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Cambridge1P/FP-CS 940727 T 1994 _DECLARATION OF COVENANTS, CONDITION '~AN~ , - RESTRICTIONS FOR THE ESTATES OF CAMBRIDGE MANOR STATE OF TEXAS KNOW ALL PERSONS BY THESE PRESENTS: COUNTY OF DALLAS THAT EE~MER DEVELOPMENT, INC., a Texas Corporation (the "Declarant"}, is the owner of all the lots shown on the Final Plat of THE E~A~ES OF CAMBRIDGE MANOR (The "?rope~'t:y"} an Addition to the City of CoppeI1 (the "city")~ Te×as, according to the plat thereof (the "Plat") recorded in Volume .............. Page ...... of the map Records of Dallas County (~the"County"}, Texas, a true and correct copy. of which is attached hereto as~Exhibit "A" attached hereto and made a part hereof for all purposes. Declarant has subdivided the Property into single-~amily lots as shown on the Plat. As used herein, "lot" and "lots'.' shall refer only to the numbered plots shown on the Plat.and shall not refer to public areas, parks, esplanades, tracts owned or subsequently acquired by any public body, or any plot or tract shown as a reserve whether designated as unrestricted or not. Declarant hereby declares that all of the property described above shall be held, sold and conveyed subject to the following easements, restrictions, covenants and conditions, which are for the purpose of establishing a general scheme for the development of all the lots in the Property and for the purpose of enhancing and protecting the value, attractiveness and desirability of said lots and which shall run with the ]and and be binding on al! parties having or acquiring any right,title oz interest in the Property or any part thereof, and which shall inure to the benefit o~ each owner thereof. ARTICLE DEFINITIONS The following words when used in these Couenants and Restrictions or any amendment or supplement hereto & (unless the context shall otherwise clearly indicate or prohibit} shall have the following'meanings: A) "Architectural Control Committee" Shall mean and refer to individuals appointed by the Declarant or the Board of Directors of the Association, each generally familiar with the residential and community development design matters and knowledgeable about INITIALS: Purchaser Builder Declarant .............. Date ....... page 1 o~ 32 Declarant's concerns for high level of taste and design standards within the 'Estates of Cambridge Manor' B) "Association". shall mean and refer to The Estates of Cambridge Manor Homeowners Association, Inc., a Texas non-profit corporation which has the power, duty and ~esponsibi]ity of maintaining and administering the Common Area, and collecting the assessments and charges hereinafter prescribed, and has the right of administering and. enforcing the Covenants and Restrictions. C) '"Co~mon Area(s)" shall mean and refer to all of the following: a) landscaping, walls, planters, pillars, entry ways, walkways, berms, sprinkler systems, gazebos, signs, wood structures, markers, lights, lighting systems, poles, flags~ water features, fountains, and any other improvements installed by Decla[~.nt upon the Property or the Common Area and ~I! e,~uipment, accessories and machinery used in the operation or maintenance of any o~ the Commo.~ Areas and any addition to or replacements of any such Common Areas; and b) Any. and all other areas of land within the Property which are known, described or designated as Common Area(s) on plats of all or any Portion of the Property or in documents executed by Beamer D~%~elopment, inc., filed in the .Land Records of Dallas County, Texas, together with any and all improvements that are now or may hereafter be placed or constructed thereon. D) "Declarant" shall mean and refer to Beamer Development, Inc.,("Beamer") and the successors and assigns (if any) of Beamer with respect to the voluntary disposition of all (or substantiall~ all) of the assets of Beamer and/or the voluntary interest of Beamer in and to the Property prior to t~e completion of development thereon. No person or entity purchasing one or more Lots from Beamer in the ordinary course of business ~:~ be considered as "Declarant". E) "Lot" shall mean and refer to any plot or tract of land shown upon any recorded subdivision map(s) or plat(s) of the Property, as amended from time to time~ which plot or tract is designated as lot therein..and which is or will be improved with a residential dwelling. INITIALS: Purchaser Builder ................... Declarant ................ Date Page 2 of 32 F) "Owner" shall mean and refer to each and every person or business entity who is a record owner of a fee or undivided fee interest in any Lot subject, to these Covenants and Restrictions; provided, however, "Owner" shall not include person(s) or entity(ies) who hold bona fide lien or interest in a Lot as security for performance of an obligation. G) "Property" shall mean and refer to The Estates of Cambridge Manor (hereinafter defined), and any additions thereto, as are subject to th%~e Covehants and Restrictions, or any amendment'or' supplement hereto, prepared and filed of record. ARTICLE II. CONSTRUCTIQN OF ~M~ROVEMENTS AND USE OF LOTS Section 2.1 Residential Use. All lots shall be used for single-family residential~purposes only. No building shall be erected, altered, placed Or permitted to remain on any lot other than One (1) detached single'famimy residence per lot, which residences may not exceed thirty-five (35) feet nor more than two and one-half (2-1/2) stories high. It is permissible, with majority vote, of declarant, to purchase two (2) adjacent lots for the sole purpose of building, one detached single family residence. INITIALS: Purchaser Builder Declarant Date Page 3 of 32 Section 2,2 Sinale-Family Use. Each residence may be occupied by only one (1) family consisting of persons related by blood, adoption or marriage or no more than two (2) unrelated persons living and coOk~ngitogether as a single housekeeping unit, together with any househOld servants. Section 2.3 Oaraaes. Each residence shall have a garage suitable for parking not less than two and one-half (2-1/2) nor more than four (4) standard size automobiles, which.garage shall conforms in design and materials with the main structure. All garage' dbors shall be closed at all times except as may be necessary for the entry and exit of vehicles and persons. All garage doors are not to face the street or be visible from the street in relationship to front elevation. Section 2.4 Restrictions or Resubdivisions, Except for replats undertaken by Declarant, none of the lots shall be subdivided into smaller .!.ors. Section 2.5 Driveways. All visible driveways shall be surfaced with brick pavers, expOsed aggregate, patterned concrete, color enhanced concrete or a similar substance approved by the Declarant. This being a.no alley designed property, driveways will start from street and drive to a nonvisible garage door. Sections 2.6 Use Specifically Prohibited. (a) No temporary dwelling, shop, trailer or mobile home of any kind or any improvements of a temporary character (except children's playhouse, dog houses, basketball goals, greenhouses, gazebos and buildings for storage of lawn maintenance equipment, which may be placed on a lot only in places which are not visible from any street on which the lots fronts) shall be permitted on any lot except that the builder ~or contractor, with the prior written approval of the Committee, may have temporary improvements (such as a sales office and/or construction trailer) on a given lot during construction of a residence on the Property. No building material of any kind or character shall be placed store4 upon the property until the owner thereof is ready to commence construction of improvements, and then such material shall be placed within the property lines of the 'lO-~"Upon which the improvements are to be · erected. (b) No boat, marine craft, hovercraft, aircraft, recreational vehicle, pick-up camper, travel trailer, motorhome, camper body or similar vehicle or equipment may be parked for storage in the driveway or front yard of any dwelling or parked on any public street in the property, nor shall any such vehicle or equipment b® parked for storage in the side or rear yard of any residence unless INITIALS: Purchaser iBuilder Declarant Date Page 4 of 32 completely concealed from public view. No such vehicle or equipment shall be used as a residence or office temporarily or permanently. This restriction shall not apply to any vehicle, machinery or equipment.~emporarily parked and in use for the construction, maintenance, or. repair of a residence in the immediate vicinity. (c) Trucks with tonnage in excess of one ton and any vehicle with painted advertisement shall not be permittedto park overnight within the Property except those used by a builder during the construction'of improvements. (d) No vehicle of' any size which transports inflammatory or explosive cargo may be kept on the Property at any time. (e) No vehicles or similar equipment shall be parked or stored in an area visible from any street except passenger automobiles, passenger vans, motorcycles, pick-up trucks and pick- up trucks with attached bed campers that are in operating condition and have current license plates and inspection stickers and are in daily use as motor vehicles on the streets and highways of any state. (f) No structure of a temporary character, such as a trailer, basement, tent, shack, barn, or other out-building, shall be used on any lot at any time as a dwelling house; provided, however, any builder, with the prior written approval of the Committee, may maintain and occupy model houses, sales offices and construction trailers during the construction period. (g) No oil drilling development operation, oil refining, quarrying or mining operations of any kind shall be permitted on the Property, nor shall oil wells, tanks, tunnels, mineral excavations or shafts be permitted upon or in any part of the Property. No derrick or other structure designed for use in quarrying or boring.for oil, natural gas or other minerals shall be erected, maintained or permitted within the Property. (h) No animals, livestock 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 for the purpose of providing companionship for the private family. Animals are not to be raised, bred or kept for commercial purposes or for food. It is the purpose o~ these provisions to restrict the use of the lot so that no person shall quarter on the premises cows, horses, bees, hogs, sheep, goats, guinea fowls, chickens, turkeys, skunks, or any other animals that may interfere with the quietude, health or safety of the community. No more than four (4) pets will be INITIALS: Purchaser. Builder Declarant Date Page 5 of 32 permitted in each lot. Pets must be restrained or confined on the homeowner's back lot inside a fenced area or within the house. It is the pet owner's r6sponsibility.to keep the lot clean and free of pet debris. All animals must be properly tagged for identification. (i) No lot or other area in the Property shall be used as a dumping ground for rubbish or a site for the accumulation of unsightly materials of any kind, including, without limitation, broken or .rusty equipment, disassembled or inoperative cars and discarded appliances and. furniture. Trash, garbage, or any other waste ' shall not- be kept except in sanitary containers in appropriate locations which may be specified by the Committee, such containers shall be situated and enclosed or screened as not to be visible from any residential street, private drive or adjacent lot. All incinerators or other equipment for storage or other disposal of such material shall be kept in clean and sanitary condition. Materials incident to construction of improvements may be stored on lots during construction. Materials incident to construction of improvements may be stored on lots during construction so long as construction progresses without undue de]ay. (j) No individual W~t'er supply system shall be permitted in the'Property. (k) No individual sewage disposal system shall be permitted in the Property. '. (1) No garage, garage house or other out-building (except for sales offices and/or construction trailers during the construction period.which have been approved by the Committee in writing) shall be occupied by any owner, tenant or other persons prior to the erection of a residence. (m) No air-conditioning apparatus shall be installed on the ground in front of .a residence. No air-conditioning apparatus shall be attached to any front wall or window of a residence. No evaporative cooler shall be installed on the frpnt wall or window of a residence. All utility meters, equipment, air conditioning compressors, air conditioning and heating units and similar items must (including those on corner lots) to the extent reasonably practicable, be visually screened from the street and adjoining lots and must be located in areas acceptable to the Committee. (n) Except with the written permission of the Committee or as provided below, no antennas, discs or other equipment for sending or receiving sound or ..video messages shall be permitted in the Property except antennas for AM or FM radio reception and UHF, VHF INITIALS: Purchaser Builder Declarant Date ~age 6 of 32 television reception. All: antennas shall be located inside the attic of the main residential structure except that, with the written permission of the Committee, one (1) satellite disc or other structure may be placed in the back yard so long as it is completely screened from view of any street, common area or other public area. No use shall be made of any lot or structure thereon for any other type of radio or television or similar broadcasting system (o) . No lot or improvements shall be used for business, profesSional,'commercial or manufacturing purposes of any kind. No activity, whether for profit or not, shall be conducted which is not related .to single-family residential purposes. No noxious or offensive activity shall be undertaken within the Property, nor shall anything be done which is or may become an annoyance, or nuisance to the neighborhood. Nothing in this subparagraph shall prohibit a builder's temporary use of a residence as a sales office until such builder's last residence in the Property is sold. Nothing in this subparagraph shall prohibit an owner's use of a residence for quiet, inoffensive activities such as tutoring or giving art lessons so long as Such acti%ities do not materially increase the number of cars parked on the street or interfere with adjoining homeowners' use and enjoyment of their residences and yards. (p) No fence, wall hedge or shrub planting which obstructs sight lines at elevations between three (3) and six (6) feet above the roadway shall be placed or permitted to remain on any corner lot within the triangular area formed by the street right-of-way lines and a line connecting them at points ten (10) feet from the intersection of the street right-of-way lines,or, in the case of a rounded property corner, from the intersection of the street right- Of-way lines as extended~ .The same sight-line limitations shall apply on any lot within ten (10) feet from the intersection of a street right-of way line with the edge of a private driveway. No tree shall be permitted' to remain within Such distance of such intersections unless the foliage line is maintained at sufficient height to prevent obstruction of such sight liqes. (q) Except for children's playhouse, dog houses, greenhouses, gazebos, and buildings for storage of lawn maintenance equipment, no building previously constructed elsewhere shall be moved onto any lot, it being the intention that only new construction be placed and erected thereon. (r) Within easements on each lot, no structures, planting or maintenanCe of utilities, which may change the direction of flow within drainage channels or which may obstruct or retard the flow of water through drainage channels. INITIALS: Purchaser Builder Declarant Date Page 7 of 32 (s) The general grading, slope and drainage plan of a lot may be altered by more than six (6) inches without the prior written approval of the Declarant, the City and other appropriate agencies having authority to grant such approval. (t) No sign of anY'~nd'shall be displayed to the public view on any lot except one '(1) professional sign advertising the property for sale, or 'professional .signs used by the builder to advertise the property during the construction and sales period. Declarant.or its agents shall have the right to remove any sign, billbOard Or bther advertising structure that does not comply with the fo.regoing requirements, and in so doing'shall not be subject to any liability for trespass~or any other liability in connection with such removal. All signs~ are subject to the approval of the Declarant and may be required by the Declarant to be removed if, in the sole judgment of the Declarant, same are found to be inconsistent with the high standards of the Property. To protect the safety and harmony of the neighborhood, no person shall engage in picketing on any lot, easement, right-of-way or common area within or adjacent to the Property, nor shall any vehicle parked, stored or driven in or adjaceat to the prOperty bear or display any signs, slogans, symbols, words or decoration intend to create controversy, invoke ridicule or disparagement, or interfere in any way with the exercise of the property rights, occupancy or permitted business activities of any builder, owner,or Declarant. All signage must comply with current City sign ordinances. (u) The drying of' CIothes in public view is prohibited. The owners and occupants of any lots at the intersections of streets or adjacent to parks, playgrounds or other facilities where the rear yard is visible to full' public view shall construct a drying yard or other suitable enclosure to screen from public view the equipment which is incident to normal residences, such as clothes drying equipment, yard equipment and storage piles. (V) Except within fireplaces in the main residential dwelling and except for outdoor cooking, no burning of anything shall be permitted anywhere within the Property. , (w) No carport shall be permitted on a lot. (x) No abandoned, derelict or inoperative vehicles may be stored or located on any lot unless visually screened from other lots and from any residentia:l street. (y) No retaining wall, fence or other structure of any kind made from wooden railroad ties or any individual wooden railroad ties shall be permitted on the front yard or side yard of a lot INITIALS: Purchaser , Builder Declarant Date Page 8 of 32 which are visible from any street, common area or other public area. Section 2.7 Minimu~n Floor Are~... The total air-conditioned living area of the main residential structure, as measured to the outside of exterior walls but exclusive of open porches, garage, patios and detached accessory buildings, shall be not less than two thousand-eight hundred (2,800) square feet for a one (1) story residence and not less than three thousand (3,000) square feet for a two (2) story residence, or the minimum habitable floor area as specified 'by' the City at the time of construction, whichever is greater. Section 2.8 Building Materials: Exterior Items and S~rfaces. At least eighty percen.t ~(80%) of the exterior walls of the first floor of all structures shall be'of masonry construction (see current city ordinances for definition of masonry) exclusive of doors, windows and the area above the top plate line. Each story above the first floor of a straight wall structure shall be at least eighty percent (80%)imasonry exclusive of doors, windows and the area above the top plate line. Roofing shall be constructed of wood, slate, clay tile or composition material of a minimum weight of three hundred (300) pounds per one hundred (100) square feet of roofing area unless specifically approved otherwise by the Committee in writing before installation. Roof pitch shall be a minimum of "8/12," unless approved otherwise by the Committee. Installation of all types of exterior items and surfaces such as address numbers or external paint or stain, shall be subject to the prior approval of the Committee as to design, materials and location. Section 2.9 Area Requlations.. 1. Minimum'Size of Yards~. A) Front. Yard: Thirty (30) feet. Where lots have double frontage, running through from one street to another, the required front yard shall be provided on both streets. B) Side Yards: Ten percent (10%) of the lot width, but in no case shall the side yard be tess than eight (8) feet. A .. side yard adjacent to a street shall not be less than fifteen (15) feet. Allowable non-residential uses twenty-flue (25) C) Rear Yard: Twenty (20) feet. 2. Maximum Lot Coverage A) Thirty-five percent (35%) of the total lot area may be covered by the combined area of the main building and' accessory buildings. INITIALS: Purchaser Builder Declarant Date Page 9 of 32 No dwelling shall be located on any lot nearer to the front lot line or nearer to the side lot line than the minimum setback lines shown on the Plat or required by the City. For purposes of these covenants, eaves shall not be considered as.a part of the building, provided, however, that this shall not be construed to permit any portion of a building on a lot to encroach upon another lot. Section 2.10 Fences and Walls. Any fence or wall must be constructed of masonry brick, wood or other material approved by the Declarant. No fence or wall shall be permitted to extend nearer to any street than the front building line of any residence. Fences or walls erected by the Declarant shall become the property of the owner of the lot on which the same are erected and, as such, shall be maintained and repaired by such owner except as provided in Article III. No portion of any fence shall be less than or greater than eight (8) feet in height. Any fence or wall facing the lake shall be a wrought-iron fence exactly five feet (5') in height and must be approved by Declarant to insure same consistency throughout. All wooden fences must be "board on board",with a level stair step flat top design. The unfinished side of the fence shall not be exposed to any street, common area or neighboring lot. Contractors signs are not to be attached to fence. Fences are to be left natural or a "clear" stain may be used. The "good" side or pickets are to be applied on the exterior of the fence structure. ... Vertical and horizontal support structures .shall not be exposed on the exterior side of the fence. Between all lake lots, a masonry column, .six feet (6') in height, must be erected at rear of property. It is permissible to dog ear an eight foot (8') wood fence down to the masonry column. The following lots will have bricked columns every 8 feet (8') between the "board on board" fences: BLOCK LOT "A" 1 & 7 "B" 4 & 7 "C" 1 &: 8 "D" 1, 4, 5, 8, 9, 12, 13 & 16 "E" 1 & 5 See attached photos/renderings of typical wrought-iron and cedar "board on board" fences. Section 2.11 Sidewalks. All sidewalks shall conform to City specifications and regulations. Section 2.12 MailbOxes. Mailboxes shall be standardized cluster-boxes required by the u.s. Postal Service. Cluster-boxes must have brick/stone veneer uniformly designed to conform with design concept of entry features. Please see attached drawings INITIALS: Purchaser Builder Declarant Date Page 10 of 32 for size; dimensions; rendering and placement of brick/stone veneer cluster-boxes. ":~ Section 2.13' Retainin~ Walls. Any retaining wall visible from any street shall be brick, stone, or other material approved by the Declarant. Section 2.14 Chimney Flues. Chimney Flues shall have no siding. Chimney Flue shall' be fully surrounded by masonry and shall be fully supported from foundation. All materials must be acceptable by the Declarant. Section 2.15 Windows and Skylights. Window jambs and mullians shall be composed of anodized aluminum or wood. There shall be no skylights on the fronts of houses. No windows or doors with glass may be tinted with after market products or artificially affected that can be seen from the street. Sections 2.16 Repetition of Front Elevation. No front ' elevation shall be allowed for'a lot (subject lot) if that same ".. elevation has already been constructed upon, or approved for, any other lot (existing lot), if the improvements of the existing lot would be visible from any part of the front yard of the subject lot at the street line. Also, no two (2) floor plans shall have the same likeness and each shall be an individual custom design, one of a kind. The Declarant shall be the final authority as to what improvements would be visible from any particular lot and of floor plan duplications. Section 2.17 Circular Driveways/Landscaping. All circular driveways must have a minimum of at least two feet (2') in height of landscaping/shrubs within the middle/center portion of circular drive. This landscaping is to screen the circular driveway from street level, and in an effort to make circular drive unrecognizable from street. See attached rendering for typical circular drive. INITIALS: Purchaser Builder Declarant Date Page 11 of 32 ARCHITECTUKAL CONTRO.~ Section 3.1 Appointment.. Declarant shall act as the Architectural Control Committee (herein after called the Committee). Following the establishment of the Home Owners Association. (Herein after called Association) a Committee will be appointed by the board of directors of the Association composed of a minimum.of two (2) individuals, each generally familiar with the residential and community'development design matters and knowledged about Dec'larant's concerns' for high level of taste and design standards within the Property. At the discretion of the Committee pertaining to special situations and' circumstances in authorizing the approval of plans within the community. The Committee shall have the right to engage the Services of a professional consultant for their elevation at the expense of the Association. SeCtion 3.2 ~Lfu~99.~_9/~_~ In the event of death, resignation or removal by Declarant of any member of the Committee, the remaining member(s) shall appoint a successor member. In default of such appointment, Declarant shall have full authority to designate and appoint a successor. No member of the Committee shall be entitled to compensation for, or be liable for claims, causes of action or damages arising out of services performed pursuant to this declaration~ Section 3.3 Authority. No'landscaping, building, fence, wall or other structure shall be commenced, erected, placed, maintained or altered on any lot, nor shall any exterior painting of, exterior addition to, or alteration of, such items be made until all plans and specifications and a plot plan have been submitted to and approved in writing by a majority of the members of this Committee as to: · (a) quality of w6rkmanship and materials, adequacy of site dimensions, adequacy of structural design, proper facing of main elevation with respect to nearby streets; (b) conformity and harmony of the external design, color, type and appearance ~ of exterior surfaces and landscaping in relation to the various parts of the proposed improvements and in relation to improvements on other lots in the Property; and INITIALS: Purchaser_ Builder_ Declarant Date.__ Page 12 of 32 (c) the other standards set forth within this Declaration (and any amendments'hereto)' or matt'ers in which the Committee has been vested with the authority to render a final interpretation and decision. The Committee is authorized and empowered to consider, review and approve any and all aspects of construction and landscaping which may, in the reasonable opinion of the Committee, adversely affect.the living enjoyment of one or more lot owners or the general value of lots in the Property and, pursuant thereto, the Committee 'ma~ require the submission of plans and specifications therefor, prior to the commencement, or during the process, of such construction or landscaping. In considering the harmony external design between existing structures and the proposed building being erected, placed or altered, the Committee shall consider only the general appearance of the proposed building as that can be determined from front, rear and side elevations on submitted plans. Section 3.4 P~ocedure for Approval. Final plans and specifications shall be._submitted in duplicate to the Committee. The plans and specifications shall show the nature, kind, shape, height, materials and location of all landscaping and improvements. The documents shall ~sp'ecify. any request variance from the set back lines, garage location or any other requirement set forth in this Declaration. The Committee is authorized to request the submission and samples of proposed construction materials. At such time as the plans and specifications meet the approval of the Committee, one complete set of plans and specifications will be retained by the Committee and the other complete set of plans shall be marked "Approved," signed by a majority of the Committee and returned to the lot owner or his designated representative. If disapproved by the Committee, one set of such plans shall be returned marked "Disapproved" and shall be accompanied by a reasonable statement of the reasons for disapproval, which statement shall be signed by a majority of the Committee. Any modifications of the approved set of plans and,specifications must again be submitted to the Committee for its approval. The Committee's approval or disapproval, as required herein, shall be in writing. In no event shall the Committee give verbal approval or disapproval of any plans. If the Committee fails to approve or disapprove such plans a.n~ specifications within thirty (30) days after the date of submission, Written approval of the matters submitted shall not be required and compliance with this Article shall be deemed to have been completed. In case of a dispute about whether the Committee responded within such time period, the person submitting the plans shall have the burden of establishing that the INITIALS: Purchaser Builder Declarant Date Page 13 of 32 Committee received the plans. The Committee's receipt of the plans may be established by a signed certified mail receipt. Section 3.5 St'anda~ds. The Committee shall have sole discretion with respeCt~ to taste, design and all standards specified herein. One objective of the Committee is to prevent unusual, radical, curious,i odd, bizarre, peculiar or irregular structures from being built in the Property. The Committee shall also have the authority to require a "8/12" or greater roof slope, to specify.the design oflfii~ep!a~es and chimney, flues, to prohibit the use of'li'ght-weight co~p~Si:tion roof material, to require the use of specific types of Windows, to prohibit or restrict the use of solar or heating panels and generally to require that any plans meet the standards of the existing improvements on neighboring lots. The Committee may from time to time publish and promulgate bulletins regarding architectural standards, which shall be fair, reasonable and uniformlyapplied and shall carry forward the spirit and intention of this declaration.. section 3.6 ~Te'~m~%tion, · The Committee appointed by Declarant shall cease to exist On the earlier of: (a) the date on which all the members of the Committee file a document declaring the termination of the Committee, or (b) two (2) years after the date hereof. Notwithstanding the above provision, at any time after the termination of the Committee, the record owners of a majority of lots in the.Property shall have the authority to record an instrument which provides for a committee elected by homeowners to continue the functions of the Committee, which instrument shall establish elections or appointments procedures whereby the homeowners' committee members shall be chosen and a notice procedure whereby all homeowners in the Property will receive notice of such procedures. If there is no Committee or homeowners, committee, no approval by the Committee or homeowners' committee shall be required under this declaration; variations from the standards set for in this Declaration shall be made in accordance with th'e general development standards as reflected in the plans, construction materials, landscaping and other matters approved by the Committee or homeowners' committee during, their periods of control. Section 3.7 LiabilitY.. of Committee. The members of the Cor, mittee shall ha~e '.no liability for decisions made by the CoF~ittee so long as such decisions are made in good faith and are not arbitrary, or capricious. Any errors in or omissions from the plans of the site plan 'sUbmitted to the Committee shall be the responsibility of the owner of the lot to'which the improvements relate, and the Committee shall have no obligation to check for errors in or omission from any such plans, or to check for such INITIALS: Purchaser Builder Declarant Date Page 14 of 32 plans' compliance with the<..general provisions of this Declaration, City codes, state statutes or the common law, whether the same relate to lot lines building lines easements or any other issue. This Section shall also apply to the members of the homeowners committee, if such a committee comes into existence pursuant to Section 3.6 above. ARTICLE IV SPECIAL FENCING AND LANDSCAPI~ Section 4.1 Fences., Walls,aDd Sprinkler SYstems. For a period of two (2) year.s after the recording of this Declaration, Declarant shall have th% right to erect, install, maintain, repair and/or replace fences, walls and/or sprinkler systems within those portions of any lot situated along the perimeter of the Property (other than this development or Common A~eas) which are located outside the building, set back or sight lines as established by the Plat, this document or any governmental entity. Any fence, wall or sprinkler system shall be the property'of'the owner of the lot on which such fence, wall or sprinkler system is erected or installed, subject to easements and rights of Declarant set forth below. No fence, wall or sprinkler system shall be erected or installed in the common area by the owner thereof, without the prior written consent of Declarant and/or Committee. Section 4.2 Landscaping. Declarant shall have the right to grade, plan and/or landscape and maintain, repair, replace and/or change such grading, planting and landscaping on any portion of the common area. In the event Declarant does not landscape the common areas, the Association may plant grass and may landscape and plant trees and shrubs in the common areas, with written consent of the Committee and full comp.liance of City ordinances regarding landscaping. Section 4.3 '~. Declarant shall have, and hereby reserves, the right and easement to enter upon the common area for the' purpose of exercising the discretionary' rights set forth herein. Section 4.4 Maintenance by Individual ~ot owner Q~ Qgmmon ~ In the event" Declarant does nOt maintain or repair any fences, walls, grading, planting or landscaping erected, installed or situated within the Common Areas· then individual owners at his or her expense, may perform such maintenance and repair work as is necessary to maintain such fences, walls, grading,planting and landscaping in a good and neat condition and appearance; provided, however, that the lot owners shall give Declarant ten (I0) business INITIALS: Purchaser. Builder Declarant Date Page 15 of 32 days written notice before doing any maintenance other than mowing, edging and trimming, sO t0ng as the Common Area and any fences, walls, grading, planting and landscaping thereto are being reasonably maintained and repaired by Declarant, the owners shall not perform any maintenance or repair work on any sprinkler system within the common area without prior written consent of Declarant. Section 4.5 Declarant's Discretion. Notwithstanding any provisi.ons herein to the contrary, Declarant shall never be obligated .to erect, install, maintain, repair or replace any fences', wails', sprinkler systems, grading, planting or landscaping on any lots. · Section 4 6 Three-Year Limitation. This p~ovlsion of this Article regarding Declarant's rights shall terminate on the earlier of: (a) the date on which Declarant records a document evidencing said termination or (b) three (3) years after the date hereof. Notwithstanding said termination, the owners of the lots shall have the right to exercise D~'Clarant's rights hereunder pursuant to Section 5.13 · ARTICLE V GENERAL PROVISIONS Section 5.1 Easements. Easements for the installation and maintenance of utilities and drainage facilities are reserved as shown on the Plat. Easements are also reserved for the installation, operation, maintenance and ownership of utility service lines from the property lines to the residence. Declarant reserves the right to make changes in and additions to the above easements for the purpose of most efficiently installing improvements. By acceptance of a deed to any lot, the owner thereof covenants and agrees.to mow weeds and grass and to keep and maintain in a neat and clean condition any easement which may traverse a portion of the lot. Section 5.2 Recorded Plat. All dedications, limitations, restrictions and reservations shown on the Plat are incorporated herein and shall be construed as being adopted in each contract,deed or conveyance executed or to be executed by Declarant, conveying lots in the Property, whether specifically referred to therein or-not. Section 5.3 Lot Maintenance. The owner of each lot shall, prior to thirty (30) days after issuance of certificate of occupancy for a house, establish grass front and side yards, or any property visible from~the street, plant a minimum of twelve (12), INITIALS: Purchaser ,Builder Declarant Date Page 16 of 32 five (5) gallon shrubs !land six (6), fifteen (15) gallon shrubs,shall maintain the ¥~rdsin a sanitary and attractive manner and shall edge the street curbs that run along the property line. Grass, weeds and vegetation on each lot must be kept mowed at regular intervals so as to maintain the property in a neat and attractive manner. No vegetables shall be grown in any yard that faces street. No owner shal~ permit weeds or grass to grow to a height of greater than six inches (6") upon his/her property. No foundation planting, shrubs or other vegetation near the house shall be al. towed to grow above the bottom of any window. If after ten (10) days" prior written notice, an owner of a lot shall fail to: (a) control weedS, grass and/or other unsightly growth, (b) remove trash, rubble b_uilding and construction debris, (c) exercise ·reasonable care and conduct to prevent or remedy an unclean, untidy or unsightly condition, or (d) otherwise satisfy the aforesaid maintenance requirements, then Declarant or the Committee shall have the authority and right but not the obligation .. to go onto the subject lot for the purpose of mowing and cleaning '. said lot or to otherwise effect the aforesaid maintenance requirements and shall have the authority and right to assess and collect from the owner of sai4 lot the amount so expended by Declarant or the Committee in connection with mowing, cleaning or otherwise maintaining said lot on each respective occasion of such mowing, cleaning or maintenance. In the event an owner of a lot does not pay such an assessment within fifteen (15) days after the date of the invoice for such assessments, such owner shall also be obligated to pay Declarant or the Committee interest thereon from said date until paid at the lesser maximum rate permitted by applicable law or eighteen percent (18%) per annum and the costs of collection thereof. Section 5.4 Maintenance of Improvements. Subject to the provisions of Article IV, each lot owner shall maintain the exterior of all buildings, fences, walls and other improvements on his/her, lot in' good ~ondition and repair, and shall replace worn and rotten parts, and sha['l'regularly repaint all painted surfaces and'shall not permit the roofs, rain gutters, downspouts, exterior walls, windows, doors,'-walks, driveways, park%ng areas or other exterior portions of the improvements to deteriorate in an unattractive manner. Section 5.5 Mortua~es. It is expressly provided that the breach of any of the foregoing conditions shall not default or render invalid the lien ofiany mortgage or deed of trust made in good faith and for the value, as the same premises or any part thereof encumbered by such mortgage or deed of trust, but said INITIALS: Purchaser ,Builder Declarant, Date__ Page 17 of 32 conditions shall be binding thereto as to lots acquired by foreclosure, trustee's sale or otherwise, as to any breach after such acquisition of title. Section 5.6 Tern. The. forgoing covenants and restrictions shall run with and bind the land and shall remain in full force and effect for a term of thirty (30) years after this Declaration is recorded. They shall be automatically extend for successive periods.of ten (10) years unless amended as provided herein or as allowed by...applicable law. Section 5.7 severabi.~ity, if any condition, covenant or restriction herein contained shall be invalid, which invalidity shall not'be presumed until the same is determined by the judgment · of order of a court of competent jurisdiction, such invalidity shall in no way effect any other condition, covenant or restriction, each of which shall remain in full effect. Section 5.8 Bindin~ Effect. Each of the conditions, covenants, restrictions and agreement herein contained is made for the. mutual benefit of, and is binding upon, each and every person acquiring any part of the Property, it being understood that such conditions, covenants, restrictions and agreements are not for the benefit of the owner of any land except land in the Property and the same shall inure to the benefit of owners of land in the Property and Declarant, its successors and assigns. This Declaration, when executed, shall be filed of record in the deed records of the County so that: each and every owner or purchaser or any portion of the Property is on notice of the conditions, covenants, restrictions and agreements herein contained. Section 5.9 Enforcement. The owner ~f any lot in Property shall have the easement and right to have each and all of the foregoing restrictions, conditions, and covenants herein faithfully carried, out and performed.with reference to each and every lot in the Property, together with the right to bring any suit or undertake any legal process that may be proper to enforce the performance thereof, it being the intention h~reby to attach to each lot in the Property., without reference to when it was sold, the right and easement to have such restrictions, condition and covenants, strictly complied with, such right to exist with the owner of each lot and to apply to all other lots in the Property whether owned by the undersigned, its successors and assigns, or other. Failure by any owner, including Declarant, to enforce any covenant or restriction herein contained shall in no event be deemed a waiver of the right to do so thereafter. INITIALS: Purchaser Builder __Declarant Date Page 18 of 32 Section 5.10 0 Authorities. If other authorities, such as the "City or County, ~impose more demanding, expensive or restrictive requirements than those set forth herein, the requirements of such authorities shall be. compmied with. Other authorities' imposition of lesser requirements than those set forth herein, the requirements ~of' such authorities shall be complied with. Other authorities' impositions of lesser requirements than those set forth herein shall not supersede or diminish the requirements herein. SectiOn 5.11 Addresses. Any notices or correspondence to any owner of a lot shall be addressed to the street address of the lot. Any notices or correspondence to the Committee shall be addressed to the address shown opposite the signature of Declarant below or to such other address as is specified by the Committee pursuant to an instrument recorded in the deed records of the County. Section 5.12 Owners Election. If any time a majority of the owners of lots in the Property execute and record a document stating their intent -and. desire to perform some or ail of Declarant's landscaping, maintenance, approval, or other rights or functions hereunder, and if such document provides a reasonable procedure for notifying ail owners and for delegating responsibility and performing such functions, and if such document is approved and executed, by Declarant, then such owners shall be entitled to all discretion, authority, easements and rights of Declarant with respect to the matters as to which the homeowners elect to assume responsibility. Section 5.13 Acknowledaement of purchaser. This Declaration and the covenants, conditions and restrictions set forth herein must be acknowledged by signature and fully initialed on each page of this Declaration, when a perspective purchaser/resident executes a contract for sale with one of the bonafide builder companies. Perspective purchaser/resident will receive one copy of same: one copy kept on file with builder company and one copy on file with Declarant. Further,-when the Association is in force the President of the Association will appoint a representative to fulfill the aforementioned obligations for resale homes. At'that time one copy will be kept on file with purchaser/resident o~ pre-existing resale property and one copy on file with the Association. INITIALS: Purchaser Builder Declarant Date Page 19 of 32 Section 5.14 Amendmen,t. This Declaration and the covenants conditions and restriCtiO~?ii~Set~forth herein may be abolished or amended in whOle or in pa=t~ with the consent of fifty-one percent (51%) of the then ownersi(!ncluding Declarant) of lots (with one (1) vote to be cast for each lot so owned) evidenced by a document in writing bearing the Signatures of such majority owners; provided, however, that for the period that a Declarant appointed Committee is in existence, no amendment of the covenants, conditions and restrictions:set forth herein shall be valid or effective without the joinder of Declarant. (.a) Declarant may add or annex additional real property to the scheme of these Covenants and Restrictions by filing of record a Supplemental Declaration of Covenants, Conditions and Restrictions which shall extend the scheme of the Covenants, Conditions and Restricti'0~'S'of these Covenants and Restrictions to such additional property; provided, however, that such supplemental declarations may contain such complementary additions and modifications of the CoVenan{s and restrictions as may be necessary to reflect the different character, if any, of the additional property and as is not' inconsistent with the concept of this Restated Declaration. (b) In the event any person or entity other than the Declarant desires to add or annex additional residential and/or common areas to the scheme of these Covenants and Restrictions, such proposed annexation must have the prior written consent and approval of the majority of the outstanding votes within each voting class of the Association. (c) Any additions made .pursuant to paragraphs (a) and (b) of this Section 6.02, when m&de~ shall automatically extend the jurisdiction, functions, duties and membership of the Association to the properties added. (d) Declarant shall have the right and option (upon the joinder, approval or consent of such associations) to cause the Association to merge or' consolidated with any s,imilar association then having jurisdiction over real'property located (in whole or in part) within one-half (.1/2) mile of any real property then subject to the jurisdiction of this Association. Upon a merger or consolidation of the Association with another association, its properties, rights and obligations may, by operation of law be transferred to another surviving or conso.lidated association or alternatively, the properties, rights and obligations of another INITIALS: Purchaser Builder Declarant Date Page 20 of 32 association may, by operation of law be added to the properties, rights and obligations .~-Of the Association as a surviving corporation pursuant to a merger. The surviving or consolidated association may administer the Covenants and Restrictions within the Existing Property together with the covenants, conditions and restrictions established upon any other properties as one scheme. ARTICLE VI PROPERTY SUBJECT TO THIS DECLARATION: ADDITIONS THERETO Section 6.01 Existing.Property, The Existing property is located in the City of Coppell, Dallas County, State of Texas, and is more particularly described on Exhibit "A" attached hereto and incorporated herein by'reference for ali purposes. Section 6.02 Additions ~o Existing Property. Additional '.. land(s) may become subject to these Covenants and Restrictions in any of the following manners: ARTICLE VII MEMBERSHIP AND VOTING RIGHTS IN THE ASSOCIATION. .Section 7.01 Membership. Every Owner of a Lot shall automatically be and must remain a Member of the Association in good standing. The Board of Directors of the Association (the "Board of Directors") may declare that an Owner is not a Member in good standing because of 'past unpaid dues, fines, late charges, interest, ]ega! fees, and/or any other assessments of any nature. The Board of Directors may temporarily suspend the voting rights of any.member who is not in good standing unti! such past unpaid amounts are paid in full. Section 7.02 Voti.n~ Rights, The Association shall have three (3) classes of voting membership: , CLASS "A": Class A Members shall be ali Members other than Class B and Class C members. Class A Members shall be entitled to one (1) vote for each lot in which they hold the interest required for membership. When more than one person holds such interest or interests in any lot, all such persons shall be Members, and the vote for such Lot shall be exercised as they, among themselves, determine, but in no event shall more than one (1) vote be cast with respect to any such Lot. INITIALS: Purchaser Builder Declarant Date Page 21 of 32 CLASS "B": Class B Memb..e~s shall be any bona fide Owner who is engaged in the process of constructing a residential dwelling on his/her Lot for sale to consumers. Class B Members shall be non- voting members of the Association. The Class B membership shaI1 cease, and each Class B Member shall become a Class A Member: (a) when total number of votes outstanding in the Class A Membership equals the t6tal number of votes outstanding in the Class C .Membership; or ' (b)' on the third' (3) anniversary of the date hereof, whichever occurs first in time. CLASS "C": Class C Members shall be Beamer. Class C Members shall be entitled to six (6) votes for each Lot which it owns and for each Lot owned by Class B members who purchased Lots initially owned by such Class C Member. Notwithstanding the aforementioned voting rights within the Association, until Declarant no longer owns record title to (or a lien interest in) any Lot, or ~hree ('3)"years, whichever occurs first in time, neither the Association nor the Members shall take any action inconsistent with this Declaration without the consent and approval of Declarant. ARTICLE VIII COVENANTS FOR ASSESSMENTS Section 8.01 Creation of the Lien and Personal Obligation of Assessments. Declarant,. for each Lot owned by it within the -Property, hereby covenants and agrees, and each Purchaser or Owner of any Lot by acceptance of a deed therefor, whether or not it shall be so expressed in any such deed or other conveyance, is deemed to covenant and agree (and such covenant and agreement shall be deemed to constitute a portion of the purchase money and consideration for acquisition of the Lot)., to pay to the Association (or to an entity or agency which may be designated by the Association to receive'such monies): (1) annual assessments or charges for maintenance, taxes and insurance on the Common Properties and a fifty dollar ($50.00) fee payable by Class A Members only to a reserve fund for the Association upon acquisition of any Lot; (2) special assessments for capital improvements, such assessments to be fixed, established and collected from time time as hereinafter provided;- and (3) individual special assessments levied against individual Lot Owners to reimburse the INITIALS: Purchaser ---Builder. Declarant Date Page 22 of 32 Association for the extra cost of maintenance and repairs caused by willful or negligent acts of!~the individual Owner and not caused by ordinary wear and tear, such assessment to be fixed, established and collected from time to ~time as hereinafter provided. The annual, special and individual assessments, together with such interest thereon and costs~ of collection thereof as herinafter provided, shall be a charge on the land and shall be a continuing lien upon each Lot against which each such assessment is made and shall.also be the continuing personal obligation of the Owner of such Lot at the time when the assessment became due. Section 8.02 Purpose of Assessments. The assessments levied by the Association shall be used exclusively for the purposes of (i) promoting the health, recreation, safety and welfare of the i ' residents of the Property; (ii) improving and mainta nlng the Con, non Properties; (iii) the payment of taxes and insurance (if any) in connection with' 'Comcnon Properties and the repair, repl'acement and additions thereto;'(iv) developing and maintaining replacement and working, capital reserves for the Association; (v) trash and garage collection' and exterior maintenance of all or portions of the Lots, as may be determined necessary and appropriate by the Association from time to time; {vi) paying the cost of labor, equipment (including the expense of leasing any equipment) and materials required for, and management and supervision of, the Common properties; (vii) carrying out the duties of the Board of Directors. Section 8.03 Bas~s a.nd amount of Annual Maintena~c~ Assessments · (a) Until and unless otherwise determined by the Board the maximum annual assessment shall be per Lot per year. (b) The Board of Directors may establish the maximum annual assessment for each Lot, provided that the maximum annual assessment may not 'be increased more than twenty percent (20%) above the maximum annual assessment for the previous year unless approved by Members of-the Association. N~twithstanding the foregoing, in the event.~that the Board determines that due to unusual circumstances the maximum assessment even as increased by twenty percent (20%) wil'l be insufficient to enable the Association to meet its expenses as set forth hereof, then in such event, the Board shall have the .right to increase the maximum annual assessment by the amount necessary to provide sufficient funds to cover the expenses of the Association without the approval of the Members; provided, however, that the Board shall only be allowed to make one such increase without obtaining approval of the Members. INITIALS: Purchaser. Builder Declarant Date Page 23 of 32 (c) After consideration of current maintenance cost and the future needs of the Association, the Board of Directors may fix the actual annual assessment at an amount equal to or less than the then-existing maximum annual assessment. (d) Owner, by acceptance of the deed to his/her Lot, hereby expressly vests in Declarant, the Board or its agents the right and power to bring all actions against Owner personally for the collection of such charges as a debt, and to enforce the aforesaid · liens by all methods available for the enforcement of such liens. No owner 'm~y waive or otherwise escape liability for the assessments provided herein by non-use of the Common Areas or by abandonment of his Lot. (e) If any assessment remains unpaid as the expiration of fifteen (15) calendar days from and after the due date established by the Board, a late charge shall be assessed against the non- paying Owner for each month that any portion of an assessment remains unpaid. The late charge shall be in the amount of Twenty- Five and No/100 Dollars ($25.00) for all Class A Members. A reasonable service charge in an amount Established by the Board shall be charged for each check that is returned because of insufficient funds, the amounts of late charges and services charges may be adjusted,-from time to time, by the Board consistent with any changes in the amounts of regular or special assessments. Section 8.04 SpeCial Assessments for Capital Improvements. In addition to the annual assessments authorized hereof, the Association may levy in .any year a special assessment, applicable to that year only, for the purpose of defraying, in whole or in part, the cost of any construction or reconstruction, unexpected repair or replacement of described capital improvements upon the Common Area, including any necessary fixtures and personal property related thereto; provided that such assessment shall have affirmative approval of the Members of the Association. Section 8.05 UnifQNm Rate of Annual and Special Assessments, Both annual and special assessments must be fixe~ at a uniform rate for all Lots owned by Class A members. Section 8.06 Date of Commencement of Assessments; Due Date~. The annual maintenance assessment provided for herein shall commence on the date fixed by the Board of Directors to be the date of commencement, and as may be prescribed by the Board of Directors shall be payable annually, in advance, on the first day of each year. INITIALS: Purchaser Builder Declarant Date Page 24 of 32 Section 8.07 Duties o~ the Board of Directors with Respect to Assessments, (a) The Board of Directors shall fix the date of commencement and the amount of the assessment against each Lot for each assessment period at least sixty (60) days in advance of such date or period if such assessments are being increased and at least thirty (30) days in advance of such date or period if such assessments are not being increased; and the Board of Directors shall, at .that time, prepare a roster of the Lots and assessment applicable' fhereto which shall be kept in the office of the Association. (b) Written notice Of the assessment shall thereupon be delivered or mailed to every. Owner subject thereto. (c) The Board of Directors shall upon demand at any time furnish to any Owner liable for said assessments, a certificate in writing signed by an Officer of the Association, setting forth whether said assessment has been paid. Such certificate shall be conclusive evidence of payment Of any assessment therein stated to have been paid. A reasonable charge may be made by the Board of Directors for the issuance of such certificate. Section 8.08 Effe¢~ of Non-Payment of Assessment; The Personal obI!~ation of the Owner~ the Lien; Remedies of Association. (a) If any assessment or any part thereof is not paid on the date(s) when due, then the unpaid amount of such assessment shall become delinquent and shall together with late charges and service charges [hereinafter defined in subparagraph (c)], and interest thereon at the highest'p6~mitted lawful rate per annum and cost. of collection thereof, thereupon become a continuing debt secured by a-lien on the Lot of the non-paying Owner which shall bind such Lot in the hands of the Owner, his/her heirs, executors, devisee, personal representatives and assigns, the Association shall have the right to reject' partial 'payments of an assessment and demand the full payment thereof. The personal obligation of the then- existing Owner to pay such assessment shall remain his personal obligation and shall not pass to his/her successors in title unless expressly assumed by them. Furthermore, the lien for unpaid assessment shall be unaffected by any sale or assignment of a Lot and shall continue in full force and effect. No Owner may waive or otherwise escape liability for the assessment provided herein by non-use of the Common Areas or by abandonment of his/her Lot. INITIALS: Purchaser Builder Declarant Date Page 25 of 32 (b) The Association may also give written notification to the holder(s) of any mortgagei~!'~n the ~Lot of the non-paying Owner of such Owner's default in PaYihg any assessment when such default has not been cured within thirty (30) days, provided that the Association has theretofore been furnished in writing the correct name .and address of the holder(s) of such mortgage. (c) If any assessment remains unpaid at the expiration of fifteen. (15) calendar days;from after the due date established by the Board of Directors, a late charge shall be assessed against the non-paying'O~ner for each month that any portion of any assessment remains unpaid. The ~ate charge shall be in the amount of ten percent (10%) of the then established regular annual assessment for each Lot A service charge' in the amount of Twenty and No/100 Dollars ($20.00) shall be charged for each. check that is returned because of insufficient fUnds. The amounts of late charges and service charges may be adjusted, from time to time, by the Board of Directors consistent with any changes in the amounts of regular or special assessments. (d) If any assessment or part there6f, late charge or service charge, is not paid when due, the unpaid amount of such assessment together with all late charges and service charges shall bear interest from and after the date. when due at the highest permitted lawful rate per annum, and the Association may, at its election, retain the services of an attorney for collection and there shall also be added to the amount of such unpaid assessment, late charge or service charge, any and all collection costs incurred hereunder by the Association, including reasonable attorney's fees. SectiOn 8.09 Rights.0~ City of Coppell. Unless otherwise approved by seventy-five percent (75.0%) of the outstanding votes within each voting class, the Association shall not by act or omission seek to abandon its obligations as established by this Declaration. However, in the event that: (a) The Association dissolves and the Common Properties shall not be either (i) dedicated to and accepted .by an appropriate municipal corporation, public agency, authority or utility to be devoted to purposes'aS~near~ly as practicable the same as those to which such Co~on PrOperties were required to be devoted by the Association, or (ii)conveyed to another organization or entity which assumes all obligations i~posed hereunder upon the Association to maintain said Common Properties; or (b) The Association, its successors or assigns, shall fail or refuse to adequately maintain the appearance and condition of the common Properties which it is obligated to maintain hereunder; INITIALS: Purchaser Builder Declarant Date ..... Page 26 of 32 then, in either such event, the City of Coppell, Texas, shall have the right, but not the obligation, %o assume the duty of performing all such maintenance obligations of the Association at any time after such dissolution, u~on giving written notice to the Owners, or at any time after the expiration of twenty (20) days after receipt by the Association, its successor or assigned, of written notice specifying in detail the nature and extent of the failure to maintain without such failure being remedied. Upon assuming such maintenance obligations, the City of Coppell may collect, when the same be.come due, all assessments, annual or special, levied by the Association pursuant to the provisions hereof for the purposes of repairing, replacing, maintaining or caring for the Conunon Areas; and,. if necessary, enforce the payment of delinquent assessments in the manner set forth herein. In the alternative, upon assuming such maintenance obligations, the City of coppel! may levy an assessment upon each Lot on a pro-rata basis for the Cost of such maintenance, notwithstanding any other provisions contained in this Declaration, which assessment shall constitute a lien upon the Lot against which each assessment is made. During any period that the city of Coppell assumes the obligation to maintain and care for the common Area, the Association'shaI] have no obligation or authority with respect to such ~-~onance The right and authority of the City of Coppell to maintain the Common Area shall cease and terminate when the Association, its successors or assigns, shall present to the City of Coppell reasonable evidence of its willingness and ability to resume maintenance of the Common Area In the event the--City of Coppell assumes the duty of performing the maintenance obligations of the Association as provided herein, then the City of Coppell its agents, representatives and employees, shall have right access, ingress and egress to and over the Common Area for the purpose of maintaining, improving and preserving the same, and in no event,and under no circumstances, shall the City of Coppell be liable to the Association or any Owner or their respective heirs, devisee, personal repre'sentatiYes, successors and assigns for negligent acts or construction (excluding, however, malfeasance and gross negligence) relating in any manner to maintaining, improving and preserving the Common Areas. Section 8.10 Subordination of the Lien of Mortgages. The lien of the assessment provided for herein shall be subordinate and inferior to the 1.ien of any first mortgage or deed of trust now or hereafter placed upon the Lots subject to assessment; provide~, however, that such subordination' shall apply only to the assessments which have become due and payable prior to the foreclosure sale, whether public or private, of CKXd" property pursuant to the terms and conditions of any such mortgage or deed INITIALS: Purchaser Builder. Declarant __Date Pa~e 27 of 32 ".. of trust. Such sale shall not relieve such Lots from liability for the amount of any assessme.B~silthereafter becoming due from the lien of any such subsequent assessment. Section 8.11 .Exempt!. Property. The following property 'otherwise subject to thiS: Declaration shall be exempted from assessments, charges and liens created herein: (a) All properties dedicated and accepted by the local public authority and devoted to public use. (b) All Co~on Properties (c) 'Any and all areasi'whi'ch may be reserved by Declarant on the recorded plat(s) of th® Property. ARTICLE IX GENERAL POWERS AND DUTIES OF THE BOARD TO DIRECTORS Section 9.01 powers and Duties. The affairs of the Association shall be conducted by its Board of Directors (hereinafter referred to as the "Board"). The Board shall be selected in accordance With the Articles of Incorporation and Bylaws of the Association. The Board, for the benefit of the Common Properties and the.Owners, shall provide, and shall pay for out of the maintenance fund(s), the following: (a) Care and preservation of the Common Properties and the furnishing and upkeep of any desired personal property for use in the Common Properties; (b) Taxes, insurance and utilities (including, without limitation, electricity; gas, water and sewer charges) which pertain to the Common Properties only; (c) The services of a person or firm to manage the Association or any separate portion thereof, to the extent deemed advisable by the Board, and the services of such other personnel as the Board shall determine to be necessary or proper for the operation of the Association, whether such personnel are employed directly by the Board or by a manager designated by the Board; (d) Legal and accounting services; INITIALS: Purchaser Builder Declarant Date Page 28 of 32 (e) Any other materials, supplies, furniture, labor, services, maintenance, repairS,~ structural alteration, taxes or assessments which the Board is required to obtain or pay for pursuant to the terms of thes.~ Covenants and Restrictions or which in its opinion shall be necessary or proper for the operation or protection of the Association or for the enforcement of these Covenants and Restrictions. The Board shall have the following additional rights powers and duties.:. (f). To execute ail declarations of ownership for tax assessment purposes with'regard to .any of the Common Properties owned by 'it; (g) To enter into' agreements or contracts with insurance companies, taxing authorities and the hoIder of first mortgage liens on the individual Lots with respect to: (i) taxes on the Common Properties, (ii) maintenance of Common Properties, and (iii) insurance coverage (if any) on Common Properties, as they relate to the assessment, collection and" disbursement process envisioned herein; (h) To borrow funds to pay costs of operation, secured by assignment or pledge of rights against delinquent Owner, if the Board sees fit; (i) To enter into contracts, maintain one or more bank accounts, and, generally, to have all the powers necessary or incidental to the operation and management of the Association; (j) To protect or defend the Common Properties from loss or damage by suit or otherwise, to sue or defend in any court of law on behalf of the Association and to provide adequate reserves for repairs and replacements; (k) To make 'reasonable rules and regulations for the operation of the Common Properties and to amen~ them from time to time; (1) To make available to each Owner within ninety (90) days after the end to each year an annual report; (m) To adjust the amount, collect, and use any insurance proceeds to repair damage or replace lost property; and if proceeds are insufficient to repair damage or replace lost property, to assess the Members in proportionate amounts to cover the deficiency; INITIALS: Purchaser Builder Declarant Date Page 29 of 32 (n) To enforce '2he provisions of these Covenants and Restrictions and any rule~if~ade hereunder'and to enjoin and seek damages from any Owner for violation of such provisiOns or rules. Section 9.02 Board Powers, Exclusive. The Board shall have the exclusive right to contract for all goods, services and insurance, and the exclusive right and obligation to perform the functions of the Board, except as otherwise provided herein. Section 9.03 Maintenance Contracts. The Board, on behalf of the Association, shall haVe:full power and authority to contract with any.Owner (including, without limitation, Declarant) for the performance by the Association of services which the Board is not otherwise required to perform pursuant to the terms hereof, such contracts to be upon such terms and conditions and for such consideration as the Board may deem proper, advisable and in the best interest of the Association. Section 9.04 Liabi'lit¥ ~m~t~tions. Neither any Member, the Board, any Director,. nor. a2y Officer of the Association shall be personally liable for debts con'tracted"f~6r, or otherwise incurred by the Association,.or for a. tort of another Member, whether such other Member was acting On behalf of the Association or otherwise. ". Neither Declarant, the Association, its Directors, Officers, agents, or employees shall be liable for any incidental or consequential damages for failure to inspect any premises, improvements or portion thereof or for failure to repair or maintain the same. Declarant, the Association or any other person, firm or corporation liable to make such repairs or maintenance shall not be liable for any personal injury or other incidental or consequential damages occasioned by any act or omission in the repair or maintenance of any premises, improvements or portion thereof. Section 9.05 Reserve Funds. The Board may maintain and establish funds which may be maintained and accounted for separately from other funds maintained for annual operating expenses and may establish separate, irrevocabl~ trust accounts in order to better demonstrate that the amounts deposited therein are capital contributions and-not net income to the Association. Section 9.06 Restrictions on Contracts. Neither Declarant nor the Association may directly or indirectly enter into any management agreement or any other contract on behalf of the Association which extends beyond the date CIass B memberships '.. cease. The Association may, however, following such date, enter into new management agreements or other contracts in accordance with these Covenants and Restrictions. INITIALS: Purchaser Builder Declarant Date Page 30 of 32 ARTICLE X INSURANCE; REPAIR AND RESTORATION Section 10.01 Right to Purchase Insurance. The Association shall have the right and option to purchase, carry and maintain in force insurance covering any or all portions of the Common Properties.,. a~y improvements thereon or appurtenant thereto, for the interest of the Association and of all Members thereof, in such amount's and with such. endorsements and coverage as shall be considered good sound insurance coverage for properties similar in construction, location and use to the Common Properties. Such insurance may include, 'but need not.be limited to: (a) Insurance against loss or damage by fire and hazards covered by a standard extended coverage endorsement in an amount which shall be equal to the maximum insurance replacement value, excluding foundation and excavation costs.as determined annually by the insurance carrier. (b) Public liability and property damage insurance on a broad form basis. (c) Fidelity bond for all officers and employees of the Association having control over the receipt and disbursement of funds. ~ (d) Officers' and Directors' liability insurance. Section 10.02 Insurance Proce.eds. The Association and the Members shall use the net insurance proceeds to repair and replace any damage or destruction..gf property, real or personal, covered by such insurance. Any balance from the proceeds of insurance paid to the Association remaining after satisfactory completion of repair and replacement, shall be-retained by the Association as part of a general reserve fund for repair and replacement of the Common Properties. Section 10.05 ~nsufficient Proceedsl I~ the insurance pro=eeds are insuf~i¢ient to repair or replace any loss or damage, the Association may levy a special assessment of these Covenants and Restrictions to cover the deficiency. INITIALS: Purchaser Builder Declarant Date Page 31 of 32 EXECUTED this,,,j,,il,,day of_ , 19 ,~, ' Address: By: Printed Name. : Title: STATE OF Texas COUNTY OF Dallas BEFORE ME the undersigned authority, appeared , the ,of a . . ., knoWn'to, me to be the person and officer whose name is subscribed to the foregoing instrument, and acknowledge to me that he executed, the same for the purposes and consideration therein expressed and in the capacities therein stated, on behalf of such partnership. GIVEN UNDER MY HAND AND SEAL OF OFFICE this day of , 199_ STAMP, PRINT OR TYPE NOTARY'S NAME AND DATE COMMISSION EXPIRES Notary Public in and for the State of Signature(s) of person(s)~whose name(s) will appear on the Deed of Trust. Signature of Builder and/or representative' Signature of Declarant and/or representative Page 32 of 32