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DECLARATION OF
COVENANTS, CONDITIONS, & RESTRICTIONS
FOR
MINOR SUBDIVISION NO. 404
This Declaration,made on the date hereinafter set forth by FAIRVIEW
INVESTMENTS,LLC hereinafter referred to as "Declarant".
WITNESSETH:
WHEREAS, Declarant is the owner of certain property in the City of Bozeman,
Gallatin County,State of Montana,which is more particularly described as follows:
Minor Subdivision No. 4 0 4 located in the W'/z,NW I/4,
NE '/a of Section 2,T.2 S.,R. 5 E.,P.M-M, Gallatin County,
Montana
NOW,THEREFORE,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 protecting the value and desirability
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r N of,and that shall run with the real property and be binding on all parties having any right,
IN m p title,or interest in the described properties or any part thereof, their heirs,successors,and
a assigns and shall inure to the benefit of each owner thereof.
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ARTICLE 1. DEFINITIONS
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Section 1.01 Association
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" "Association" shall mean and refer to the Minor Subdivision No. 404
Property Owners'Association,it successors and assigns.
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Section 1.02 Owner
"Owner" shall mean and refer to the record owner, whether one or more
persons or entities, of a fee simple title to any lot that is part of the
properties. Owner shall also include the purchaser under a Contract for
Deed.
Section 1.03 Property or Properties
"Property" or"Properties" shall mean and refer to that certain real property
hereinbefore described and such additions thereto as may, hereafter be
brought within the jurisdiction of the Association.
Section 1.04 Lot
"I.ot" shall mean and refer to any plat of land shown upon any recorded
subdivision of the Property.
Section 1.05 Declarant
"Declarant" shall mean and refer to Fairview Investments,LLC.
Section 1.06 Directors
"Directors" shall mean and refer to the Directors of the Association and
shall consist of three lot owners who shall be elected at the annual meeting
by a simple majority of the members of the Association.
ARTICLE 2. MEMBERSHIP AND VOTING RIGHTS
Section 2.01 Membership
Every Owner of a Lot that is subject to assessment shall be a member of the
Association. Membership shall be appurtenant to and may not be separated
from ownership of any Lot that is subject to assessment.
Section 2.02 Determination of Membership
For the purpose of determining membership, at any meeting a person(s) or
entity(ies) shall be deemed to be a member upon the recording of a duly
executed deed to an owner, a Notice of Purchaser's Interest, or an Abstract
of Contract for Deed showing a contract purchase by an owner. The legal
title retained by the vendor selling under contract shall not qualify such
vendor.for membership.
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Section 2.03 Termination of Membership
Foreclosure of a mortgage, trust indenture, or the termination or foreclosure
of a contract for deed wherein title is vested in the mortgage,beneficiary, or
original seller on a contract or repossession for any reason of a lot or unit
sold under a contract shall terminate the vendee's membership, whereupon
all rights to such membership shall vest in the legal owner.
Section 2.04 Term of Office of Directors
The Board of Directors shall be elected for a term set by a simple majority of
the membership but not less than one year. Each Director shall serve until
replaced by his or her successor.
Section 2.05 Vacancies
Any vacancy in the Board of Directors occurring before the nest annual
meeting of the members shall be filled by the remaining Directors.
Section 2.06 Authority of Directors
The Directors shall have the authority to act on behalf of the Association
and its members as shall be reasonably necessary to carry out the purposes of
the Association and enforce these Covenants. The Directors shall act by
majority vote.
Section 2.07 Removal of Directors
The members, by a vote of at least two-thirds (2/3) of the total number of
members, may remove a Director, other than Directors appointed by the
Declarant. Directors appointed by the Declarant may not be removed by the
members under this section of the Covenants. Directors sought to be
removed shall have the right to be present at such meeting and shall be given
the opportunity to speak to the members prior to a vote to remove being
taken. Upon removal, the members, by majority vote, shall then elect such
new Directors to replace those Directors removed.
Section 2.08 Officers
The Directors shall also serve as officers, which shall be designated by a
simple majority of the members at the annual meeting unless and until a
majority of the members vote to have officers elected separate and apart
from the Directors. The officers shall follow the directions of the majority
vote of the Directors. The duties of each of the offices shall be as follows:
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(a) President
The President shall preside over all meetings of the Association. He or
she shall call the membership together whenever necessary. The
President shall be the general administrative and executive officer of
the Association. He or she shall perform such duties as may be
specified, and exercise such powers as may be delegated to him or her
by the Association.
(b) Vice President
The Vice President shall exercise the powers of the President in the
absence of the President. He or she shall also perform other duties as
may be delegated to him or her by the Association.
(c) Secretary /Treasurer
(i) The Secretary shall give notice of all meetings and shall keep a
record of the proceedings of the meetings of the Association. He
or she shall be authorized to sign, on behalf of the Association,
all records, documents, and instruments when such are
authorized to be signed by the Association, and shall exercise
such other duties as may be designated by the Association.
(W) The Treasurer shall keep and maintain adequate and correct
accounts of the properties and business of the Association,
including accounts of its assets,liabilities,receipts, disbursements,
gains, and losses of the Association. He or she shall prepare and
render such periodic accountings as shall be required of the
Association.
Section 2.09 Officer Vacancies
A vacancy in any office of the Association shall be filled by appointment by
the Board of Directors until the next annual meeting or his or her successor
is duly appointed or elected.
Section 2.10 Voting in Absence of Quorum
If proposed action is favored by a majority of the votes cast at a meeting,but
such vote is less than the requisite sixty percent (GO%) of the members,
members who were not present in person or by proxy may give their assent
to any action in writing, provided the same is received by the appropriate
officer of the Association not later than thirty (30) days from the date of such
meeting wherein the action was voted on.
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ARTICLE 3. PROPERTY OWNERS'ASSOCIATION
Section 3.01 Power and Authority of Association
The Association, acting through its Board of Directors, shall have the power
and authority to take such actions as shall be necessary or reasonable to care
for, protect and maintain the storm water surface channels, detention basins,
and appurtenances; trails, paths, roads, streets, or other surfaces providing
common access for pedestrians, bicyclists, vehicles, or other modes of
transportation; or any open space, parks, or recreation areas located within
the subdivision; to enforce these Covenants; to collect assessments; to set
annual and/or special meetings; and to act in any other matters set forth
herein or that may serve the development,including the formation of special
improvement districts, either public or private, for such improvements as the
Association shall approve.
Section 3.02 Association Annual Meeting
The Association shall hold an annual meeting each year at such date, place,
and time as shall be set by the Board of Directors. At the annual meeting, the
members shall review and approve a budget for the next year, shall elect
co Directors to fill any expired term or vacant position, and shall conduct such
4W m other business as shall be reasonable or necessary to carry out the purpose of
T the Association. The members shall have the authority to set the number of
0 U 0 Directors,which initial number shall be three.
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9 a Section 3.03 Board of Directors Annual Meeting
The annual meeting of the Board of Directors shall be held immediately after
the annual meeting of the members. At the annual meeting, the Directors
shall elect a President, Vice President, and Secretary/Treasurer for the
Association from among the Directors, except that the Secretary/'Treasurer
may be a member who is not a Director.
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ARTICLE 4. COVENANT FOR MAINTENANCE ASSESSMENT
Section 4.01 Creation of the Lien for Personal Obligation of Assessments
The Owner of any Lot by acceptance of a Contract of Sale or a deed
therefore,whether or not it shall be so expressed in such deed or contract,is
° deemed to covenant and agree to pay to the Association (a) annual
assessments or charges and (b) special assessments for capital improvements,
such assessments to be established and collected as hereinafter provided. The
annual and special assessments, together with interest, costs, and reasonable
attorney's fees, shall be a charge on the land and shall be a continuing lien
upon the property against which each assessment is made. Each such
assessment, together with interest, costs, and reasonable attorney's fees, shall
also be the personal obligation of the person who was the Owner of such
property at the time the assessment fell due.
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Section 4.02 Purpose of Assessments
The assessments levied by the Association shall be used exclusively to
promote the recreation, health, safety, and welfare of the residents in the
Properties.
Section 4.03 Maximum Annual Assessment
Until January 1 of the year immediately following the conveyance of the first
Lot to an Owner, the maximum annual assessment shall be $300.00 per Lot.
Notwithstanding any other provision herein, no Lot owned by Declarant
shall be subject to annual or other special assessments unless and until such
Lot has been sold or transferred to a third party. Thereafter, annual
assessments shall be determined by the Board of Directors, provided
however,that from and after January 1 of the year immediately following the
conveyance of the first Lot to an Owner, the maximum annual assessment
may not be increased each year more than ten percent (109/6) above the
maximum assessment for the previous year without the vote or written
assent of sixty percent (60%) of the membership.
Section 4.04 Notice of Quorum for any Action Authorized Under Section 4.03
Any action authorized under Section 4.03 shall be taken at a meeting called
for that purpose,written notice of which shall be sent to all members not less
than ten (10) days in advance of the meeting.
Section 4.05 Uniform Rate of Assessment
Both annual and special assessments must he fixed at a uniform rate for all
deeded Lots.
Section 4.06 Date of Commencement of Annual Assessments—Due Dates
The annual assessments provided herein shall be levied on the first day of
January following the closing of the sale to an individual Owner. Voting
rights attributable to property interest shall not vest until assessments against
such interest have been levied by the Association. The first annual
assessment for each Lot shall be adjusted according to the number of
months remaining in the calendar year. The Board of Directors shall fix the
amount of the annual assessment against each deeded Lot at least thirty (30)
days in advance of each annual assessment period. Written notice of the
annual assessment shall be established by the Board of Directors. The
Association shall, upon demand, and for a reasonable charge, furnish a
certificate signed by an officer of the Association setting forth whether the
assessments on a specific Lot have been paid.
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Section 4.07 Delinquent Dues and Assessments
After any dues or assessments have been delinquent for a period of two
months or more, the Association may mail to the Owner a notice of
delinquency. After .any dues or assessments have been delinquent for a
period of four months or more, the Association shall be entitled to file a lien
against the Owner's property, provided said Association has given notice of
delinquency thirty (30) days in advance that shall be filed in accordance with
the provisions of Title 71, Chapter 3, Montana Code Annotated (MCA). The
Association shall have all rights and remedies as provided herein.
Section 4.08 Waiver of Right to Protest
The Declarant and each Lot Owner, by entry into an agreement to purchase
a Lot and taking title to the same, waive the right to protest any special
improvement district created and of public record in existence prior in time
to Owner receiving title to any Lot.Additionally, Owners are advised that the
right to protest the creation of special improvements districts, park
maintenance districts, water and server districts, street light districts for
construction and maintenance of the same, and other maintenance or
infrastructure districts has been waived. In this regard, Owner,prior to taking
title to a Lot, is advised to review or seek advice with respect to the .records
of the Clerk and Recorder of Gallatin County,Montana.
ARTICLE 5. MAINTENANCE
Section 5.01 Landscaping
Owners are required to establish lawn or other suitable landscaping for their
Lot. They shall also mow, irrigate, control noxious weeds, and otherwise
maintain their Lot so that the landscaping does not detract from the general
appearance of the subdivision. To prevent the potential for groundwater
contamination, the amount and type of chemical applied to yards shall be
restricted to acceptable standards.
Section 5.02 Common Elements
The Association shall be required to repair and/or maintain storm water
surface channels, detention basins, and appurtenances; trails, paths, roads,
streets,or other surfaces providing common access for pedestrians,bicyclists,
vehicles, or other modes of transportation; or any open space, parks, or
recreation areas located within the subdivision. The cost of such maintenance
is included in and is a part of the assessment to which each Lot is subject.
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Section 5.03 Noxious Weeds
The control of noxious weeds by the Association on those areas for which
the Association is responsible and the control of noxious weeds by individual
Owners on their respective Lots shall be as set forth and specified under the
Montana Noxious Weed Control Act (1vICA 7-22-2101 through 7-22-2153)
and the rules and regulations of the Gallatin County Weed Control District.
The Owner shall be responsible for the control of the state and county
declared noxious weeds on his or her own Lot. Both unimproved and
improved Lots shall be managed for noxious weeds. In the event an Owner
does not control the noxious weeds, after 10 days notice from the
Association, the Association may cause the noxious weeds to be controlled.
The cost and expense associated with such weed management shall be
assessed to the Lot and such assessment may become a lien if not paid within
thirty (30) days of the mailing of such assessment. The Association is
responsible for control of state and county declared noxious weeds in the
subdivisions parks,open spaces,community areas,trails,and roadways.
ARTICLE 6. UTILITIES
Section 6.01 Refuse Disposal
No part of the above describe property shall be used or maintained as a
dumping ground for rubbish, trash, or garbage. All waste shall be kept in
sanitary containers. All incinerators or other equipment for the storage or
disposal of such material shall be kept in a clean and sanitary condition and
shall comply with all applicable laws and regulations.
Section 6.02 Easements
At no time will patios, barbecues, or other permanent structures be erected
upon any utility easement within the exterior boundary of a Lot. Fencing of a
permanent nature shall be permitted only if it is of a type that is easily and
quickly removed in the form of panels, gates, or other similar units of
construction.
Section 6.03 Reservations of Utility Easements
Each Lot in the above-described property shall be subject to an easement for
the purposes of constructing, operating, maintaining, enlarging, reducing,
removing, laying, or relaying lines and related facilities and equipment for
utilities including but not limited to those providing heat, communication,
electrical power,water,sewer,gas,and television.
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ARTICLE 7. GENERAL PROVISIONS
Section 7.01 Effects of Covenants on Mortgage
A breach of any of the foregoing provisions, conditions, restrictions or
covenants shall not defeat or render invalid the lien of any mortgage or deed
of trust made in good faith and for value on any Lot, or portion of any Lot,
and any improvements thereon, but said provisions, conditions, restrictions,
and covenants shall be binding upon and effective against any Owner thereof
whose title thereto was acquired by foreclosure,trustee sale,or otherwise.
Section 7.02 Incorporation by Reference
In any conveyance of the lands covered hereby, it shall be sufficient to insert
a provision therein to the effect that the conveyance is subject to the
restrictions and covenants contained in this document, without setting forth
such restrictions and covenants verbatim or in substance in such conveyance.
Section 7.03 Enforcement
Enforcement of these covenants shall be by procedure of law or in equity
against any person or persons violating or attempting to violate any
covenants,and the legal proceedings may be either to restrain the violation of
the covenants or to recover damages, or both. Each person who has been
found by court of competent jurisdiction to have violated one or more of
these covenants shall be liable for all attorney's fees and costs incurred in
connection with the litigation. The failure of any Owner or Owners of any
Lot to enforce any of the restrictions set forth herein shall be personally
binding upon any person, persons, or corporation, only with respect to
breaches committed during its, his/her, or their ownership of or title to any
of said tracts and any part thereof.
Section 7.04 Severability
Invalidation of any of these covenants by a judgment or a court order shall in
no way affect any of the other provisions, but they shall remain in full force
and effect.
Section 7.05 Term of Declaration
The covenants and restriction of this Declaration shall run with and bind the
land in perpetuity.
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Section 7.06 Amendment
This Declaration may be amended by an instrument signed by the Owners of
not less than sixty percent (60%) of the Lots, each Lot being entitled to one
(1) vote. Notwithstanding the above, until seventy-five percent (750/0) of the
lots are sold or five years from the date hereof, the Declarant may amend the
covenants in their sole discretion.
Section 7.07 No Waiver
The failure of the Board or its agents to insist, in one or more instances,
upon the strict performance of any of the terms, covenants, conditions, or
restrictions of this Declaration, or to exercise any right or option herein
contained, or to serve any notice or to institute any action, shall not be
construed as a waiver or relinquishment, for the future of such term,
covenant, condition or restriction; but such term, covenant, condition, or
restriction shall remain in full force and effect.The receipt and acceptance by
the Board or its agent of the payment of any assessment from an Owner,
with knowledge of the breach of any covenant hereof, shall not be deemed a
waiver of such breach, and no waiver by the Board of any provision hereof
shall be deemed to have been made unless expressed in writing and duly
signed by or on behalf of the Board.
Section 7.08 Variances
The Board of Directors may allow reasonable variances and adjustments of
the foregoing covenants, conditions, and restrictions in order to overcome
practical difficulties and prevent unnecessary hardships in the application of
the covenants contained herein, or to grant variances for the purpose of
enhancing or protecting views, utilizing a lot to better advantage, preventing
the removal of trees, and enhancing the placement of improvements on the
property, provided this may be done in conformity with the intent and
purpose thereof, and also provided in every instance that such grants or
adjustments shall not be materially detrimental or injurious to other property
or improvements in the neighborhood. Notwithstanding the foregoing
provision, no variance shall be allowed that has the effect of creating
additional lots.
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IN WITNESS WHEREOF, the undersigne bein the Declarant herein, has
hereunto set their hand and seal the�_day o g ,20jo_�
FAIRVIEW INV - ,LLC
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Mem
STATE OF MONTANA )
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County of Gallatin )
On this day of ruur ,2007 ,before me,a Notary Public
for the State of Montana,personally appeared KINGDON GOULD IV,known to me to
be a_Member of FAIRVIEW INVESTMENTS,LLC,a Montana corporation, and
acknowledged to me they executed the same pursuant to the power and authority vested in
them.
IN WITNESS WHEREOF, I have hereunto set my hand and affixed by Notarial
Seal as of the day and year first above written.
P5 EAST —�
NoTARlg4 0 Notary Public for the State of Montana
0 Residing at ,%ale n le,46z
SEAL My Commission Expires /0130/2009
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