that are intended to be devoted to the use or enjoyment of some, but not necessarily all, of the Owners of Lots. "Corporation" means Ashbrooke Homeowners Associa- tion, Inc. , an Indiana not-for-profit corporation, its -- successors and assigns . "Declarant" means Carwinion Associates, L.P. , its — successors and assigns to its interest in the Tract other than Owners purchasing Lots or Residences by deed from Declarant (unless the conveyance indicated an intent that the grantee assume the rights and obli- - gations of Declarant) . "Development Area" means the land described in Exhibit A. • "Drainage Board" means the Hamilton County, Indiana Drainage Board, its successors or assigns . "Drainage System" means the open drainage ditches and swales, the subsurface drainage tiles, pipes and structures, the dry and wet retention and/or detention ponds, the Off-Site Drainage Facilities, and the other structures, fixtures, properties, equipment and facil- ities (excluding the Lakes) located in the Tract and designed for the purpose of controlling, retaining or expediting the drainage of surface and subsurface waters from, over and across the Tract, including but not limited to those shown or referred to on a Plat, all or part of which may be established as legal drains subject to the jurisdiction of the Drainage Board. "Entry Ways" means the structures constructed as an entrance to Ashbrooke or a part thereof (exclusive of the street pavement, curbs and drainage structures and tiles) , the traffic island, if any, and the grassy area surrounding such structures. "General Plan of Development" means that plan prepared by Declarant and approved, if necessary, by appropriate public agencies that outlines the total scheme of development and general uses of land in the Development Area, as such may be amended from time to time. -3- "Landscape Easement" means a portion of a Lot denoted on a Plat as an area to be landscaped and maintained by the Corporation. "Lake" means any lake, a part of which is located in the Development Area and depicted on Exhibit B and "Lakes" means all of such Lakes . A numerically desig- nated Lake means the Lake so designated by such number on the General Plan of Development. "Lake Access Easement" means the area designated — on a Plat as a means of access to a Lake. "Lot" means a platted lot as shown on a Plat. "Lake Declaration" means that certain Declaration of Covenants, Restrictions and Maintenance Obligations executed by Declarant and Shady Brook Development Co. relating to maintenance of the Lakes which has been recorded in the Office of the Recorder of Hamilton County, Indiana. "Lot Development Plan" means (i) a site plan prepared by a licensed engineer or architect, (ii) foundation plan and proposed finished floor eleva- - tions, (iii) building plans, including elevation and floor plans, (iv) material plans and specifications, (v) landscaping plan, and (vi) all other data or in- formation that the Architectural Review Board may request with respect to the improvement or alteration of a Lot (including but not limited to the landscaping thereof) or the construction or alteration of a Resi- _ dence or other structure or improvement thereon. "Maintenance Costs" means all of the costs neces- - sary to keep the facilities to which the term applies operational and in good condition, including but not limited to the cost of all upkeep, maintenance, re- pair, replacement of all or any part of any such -' facility, payment of all insurance with respect there- to, all taxes imposed on the facility and on the underlying land, leasehold, easement or right-of-way, and any other expense related to the continuous main- tenance, operation or improvement of the facility. _ "Member" means a Class A or Class B member of the Corporation and "Members" means Class A and Class B members of the Corporation. -4- "Mortgagee" means the holder of a first mortgage on a Residence. "Off-site Drainage Facilities" means those por- - tions of the Lakes and the other drainage facilities located on the Shady Brook Land which are more par- ticularly described in the Lake Declaration. "Owner" means a Person, including Declarant who at the time has or is acquiring any interest in a Lot except a Person who has or is acquiring such an inter- - est merely as security for the performance of an obli- gation. "Part of the Development Area" means any part of the Development Area not included in the Tract. "Person" means an individual, firm, corporation, partnership, association, trust or other legal entity, or any combination thereof . "Plat" means a final secondary plat of a portion • of the Development Area recorded in the Office of the Recorder of Hamilton County, Indiana. "Reserve for Replacements" means a fund estab- lished and maintained by the Corporation to meet the cost of periodic maintenance, repairs, renewal and replacement of the Community Area. "Residence" means any structure intended exclu- sively for occupancy by a single family together with all appurtenances thereto, including private garage and outbuildings and recreational facilities usual and incidental to the use of a single family residential I lot . "Restrictions" means the covenants, conditions, easements, charges, liens, restrictions, rules and 11 regulations and all other provisions set forth in this Declaration, all applicable Supplemental Declarations, the Register of Regulations and the Lake Declaration, as the same may from time to time be amended. "Register of Regulations" means the document containing rules, regulations , policies, and proce- dures adopted by the Board of Directors or the Archi- tectural Review Board, as the same may from time to time be amended. I I -5- 111 "Section" means that portion of the Development Area that is depicted on a Plat. "Shady Brook Land" means the land described in Exhibit A to the Lake Declaration. "Supplemental Declaration" means any Plat or supplementary declaration of covenants, conditions or restrictions that may be recorded and which extends the provisions of this Declaration to a Section and contains such complementary or supplementary provi- - sions for such Section as are required or permitted by this Declaration. -- "Tract" means the land described in Exhibit C and such other real estate as may from time to time be annexed thereto under the provisions of Paragraph 3 hereof . "Zoning Authority" with respect to any action means the Director of the Department of Community Development of the City of Carmel or, where he lacks • the capacity to take action, or fails to take such action, the governmental body or bodies, administra- tive or judicial, in which authority is vested under applicable law to hear appeals from, or review the action, or the failure to act, of the Director . -- 2. Declaration. Declarant hereby expressly declares that the Tract and any additions thereto pursuant to Paragraph 3 hereof shall be held, transferred, and occupied subject to the _ Restrictions . The Owner of any Lot subject to these Restric- tions, by (i) acceptance of a deed conveying title thereto, or the execution of a contract for the purchase thereof, whether from Declarant or a subsequent Owner of such Lot, or (ii) by the act of occupancy of any Lot, shall accept such deed and execute such contract subject to each Restriction and agreement herein contained. By acceptance of such deed or execution of such contract, each Owner acknowledges the rights and powers of Declarant and of the Corporation with respect to these Restric- tions, and also for itself, its heirs, personal representa- tives, successors and assigns, covenants, agrees and consents to and with Declarant, the Corporation, and the Owners and subsequent Owners of each of the Lots affected by these Re- strictions to keep, observe, comply with and perform such Re- strictions and agreement. 3 . Additions to the Tract. Declarant shall have the right to bring within the scheme of this Declaration and add to I -6- i the Tract real estate that is a Part of the Development Area or that is contiguous to the Development Area. In determining contiguity, public rights of way shall not be considered. -- The additions authorized under this Paragraph 3 shall be made by the filing of record of one or more Supplemental Decla- rations with respect to the additional real estate and by fil- ing with the Corporation any revisions to the General Plan of Development necessary to reflect the scheme of development of the additional real estate. Unless otherwise stated therein, such revisions to the General Plan of Development shall not bind Declarant to make the proposed additions . For purposes of this Paragraph 3 , a Plat depicting a portion of the Development Area shall be deemed a Supplemental Declaration. 4 . The Lakes . Declarant shall convey title to such por- tions of the Lakes as are located in the Development Area to the Corporation. The Lakes shall be maintained as provided in the Lake Declaration. The Maintenance Costs of the Lakes allocable to the Corporation under the Lake Declaration shall be assessed as a General Assessment against all Lots subject to assessment . Each Owner of a Lot that abuts a Lake shall be • responsible at all times for maintaining so much of the bank of the Lake above the pool level as constitutes a part of, or abuts, his Lot and shall keep that portion of the Lake abutting his Lot free of debris and otherwise in reasonably clean condi- tion. Owners may use the Lakes only to the extent permitted by the Lake Declaration. Each Owner of a Lot abutting a Lake shall indemnify and hold harmless Declarant, the Corporation and each other Owner against all loss or damage incurred as a result of injury to any Person or damage to any property, or as a result of any other cause or thing, arising from or related to use of, or access to, a Lake by any Person who gains access thereto from, over or across such Owner ' s Lot. Declarant shall have no liability to any Person with respect to a Lake, the use /11 thereof or access thereto, or with respect to any damage to any Lot resulting from a Lake or the proximity of a Lot thereto, including loss or damage from erosion. 5 . Drainage System. The Drainage System has or will be constructed for the purpose of controlling drainage within and adjacent to the Development Area and maintaining the water level in the Lakes . Declarant shall maintain the Drainage System (exclusive of such portion thereof as is subject to the Lake Declaration, including but not limited to the Off-site Drainage Facilities) in good condition satisfactory for the purpose for which it was constructed until the earlier of December 31, 1994, or the date the Drainage System is accepted as a legal drain by the Drainage Board. After the earlier of such dates, the Corporation shall maintain the Drainage System _ I -°7- i to the extent not maintained by the Drainage Board or the Commercial Association (as defined in the Lake Declaration) and the Maintenance Costs thereof shall be assessed against all Lots subject to assessment serviced by that part of the Drain- - age System with respect to which Maintenance Costs are in- curred. Each Owner shall be individually liable for the cost of maintenance of any drainage system located entirely upon his — Lot which is devoted exclusively to drainage of his Lot and is not maintained by the Drainage Board. Each Owner shall also have the maintenance responsibility established in Paragraph 8( 1) . 6 . Maintenance of Entry Ways and Landscape Easements . The Corporation shall maintain the Entry Ways and the Landscape Easements and all improvements and plantings thereon, and the Maintenance Costs thereof shall be assessed as a General Assessment against all Lots subject to assessment . Grass, trees, shrubs and other plantings located on an Entry Way or a Landscape Easement shall be kept neatly cut, cultivated or trimmed as reasonably required to maintain an attractive en- trance to Ashbrooke or a part thereof or a planting area within Ashbrooke. All entrance signs located on an Entry Way shall be maintained at all times in good and sightly condition appropri- ate to a first-class residential subdivision. 7. [Intentionally Omitted. ] 8 . Construction of Residences . (a) Land Use. Lots may be used only for resi- dential purposes and only one Residence not to exceed two and one-half stories or 25 feet in height measured from finish grade to the underside of the eve line may be constructed thereon. No portion of any Lot may be sold or subdivided such that there will be thereby a -- greater number of Residences in Ashbrooke than the number of original Lots depicted on the Plats . Not- withstanding any provision in the applicable zoning r ordinance to the contrary, no Lot may be used for any "Special Use" that is not clearly incidental and necessary to single family dwellings . No home occupa- tion shall be conducted or maintained on any Lot other than one which does not constitute a "special use" and is incidental to a business, profession or occupation of the Owner or occupant of such Lot and which is generally or regularly conducted at another location which is away from such Lot. No signs of any nature, kind or description shall be erected, placed, or per- mitted to remain on any Lot advertising a permitted home occupation. -8- (b) Size of Residence. Except as otherw provided herein, no residence may be constructed any Lot unless such Residence, exclusive of open porches , attached garages and basements, shall have a ground floor area of 2, 000 square feet if a one-story structure, or 1, 200 square feet if a higher structure, but in the case of a building higher than one story, there must also be at least 600 square feet in addi- tion to the ground floor area and the total floor area shall not be less than 2, 000 square feet. (c) Temporary Structures . No trailer, shack, tent, boat, basement, garage or other outbuilding may be used at any time as a dwelling, temporary or perm- - anent, nor may any structure of a temporary character be used as a dwelling. (d) Building Location and Finished Floor Eleva- - tion. No building may be erected between the building line shown on a Plat and the front Lot line, and no structure or part thereof may be built or erected nearer than ten (10) feet to any side Lot line or • nearer than twenty (20) feet to any rear Lot line, provided that the aggregate of side yard shall not be _ less than twenty-five (25) feet unless otherwise permitted by the Zoning Authority. A minimum finished floor elevation, shown on the development plan for each Section, has been established for each Lot and no finished floor elevation with the exception of flood protected basements shall be constructed lower than said minimum without the written consent of the Archi- tectural Review Board. Demonstration of adequate storm water drainage in conformity with both on-Lot and overall project drainage plans shall be a prime requisite for alternative finished floor elevations . Before construction commences, the finished floor elevation shall be physically checked on the Lot and certified by a licensed professional engineer or a licensed land surveyor. (e) Driveways . All driveways shall be paved and maintained dust free. (f) Yard Lights. If street lights are not in- stalled in Ashbrookq, then elimiedisillOolimmilit builder shall install and maintain a light in operable condi- tion on his Lot at a location, having a height and of a type, style and manufacture approved by the Archi- tectural Review Board prior to the installation there- - of . Each such light fixture shall also have a bulb of -9- a maximum wattage approved by Architectural Review Board to insure uniform illumination on each Lot and shall be equipped with a photo electric cell or simi- lar device to insure automatic illumination from dusk _ to dawn each day. (g) Storage Tanks . Any gas or oil storage tanks used in connection with a Lot shall be either buried or located in a Residence such that they are complete- ly concealed from public view ,and comply with all applicable legal requirements. (h) Construction and Landscaping . All construc- tion upon, landscaping of and other improvement to a Lot shall be completed strictly in accordance with the Lot Development Plan approved by the Architectural Review Board. All landscaping specified on the land- scaping plan approved by the Architectural Review Board shall be installed on the Lot strictly in accordance with such approved plan within thirty (30) days following substantial completion of the Residence unless the Board agrees to a later landscaping comple- tion date. Unless a delay is caused by strikes, war, court injunction or acts of God, the Owner shall com- plete construction of any Residence, construction of which is commenced upon a Lot, within one (1) year after the date of commencement of the building proc- ess . If the Owner fails to complete construction of a Residence within the time period specified herein, Declarant may: (i) obtain injunctive relief to force the Owner to complete construction of such Residence in accordance with the Lot Development Plan; or (ii) pursue such other remedies at law or in equity as may be available to Declar- ant . For the purposes of this subparagraph (h) , con- struction of a Residence will be deemed "completed" when the exterior of the Residence (including but not limited to the foundation, walls, roof, windows, entry doors, gutters, downspouts, exterior trim, paved driveway and landscaping) has been completed in con- formity with the Lot Development Plan. (i) Mailboxes. All mailboxes installed upon Lots shall be uniform and shall be of a type, color -10- and manufacture approved by the Architectural Review Board. Such mailboxes shall be installed upon posts approved as to type, size and location by the Archi- tectural Review Board. (j ) Septic Systems . No septic tank, absorption field or any other on-site sewage disposal system (other than a lateral main connected to a sanitary sewerage collection system operated by the Clay Town- ship Regional Waste District or a successor public agency or public utility) shall be installed or main- - tained on any Lot. (k) Water Systems . No private or semi-private -- water supply system may be located upon any Lot which is not in compliance with regulations or procedures adopted or established by the Indiana State Board of Health, or other civil authority having jurisdiction. To the extent that domestic water service is available from a water line located within 200 feet of the lot line maintained by a public or private utility com- pany, each Owner shall connect to such water line to provide water for domestic use on the Lot and shall pay all connection, availability or other charges lawfully established with respect to connections thereto. Notwithstanding the foregoing, an Owner may establish, maintain and use an irrigation water well on his Lot as long as the well does not adversely affect the normal pool level of any Lake. (1) Drainage. In the event storm water drainage _, from any Lot or Lots flows across another Lot, provi- sion shall be made by the Owner of such Lot to permit such drainage to continue, without restriction or reduction, across the downstream Lot and into the natural drainage channel or course, although no speci- fic drainage easement for such flow of water is pro- vided on the Plat. To the extent not maintained by the Drainage Board, "Drainage Easements" reserved as drainage swales shall be maintained by the Owner of the Lot upon which such easements are located such that water from any adjacent Lot shall have adequate drainage along such swale. Lots within Ashbrooke may be included in a legal drain established by the Drain- age Board. In such event, each Lot in Ashbrooke will be subject to assessment by the Drainage Board for the costs of maintenance of the portion of the Drainage System and/or the Lakes included in such legal drain, _ which assessment will be a lien against the Lot. The elevation of a Lot shall not be changed so as to -11- affect materially the surface elevation or grade of surrounding Lots . Perimeter foundation drains and sump pump drainsshall not be outletted into streets or street rights-of-way. These drains shall be connected whenever feasible into a subsurface drainage tile. Each Owner shall maintain the subsurface drains and tiles located on his Lot and shall be liable for the cost of all repairs thereto or replacements thereof. 9 . Maintenance of Lots. — (a) Vehicle Parking. No camper, motor home, truck, trailer, boat or disabled vehicle may be parked or stored overnight or longer on any Lot in open pub- - lic view. (b) Signs . Except for such signs as Declarant or any builder authorized by Declarant to construct a Residence on a Lot may in their absolute discretion display in connection with the development of Ashbrooke and the sale of Lots and Residences therein and such signs as may be located on the Community Area, no sign of any kind shall be displayed to the public view on any Lot except that one sign of not more than four (4) square feet may be displayed at any time for the purpose of advertising the property for sale or for rent, or may be displayed by a builder to advertise the property during construction and sale; provided, however, that the foregoing Restrictions shall not apply to any sign displayed on a Lot im- proved with a Residence which promotes the candidacy of Persons seeking election to public office if such sign is not displayed for a period in excess of sixty (60) days . (c) Fencing. No fence, wall, hedge or shrub planting higher than eighteen (18) inches shall be permitted between the front property line and the — front building set-back line except where such plant- ing is located on a Landscape Easement or is part of Residence landscaping and the prime root thereof is within four (4) feet of the Residence. Trees shall not be deemed "shrubs" unless planted in such a manner as to constitute a "hedge" . No chain link fence shall be erected upon a Lot if it would be visible from a, street . No fence shall be erected or maintained on or within any Landscape Easement except such as may be installed by Declarant and subsequently replaced by the Corporation in such manner as to preserve the uniformity of such fence. In no event may any fence -12- 000,04"'w* be erec ► -d • ' flitcrmuled o any Lot without approva ' he Architectural Review Board, establi - � v:esign standards for fences al restric • ons with respect to fencing, inc11 tations on (or prohibition of) the inst; fences in the rear yard of a Lot and along any Lake. All fences shall be kept in good repay_ — No fence, wall, hedge or shrub planting which ob- structs sight lines at elevations between two (2) and six (6) feet above the street shall be placed or per- mitted to remain on any corner lot within the triangu- - lar area formed by the street property lines and a line connecting points 25 feet from the intersection of said street lines, or in the case of a street line with the edge of a driveway pavement or alley line. No tree shall be permitted to remain within such dis- tances of such intersections unless the foliage line is maintained at sufficient height to prevent obstruc- -` tion of such sight lines . (d) Vegetation. An Owner shall not permit the growth of weeds and volunteer trees and bushes on his Lot, and shall keep his Lot reasonably clear from such unsightly growth at all times. If an Owner fails to comply with this Restriction, the Architectural Review -' Board shall cause the weeds to be cut and the Lot cleared of such growth at the expense of the Owner thereof and the Architectural Review Board shall have a lien against the cleared Lot for the expense thereof . (e) Nuisances . No noxious or offensive activity shall be carried on upon any Lot nor shall anything be done thereon which may be, or may become, an annoyance or nuisance to the neighborhood. Barking dogs shall constitute a nuisance. (f) Garbage and Refuse Disposal . No Lot shall be used or maintained as a dumping ground for trash. Rubbish, garbage or other waste shall be kept in sani- tary containers out of public view. All equipment for storage or disposal of such materials shall be kept clean and sanitary. (g) Livestock and Poultry. No animals, live- stock or poultry of any kind shall be raised, bred or _ kept on any Lot, except that dogs, cats or other household pets may be kept provided that they are not kept, bred or maintained for any commercial purpose. The owners of such permitted pets shall confine them to their respective Lots such that they will not be a -13- nuisance. Owners of dogs shall so control or confine them so as to avoid barking which will annoy or dis- turb adjoining Owners . (h) Outside Burning. No trash, leaves, or other materials shall be burned upon a Lot if smoke there- from would blow upon any other Lot and, then, only in acceptable incinerators and in compliance with all applicable legal requirements. (i) Antennas and Receivers . No satellite re- - ceiver or down-link shall be permitted on any Lot. No exterior antenna shall be permitted on any Lot without the prior written consent of the Architectural Review _ Board. The Architectural Review Board shall not be obligated to give its consent to the installation of any exterior television antenna if television recep- tion is available from underground cable connections serving the Lot or to the installation of any other exterior antenna if all Owners of Lots within 200 feet of the Lot upon which the proposed antenna would be erected do not consent in writing to the installation thereof . (j ) Exterior Lights . No exterior lights shall be erected or maintained between the building line and rear lot line so as to shine or reflect directly upon another Lot. (k) Electric Bug Killers . Electric bug killers, "zappers" and other similar devices shall not be in- stalled at a location or locations which will result in the operation thereof becoming a nuisance or annoy- ance to other Owners and shall only be operated when outside activities require the use thereof and not continuously. 10 . Ashbrooke Homeowners Association, Inc. (a) Membership. Each Owner shall automatically be a Member and shall enjoy the privileges and be bound by the obligations contained in the the Articles and By-Laws. If a Person would realize upon his security and become an Owner, he shall then be subject to all the requirements and limitations imposed by _ this Declaration on other Owners, including those provisions with respect to the payment of Assessments . (b) Powers . The Corporation shall have such powers as are set forth in this Declaration and in the -14- Articles, together with all other powers that belong to it by law. (c) Classes of Members . The Corporation shall have two (2) classes of members as follows : Class A. Every Person who is an Owner shall be a Class A member. Class B. Declarant shall be a Class B member. No other Person, except a successor to substantially all of the interest of Declarant in the Development Area, shall hold a Class B membership in the Corpora- tion. The Class B membership shall termi- nate upon the resignation of the Class B member, when all of the Lots in the Develop- ment Area (as depicted on the General Plan - of Development) have been sold, or on December 31, 2001, whichever first occurs . (d) Voting and Other Rights of Members . The voting and other rights of Members shall be as speci- fied in the Articles and By-Laws . -- (e) Reserve for Replacements . The Board of Directors shall establish and maintain the Reserve for Replacements by the allocation and payment to such reserve fund of an amount determined annually by the Board to be sufficient to meet the cost of periodic maintenance, repairs, renewal and replacement of the Community Area . In determining the amount, the Board shall take into consideration the expected useful life of the Community Area, projected increases in the cost of materials and labor, interest to be earned by such fund and the advice of Declarant or such consultants as the Board may employ. The Reserve for Replacements shall be deposited in a special account with a lending institution the accounts of which are insured by an agency of the United States of America or may, in the discretion of the Board, be invested in obligations of, or fully guaranteed as to principal by, the United States of America . (f) Limitations on Action by the Corporation. Unless the Class B Member and at least two-thirds of the Mortgagees (based on one vote for each first mort- gage owned) or two-thirds (2/3) of the Class A members (other than Declarant) have given their prior written approval, the Corporation, the Board of Directors and -15- the Owners may not: (i) except as authorized by Para- graph 13 (a) , by act or omission seek to abandon, par- tition, subdivide, encumber, sell or transfer the Community Area (but the granting of easements for -- public utilities or other public purposes consistent with the intended use of the Community Area shall not be deemed a transfer for the purposes of this clause) ; (ii) fail to maintain fire and extended coverage on insurable Community Area on a current replacement cost basis in an amount at least one hundred percent (100%) of the insurable value (based on current replacement cost) ; (iii) use hazard insurance proceeds for losses to any Community Area for other than the repair, re- placement or reconstruction of the Community Area; (iv) change the method of determining the obligations, assessments, dues or other charges that may be levied against the Owner of a Residence; (v) by act or omis- sion change, waive or abandon any scheme of regula- - tions or their enforcement pertaining to the architec- tural design or the exterior appearance of Residences, or the maintenance and up-keep of the Community Area; or (vi) fail to maintain the Reserve for Replacements in the amount required by this Declaration. (g) Mergers . Upon a merger or consolidation of another corporation with the Corporation, its proper- ties, rights and obligations may, as provided in its articles of incorporation, by operation of law be -- transferred to another surviving or consolidated corporation or, alternatively, the properties, rights and obligations of another corporation may by opera- tion of law be added to the properties, rights and obligations of the Corporation as a surviving corpora- tion pursuant to a merger. The surviving or consoli- dated corporation may administer the covenants and restrictions established by this Declaration within the Tract together with the covenants and restrictions established upon any other properties as one scheme. No other merger or consolidation, however, shall effect any revocation, change or addition to the cove- nants established by this Declaration within the Tract except as hereinafter provided. (h) Termination of Class B Membership. Wherever in this Declaration the consent, approval or vote of the Class B member is required, such requirement shall cease at such time as the Class B membership termi- nates, but no such termination shall affect the rights and powers of Declarant set forth in Paragraphs 14 (b) , 14(f) , 15 or 20(b) . -16- 11. Assessments . (a) Creation of the Lien and Personal Obligation of Assessments . Declarant hereby covenants, and each Owner of any Lot by acceptance of a deed thereto, whether or not it shall be so expressed in such deed, is deemed to covenant and agree to pay to the Corpora- tion the following: (1) General Assessments, (2) -� Architectural Control Assessments and (3) Special Assessments, such Assessments to be established and collected as hereinafter provided. All Assessments, together with interest thereon and costs of collection thereof, shall be a charge on the land and shall be a continuing lien upon the Lot -` against which each Assessment is made until paid in full . Each Assessment, together with interest thereon and costs of collection thereof, shall also be the personal obligation of the Person who was the Owner of the Lot at the time when the Assessment became due. (b) General Assessment . (i) Purpose of Assessment. The Gener- al Assessment levied by the Corporation shall be used exclusively to promote the recreation, health, safety, and welfare of the Owners of Lots and for the improvement, maintenance and operation of the Community Area . (ii) Basis for Assessment . (1) Lots Generally. Each Lot owned by a Person other than Declarant shall be assessed at a uniform rate without regard to whether a Residence has been con- structed upon the Lot. (2) Lots Owned by De- clarant . No Lot owned by Declarant shall be assessed by the Corporation except such Lots as have been im- - proved by the construction thereon of Residences which shall be subject to assess- ment as provided in Clause (1) above. -17- I I (3) Change in Basis . The basis for assessment may be changed with the assent of the Class B member and of (i) two-thirds (2/3) of the Class A members (excluding Declar- ant) or two-thirds (2/3) of the Mortgagees (based on one vote for each first mortgage owned) who are voting in person or by proxy at a meet- !! ing of such members duly called for this purpose. (iii) Method of Assessment . By a vote of a majority of the Directors, the Board of Directors shall, on the basis specified in subparagraph (ii) , fix the General Assess- !! ment for each assessment year of the Corpo- ration at an amount sufficient to meet the obligations imposed by this Declaration and the Lake Declaration upon the Corporation. The Board of Directors shall establish the date(s) the General Assessment shall become due, and the manner in which it shall be 11 paid. (iv) Allocation of Assessment. The cost of maintaining, operating, restoring or replacing the Community Area has been allo- cated in this Declaration among Owners of Lots on the basis of the location of the lands and improvements constituting the Community Area and the intended use there- of . In determining the General Assessment, 11 costs and expenses which in accordance with the provisions of this Declaration are to be borne by all Owners shall first be allocated to all Owners. Costs and expenses which in accordance with the provisions of this Dec- laration are to be borne by the Owners of certain Lots shall then be allocated to the Owners of such Lots. The provisions of subparagraph (ii) for uniform assessment shall not be deemed to require that all assessments against vacant Lots or Lots improved with comparable types of Residences be equal, but only that each Lot be assessed uniformly with respect to comparable Lots 11 subject to assessment for similar costs and expenses . -18- 11 (c) Architectural Control Assessment. If any Owner fails to comply with the requirements of the first two sentences of Paragraph 8(h) and/or the pro- visions of Paragraph 12(c) of this Declaration, then the Corporation may levy against the Lot owned by such Owner an Assessment in an amount determined by the Board of Directors which does not exceed the greater of (i) One Hundred Dollars ($100 . 00) for each day that /I such failure continues after written notice thereof is given by Declarant or the Corporation to such Owner or (ii) Five Thousand Dollars ($5, 000. 00) . Such Assess- !! ment shall constitute a lien upon the Lot of such Owner and may be enforced in the manner provided in subparagraph (f) below. The levy of an Architectural Control Assessment shall be in addition to, and not in lieu of, any other remedies available to Declarant, the Architectural Review Board or the Corporation, at law or in equity in the case of the failure of an Owner to comply with the provisions of this Declara- tion. (d) Special Assessment . The Corporation may levy in any fiscal year a Special Assessment appli- cable to that year and not more than the next four (4) succeeding fiscal years for the purpose of defraying, in whole or in part, the cost of any construction, repair, or replacement of a capital improvement upon the Community Area or the Off-site Drainage Facili- - ties , including fixtures and personal property re- lating thereto, provided that any such Assessment shall have the assent of the Class B member and of a majority of the votes of the Class A members whose Lots are subject to assessment with respect to the capital improvement who are voting in person or by proxy at a meeting of such members duly called for this purpose. (e) Date of Commencement of Assessments . The General Assessment shall commence with respect to assessable Lots within a Section on the, ,day theA.first Lot in the Section is conveyed to an Owner who is not Declarant. The initial Assessment on any assessable Lot shall be adjusted according to the days remaining in the month in which the Lot became subject to assessment . (f) Effect of Nonpayment of Assessments; Reme- dies of the Corporation. Any Assessment not paid within thirty (30) days after the due date may upon resolution of the Board of Directors bear interest -19- from the due date at a percentage rate no greater than I the current statutory maximum annual interest rate, to be set by the Board of Directors for each assessment year . The Corporation shall be entitled to institute in any court of competent jurisdiction any lawful action to collect the delinquent Assessment plus any expenses or costs, including attorneys ' fees, incurred by the Corporation in collecting such Assessment. If /I the Corporation has provided for collection of any Assessment in installments, upon default in the pay- ment of any one or more installments, the Corporation I may accelerate payment and declare the entire balance of said Assessment due and payable in full . No Owner may waive or otherwise escape liability for the Assessments provided for herein by non-use of the Community Area or abandonment of his Lot. (g) Subordination of the Lien to Mortgages . The -- lien of the Assessments provided for herein against a Lot shall be subordinate to the lien of any recorded first mortgage covering such Lot and to any valid tax or special assessment lien on such Lot in favor of any governmental taxing or assessing authority. Sale or transfer of any Lot shall not affect the assessment lien. The sale or transfer of any Lot pursuant to mortgage foreclosure or any proceeding in lieu thereof shall, however, extinguish the lien of such Assess- ments as to payments which became due more than six (6) months prior to such sale or transfer. No sale or transfer shall relieve such Lot from liability for any Assessments thereafter becoming due or from the lien thereof . (h) Certificates . The Corporation shall, upon demand by an Owner, at any time, furnish a certificate in writing signed by an officer of the Corporation that the Assessments on a Lot have been paid or that certain Assessments remain unpaid, as the case may be. (i) Annual Budget . By a majority vote of the Directors, the Board of Directors shall adopt an annual budget for the subsequent fiscal year, which shall provide for allocation of expenses in such a manner that the obligations imposed by the Declara- tion, all Supplemental Declarations and the Lake Declaration will be met. 12 . Architectural Control . (a) The Architectural Review Board. An Archi- tectural Review Board consisting of three (3) or more PI -20- h Persons as provided in the By-Laws shall be appointed by the Class B member. At such time as there is no Class B member, the Architectural Review Board shall be appointed by the Board of Directors . (b) Purpose. The Architectural Review Board shall regulate the external design, appearance, use, location and maintenance of the Tract and of improve- - ments thereon in such manner as to preserve and en- hance values and to maintain a harmonious relationship among structures, improvements and the natural vegeta- - tion and topography. (c) Conditions . Except as otherwise expressly provided in this Declaration, no improvements, altera- - tions, repairs, change of colors, excavations, changes in grade, planting or other work that in any way alters any Lot or the exterior of the improvements located thereon from its natural or improved state existing on the date such Lot was first conveyed in fee by the Declarant to an Owner shall be made or done without the prior approval by the Architectural Review Board of a Lot Development Plan therefor. Prior to the commencement by any Owner other than Declarant of (i) construction, erection or alteration of any Resi- n dence, building, fence, wall, swimming pool, tennis court, patio, or other structure on a Lot or (ii) any plantings on a Lot, a Lot Development Plan with re- spect thereto shall be submitted to the Architectural 11 Review Board, and no building, fence, wall, Residence or other structure shall be commenced, erected, main- tained, improved, altered, made or done, or any plant- fl ings made, by any Person other than Declarant without the prior written approval of the Architectural Review Board of a Lot Development Plan relating to such con- struction, erection, alteration or plantings . Such approval shall be in addition to, and not in lieu of, all approvals, consents, permits and/or variances required by law from governmental authorities having jurisdiction over Ashbrooke, and no Owner shall under- take any construction activity within Ashbrooke unless all legal requirements have been satisfied. Each Owner shall complete all improvements to a Lot strict- ly in accordance with the Lot Development Plan approved by the Architectural Review Board. As used in this subparagraph (c) , "plantings" does not include flowers, bushes, shrubs or other plants having a height of less than eighteen (18) inches. -21- (d) Procedures . In the event the Architectural Review Board fails to approve, modify or disapprove in writing a Lot Development Plan within thirty (30) days after notice of such plan has been duly filed with the -- Architectural Review Board in accordance with proce- dures established by Declarant or, if Declarant is no longer a Class B member, the Board of Directors, approval will be deemed denied. A decision of the Architectural Review Board (including a denial result- ing from the failure of such Board to act on the plan within the specified period) may be appealed to the Board of Directors which may reverse or modify such decision (including approve a Lot Development Plan deemed denied by the failure of the Architectural Review Board to act on such plan within the specified period) by a two-thirds (2/3) vote of the Directors then serving. (e) Guidelines and Standards . The Architectural Review Board shall have the power to establish and modify from time to time such written architectural and landscaping design guidelines and standards as it • may deem appropriate to achieve the purpose set forth in subparagraph (b) to the extent that such design _ guidelines and standards are not in conflict with the specific provisions of this Declaration. Any such guideline or standard may be appealed to the Board of Directors which may terminate or modify such guideline or standard by a two-thirds (2/3) vote of the Direc- tors then serving. (f) Application of Guidelines and Standards . The Architectural Review Board shall apply the guide- lines and standards established pursuant to subpara- graph (e) in a fair, uniform and reasonable manner consistent with the discretion inherent in the design review process . In disapproving any Lot Development Plan, the Architectural Review Board shall furnish the _ applicant with specific reasons for such disapproval and may suggest modifications in such plan which would render the plan acceptable to the Board if resubmitted. (g) Design Consultants . The Architectural Re- view Board may utilize the services of architectural, engineering and other Persons possessing design exper- tise and experience in evaluating Lot Development Plans . No presumption of any conflict of interest or impropriety shall be drawn or assumed by virtue of the fact that any of such consultants may, from time to time, represent Persons filing Lot Development Plans with the Architectural Review Board. -22- (h) Existing Violations of Declaration. The Architectural Review Board shall not be required to consider any Lot Development Plan submitted by an Owner who is, at the time of submission of such Lot Development Plan, in violation of the requirements of the first two sentences of Paragraph 8(h) and/or the provisions of subparagraph (c) of this Paragraph 12, unless such Owner submits to the Architectural Review Board with such Lot Development Plan an irrevocable agreement and undertaking (with such surety as the Board may reasonably require) to remove from the Owner ' s Lot any improvements or landscaping con- structed and/or installed prior to the submission of a Lot Development Plan (or constructed and/or installed in violation of a previously approved Lot Development Plan) to the extent any such previously constructed and/or installed improvement or landscaping is not subsequently approved by the Architectural Review Board. The Architectural Review Board shall have the power to recommend to the Board of Directors that the Corporation assess an Architectural Control Assessment against any Owner who fails to comply with the re- quirements of Paragraphs 8 or 12 . Under no circum- stances shall any action or inaction of the Architec- tural Review Board be deemed to be unreasonable, arbi- - trary or capricious if, at the time of such decision, the Person having submitted a Lot Development Plan for approval by the Architectural Review Board has vio- lated Paragraphs 8 or 12 of the Declaration and such violation remains uncured. (i) Exercise of Discretion. Declarant intends that the members of the Architectural Review Board exercise discretion in the performance of their duties consistent with the provisions of subparagraph (f) , and every Owner by the purchase of a Lot shall be conclusively presumed to have consented to the exer- cise of discretion by such members . In any judicial proceeding challenging a determination by the Archi- tectural Review Board and in any action initiated to enforce this Declaration in which an abuse of discre- tion by the Architectural Review Board is raised as a defense, abuse of discretion may be established only if a reasonable Person, weighing the evidence and drawing all inferences in favor of the Board, could only conclude that such determination constituted an abuse of discretion. I M -23- 13 . Community Area . (a) Ownership. The Community Area shall remain private, and neither Declarant ' s execution or record- - ing of an instrument portraying the Community Area, nor the doing of any other act by Declarant is, or is intended to be, or shall be construed as, a dedication to the public of such Community Area. Declarant or the Corporation may, however, dedicate or transfer all or any part of the Community Area to any public agency, authority or utility for use as roads, utili- - ties, parks or other public purposes . (b) Density of Use. Declarant expressly dis- claims any warranties or representations regarding the density of use of the Community Area or any facilities located thereon. (c) Obligations of the Corporation. The Corpo- ration, subject to the rights of Declarant and the Owners set forth in this Declaration, shall be respon- sible for the exclusive management and control of the • Community Area and all improvements thereon (including furnishings and equipment related thereto) , and shall keep the Community Area in good, clean, attractive and sanitary condition, order and repair. (d) Easements of Enjoyment . No Person shall have any right or easement of enjoyment in or to the Community Area except to the extent granted by, and subject to the terms and provisions of, this Declara- tion, the Lake Declaration or any Supplemental Decla- - ration executed by Declarant. Such rights and ease- ments as are thus granted shall be appurtenant to and shall pass with the title to every Lot for whose bene- - fit they are granted. (e) Extent of Easements . The easements of en- „_ joyment created hereby shall be subject to the follow- ing: (i) the right of the Corporation to establish reasonable rules for the use of the Community Area and to charge reasonable admission and other fees for the use of any recreational facilities located in or con- stituting a part of the Community Area ex- cept that no fee shall be charged to those specifically authorized to use such facili- - ties by this Declaration or any Supplemental -24- Declaration unless the Corporation is spe- - cifically authorized to do so by this Decla- ration or a Supplemental Declaration; (ii) the right of the Corporation to suspend the right of an Owner and all Per- sons whose right to use the Community Area derives from such Owner' s ownership of a Lot to use such portions of the Community Area for any period during which any Assessment against his Lot remains unpaid for more than thirty (30) days after notice; (iii) the right of the Corporation to suspend the right of an Owner or any Person claiming through the Owner to use the Com- munity Area for a period not to exceed sixty (60) days for any other infraction of this Declaration, any Supplemental Declaration or the Register of Regulations; _ (iv) the right of the Corporation to mortgage any or all of the Community Area and the facilities constructed thereon for the purposes of improvements to, or repair of, the Community Area or facilities con- structed thereon, pursuant to approval of the Class B member and two-thirds (2/3) of the votes of the Class A members (excluding Declarant) or two-thirds (2/3) of the Mort- gagees (based on one vote for each first mortgage owned) , voting in person or by proxy at a regular meeting of the Corpora- tion or a meeting duly called for this pur- pose; (v) the right of the Corporation to dedicate or transfer all or any part of the Community Area to any public agency, author- - ity or utility, but no such dedication or transfer shall be effective unless an in- strument signed by the Class B member and -- the appropriate officers of the Corporation acting pursuant to authority granted by two-thirds (2/3) of the votes of the Class A members (excluding Declarant) or two-thirds (2/3) of the Mortgagees (based on one vote for each first mortgage owned) , agreeing to such dedication or transfer, has been re- - corded; and -25- (vi) the right of Declarant in any Supplemental Declaration or Plat to restrict the use of Community Area located in a Sec- tion to (a) Owners of Residences located in such Section or (b) to other Owners of less than all of the Lots in the Tract. (f) Additional Rights of Use. The members of the family and the guests of every Person who has a right of enjoyment to the Community Area and facili- ties may use the Community Area and facilities subject to such general regulations consistent with the provi- sions of this Declaration, the Lake Declaration and all Supplemental Declarations as may be established from time to time by the Corporation and included within the Register of Regulations . (g) Damage or Destruction by Owner. In the event the Community Area is damaged or destroyed by an Owner or any of his guests, tenants, licensees, agents, or member of his family, such Owner authorizes the Corporation to repair said damaged area; the • Corporation shall repair said damaged area in a good workmanlike manner in conformance with the original plans and specifications of the area involved, or as the area may have been modified or altered subsequent- ly by the Corporation in the discretion of the Corpo- ration. An amount equal to the costs incurred to -- effect such repairs shall be assessed against such Owner as a Special Assessment and shall constitute a lien upon the Lot of said Owner. (h) Conveyance of Title. Declarant may retain the legal title to the Community Area or any portion thereof until such time as it has completed improve- - ments thereon, but notwithstanding any provision here- in, the Declarant hereby covenants that it shall con- vey to the Corporation each phase of the Community Area to which it has retained title, free and clear of all liens and financial encumbrance not later than two (2) years from the date each such phase of the Community Area,Vis subjected to this Declaration. Owners shall have all the rights and obligations imposed by this Declaration with respect to such Community Area prior to conveyance, except that the Corporation shall not be liable for payment of taxes and insurance for such Community Area (other than taxes on the Lakes) until title is conveyed. -26- 14 . Easements . (a) Plat Easements . In addition to such ease- ments as are created elsewhere in this Declaration and as may be created by Declarant pursuant to written instruments recorded in the office of the Recorder of Hamilton County, Indiana, Lots are subject to drainage easements, sewer easements, utility easements, entry way easements, landscape easements, lake access ease- ments and non-access easements, either separately or in any combination thereof, as shown on the Plats, which are reserved for the use of Owners, public util- ity companies and governmental agencies as follows: -- (i) Drainage Easements (DE) are created to provide paths and courses for area and local storm drainage, either over- land or in adequate underground conduit, to serve the needs of the Tract and adjoining ground and/or public drainage systems; and it shall be the individual responsibility of -- each Owner to maintain the drainage across • his own Lot . Under no circumstance shall said easement be blocked in any manner by the construction or reconstruction of any improvement, nor shall any grading restrict, in any manner, the waterflow. Said areas are subject to construction or reconstruc- - tion to any extent necessary to obtain ade- quate drainage at any time by any govern- mental authority having jurisdiction over drainage, by Declarant, and by the Architec- tural Review Board, but neither Declarant nor the Architectural Review Board shall have any duty to undertake any such con- - struction or reconstruction. Said easements are for the mutual use and benefit of the Owners . (ii) Sewer Easements (SE) are created for the use of the local governmental agency having jurisdiction over any storm and sani- - tary waste disposal system which may be designed to serve the Tract for the purpose of installation and maintenance of sewers that are a part of said system. (iii) Utility Easements (UE) are created for the use of Declarant, the Corporation and all public utility companies, not in- -27- cluding transportation companies, for the installation and maintenance of mains, ducts, poles, lines and wires, as well as for all uses specified in the case of sewer easements . (iv) Entry Way Easements (EWE) are created for the use by Declarant, the Archi- tectural Review Board and the Corporation for the installation, operation and mainte- nance of the Entry Ways . (v) Landscape Easements (LE) are created for the use by Declarant, the Archi- - tectural Review Board and the Corporation for the planting and maintenance of trees, shrubs and other plantings. (vi) Lake Access Easements (LAE) are created for the use of Declarant, the Corpo- ration, the Drainage Board and the City of Carmel for the purpose of gaining access to the Lakes, the Drainage Facilities and the Off-site Drainage Facilities in the course of maintenance, repair or replacement of any thereof. (vii) Non-Access Easements (NAE) are created to preclude access from certain Lots to abutting rights-of-way across the land subject to such easements . All easements mentioned herein include the right of reasonable ingress and egress for the exercise of other rights reserved. No structure, including fences, shall be built on any drainage, sewer or util- ity easement if such structure would interfere with the utilization of such easement for the purpose in- tended or violate any applicable legal requirement or the terms and conditions of any easement specifically granted to any Person who is not an Owner by an in- strument recorded in the Office of the Recorder of Hamilton County, but a paved driveway necessary to provide access to a Lot from a public street and a sidewalk installed by or at the direction of Declarant (and replacements thereof) shall not be deemed a "structure" for the purpose of this Restriction. (b) General Easement. There is hereby created a blanket easement over, across, through and under the -28- Tract for ingress, egress, installation, replacement, repair and maintenance of underground utility and service lines and systems, including but not limited to water, sewers, gas, telephones, electricity, tele- vision, cable or communication lines and systems. By virtue of this easement it shall be expressly permis- sible for Declarant or the providing utility or ser- - vice company to install and maintain facilities and equipment on the Tract and to excavate for such pur- poses if Declarant or such company restores the dis- - turbed area as nearly as is practicable to the condi- tion in which it was found. No sewers, electrical lines, water lines, or other utility service lines or facilities for such utilities may be installed or relocated in a Section except as proposed and approved by Declarant prior to the conveyance of the first Lot in a Section to an Owner or by the Architectural Re- view Board thereafter. Should any utility furnishing a service covered by the general easement herein pro- vided request a specific easement by separate record- able document, Declarant or the Corporation shall have the right to grant such easement on the Tract without conflicting with the terms hereof . This blanket ease- ment shall in no way affect any other recorded ease- ments on the Tract, shall be limited to improvements as originally constructed, and shall not cover any portion of a Lot upon which a Residence has been con- structed. (c) Public Health and Safety Easements . An easement is hereby created for the benefit of, and granted to, all police, fire protection, ambulance, delivery vehicles, and all similar Persons to enter upon the Community Area in the performance of their duties . (d) Drainage Board Easement . An easement is hereby created for the benefit of, and granted to, the Drainage Board to enter the Tract and all Lots therein to the extent necessary to exercise its rights with respect to any legal drain constituting a part of the Drainage System. (e) Crossing Underground Easements . Easements utilized for underground service may be crossed by driveways, walkways and Lake Access Easements provided prior arrangements are made with the utility company furnishing service. Such easements as are actually utilized for underground service shall be kept clear of all other improvements, including buildings, -29- patios, or other pavings, other than crossings, drive- - ways, walkways or Lake Access Easements, and neither Declarant nor any utility company using the easements shall be liable for any damage done by either of them or their assigns, agents, employees, or servants to shrubbery, trees, flowers or other improvements of the Owner located on the land covered by said easements . (f) Declarant ' s Easement to Correct Drainage. For a period of ten (10) years from the date of con- veyance of the first Lot in a Section, Declarant re- - serves a blanket easement and right on, over and under the ground within that Section to maintain and to correct drainage of surface water in order to maintain reasonable standards of health, safety and appear- ance. Such right expressly includes the right to cut any trees, bushes or shrubbery, make any gradings of the soil, or to take any other similar action reason- - ably necessary, following which Declarant shall re- store the affected property to its original condition as nearly as practicable. Declarant shall give reasonable notice of its intention to take such action to all affected Owners, unless in the opinion of De- clarant an emergency exists which precludes such notice. (g) Water Retention. The Owner of each Lot, by acceptance of a deed thereto, consents to the tempo- rary storage (detention) of storm water within the drainage easements (DE) on such Owner' s Lot. 15 . Declarant ' s Use During Construction. Notwithstanding any provisions to the contrary contained herein or in any other instrument or agreement, Declarant or its sales agents or con- tractors may maintain during the period of construction and sale of Lots and Residences in the Tract or the Development Area, upon such portion thereof as is owned or leased by De- clarant, such facilities as in the sole opinion of Declarant may be reasonably required, convenient or incidental to the construction and sale of Lots and Residences, including, but without limiting the generality thereof, a business office, storage area, construction yards, signs, model Residences and sales offices . 4..r 16 . Enforcement. The Corporation, any Owner or Declarant shall have the right to enforce, by proceeding at law or in equity, all restrictions, conditions, covenants, reservations, liens and charges now or hereafter imposed by the provisions of this Declaration and of any Supplemental Declarations, but neither Declarant nor the Corporation shall be liable for dam- -30- age of any kind to any Person for failure either to abide by, enforce or carry out any of the Restrictions . No delay or failure by any Person to enforce any of the Restrictions or to invoke any available remedy with respect to a violation or violations thereof shall under any circumstances be deemed or held to be a waiver by that Person of the right to do so there- after, or an estoppel of that Person to assert any right avail- able to him upon the occurrence, recurrence or continuation of any violation or violations of the Restrictions. In any action by Declarant, the Corporation or an Owner to enforce this beclaration, such Person shall be entitled to recover all costs of enforcement, including attorneys ' fees, if it substantially prevails in such action. 17. Limitations on Rights of the Corporation. As long as there is a Class B member, the Corporation may not use its resources nor take a public position in opposition to the Gen- eral Plan of Development or to changes thereto proposed by Declarant. Nothing in this paragraph shall be construed to limit the rights of the Members acting as individuals or in affiliation with other Members or groups as long as they do not employ the resources of the Corporation or identify themselves as acting in the name, or on the behalf, of the Corporation. 18 . Approvals by Declarant. As long as there is a Class B — member, the following actions shall require the prior approval of Declarant : the addition of real estate to the Tract; dedi- cation or transfer of the Community Area; mergers and consoli- dations of Sections within the Tract or of the Tract with other real estate; mortgaging of the Community Area; amendment of this Declaration and any Supplemental Declaration; and changes in the basis for assessment, the maximum General Assessment or the amount, use and time of payment of the initial Assessment for the Community Center. 19 . Mortgages (a) Notice to Corporation. Any Owner who places a _ first mortgage lien upon his Residence or the Mortgagee shall notify the Secretary of the Board of Directors of such mortgage and provide the name and address of the Mort- gagee. A record of such Mortgagee' s name and address shall be maintained by the Secretary and any notice required to be given to the Mortgagee pursuant to the terms of the Declaration any Supplemental Declaration, the Articles or the By-Laws (the "Organizational Documents") shall be deemed effectively given if mailed to such Mortgagee at the address shown in such record in the time provided. Unless notification of any such mortgage and the name and address of Mortgagee are furnished to the Secretary, either by the -31- Owner or the Mortgagee, no notice to any Mortgagee as may be otherwise required by the Organizational Documents shall be required and no Mortgagee shall be entitled to vote by virtue of the Organizational Documents or a proxy granted to such Mortgagee in connection with the mortgage. (b) Notices to Mortgagees . The Corporation shall promptly provide to any Mortgagee of whom the Corporation has been provided notice under subparagraph (a) above notice of any of the following: (i) Any condemnation or casualty loss that affects a material portion of the Community Area; (ii) Any delinquency in the payment of any Assessment owed by the Owner of any Residence on which said Mortgagee holds a mortgage or any default by an Owner under the Organizational Documents, if said — delinquency or default continues for more than sixty (60) days; (iii) Any lapse, cancellation or material modification of any insurance policy or fidelity bond main- tained by the Corporation; (iv) Any proposed action that requires the consent of a specified percentage of Mortgagees; and, (v) Any proposed amendment of the Organizational Documents effecting a change in (A) the interests in the Community Area appertaining to any Resi- dence or the liability for Maintenance Costs appertaining thereto, (B) the vote appertaining to a Residence or (C) the purposes for which any Residence or the Community Area are restricted. (c) Notice of Unpaid Assessments . The Corporation shall, upon request of a Mortgagee, a proposed mortgagee, or a proposed purchaser who has a contractual right to purchase a Residence, furnish to such mortgagee or pur- chaser a statement setting forth the amount of the unpaid Assessments against the Residence and the Owners, and any Mortgagee or grantee of the Residence shall not be liable for, nor shall the Residence conveyed be subject to a lien for, any unpaid Assessments in excess of the amount set forth in such statement. (d) Financial Statements. Upon the request of any Mortgagee, the Corporation shall provide to said Mortgagee the most recent financial statement prepared on behalf of the Corporation. -32- I I (e) Payments by Mortgagees . Any Mortgagee may (i) pay taxes or other charges that are in default and that may or have become a lien upon the Community Area or any part thereof and (ii) pay overdue premiums on hazard insurance policies or secure new hazard insurance coverage for the Community Area in case of a lapse of a policy. A Mortgagee making such payments shall be entitled to immediate reim- bursement from the Corporation. 20 . Amendments . (a) Generally. This Declaration may be amended at any time by an instrument signed by (i) the appropriate officers of the Corporation acting pursuant to the authori- ty granted by not less than two-thirds (2/3) of the votes of the Class A members cast at a meeting duly called for the purpose of amending this Declaration and, to the extent required by Paragraph 18, (ii) Declarant. (b) By Declarant . Declarant hereby reserves the right unilaterally to amend and revise the standards, cove- nants and restrictions contained in this Declaration during the period prior to December 31, 2001. Such amendments shall be in writing, executed by Declarant, and recorded with the Recorder of Hamilton County, Indiana. No such amendment, however, shall restrict or diminish in any material respect the rights or increase or expand in any material respect the obligations of Owners with respect to .- Lots conveyed to such Owners prior to the amendment or adversely affect the rights and interests of Mortgagees holding first mortgages on Residences at the time of such amendment . Declarant shall give notice in writing to such Owners and Mortgagees of any amendments . Except to the extent authorized in Paragraph 14 (b) , Declarant shall not have the right at any time by amendment of this Decla- - ration to grant or establish any easement through, across or over any Lot which Declarant has previously conveyed without the consent of the Owner of such Lot. (c) Effective Date. Any amendment shall become effective upon its recordation in the Office of the Re- corder of Hamilton County, Indiana. 21. Interpretation. The underlined titles preceding the various paragraphs and subparagraphs of this Declaration are for convenience of reference only, and none of them shall be used as an aid to the construction of any provision of this Declaration. Wherever and whenever applicable, the singular form of any word shall be taken to mean or apply to the plural, and the masculine form shall be taken to mean or apply to the feminine or to the neuter. I -33- i 22 . Duration. The foregoing covenants and restrictions are for the mutual benefit and protection of the present and future Owners, the Corporation, and Declarant, and shall run with the land and shall be binding on all parties and all Persons claim- - ing under them until January 1, 2020, at which time said cove- nants and restrictions shall be automatically extended for successive periods of ten (10) years, unless changed in whole or in part by vote of those Persons who are then the Owners of a majority of the Lots in the Tract . 23 . Severability. Every one of the Restrictions is hereby -� declared to be independent of, and severable from, the rest of the Restrictions and of and from every other one of the Re- strictions, and of and from every combination of the Restric- tions . Therefore, if any of the Restrictions shall be held to be invalid or to be unenforceable, or to lack the quality of running with the land, that holding shall be without effect upon the validity, enforceability or "running" quality of any other one of the Restrictions . 24 . Non-Liability of Declarant. Declarant shall not have _ any liability to an Owner or to any other Person with respect to drainage on, over or under a Lot. Such drainage shall be the responsibility of the Owner of the Lot upon which a Resi- dence is constructed and of the builder of such Residence and an Owner, by an acceptance of a deed to a Lot, shall be deemed to agree to indemnify and hold Declarant free and harmless from and against any and all liability arising from, related to, or in connection with drainage on, over and under the Lot de- scribed in such deed. Declarant shall have no duties, obliga- tions or liabilities hereunder except such as are expressly assumed by Declarant, and no duty of, or warranty by, Declarant shall be implied by or inferred from any term or provision of this Declaration. 25. Annexation. Each Owner, by the acceptance of a deed to a Lot in Ashbrooke, shall be deemed to have waived such Owner ' s right to remonstrate against annexation of all or any portion of the Tract by the City of Carmel. IN TESTIMONY WHEREOF, Declarant has executed this Declara- tion as of the date set forth above. CARWINION ASSOCIATES, L.P. By George P. Sweet General Manager -34- STATE OF INDIANA ) ) SS: COUNTY OF MARION ) Before me, the undersigned, a Notary Public in and for said County and State, personally appeared George P. Sweet, the General Manager of Carwinion Associates, L.P. , an Indiana limi- ted partnership, who acknowledged the execution of the above and foregoing Declaration of Covenants and Restrictions for and on behalf of said partnership pursuant to authority granted by -- its Limited Partnership Agreement. WITNESS my hand and Notarial Seal this day of , 1991. Notary Public Residing in County (printed signature) My Commission Expires : 0290w This instrument prepared by Tom Charles Huston, Attorney at Law, 1313 Merchants Bank Bldg. , 11 S. Meridian Street, Indianapolis, Indiana 46204 . -35-