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HomeMy WebLinkAbout181 FM 4264 ` FILM 181P�Cf42fi� DECLARATION FOR GLENWOOD MEADOWS CONDOMINIUM AND BY-LAWS OF THE ASSOCIATION OF UNIT OWNERS DECLARANT GLENWOOD MEADOWS, L.L.C. 2722 WEST MENDENRALL BOZEMAN, MT 59718 i FILM 181��r`4265 DECLARATION FOR GLENWOOD MEADOWS CONDONINIUK INDEX I. DEFINITIONS (Page 1 ) 1. Aggregate Voting _ 2. Allocated Interest 3. Association of Unit Owners - 4. Board or Board of Directors 5. Building 6. Bylaws 7. Common Elements a. General Common Elements b. Limited Common Elements S. Common Expenses 9. Declaration 10. Declarant 11. Limited Expenses 12. Manager 13. Property 14. Record Officer 15. Unit 16. Unit Designation 17. Unit Owner or Owners 18. Mortgagee 19. Majority or Majority of the Unit Owners 20. Project II. REAL PROPERTY (Page 5) 1. Description 2. Condominium unit as a separate and individual fee simple interest in real estate 3. Encroachments 4. Buildings 5. Unit Boundaries 6. Construction Materials III. EASEMENT, COMMON ELEMENT - INTERIOR AND EXTERIOR MAINTENANCE, REPAIR & REMODELING (Page 7) 1. Common Element Easements 2. Interior and Exterior Maintenance and Repair IV. OWNERSHIP AND VOTING - EXHIBITS - USE - ARCHITECT'S CERTIFICATE - CONSTRUCTION OF BUILDINGS AND UNITS (Page 7) 1. Allocated Interest 2. Site Plans, Floor Plans, Elevations and Exhibits 3. Use a. Rent or Lease b. Maintenance of units C. Insurance d. Signs, Awnings, Canopies, Antennas B. Nuisances f. Structural Changes McGOUGH/GLENWOOD IND f ItM g. Fencing h. Pets I . Storage J . Junk k. Semi Tractors and Trucks I. Yard M. Alteration or Construction 4. Service of Process 5. Exclusive Ownership 6. Declarant's Special Rights - Delayed Construction of Buildings and Units - Changes xn Design - Adjustment of Assessments V. THE ASSOCIATION (Page 12) 1. Membership 2. Function 3. Vote 4. Failure to Comply 5. Payment of Assessments - When Due 6. Unpaid Assessments 7. Unpaid Assessments - Mortgagee 8. Levying Assessments - When Made - Purposes VI . AMENDMENT (Page 18 ) VII. CHANGES, REPAIRS AND LIENS (Page 20) 1. Alterations By Unit Owners 2. Interior Maintenance By Unit Owner 3. Exterior Alterations 4. Exterior Maintenance By Unit Owner 5. Liens for Alterations 6. Claim for assessments and expenses - priority of lien - contents - recording 7 . Foreclosure on unit - payment of rent - purchase of unit by Manager or board of Directors 8. Purchaser at foreclosure sale not totally liable for prior common expenses 9 . Joint liability of grantor and grantee for unpaid common expenses 10. Insurance a. Types of Insurance 1. Named Insurance on Building Improvements and Units - Personal Property b. Insurance Trustee C. Benefit to Mortgagees 11. Reconstruction a. Repair After Casualty 1 . Lesser Damage 2. Not Tenantable and Election not to Rebuild 3. Election not to Rebuild 4. Certificate b. Plans and Specifications W-GOUGN/GU NWOOD IND F�L�+ iR1���E426"7 C. Responsibility d. Assessments e. Construction Funds f. Surplus VIII. EXPANSION OF THE CONDOMINIUM ( Page 26) IX. INTERPRETATION (Page 29 ) X. REMEDIES (Page 29 ) XI. SEVERABILITY (Page 30) XII . MISCELLANEOUS (Page 30 ) 1 . Utility and Structural Easements 2. Right of Access 3. Expenditures 4. Benefit 5. Warranties 6. Notification of First Mortgage 7. First Mortgagees' Right 8. Unit Ownership Act 9. Fees and Costs in Action to Enforce BY-LAWS FOR GLENWOOD MEADOWS_CONDOMINIUM 1. Purpose and Application (Page 1 ) 2. Membership (Page I ) 3. Obligations ( Page 1 ) 4. Meeting and Voting ( Page 2) A) Annual Meeting B) Special Meeting C) Matters to be Raised at Special Meeting D ) Notices E ) Quorum F) Voting 5. Voting Interest ( Page 3 ) 6. Board of Directors ( Page 4) 7. Officers of the Board of Directors (Page 4) a. Powers and Duties of the Board of Directors (Page 5 ) 9. Vacancies and Removal (Page 7) 10. Compensation (Page 7) 11 . Manager (Page 7 ) A) Accounts 1 ) Current Expenses 2 ) Reserve for Maintenance Repair or Replacement 3. Betterments B) Budget C) Financial Report D) Board as Manager E) Manager's Authority Mcf]DUGH/GLENW00D IND i 12. Amendment of Bylaws (Page 9 ) _ 13. Assessments (Page 10) 14. Notice of Default to Mortgagee (Page 10) 15. Notices - Damages (Page 10) 16_ Due Process by Association (Page 10) 17. The Declaration (Page 11 ) McGOUGH/GLENWOOD IND 4,'14269 DECLARATION FOR GLENWOOD MEADOWS CONDOMXNIUM BY THIS DECLARATION, made this y day of February, 1998, by GLENWOOD MEADOWS, L.L.C. , (Declarant) of 2722 West Mendenhall, Bozeman, Montana 59718, the real property hereinafter described is submitted to the provisions of the Montana Code Annotated, Title 70 Chapter 23, which Chapter is also known as the "Unit Ownership Act - Condominiums" . The property subject to this Declaration shall be known as "Glenwood Meadows Condominium, " hereinafter referred to as "Condominium". The Condominium is located on the real property described on the site plan attached as Exhibit A, City of Bozeman, Gallatin County, Montana. A nonexclusive Easement over and under Meghans Way for ingress and egress and utilities is reserved unto Declarant, his successors and assigns to be used for Declarants adjacent properties. I. DEFINITIONS Unless the context expressly provides otherwise, the following definitions shall pertain throughout this Declaration and in the interpretation thereof: 1. Ag rg ggate Votinq: The term "aggregate voting" shall mean the entire number of votes present or available to vote in person or by proxy in a particular circumstance. 2. Allocated Interest: The term "allocated interest" means the percentage interests allocated to each unit that is the undivided percentage interest in the common elements, the common expense liability and votes in the Association. 3. Association of Unit Owners: The terms "Association", "Association of Unit Owners" or "Association of Unit Owners of Glenwood Meadows Condominium" shall mean all of the unit Owners acting as a group and in accordance with duly adopted Bylaws and this Declaration, 4. Board Or Board of Directors: The terms "Board" or "Board of Directors" shall mean the Hoard of Directors of the Association as more particularly defined in the Bylaws. MCGOUGH/GLENWOOD.DEC DECLARATION FOR GLENWOOD MEADOWS CONDOMINIUM - 1 i 5. Building: _ The term "building" means the structure containing a unit shown on the site plan and floor plans attached hereto and by this reference made a part hereof. 6. laws: The term "Bylaws" means the Bylaws promulgated by the Association under this Declaration and the Unit Ownership Act. The initial Bylaws are attached hereto. 7. Common Elements: a. General Common Elements: General c anyion elements include all those elements which are for the use of all residents and guests of residents of the Condominium, including but not limited to: park areas, sidewalks, streets and easements, utility lines, and other elements necessary for the safety, maintenance and existence of the Condominium and in which each unit owner shall have his or her designated percentage of interest_ Unit owners may add or delete common elements by amendments to this Declaration. The general common elements for park areas, streets, sidewalk, and utility easements are shown on the site plan. b. Limited Common Elements: Limited common elements shall mean those common elements which are reserved for the use of fewer than all of the unit owners, residents, and guests of the unit Owners. Specifically, as to any given unit Owner or Owners, limited common elements shall mean the following common elements which are located within, affixed to the building containing a unit in which these elements are located, or upon the real property herein described: The area within the lots shown on the site plan as limited common areas surrounding each unit. Any chute, flue, duct, wire, pipe, sewer or water line, service line, utility meters, utility line, conduit, bearing wall, bearing column, or any other fixture which lies partially within and partially outside the designated boundaries of a unit, any portion thereof serving only that unit is a limited common element allocated solely to that unit, and any portion thereof serving more than one unit or any portion of the common elements is a part of the common elements. Areas indicated as limited common elements on the site MCGOUGH/GLENWOOD-DEC DECLARATION FOR GLENWOOD MEI�DOWS CONDOMINIUM - 2 NO 180r!4271 plan or on the floor plans, used by or serving less than all of the units, including yards, patios, entry ways, decks, fencing, walkways, parking areas, driveways and stairways, fixtures, or other portions of the property servicing only a particular unit or less than all of the units are limited common elements. The percentage interest of the units in the limited common elements shall be computed by determining the number of units that have use of the limited common elements and taking the value of each such unit and dividing it by the total value of the unit(s) making use of the particular limited common element. Such values shall be the same as the values used to initially compute the percentage of interest of the unit Owners in the general common - elements and shall be the stated value of the units as set forth in this Declaration, regardless of any fluctuations in actual market value. The exterior walls, crawl spaces, and roofs of each unit are limited common elements for each unit. The yard space, lawn area surrounding the unit, walk ways, driveways, and parking areas shown within the lot lines around each unit on the site plan are limited common for each unit. 8. Common Expensest The term "common expenses" means expenses of administration, maintenance, repair or replacement of common elements, and expenses agreed upon as common by the unit Owners, and expenses declared common by the Unit ownership Act or this Declaration or the By-Laws. 9. Declaration: The term "Declaration" means this document and all parts attached hereto and incorporated by reference and all amendments thereto and it is the instrument by which the property is submitted to the provisions of the Unit Ownership Act. The acquisition of an ownership interest or lien holder's interest in a unit signifies that the Owner or lienholder accepts, ratifies and agrees to comply with the terms and conditions of this Declaration. 10. Declarant: The term "Declarant" means the Glenwood Meadows, L.L.C. , the entity that subjected the property to the Unit Ownership Act, and its successors and assigns. McGOUGH/GLENWOOD DEC DECLARATION FOR GLENWOOD MEADOWS CONDOMINIUM - 3 FILM i81 PPA272 11. Limited Expenses: The term "limited expenses" means the expenses attributable to the maintenance, repair and replacement of limited common elements and which are expenses only for Owners of units within the building for which such expenses are incurred. 12. Manager: The term "Manager" means the Manager, the Board of Directors, management company or any other person or group of persons retained or appointed by the Board of the Association of Unit Owners for the purpose of the administration of or managing the property. 13. Property: The term "property" means all of the land, buildings, improvements, facilities and structures thereon and all easements, rights and appurtenances belonging thereto, which are submitted to the Unit Ownership Act. 14. Record Officer: The term "record officer" means the county officer charged with the duty of filing and recording the deeds, mortgages and all other instruments and documents affecting the title to real property. 15. Unit: The term "unit" shall be the separate condominium units of Glenwood Meadows Condominium and is a parcel of real property including the building and containing the rooms occupying one or more floors or part of parts thereof, intended for any type of independent use, and with a direct exit to a pathway, street or roadway, or to a common area or areas leading to a pathway, street or roadway. lb. Unit Designation: The term "unit designation" means the number combination letter or thereof designating a unit in the Declaration. 17. Unit Owner Or Owners: The terms "unit owner" or "owners" means the person or persons owning a fee simple absolute or an ownership interest represented by a buyer' s interest in a contract for deed as shown by an abstract or notice of purchaser's interest recorded with the Clerk and Recorder of Gallatin County, Montana, individually or as a co-owner in any real estate tenancy relationship that is recognized under the laws of the MCGOUGH/GLENWOOD.DEC DECLARATION FOR GLENWOOD MEADOWS CONDOMINIUM - 4 FIN 181 AC14273 State of Montana in one or more units of the Condominium. A mortgagee shall not be considered a unit owner. 18_ Mortaaaee• The term "mortgagee" shall include mortgagees of any designated priority or any beneficiary under a mortgage, deed of trust or Montana Trust Indenture or a Seller under a Contract for Deed or any other lien holder. 19. Majority or Majority of the Unit Owners: The terms "majority" or "majority of the unit owners", unless otherwise provided in the declaration, means the Owners of more than fifty percent (50%) in the aggregate of the undivided ownership interests in the general common elements designated herein as the percentage of interest in such commnon elements appertaining to each unit as is expressed in this declaration. Whenever a percentage of the unit Owners is specified, percentage means such percentage in the aggregate of such undivided ownership. 20. Pro ect: The term "project" means a real estate Condominium project, a plan whereby a Condominium of two or more units located on property submitted to the provisions of the unit ownership offered or proposed to be offered for sale by separate unit. Ii. REAL PROPERTY I. Description. The real property, submitted to the Unit Ownership Act and included in the condominium, is described in the site plan attached as Exhibit A. SUBJECT TO existing easements, covenants, terms, conditions, obligations, disclosures, reservations, restrictions, conditions shown and delineated in the documents, plats and site plan filed or recorded with the Clerk and Recorder of Gallatin County, Montana, on the public records applicable to said real property and subject to zoning ordinances and use restrictions. Also subject to taxes, assessments and assessments levied by the City of Bozeman. An easement is reserved unto the Declarant and the Association over the general common areas and limited common areas for installation and rise of utility lines including an irrigation well and water lines. An easement is reserved unto the general public to walk upon the general common elements, provided the Association may restrict the general public to paths installed across the general McCOUGH/GLENWOOD.DEC DECLARATION FOR GLENWOOD MEADOWS CONDOMINIUM - 5 l FIN 181?AC{4274 common areas. TOGETHER WITH the tenements, hereditaments and appurtenances thereunto belonging or in anywise appertaining, and easements for ingress and egress, sewer and water lines, telephone and power and other utilities and cable services to each building and unit and reserving the use thereof to the unit owners. The Condominium shall consist of 14 units in fourteen buildings, that is each unit is contained in a separate building. The provisions of this Declaration and the Bylaws shall be construed to be covenants running with the land, including the building, improvements, easements, appurtenances and units, and shall be binding upon each unit Owner, their heirs, successors, personal representatives and assigns, as long as this Condominium Declaration and Bylaws are in effect. 2. Condominium unit as a separate and individual fee simple interest in real estate. Each unit, together with the appurtenant undivided interest in the limited and general common elements of the Condominium, shall together comprise a Condominium unit, shall be inseparable, and may be conveyed, leased, rented, devised, mortgaged or encumbered as a Condominium unit as a fee simple interest in a parcel of real property. 3. Encroachments. If any portion of the general or limited common elements encroaches upon a unit or units, a valid easement for the encroachment and for the maintenance of the same, so long as it stands, shall and does exist. If any portion of a unit encroaches upon the general common elements or limited common elements, or upon an adjoining unit or units, a valid easement for the encroachment and for the maintenance of the same, so long as it stands, shall and does exist. Such encroachments and easements shall not be considered or determined to be encumbrances either on the general common elements, the limited common elements, or on the units for purposes for marketability of title. In the event any unit common area or other structure is partially or totally destroyed and then rebuilt, the Owners of the unit or units agree that minor encroachment of parts of the building, units and general or limited common areas necessary or reasonable for the reconstruction shall be permitted and that valid easement for said encroachment and the maintenance thereof shall exist. 4. Buildings. The 14 units comprising the Condominium are contained in fourteen buildings. Each building contains one unit, each with one MCGOUGH/GLENWOOD.DEC DECLARATION FOR GLENWOOD MEADOWS CONDOMINIUM - 6 1 Film 181 Page 4274A floor and a crawl space. There is a garage attached to the first floor of each unit as shown on the site plan and floor plan. The garage is a part of each unit. 5. Unit Boundaries. Each unit shall include the building containing the unit that lies within the exterior boundaries of the walls, foundation and roofs of the unit. 6. Construction Materials. The principal material of construction of the units is concrete for the foundation and footings; slabs for the garages; wood for the framing and structural; sheetrock for the interior walls and ceilings; carpet, wood or vinyl for the floors; wood or vinyl siding for exterior wall surfaces; and asphalt shingles for the roofs of the building. IZI. EASEMENT, COMMON ELEMENT -- INTERIOR AND EXTERIOR MAINTENANCE. REPAIR &_REMODELING 1. Common Element Easements. A non-exclusive right and easement for ingress and egress, streets, water and sewer lines and facilities and other utilities, service cables, and support through the common elements is reserved and appurtenant to each unit and all such common elements are subject to such rights. 2. Interior and Exterior Maintenance and Repair. Each unit Owner shall have the exclusive right and obligation, at the unit owner's cost, to paint, repaint, tile, wax, paper, panel, carpet, brick, re-roof or otherwise maintain, refinish and decorate the interior and exterior surfaces of the walls, ceilings, floors, roofs, windows and doors within or without his or her own unit, and the interior thereof, so long as such Owner does not affect the structural integrity or change the basic color scheme, appearance, materials, or style of the exterior of the building in which his or her unit is located, without the written approval of the Association. Any remodeling or addition to the exterior or structural components of a unit shall require the approval of the Association. IV. OWNERSHIP AND VOTING - EXHIBITS - USE - ARCHITECT'S CERTIFICATE - CONSTRUCTION OF BUILDINGS AND ZITS MCGOUGH/GLENWOOD.DEC DECLARATION FOR GLENWOOD MEADOWS CONDOMINIUM - 7 f11M ISIPACF4275 1. Allocated Interest. Each unit Owner shall be entitled to the exclusive ownership, use and possession of his or her unit and the allocated interest or percentage of undivided interest of each unit Owner in the general common elements of the Condominium. Such interest represents his or her undivided ownership interest in the general common elements and each unit Owner' s responsibility and liability for common expenses and votes in the Association. Each unit Owner shall own an allocated interest or a percentage interest in the general common elements based upon the approximate relation that the value of the unit, on the date of this Declaration, bears to the then combined value of all units having an interest in the general common elements. The approximate total square feet of each unit (excluding the garage) and the percentage of interest of each unit in the common elements which is based upon the proportionate value for each of the units in the Condominium is set forth below. A garage is attached to each unit but not included in the square foot computation for each unit. ALLOCATED INTEREST OR SQUARE FEET PERCENT IN INTEREST IN UNIT NUMBER(S1 OF UNIT GENERAL COMMON ELEMENTS 104 1,280 7.84% 105 1,067 6.54% 106 1,280 7.84% 107 1,067 6. 54% 108 1, 280 7.84% 109 1,067 6.541 110 1,280 7.84% ill 1, 067 6.54% 112 1,280 7.84% 113 1,067 6. 54% 115 1 , 280 7.84% 2721 1,067 6. 54% 2723 1,067 6. 54% 2727 1, 172 7. 18% Total: 16,321 100.00E 2. Site Plans, Floor Plans—Elevations And Exhibits. For identification and descriptive purposes, the following Exhibits are attached hereto and by this reference incorporated into and made a part of this Declaration showing the site plan, floor plans of the building and each of the units: Exhibit "(A) " . MCGOUGH/GLENWOOD DEC DECLARATION FOR GLENWOOD MEADOWS CONDOMINIUM - 8 f It O i91 nT1427f . Site Plan: Showing the description of the real property in the condominium and a site plan of the Condominium on the real property and the location of the buildings containing the Condominium units on the property, the location, layout and designation of each unit, the typical condominium dimension for each units, and the location of the street, driveways, sidewalks, garages, and general and limited common areas. Exhibits A-1 to E-2 Floor Plans: Showing the floor plan for each of the buildings and units as shown on the site plan, including the attached garages of each unit, approximate area of each unit, and the dimensions and elevations of each unit. Exhibit "(C)" . A verified statement by the registered architect, registered professional engineer, or registered professional land surveyor who has reviewed the floor plans and site plan, certifying that the plans are an accurate copy of the plans filed with and approved by the city and county officers having jurisdiction to issue building permits, if any; that the floor plans and site plan fully and accurately depict the layout of units and floors of the buildings, location, unit designation, square feet, dimensions, elevation and floor plans of each of the units as built, and the date construction of each of the buildings and units were completed. The form of the verified statement is attached hereto as Exhibit C. If all of the units are not completed on the date this Declaration is recorded, within thirty days from the date of completion of a building, an amendment to the Declaration shall be recorded, executed by Declarant, to which shall be attached a verified statement of a registered architect, registered professional engineer, or registered professional land surveyor, certifying that the floor pans and site plan previously filed or being filed simultaneously with the amendment fully and accurately depict the layout, location, unit designation, square feet, and dimensions of the units and floors of the buildings as shown on the site plan and floor plans as built and the date construction of each unit and building was completed. 3. use McGOUGH/GLENWOOD.DEC DECLARATION FOR GLENWOOD MEADOWS CONDOMINIUM - 9 s fit" 181 PACE 4277 The units and common elements shall be occupied and used as follows: (a) The units shall be used for residential purposes only. The Owner of a unit may rent or lease the unit to third parties for residential purposes. Any rental or lease is subject to the conditions, provisions Covenants and restrictions contained in this Declaration, and is further subject to the Bylaws. (b) Except as provided elsewhere in this Declaration, and except for Declarant' s Special Rights, there shall be no obstruction of the common elements nor shall anything be stored in or on the common elements without the prior written approval of the Association. Each unit owner shall be obligated to maintain and keep in good order and repair his or her own unit. if the unit owner fails to maintain and keep in good condition and repair his or her unit or limited common yard area, upon 30 days written notice by the Association to the unit owner of such failure the Association may make the repairs or maintenance and charge the owner for the costs thereof. (c) Nothing shall be done or kept in any unit or in the garages or common elements which will substantially increase the rate of insurance on the building, or contents thereof, without the prior written approval of the Association. No Owner shall permit anything to be done or kept in his or her unit or in the common elements which will result in the cancellation of insurance on the building, or contents thereof, or which would be in violation of any law. No waste will be permitted in the common elements. (d) No signs, awning, canopy, antenna shall be affixed to or placed upon the windows, exterior walls or roof of the building, or on any common area or any part thereof, without the prior written approval of the Board of Directors of the Association. (e) No nuisances shall be allowed upon the property nor shall any use or practice be allowed which is a source of abnormal annoyance to the Owners of the units or which interferes with the peaceful possession and proper use of the property by its Owners or lessees. No immoral, improper, offensive or unlawful use shall be made of the property nor any part thereof; and all valid laws, zoning ordinances and regulations of all governmental bodies having jurisdiction thereof shall be observed. ( f) Nothing shall be done in any unit or in, on, or to the common elements which will impair the structural McGOUGH/GLENWOOD.DEC DECLARATION FOR GLENWOOD MEADOWS CONDOMINIUM - 10 1 n� ISIM14279 Integrity of the building or which would structurally change the building, except as is otherwise provided herein. (g) Fencing shall not be allowed in the front yards. Fencing shall be allowed along the back and side lot lines in the back yard of the lots provided the fence shall not extend along the side lot lines beyond the back of house. The - fences surrounding the back and side lot shall be five feet in height. (h) No more than one dog and no more than two pets shall be allowed per unit. ( i) No storage outside of the unit and garage shall be allowed. All materials, equipment, recreational vehicles and other equipment (boats, trailer, law mowers, snow blowers, four wheelers, snowmobiles, etc) shall be stored inside. (J ) No abandoned vehicles, ,junk vehicles or junk are allowed. - (k) No semi tractors, semi trailers, or trucks exceeding a one ton series shall be allowed to be parked or remain on the property or the streets. ( 1) Each unit owner shall be responsible for and have the duty to maintain and care for the yard and landscaping and vegetation on the lot around his or her unit. (m) Except as set forth in this Declaration, and except as allowed under Article VIIl, "Expansion of the Condominium" and under Article IV, paragraph 6, "Declarant's Special Rights" , nothing shall be altered or constructed in, on, or removed from the common elements, except upon favorable vote of seventy-five percent (75%) of the unit Owners based upon one vote per unit except as shall be necessary and reasonable to construct, repair, replace and maintain the original units and building in accordance with the floor plans and site plan. 4. Service of Process. The name and address of the person designated to receive service of process for the Condominium until another designation is filed of record shall be Stephen P. McGough of 2722 West Mendenhall, Bozeman, Montana 59718. 5. Exclusive Ownership. Each Owner or Owners shall be entitled to exclusive ownership and possession of their unit. Such Owner or Owners may use the McGOUGH/GLENWOOD.DEC DECLARATION FOR GLENWOOD MEADOWS CONDOMINIUM - 11 FIN 181?,�r�42?9 general and limited common elements in accordance with the purposes for which they are intended and as they may otherwise agree between themselves, so long as they do not hinder or encroach upon the lawful rights of other unit Owners. 5. Declarant's Special Rights - Delayed Construction of Buildings and Units - Changes in Design - Adjustment of Assessments. The Declarant reserves all the rights necessary to construct the buildings and units and to integrate and hook up the units into and onto the common elements. The Declarant and the Association reserve the right and necessary easement in the general and limited common areas to install a well and irrigation system and lines for the use of the unit owner and to irrigate the common areas. The Declarant shall not be required to construct all of the buildings and units shown on the site plan and floor plans during a specified period of time. Declarant reserves the right to make design changes to the interior floor plans and outside dimensions of the unbuilt buildings and units and the resulting changes to the _ site plan and floor plans. No more than 14 buildings and 14 units shall be constructed on the Condominium property unless the Condominium is expanded pursuant to Article VIII. A unit owner's respective percentage interest in the common elements shall not be changed by Declarant's changes in the buildings or units floor plans or site plan, unless the condominium is expanded. Until a unit is completed and ready for occupancy (built unit) , the assessments allocable and chargeable to the Declarant shall be adjusted to reflect Declarant's prorated share of the assessments for the budgeted items and assessments for the general common elements relating to the unbuilt units and Declarant shall not be charged with or pay for assessments relating only to the built units. For example, Declarant shall not be charged for assessments for insurance, maintenance and repairs and other assessments solely attributable to the built units (unless Declarant is an owner of a built unit). However Declarant will be charged for assessments for common expenses which are attributable to the general benefit all the built and unbuilt units, such as liability insurance, maintenance of streets, walkways, park and easement areas, snow plowing, administrative and operating expenses and costs of the Association, and the like. In this connection, the Declarant shall not be entitled to vote as a unit owner on the budget for the expenses solely attributable to built units (except as to built units owned by developer) until a unit is completed and ready for occupancy at which time the unit shall be subject to all assessments. The rights and obligations herein set forth shall accrue to and be binding upon the Declarant, the owners, the Association and their successors and assigns. The Declarant's rights herein set forth in this Declaration and the Bylaws shall be fully transferrable and in whole or in part assignable by Declarant to a third party or Mortgagee. Upon such McGOUGH/GLENWOOD.DEC DECLARATION FOR GLENWOOD MEADOWS CONDOMINIUM - 12 rRM 18VAA280 transfer or assignment, the transferee or assignee shall succeed to such rights of Declarant. V. THE ASSOCIATION 1. Membership. An Owner of a unit in the Condominium shall automatically, upon becoming the Owner of said unit, become a member of the Association of unit Owners, hereinafter referred to as the "Association", and shall remain a member of said Association until such time as his or her ownership ceases for any reason, at which time his or her membership in said Association shall automatically cease. The membership shall be limited to unit Owners as defined in this Declaration. However, a member may by proxy or power of attorney appoint another person or entity to vote for the member. 2. Function. It shall be the function of the Association to: (a) Adopt Bylaws for the governance of the Association. (b) Make provisions for the general management of the Condominium. (c) Levy assessments as provided for in this Declaration, the Bylaws and the Unit Ownership Act. (d) Adopt and implement a policy for the affairs of the Condominium. (e) Enter into contracts to hire personnel for the management of the affairs of the Association and the maintenance and repair of the common areas. ( f ) The Association shall also have the power to implement such reasonable rules and regulations as to the use by the unit Owners of the common areas. 3. Yote. On all matters, unless excluded by this Declaration to be decided by the Association, each unit Owner shall have a vote equal to his or her percentage of interest in the general common elements. An Owner of a Condominium unit, upon becoming an Owner, shall be a member of the Association and shall remain a member for MCGOUGH/GLENWOOD.DEC DECLARATION FOR GLENWOOD MEADOWS CONDOMINIUM - 13 FIN 181?V4281 the period of his or her unit ownership. Except as otherwise provided in Montana law, this Declaration, or the Bylaws, a majority of the aggregate interest present at any meeting or by proxy or by authorized agent or voting on a matter by mail ballot delivered to the unit owners by the Board, shall be sufficient to act on matters brought before the Association. 4. Failure To Comply. Each Owner shall strictly comply with the provisions of this Declaration, the Bylaws of the Association, and the rules, regulations, decisions and resolutions of the Association adopted pursuant thereto as the same may be lawfully amended from time to time. Failure to comply with any of the same shall be grounds for an action to recover sums due for damages or injunctive relief or both, and for reimbursement of all costs, including reasonable attorney's fees incurred in connection therewith, which action shall be maintainable by the Manager or by the Board of Directors in the name of the Association, on behalf of the Owners or by an aggrieved Owner where there has been a failure of the Association to bring such action within a reasonable time, or by Declarant, its successors or assigns. 5. Payment Of Assessments - When Due. All assessments shall be due within thirty days from the due date set forth in the mailing of such assessments following the meeting at which time assessments are levied by the Association and may be payable in monthly, quarterly or annual installments at the option of the Board. The amount of the common expenses assessed against each Condominium unit and the amount of limited common expenses assessed against each Condominium unit shall be the personal and individual debt of the owner thereof. No Owner may exempt himself or herself from liability for this contribution toward the common expenses and the limited common expenses by waiver of the use or enjoyment of any of the general common elements or limited common elements or by abandonment of his or her unit. All assessments which are not paid within thirty days from the date they are due and payable become delinquent and are subject to interest and penalty charges. The Association, Board of Directors or Manager shall have the responsibility of taking prompt action to collect any unpaid assessment which becomes delinquent. In the event of delinquency in the payment of the assessment, the unit owner shall be obligated to pay, in addition to the assessment, interest at the rate of twelve percent ( 12%) per annum on the amount of the assessment from the date delinquent; and if an attorney is engaged to collect the delinquent assessment and interest or if an attorney is engaged to foreclose the lien for the unpaid assessment, the unit Owner who is delinquent shall reimburse the Association for its costs and attorney' s fees. McGOUGH/GLENWOOD.DEC DECLARATION FOR GLENWOOD MEADOWS CONDOMINIUM - 14 M 181M14282 _ (a) Common expenses and common profits, if any, and, limited common expenses of the Condominium shall be distributed among, and charged to, the unit Owners according to the percentage of interest of each in the common elements. (b) Except as otherwise limited in this Declaration, each unit owner shall have the right to use the common elements for all purposes incidental to the use of and occupancy of the respective unit as a residence, and such other incidental uses permitted by the Association, which rights shall be appurtenant to and run with the unit. 6. Unpaid Assessments. All unpaid assessments for the common expense and limited common chargeable to any unit shall constitute a lien on such unit prior to all of the liens except only: ( 1 ) Real estate taxes and assessments on the unit in favor of any legal assessing unit and special improvement district: and, ( 2) All sums unpaid on the first mortgage filed of record. Such lien may be foreclosed by suit, by the Manager or by the Board of Directors, acting on behalf of the Owners of the units, in like manner as a mortgage of real property. In any such foreclosure, the unit owner shall be required to pay a reasonable rental for the unit, if the Owner fails to give up possession after the entry of the decree or order of foreclosure. The Manager or the Board of Directors, acting on behalf of the Association, shall have the right to bid on the unit at a foreclosure sale, and to acquire and hold, lease, mortgage, sell and convey the same, provided the bid shall not exceed the amounts owing the Association without the approval of seventy-five percent (75% ) of the votes of the Owners. Suit to recover a money .judgment for unpaid common expenses shall be maintainable without foreclosing or waiving the lien securing the same. It shall not be necessary to record a lien for delinquent assessments before suit may be brought. 7. Unpaid Assessments _- Mortgagee. Where the mortgagee of a first mortgage of record or other purchaser of a unit obtains title to the unit as a result of foreclosure of the first mortgage, such acquirer of title and his or her successors and assigns, shall not be liable for the share of common expenses and assessments by the Association, chargeable to such unit, which become due prior to the acquisition of title to such unit by such acquirer. Such unpaid share of common expenses or assessments shall be deemed to be common expenses collectible from all of the units, including such acquirer and his or her successors and assigns. However, the Owner of the unit when the MCGOUGH/GLENWOOD.DEC DECLARATION FOR GLENWOOD MEADOWS CONDOMINIUM - 15 fl�M i�1��4�33 assessment is made shall remain personally liable for the assessment. 8. Levying Assessments - When Made - Purposes. The Association of Unit Owners shall levy assessments upon the unit owners in the following manner and for the following reasons: (a) Assessments for the annual expenses of the Association shall be made at the annual meeting of the Association as provided in the Bylaws of the Association. Assessments may be made for special purposes at any regular, annual or special meeting of the Association thereof or approved by mail ballot delivered to the unit owners. The Board of Directors shall cause a preliminary annual budget for income and expenses to be proposed and delivered or mailed to each unit Owner prior to the annual meeting at which assessments are to be levied. The preliminary annual budget shall be reviewed, amended if necessary and discussed and voted upon at the annual meeting of the Association. A final budget must be approved by a majority of the unit Owners present, voting by mail ballot, voting by proxy or by authorized agent at the annual meeting and the budget shall be amended until so approved. All assessments shall be fixed by a majority vote of the Board of Directors based upon the annual budget approved by the unit Owners. Written notice of any special assessments, the amount thereof, and the purpose for which it is made, shall be delivered to all unit Owners affected by the special assessment by mailing or delivering a copy of the notice to the unit Owners at their address of record at least thirty (30) days prior to the date of such meeting. At such meeting, the approval of such special assessments shall require a seventy-five percent (75% ) vote or written approval of the allocated percentage interests of the unit Owners affected by such special assessments. A special assessment may also be approved without a meeting by 75% of the percentage interests of the unit owners voting in favor of the special assessment by mail ballot. (b) Annual assessments may be made for the repair, insurance, replacement, general maintenance of the Condominium and common elements, snow removal, purchase of items for the use of the Condominium, maintenance and repair of sidewalks, streets, park areas, easements, management and administration of common elements, fees, costs and expenses of the Manager, repairs, maintenance and taxes for common elements or units owned by the Association, if any, and for the unit Owner's percentage share of any services or provisions for water, sewer, power, television, Special Improvement District assessments, or any other services provided including professional fees MCGOUGH/GLENWOOA.DEC DECLARATION FOR GLENWOOD MEADOWS CONDOMINIUM - 16 RN 181 PA284 and costs of collection of assessments and fees and costs of enforcement of this Declaration or the Hy-Laws. The assessments shall include the charges for city sewer and water provided to the units by the city and billed to the Association. Assessments shall be based upon and computed by using the allocated percentage of interest that each unit Owner has in relation to the common elements. Except in unusual circumstances where the Association owns a unit or common element, the unit Owners will be separately assessed by the taxing authorities for taxes and assessments for their unit and percentage interest in the common area and elements and billed individually by the County. The individual unit Owners, and not the Association, shall pay the tastes and assessments on each Owner's Units. (c) Assessments may also be made for the payment of limited common element expenses; provided that the Unit Owners are chargeable only for the limited common element expenses relating to their respective units. unit Owners shall share in the payment for such limited common expenses for the repair, maintenance and replacement of limited common elements of their respective units in accordance with each unit's proportionate share, use or ownership in the limited common element for which the assessment is being made. If only one unit is involved for which the assessment is associated with the limited common elements, then the entire cost of such repair, maintenance or replacement shall be borne by that unit, including insurance. The yard maintenance and landscaping of the lots surrounding each unit and the limited common elements within the lot lines are the individual unit owner responsibility. However, if the lot owner fails to maintain their limited common elements, the Association shall do so after reasonable notice to the unit owner and shall charge the unit owner for the costs thereof. (d) Assessments may be made for improvements, repair and replacement of utility and service lines, garbage and snow removal, improvement maintenance, care of the park and easement areas, streets and walkways, and services rendered by or to the Association. Assessments may also be made for any purpose contemplated by this Declaration and for any purpose set out in the Montana Unit Ownership Act. (e) Special assessments for Improvements, amenities, or agencies and other special projects may be made if approved by seventy-five percent (75% ) of the votes of the unit owners affected by such special assessments. Special assessments are defined as assessments which are for a special project expense McGOUGH/GLENWOOD.DEC DECLARATION FOR GLENWOOD MEADOWS CONDOMINIUM - 17 1 fRM 181W,14285 and not part of the annual budget and assessments. However, the repair, maintenance, management and continuing costs of a special project may be included in the annual budget after a special project is approved by the Owners. ( f) Common expenses and profits, if any, of the Condominium shall be distributed among and charged to the unit Owners according to the percentage of undivided interest of each in the common elements. All of the Owners of the units shall be chargeable for items of expenses common to all of the units, such as attributable to the common areas and elements. (g) In a voluntary conveyance of a unit, the grantee of the unit shall be ,jointly and severally liable with the grantor for all unpaid assessments by the Association against the latter for his or her share of the common expenses up to the time of the grant or conveyance, without prejudice to the grantee's rights to recover from the grantor the amounts paid by the grantee therefore. However, any such grantor or grantee shall be entitled to a statement from the Manager or Hoard of Directors of the Association, as the case may be, setting forth the amount of any unpaid assessments made by the Association against the grantor in excess of the amount therein set forth. (h) At the time the Association holds its first meeting, an Association bank account shall be set up in a financial institution in which initial assessments shall then be deposited. In addition to the initial assessment, there may be collected from the unit Owners at the time of the .initial assessment a sum that is equal to two times the monthly assessment fee for that unit to be placed in the assessment account as a reserve. The reserve shall be replenished as necessary by the unit Owners on an annual basis to maintain the reserve at two times the monthly assessment for all of the units. The assessments may be billed to the owners on a monthly, quarterly, annual or other convenient basis as determined by the Hoard of Directors. VI. AMENDMENT An amendment of this Declaration shall be made in the following manner: (a) At any regular, annual or special meeting of the Association of unit Owners or the Board of Directors, an amendment may be proposed as a resolution by the Declarant or at least 20% of the MCGOUGH/GLENWOOD.DEC DECLARATION FOR GLENWOOD MEADOWS CONDOMINIUM - 18 1 f1tM 181M42% unit Owners based upon the unit Owners' allocated percentages or by a majority of the Board of Directors. Upon adoption of the resolution by a majority vote of those Owners present, in person or by proxy, or by a majority of the Board of Directors, the proposed amendment shall be made a subject for consideration at a special meeting or the next succeeding regular or annual meeting of the Owners of the Association, with notice thereof, together with a copy of the proposed amendment to be furnished to each unit Owner at least ten days 3n advance of such meeting. At such meeting, the proposed amendment will be deemed approved and adopted upon receiving the favorable vote of seventy-five percent (75%) of the unit Owners' votes present, voting by mail, or voting by proxy. In lieu of a meeting of the unit Owners, the proposed amendment shall be deemed adopted if approved by a mail ballot by the vote of seventy- five percent (75%) of the total aggregate percentage interests of the unit Owners. A ballot for the amendment may be mailed to each unit owner or delivered personally and shall allow the unit owner to vote for or against the amendment by checking or making his or her choice and signing the ballot and returning the same to the Association on or before the date set forth in the ballot for return of the ballot to be counted. Each unit owners' vote shall be based upon such owners' allocated percentage. If the amendment is approved and adopted, it shall be the responsibility of the Association to file the amendment with the Clerk and Recorder's office of the county in which the Condominium is located, and upon filing this Declaration, shall be so amended. The chairman and secretary of the Board of Directors shall have the authority to certify that the amendment was property adopted and shall have the authority to sign, have acknowledged and file the amendment with the Clerk & Recorder of the county in which the original Declaration was recorded. (b) Declarant and its successors and assigns shall have the right and duty from time to time to amend this Declaration for the purpose of amending the site plan and floor plans, in accordance with this Declaration including Section IV, and for the buildings and units as the same are completed in accordance with the terms of this declaration and for the purpose of recording the verified statement of a registered architect, professional engineer or MCGOUGH/GLENWOOD.DEC DECLARA710M FOR GLENWOOD MEADOWS CONDOMINIUM - 19 1 fit" 181FAr-14247 - professional land surveyor certifying the completed buildings and units are built as shown on the original or amended floor plans and site plan units in accordance with the provisions of this Declaration. The Declarant shall not be required to obtain the approval or vote of the Owners or Association for amendments which the Declarant has the right to make under Section IV of this Declaration and each Owner, by the acceptance of a deed or other conveyance of a unit, consents and agrees to such rights and amendments. Declarant shall execute and have acknowledged any such amendment setting forth the items amended, which shall be recorded with the Clerk and Recorder of Gallatin County. Within 30 days after recording of such an amendment, the Declarant shall deliver a recorded copy thereof to the Association. The Association shall then mail a copy to the last know address of each unit owner. VII . CHANGES, REPAIRS_ AND LIENS 1. Alterations Hy Unit Owners. The interior plan of a unit may be modified by its Owner unless such modification affects the structural integrity of the building or a portion thereof and with the exception of the bearing walls which may not be moved. Except for Developers rights as set forth in these covenants, no such interior modifications shall affect the total square footage of a unit nor change the exterior appearance without the consent of the Association. No unit may be further subdivided. A change in the lot lines between units shall be first approved by the Association and set forth in an amendment to this Declaration. In addition to compliance with the provisions contained herein, such an amendment must further set forth and contain a site plan and floor plans to the units concerned showing layout of the units after the change and attached to the amendment as exhibits. 2. Interior Maintenance By Unit Owner. An Owner shall maintain and keep in repair the interior of his or her own unit and fixtures thereof. All fixtures, utility lines, lighting and equipment installed in the unit and within the limited common lot upon which the unit is located as shown on the site plan shall be maintained and kept in repair by the Owner thereof. An Owner shall do no act nor any work that will impair the structural soundness or integrity of the building, improvements, and fixtures, MCGOUGH/GLENWOOD.DEC DECLARATION FOR GLENWOOD MEADOWS CONDOMINIUM - 20 ISUVA284 or impair any easement. An Owner shall also keep all areas and limited common elements appurtenant to his or her unit in a neat , clean, and sanitary condition. The right of each Owner to repair, alter and remodel is coupled with the obligation to replace any finishing or other materials removed with similar types or kinds of material. No acts of alteration, repairing or remodeling by any unit Owner shall impair in any way the structural integrity of the units adjoining Owners or the structural integrity of limited common elements or general common elements. 3. Exterior Alterations. No Owner may change, alter or remodel the exterior of his or her unit without the prior written approval of the majority Board of Directors of the Association. Repair and maintenance of the exterior of a unit shall not require approval. 4. Exterior Maintenance By Unit Owners. Unit Owners shall care for, repair and maintain the exterior of the unit and building and exterior of the garages and the other limited common elements appurtenant to their unit including the yard, landscaping, driveway, walkways within the lot lines. Each yard shall be well maintained in grass shrubs and trees. The Owners shall be responsible for the snow removal for their limited common driveways and walkways and watering, mowing and caring for the yards unless the Association elects to offer these services for the Owners. The Board of Directors of the Association or its designated agent shall annually inspect the exterior of the buildings, garages and yards. Failure by an Owner to proceed with any necessary care, repairs or maintenance shall give the Association the right to cause such work to be done and bill the Owner therefore. Any first mortgagee, or representative of the same, upon written request, shall have the right to join in the annual inspection made by the Board of Directors and suggest needed repairs and maintenance necessary to preserve the security value of the mortgaged unit_ 5. Liens For Alterations. Labor performed and materials furnished and incorporated into a unit with the consent of or at the request of the unit Owner, his or her agent, or his or her contractor or subcontractor, may be the basis for the filing of a lien against only the unit or the unit Owner consenting to or requesting the same. Each unit Owner shall indemnify and hold harmless each of the other Owners from and against all liability arising from the claim of any lien against the unit or against the general common elements or limited common elements for construction performed or for labor, materials, services or other products incorporated in the Owner' s unit at such Owner' s request. MCGOUGH/GLENWOOD.DEC DECLARATION FOR GLENWOOD MEADOWS CONDOMINIUM - 21 I I� ' � `•' 42 6. Claim for assessments and expenses - _priority of lien - - contents - recording. Whenever the Association furnishes to a unit owner and/or a unit any services, labor, or material chargeable as common expenses, chargeable as individual expenses against a unit owner and lot unit or chargeable as assessments, the Association, upon complying with this section, shall have a lien upon the individual = unit, the limited common areas appurtenant to such unit, and the undivided interest in the common elements appertaining to such unit for the reasonable value of such expenses or assessments, and the lien shall be prior to all other liens or encumbrances upon the unit except: (a) tax and assessment liens; and (b) a first mortgage or trust indenture of record. The Association, through its Manager or Board of Directors claiming the benefits of subsection (1) of this section may file or record in the county in which the unit or some part thereof is located a Claim for Lien containing: (a) a true statement of the account due for such common expenses or individual expenses after deducting all just credits and offsets and a description of what the expenses and assessments were charged for; (b) the name of the Owner of the unit or reputed Owner, if known; (c) a description of the unit, sufficient for Identification; (d) a statement that the Association has a lien on the unit for such expenses or assessments. The claim shall be verified by the oath of a member of the Hoard having knowledge of the facts and shall be filed with the Clerk & Recorder of the county. The line may be foreclosed in a like manner as liens or mortgages against real estate. The Association may also elect to file a contractors lien under Montana Statutes. The lien may be enforced by the Manager acting on behalf of the Association of Unit Owners or by the Board of Directors. An action to recover a money judgment for unpaid expenses and assessments may be maintained by the Manager or Board of Directors without foreclosing or waiving the lien securing the claim for MCGOUGH/GLENWOOD.DEC DECLARATION FOR GLENWOOD MEADOWS CONDOMINIUM - 22 expenses or assessments. 7. Foreclosure on unit - payment of rent - purchase of unit_ Manager or Board of Directors. In any foreclosure suit against a unit, upon entry of the decree or order of foreclosure, the unit Owner shall be required to pay a reasonable rental for the unit if the unit Owner fails to give up possession unto the Association or purchaser, and the plaintiff in such foreclosure shall be entitled to the appointment of a receiver to collect the rent. The Manager or Hoard of Directors acting on behalf of the unit Owners shall have power, to bid on the unit at the foreclosure sale and to acquire and hold, lease, mortgage, sell and convey the same. 8. Purchaser at foreclosure sale not totally liable for prior Common expenses. Where the purchaser of a unit obtains title to the unit as a result of foreclosure of the first mortgage or trust indenture, such purchaser, his successors, and assigns shall not be liable for any of the expenses or assessments chargeable to such unit which became due prior to the acquisition of title to such unit by such purchaser. Such unpaid share of expenses or assessments shall be a expense of all the unit Owners, including such purchaser, his successors, and assigns. 9. Joint liability- of_ grantor anq__grantee for unpaid common expenses. In a voluntary conveyance of a unit, the grantee is jointly and severally liable with the grantor for all unpaid charges against the latter for his proportionate share of the common expenses, charges and assessments up to the time of the grant or conveyance, without prejudice to the grantee's right to recover from the grantor the amounts paid by the grantee therefor. However, upon request of a prospective purchaser or a closing agent, the Board of Directors or Manager shall make and deliver a statement of the unpaid charges against the prospective grantor and unit, and the grantee in that case is not liable for nor is the unit when conveyed subject to a lien filed thereafter for any unpaid charges against the grantor in excess of the amount therein set forth. 10. Insurance_ I. The unit Owners shall insure at their cost their individual units and other structures against loss or damage by fire and such other hazards in such amounts as shall be determined reasonable by the Hoard of Directors without prejudice to the right of each unit Owner to additionally insure his or her own unit or the contents for his or her own benefit. Each unit owner shall furnish evidence McGOUGH/GLENWOOD.DEC DECLARATION FOR GLENWOOD MEADOWS CONDOMINIUM - 23 i of such fire and hazard insurance to the Association upon request. The unit owner shall name any first mortgage as an insured under their fire and hazard insurance policies. (a) The Association is authorized to purchase and maintain such other insurance coverage for the units or common elements and for the Association as the Board of Directors shall determine shall be reasonable, including but not limited to, public liability insurance, fire and hazard insurance, casualty insurance, theft insurance, earthquake insurance and Directors' and officers' liability insurance. All insurance policies purchased by the Association shall be issued by an insurance company authorized to do business in the State of Montana. If the insurance is purchased by the Association, the following shall apply: ( 1) Named Insurance on Buildings _Improvements, and Units -_ Personal Property: The named insured shall be the Association and the Board of Directors or Manager shall be designated as the insurance trustee and the agent for the unit Owners without naming them. Payments for losses thereunder by the insurer shall be paid to the insurance trustee herein designated and all policies and endorsements thereon shall be deposited with the insurance trustee. Unit Owners may obtain insurance coverage at their own expense upon their own personal property and for their personal liability and living expenses. (b) Insurance Trustee. The Insurance Trustee is irrevocably appointed agent for the Association each unit Owner and for each Owner of a mortgage or other lien upon a unit and for each Owner of any other interest in the Condominium property to adjust all claims arising under insurance policies purchased by the Association and to execute and deliver releases upon the payment of claims. (c) Benefit To Mortgaaees. Certain provisions in this paragraph entitled "Insurance" are also for the benefit of mortgagees of Condominium parcels, and all such provisions are covenants for the benefit of any mortgagee of a unit and may be enforced by McGOUGH/GLENWOOD.DEC DECLARATION FOR GLENWOOD MEADOWS CONDOMINIUM - 24 F v such mortgagee. 12. Reconstruction. (a) R__pair After Casualty. If any part of the Condominium property shall be damaged by casualty, whether or not it shall be reconstructed or repaired, shall be determined in the following manner: ( 1 ) Lesser_ Damage. If a unit or units are found by the Board of Directors of the Association to be tenantable after the casualty, the damaged property shall be repaired by the unit owner. ( 2) Not Tenantable And Election Not To Rebuild. If a unit or units are found by the Hoard of Directors not to be tenantable after the casualty, the damaged property will be reconstructed or rebuilt by the unit owner; or if the Association and the Owner elects not to reconstruct or rebuild, then the property shall be subject to the applicable provisions of the Unit Ownership Act. (3 ) Election Not To Rebuild. In the event the Owner and Owners` Association elects not to rebuild as herein provided and set forth in §70-23-803, Montana Code Annotated, the insurance proceeds shall be used to satisfy any outstanding liens or encumbrances on the property and the balance paid to the Owners in accordance with the unit Ownership act- (4 ) Certificate. The insurance trustee may rely upon a certificate of the Association made by its Chairman, or three members of the Board of Directors to determine whether or not the damaged property is to be reconstructed. (b) Plans And Specifications. Any reconstruction or repair must be substantially in accordance with the plans and specifications for the original improvements, or if not, then according to plans and specifications approved in writing by not less than seventy-five percent (75% ) of the votes of the unit Owners, including one hundred percent (100%) of the votes MCGOUGH/GLENWOOD.DEC DECLARATION FOR GLENWOOD MEADOWS CONDOMINIUM - 25 fit" 181 PPF4293 of the Owners of all units which are to be altered_ Any such reconstruction not in accordance with the original plans and specifications must be set forth in an amendment to the Declaration, which amendment shall be prepared and filed of record in accordance with the provisions of this Declaration. (c) Responsibili:t�y. The responsibility for reconstruction or repair after casualty shall be the same as for maintenance and repair of the Condominium property. (d) Assessments. If the proceeds of insurance are not sufficient to defray the estimated costs of reconstruction or repair for which the Association is responsible, or if at any time during such reconstruction or repair, the funds for the payment of the costs thereof are insufficient, assessment shall be made against all unit Owners in sufficient amounts to provide funds for the payment of such costs. Such assessment shall be in proportion to the Owner's percentage of interest in the general common elements. (e) Construction _Funds. The funds for payment of costs of reconstruction or repair after casualty, which shall consist of proceeds of insurance held by the insurance trustee and funds collected by the Association from assessments against unit Owners, shall be disbursed in the sound discretion of the trustee and according to the contract of reconstruction or repair, which contract must have the approval of the Board of the unit Owners involved. ( f) Surplus. It shall be presumed that the first monies disbursed in payment of costs of reconstruction and repair shall be from the insurance proceeds. If there is a balance in a construction fund after payment of all costs of the reconstruction and repair for which the fund is established, such balance shall be paid to the Association for the use and benefit of the unit owners. VIII. EXPANSION OF THE CONDOMINIUM (a) Not withstanding anything herein to the contrary, Declarant and its successors and assigns shall have the right, from time to time, by amendment to this MCGOUGH/GLENWOOD.DEC DECLARATION FOR GLENWOOD MEADOWS CONDOMINIUM - 26 wG � ll Declaration and By-Laws to expand the Condominium by - adding additional land, additional common areas, and additional buildings and units to the Condominium by amendment to the Declaration and By-Laws. Such additions, buildings, and units shall entirely located on the land described in Exhibit B. The maximum number of addition units added by expansion shall not exceed thirty units. The Declarant and its successors and assigns or the Association may also construct upon the General Common Area amenities such as wood and storage sheds provided the access to the units and the use of the units and the parking areas are not restricted or substantially changed, except the Association shall not construct anything on the general common without the prior written consent of Declarant. Such amenities may be limited common elements and appurtenant to particular units or general common elements for the use of all of the units. (b) The manner of such expansion of the Condominium shall be accomplished by the filing of record in the office of the Clerk and Recorder of Gallatin County, Montana, an Amendment to the Declaration and By-Laws for each such expansion containing: ( 1 ) An amended Site Plan showing the location of the buildings, units, a combined description of the additional land and the existing land subjected to the Condominium, the common areas, and amenities to be added to this Condominium shall be filed at the time of each such expansion and shall show the designation by number of the units to be added to the Condominium and shall show the common areas to which each has access. ( 2) Amended Floor Plans showing the layout of the addition or building and floor plans and dimensions of each of the new units to be added and the approximate area and designation of each new unit and any other data necessary for proper identification. ( 3) An Amendment to Paragraph IV 1 . Allocated Interest of the Declaration showing the adjusted new percentages of interest of the old and new Condominium units in the common elements to be computed as provided herein. (4) Such additional information shall be included in the amendment as required to meet the requirements of the Montana Unit Ownership Act and/or the then applicable provisions of Montana law. MCGOUGH/GLENWOOD.OEC DECLARATION FOR GLENWOOD MEADOWS CONDOMINIUM - 27 1 (c) Declarant and its successors and assigns shall have the right and the privilege to make the changes, additions and expansion as is provided for herein and to execute the Amendment to the Declaration and By-Laws and any other documentation required- The Declarant and the Association and all transferees, grantees, buyers, successors or assigns in title and interest, including mortgagees and other lienholders, by the acquisition, receipt or acceptance of any interest or lien in the Condominium or in a unit shall be bound by these expansion provisions and their consent is implied to the execution and filing of the Amendments to the Declaration and By-Laws by Declarant, its successors and assigns providing for the expansion of the Condominium as set forth herein to include the additions, buildings, units, changes in the common areas, and changes in the percentages of interest in the common elements, and the other changes which occur as a consequence of such expansion. Such expansion to the condominium may be done by the Declarant, its successor or assigns, without being required to obtain the consent of the Association, unit owners, or lienholders. However, in the event of the Declarant requests a consent to the expansion of the condominium, the unit owners, and/or the Association and lienholders shall consent in writing to any such Expansion Amendment to the Declaration and/or By-Laws, provided the provision of the amendment comply with the requirements herein set forth. Subject to the foregoing provision, the changes in percentages of ownership of the owners of the Condominium units in the common elements of the Condominium shall be computed and changed in the following manner: All units in the Condominium have been and are hereby assigned a value of SEVENTY-FIVE DOLLARS ( $75.00) per square foot, including the existing units and all unbuilt units which may be added by expansion under this Declaration. The square feet of each unit shall be measured from the outside of any exterior walls. The value of each unit, including the units to be added to this Condominium by such expansion, shall be divided by the combined value of all of the units in the Condominium, including those added by expansion. The resulting percentage based upon a value of SEVENTY-FIVE DOLLARS ($75.00) per square foot of each unit shall be the percentage of ownership interest of each respective unit in the common elements presently existing, and added by MCGOUGH/GLENWOOD.DEC DECLARATION FOR GLENWOOD MEADOWS CONDOMINIUM - 28 i • r�w 1A1;�'i 4295 expansion. The resulting percentages of interest shall be set forth in the expansion amendment to the Declaration and shall thereafter be the percentage of ownership Interest allocated to all of the units in the common elements thereafter until the next Expansion Amendment. (d) Each such Expansion Amendment to the Declaration and by- Laws shall be personally delivered or mailed to each of the Condominium owners or the owners of an interest in the Condominium after the recording of such amendment and to the mortgagees or other holders of a first lien on such Condominium units or any interest therein. Such amendment shall be mailed to each owner and lienholder at their last known address of record with the Association. Such mailing shall contain a copy of the amendment and the exhibits to be attached hereto. (e) After the recording of such Expansion Amendment, all of the owners and line holders of such Condominium units or an interest in the same, including the owners and lienholders of new units, shall be subject to the provisions or the Declaration and By-Laws in its then amended form. Such additions may be a single amendment or there may be a series of amendments adding any portion or all of the additional units. (f) After the recording of any such Expansion Amendment, any deed, lien or any instrument relating to any unit which purports to convey, encumber or relate to any unit in any manner shall reflect the new or changed percentage of interest assigned to such unit. A failure to accurately reflect or state the correct percentage of interest shall not, however, void such document and the same may, at any time, be corrected by an appropriate curative document. (g) All unit owners and lienholders and their successors, grantees or assigns owning or acquiring an interest or lien on or in any unit, do hereby and through these presents by the acceptance of a deed of conveyance of a unit or lien thereon, appoint and designate the Declarant or its successors or assigns as such unit owner's or lienholder's agent and attorney-in-fact for the purpose of making and executing any such Expansion Amendment and herewith authorize and empower such Declarant or its successors or assigns to change the respective percentage of interest in the common elements of all the units and to execute and record all documents and to perform any and all acts that may be required to accomplish such expansion, without the necessity of such unit owner or lienholder giving any further consent, permission or MCGOUGH/GLENWOOD.D£C DECLARATION FOR GLENWOOD MEADOWS CONDOMINIUM - 29 181 WE42W authorization other than that given herein. Such appointment of agent and attorney-in-fact shall run with and be appurtenant to each unit. IX. INTERPRETATION The provisions of this Declaration and of the Bylaws to be promulgated and recorded herewith shall be liberally construed to effectuate the purposes of this Declaration and Bylaws and to create a building or buildings and units and common areas subject to and under the provisions of the Montana Unit Ownership Act. X. REMEDIES All remedies provided for in this Declaration and Bylaws shall not be exclusive of any other remedies which may not be, or are hereafter, available to the parties hereto as provided for by law. X1. SEVERABILITY The provisions hereof shall be deemed independent and severable and the invalidity or partial invalidity or unenforceability of any other provisions shall not affect the validity or enforceability of any other provision hereof. XII . MISCELLANEOUS 1 . Utility And Structural Easements. Easements are reserved unto the Declarant and the Association through the Condominium property as may be required for access roads and utility and other common services, including water, sewer, power, telephone, natural gas and television cable, in order to serve the Condominium adequately; provided Every portion of a unit which contributes to the structural support of the building shall be burdened with an easement of structural support for the benefit of the common elements. 2. Right Qf Access. The Association shall have the irrevocable right, to be exercised by the Manager or Board of Directors, to have access to each unit from time to time during reasonable hours as may be necessary for the maintenance, repair or replacement of any of the MCGOUGH/GLENWOOD.DEC DECLARATION FOR GLENWOOD MEADOWS CONDOMINIUM - 30 J f AI general or limited common elements therein or accessible therefrom or for making emergency repairs therein necessary for the maintenance, repair or replacement of any of the limited common elements therein necessary to prevent damage to the general or limited common elements or to any unit. Damage to the interior or any part of the unit resulting from maintenance, repair, emergency repair or replacement of any of the general or limited common elements or as a result of any emergency repair within another unit at the instance of the Association shall be designated either limited or general common expenses by the Association and assessed in accordance with such designation. 3. Expenditures. No single expenditure or debt in excess of THREE THOUSAND AND NO/100 DOLLARS ($3,000.00), except for annual premiums for required insurance, and other pre-approved budgeted items, may be made or incurred by the Association or Manager without the prior approval of a majority of the Board of Directors. 4. Benefit. Except as otherwise provided herein, this Declaration shall be binding upon and shall inure to the benefit of the Declarant, the Association and each unit Owner, and the heirs, personal representatives, successors and assigns of each. S. Warranties. The Declarant expressly makes no warranties or representations concerning the property, the units, the Declaration, Bylaws or deeds of conveyance except as specifically set forth therein; and no one may rely upon such warranty or representation not so specifically expressed therein. Estimates of common expenses are deemed accurate, but no warranty or guarantee is made nor is intended, nor may one be relied upon. 6. Notification Of First Mortgage. A first mortgagee, upon written request, will be entitled to written notification from the Owners' Association of any default in the performance by an individual unit Owner of any obligation under the Condominium documents which is not cured within sixty days. 7. First Mortgagees' Right. First mortgagees of record shall have the right to examine the books and records of the Association and the books and records of the Association. 8. Vnit Ownership Act. The Unit ownerships Act - Condominium, Chapter 23, Title 70, of McGOUGH/GLENWOOD.DEC DECLARATION FOR GLENWOOD MEADOWS CONDOMINIUM - 31 i81?!714299 Montana Code Annotated, is incorporated herein and by this reference made a part hereof as though fully set forth. In the event of any irreconcilable conflict between said Act and any provisions contained herein, the Act shall control. 9. Fees And Costs In Action To Enforce. In the event of any action to enforce the obligations and covenants contained herein, the prevailing party shall be entitled to his or her costs, including reasonable attorney' s fees. IN WITNESS WHEREOF, the Declarant has caused this Declaration to be made and executed according to the provisions of the Montana Unit Ownership Act, MCA §70-23-101, et seq. , Montana Code Annotated) . DECLARANT---------------GLENWOOD MEADOWS, L.L.C. BY: S"ph' P. McGough,/ Its Managing Member STATE OF MONTANA ) :ss County of Gallatin ) is instrument was acknowledged before me on the '" day 1998, for Glenwood Meadows, L.L.C. , by Stephen �.` .r• ,t"s Managing Member. --/- 1, ' --/,- L:� Notary Public for the State of Montana - My Commission Expires: ' SEAS. %IvTh�l ` MCGOUGH/GLENWOOD DEC DECLARATION FOR GLENWOOD MEADOWS CONDOMINIUM - 32 CERTIFICATE The undersigned, being the duly authorized agent of the Department of Revenue of the State of Montana within the County of Gallatin, herewith executes the following Certificate relating to Glenwood Meadows Condominium, as described in Exhibit A attached hereto, City of Bozeman, County of Gallatin, Montana. 1. The name "Glenwood Meadows Condominium" is not the same as, similar to, or pronounced the same as, a word in the name of any other property or subdivision within Gallatin County except for the word "Condominium"; and, 2. All taxes and assessments due and payable for the said real property Glenwood Meadows Condominium have been paid to date. DATED this day of � � ,�„ �-/ 199 < Department of Revenue By: 1110� Agent f the County of Gallatin MCGOUGH/GLENWOOD DEC DECLARATION FOR GLENWOOD MEADOWS CONDOMINIUM - 33 SITE PLAN CEXURIT A) C?W AC4DOWS CDC 18t,�4.* F LOCATED IN THE S 112 OF NW 114, SEC. It, T. 2 S., R. S E. OF P.M.M.. r^4U A TIN COUNTY, MONTANA I >r N 0.4 of S 1/2.Ilw 1/4, $K. 11 0 GREENWAY -J { [OW7444!r 2W.74 SUBDI V. i �� / °'• ems' E.Ythg Yr WIR, Easem�l� or ~r - ,/ /i,/; � •./.'� 'cam+ e PUBLIC PARK. R a i f #112 n r _ w h v � Seale In Feet - 80 0 80 If I 24 0 24 { — - Scale In Meters n _ � (g r fanao T C S BoWw� IF 4'sla..� K/li 35 se� s.1sKWk 'ice s r a #106 v •p c Q W + a a 07 R J z f f 0104 i 0 Q 05 1 -- - C _ _ J A �' _ -I r{ { f272 A X AQ CD J { Pon f R `WL r - — .08-w P N N = �^ --Mendenha ' treet---- -- O TIT 3 D� •S fy xc, xa� Wz '' 2 � o � [11e9ZO'Oe"f� v, OBSa2O'Od" ' $A1GDV&BRING AND I �xos4.� _ ' Sw COP. E,F«ENW000 MEADOWS suMVSION SVRVEYING, INC s.1.., s.�. „ .ar .r,.A d �.�rr"`tw eke"m Ni MI$ MEG -:rr� Sheet I of 2 #96079(E3) SITE PLAN (EXHW Al 161�tf 4�2 Gj O�W WS C �IKI LOCATED 1N THE S 1/2 OE NW 114, SEC. 11, T. 2 S, R. S E.Or P.M.M.. C.4LLI1IN COUNTY, AWTANA D�MOM?q�Y �a MARK A. o CHANDLER y No. 951 SES p�4� R£C I SNt.�S. LEGAL DESCF?1P7fON That part of the South Holt of the Northwest Ouarter of Section 11. Township 2 South, Range 5 East of P.M.M., Gallatin County, Montana. described as follows: Commencirg at the Southwest Comer of the Northwest Ouarter of said Section 11; thence easterly 087 20' OS", assumed azimuth from north. 2054-26 feet along the south line of said Northwest quarter thence northerly OW 35' 24' azimuth 855.03 feet to the paint of beginning; thence continuing northerly OW 35' 247 azimuth 478.52 feet; thence easterty 087 24' 45' azimuth 260.74 feet along the Borth fine of the South Half, Northwest Ouarter of said Section 11 thence southerly 180' 3Y 2e azimuth 478.16 feet; thence westerly 27U' 39' 52' azimuth 260.89 feet to the point of beginning. Area=124,730 SO FT or 2.8634 ACRES U MtED COU"M NRE/6 111"M 011�0 16 a<-r A 1Mr15 2721 2723 M40 105 1AMI5 107, 109, 111 NO 113 JUr- 1: WM 104. 106. 100 NO 110 0 1J/Q 112 MO 115 fa UM 211 ENCWEVC AN SuRnmla, W . •1rr/ I�� �-ri1� I.. Wig Sheet 2 of 2 #9fi079(E3) FIN 1$1��Cf�• EXHIBIT B Tract M of COS No. M-322, located in the S1/2 of NW 1/4, Section 11, Township 2 South, Range 5 East, of P.M.M. , Gallatin County, Montana. More particularly described as follows: Commencing at the Southwest Corner of the Northwest Quarter of said Section 11; thence easterly 089" 20' 08", assumed azimuth from north, 2054.26 feet along the south line of said Northwest Quarter to the point of beginning of the property to be described; thence northerly 000" 35' 24" azimuth 855.03 feet; thence easterly 089° 20' 08" azimuth 260.89 feet along the northerly right of way line of Mendenhall Street; thence southerly 1800 34' 23" azimuth 855.03 feet; thence westerly 269° 20' 08" azimuth 261.14 feet along the south line of said Northwest Quarter to the point of beginning. MCODUGH/1"IDIT ^I 40'-Cr F- -j8IMrt4-*. 13-6 1 R N O t _ tl n UDRM ? HppM 3 n I co ry � F.IT�N�N fp4N1}1G 4 m Lu CI 13'-7 .3 B' HATH n 0 i UNNG f� cm MA STER UTILITY 8'-8 3 4- 16•-1 7/8- O bI GARAGE N 1.-4.. 20'-0r 1 g•_8» rLOM • L" (AM M 27M AM 2723 SC" vex'-o` f#OUW W67 SQ FT GMA© . 80 FT �XHIIZIT A -1_ w LL C m Q � I T. i W II} W QL co 1 ' �.�� . it � __--r � •+!, � i`ti �iillll I+It!Ikll�it►�I W �1 {{ 1 LUcr ILL 1 N 1 1 � t k W 46-0" FftM 1� P�rE6 = 13-6 1 N o110 n < BDRM 2 a' 9DRM 3 ci f fD wtyto h1TCHEN/DINIrIG z ip n _ 13--7 3 8' BATE! N 0 U\nN, a MASTER N - U TILI TY B-8 3 4' i6' 1 718' O I c~v GARAGE 2D'-0' R-" PIM UM V7 M, tm AM W sc,ae *vw-,ol Hach Vff so Fr mmw_- low w Fr EXHIBIT FILM 181 ACf 4 1 - Q 71 I LL LU cl Lu E , Z► � ;� ���'„ � � � -�-��� ;' ;j;• ' �! 111 Il IIIIi 1lflrll a o-• � • N w fi k W 12'-10 1 4" 18'-t 5'-0" 10'-3 1 4' ` N � m KiTG7iEN/DINING r BATH r t n MASTER CA cA BDRM 2 = 1 �n W 1 AD I mir N f i LIVING Q � R N 1 4 I iv BDRM 3 UTILITY :I 4'-9 1 4` 1b'-4 1/4" 6'-5 1 2� 16-6 1/2- in io I 0 In GARAGE t N FLOOR PLM Js V4 VA ve NO ! o 20'-0" SCAM -R SW 80 FT GMAIe 4W FT mi EELXHB I T Ap �+� 181'aC�430.9 VL Ui l a W C I ! E! o Il -- - �1 a `?� ilia W r~ r N t W !t 14 i 3 ! 4' N lY f m M.ITCHEf�/DINING i gAT14 I MASTER n c' N BDRM in I I n < N m I ix " uvlNc < i I `I4 EbRM 3 - UTRJTY o _ g'-1" -9 1 4` 76--4 1/4 6'-5 1 2" 10' I O f G n GARAGE p 24'-0' FLO !(C im iff SCMHOLM R OW 30 FT G7f7AGE' 4W 30 Fr EXH181T O FILM 181 pGf 43li 0 0 M Fj t 7 w ljkl -- 1 ff- t 1 v w -_-- - wcc _ d F tLl FF w i }f cc CIO •r 34 •r w I I fr[M 191PAC14312 .Z t Z-,6 .9-,9 N z 1 1•-6 N � � r 0 m t z � z a iv 5c' o A � f iD ry .Z 1 9-.z 1 OI-,Z 1 5 cv x 1 F O Y • m a r. 0 1 4 1 N O � F 1 WWII mats"t � n = o� m lz u o � EXHIBIT -� - HIM 181PACE4313 W!I W ca cc 4 � a w LL cc ca LU + -- T coW U � 1 f 11t 180CE4314 EXHIBIT "C" CERTIFICATE OF REGISTERED ARCHITECT, ENGINEER OR LAND SURVEYOR STATE OF MONTANA } :ss. County of ) The undersigned, after first being duly sworn, deposes and says: 1. That he is a registered professional in the State of Montana and has reviewed the floor plans and site plan attached to the Declaration for Glenwood Meadows Condominium. 2. That the plans are an accurate copy of the plans filed with and approved by the County officers having jurisdiction to issue building permits, if any. 3. That he certifies and verifies that the said floor plans and site plan fully and accurately depict the layout of the units and floors of each building, location, square feet, unit designation and dimensions of each of the following units as built: Units , and that the date of completion of the units and buildings in which the completed units are located was the day of , 199 DATED this day of 1998. Montana Registration No. , SUBSCRIBED AND SWORN to before me this day of 199 NOTARY PUBLIC for State of Montana Residing at (Notary Public) My Commission expires f�!w iR1��ff4315 BYLAWS OF THE ASSOCIATION OF UNIT OWNERS OF GLENWOOD MEADOWS 1. Purpose and Application: These articles are and shall be the Bylaws of the Association of Unit Owners of the Glenwood Meadows Condominium. These Bylaws and the Declaration shall, upon being recorded with the Clerk and Recorder of Gallatin County, Montana, govern and control the administration of Glenwood Meadows Condominium. These Bylaws supplement the Declaration for the Glenwood Meadows Condominium, hereinafter referred to as "Condominium% which Declaration is made a part hereof by reference. All unit owners, their guests and any renters or sublessees, present and future, shall have the rights and responsibilities described in these Bylaws and shall be subject to the provisions thereof. The acquisition of an ownership interest in a unit in the Condominiums, sometimes called Condominium, signifies that the owner accepts, ratifies and agrees to comply with these Bylaws. 2. Membership: Persons owning a unit in Glenwood Meadows Condominium, hereinafter referred to as "Condominium", or owning a unit in any real estate tenancy relationship recognized by the State of Montana, shall be a member of the Association of Unit Owners ( "Association" ) . Membership begins concurrently with the acquisition of an ownership interest and terminates at the time such ownership interest is terminated. Such termination shall not relieve any owner of liability for obligations incurred while a member of the Association; and further membership in the Association does not in any way negate or impair any owner's legal remedies, right to bring legal action, or defenses to any and all actions involving the Association, other unit owners, or the management which may arise from or be incidents of unit ownership. 3. b� ligations• Each unit owner shall be obligated to comply with the Bylaws, the Declaration, and the laws and ordinances of Bozeman, County of Gallatin, and State of Montana. Such obligations shall include, but not be limited to, the paying of assessments by the Association. Failure of any owner to abide by these Bylaws, and all rules made pursuant thereto, the Declaration, and the laws and ordinances of Bozeman, County of Gallatin, and State of Montana, shall be grounds for appropriate legal action by the Association of Unit Owners or by an aggrieved unit owner against such noncomplying owner. BYLAWS OF THE ASSOCIATION OF UNIT OWNERS McGOUGH.BYLAWS GLENWOOD MEADOWS CONDOMINIUMS - 1 I 4316 4. Meeting and Voting: A. Annual Meetings: There shall be an annual meeting of the Association during each year on the first Wednesday in October of each year, at 7:30 PM at such place as shall be set forth in the notice of the meeting, commencing in 1998, or on such other date set by the Board of Directors by notice as herein provided in Paragraph D. The first meeting of the Association shall take place not more than one year following the date of recording these Bylaws, if not sooner held. Any first mortgagee on a unit shall have the right to have a representative attend any annual meeting. Upon written request delivered to the Association, a first mortgagee of a unit shall be given notice of the annual meetings as provided in Paragraph D below. B. 5peqial Meeting: Pursuant to these Bylaws, the Association may at any time hold special meetings, notice of which shall be sent to all unit owners. Any first lienholder or mortgagee shall have the right to have a representative attend any special meeting. Upon written request delivered to the Association, a first mortgagee of a unit shall be given notice of special meetings in accordance with Paragraph D below. Such special meetings may be called on the initiative of the Chairman of the Board of Directors or by fifty percent ( 50%) of the Board of Directors of the Association or a petition signed by twenty-five percent ( 25t) of the votes of the unit owners. C. Matters to ,be Raised at Special Meeting: Only matters set forth in the notice for a special meeting may be voted at such special meeting. D. Notices: Notice of all meetings, annual or special, shall be mailed by the Association to every unit owner of record at his or her last known address at least ten days prior to the time for holding such meeting. Such notices shall specify the date, time, place and purpose of the meeting. The purpose of a meeting may be stated in general terms. A unit owner may authorize another person or the Board of Directors to vote his or her percentage interest by signing and delivering a written proxy to the Secretary of the Association or to a member of the Board of Directors. The date of mailing of a notice in the manner provided in this Paragraph or the date of personal BYLAWS OF THE ASSOCIATION OF UNIT OWNERS MCGOUGH.EYLAWS GLENWOOD MEADOWS CONDOMINIUMS - 2 �l�y lAl'�rt431? delivery of such notice by the Association shall be considered as notice delivered. Each owner is responsible for keeping the Association advised of his or her current address. E. Qnorvm: No meeting, annual or special, shall be convened to conduct business unless a quorum is present, in person or by proxy. A quorum shall consist of at least thirty-five percent (351) of the total aggregate voting interest of the unit owners present in person by proxy and voting by _ written ballot if applicable. At any time, during any meeting that a quorum is not present, such meeting shall be adjourned forthwith. F. Voting: Any matter that may be voted upon by the unit owners may be submitted to the unit owners by written ballot. A vote by written ballot must be authorized by a majority of the Board of Directors. The matter to be voted upon must be approved by a majority of the Board of Directors. The ballot shall set forth the matter(s) submitted to a vote and provide the opportunity for the unit owners to vote for or against the matter(s) . The written ballot may be personally delivered or mailed to a unit owner. The matter shall be deemed passed if 50% or more of the members return the written ballot to the Association and the matter(s) receive a favorable vote of a majority of those voting unless a higher percent is required by the Covenants or By-Laws. 5. Voting _Interest: Each unit owner shall have the number of votes equal to his or her percentage interest in the general common elements as is set forth in the Declaration or amendments thereto. Except as shall be set forth differently in the Declaration, such vote shall be the percentage interest of each owner on all matters affecting the general business of the Condominium on all matters affecting the common elements, assessments for the common elements, and on all matters upon which the Association agreed to have voting by the common elements ' interest. Voting upon matters affecting limited common elements and assessments for limited expenses shall only be by owners having a unit or interest in units located in the units affected. Whenever a quorum is present at a meeting of the Association or the Board or Directors, those present may do any and all acts they are empowered to do unless specific provisions of these Bylaws, the Declaration or the laws of the State of Montana direct BYLAWS OF THE ASSOCIATION OF UNIT OWNERS McGOUGH.BYLAWS GLENWOOD MEADOWS CONDOMINIUMS - 3 1 otherwise. 6. Board of Directors: The business and affairs of the Condominium shall be governed by a Board of Directors elected from among the unit owners. The number of the Board of Directors shall be set by the unit owners at each annual meeting and shall not be less than three or more than five. Not withstanding anything herein to the contrary, until the Declarant, Glenwood Meadows, L.L.C. has sold 80% of the Units to separate third parties, the Declarant shall have the right but not the obligation to appoint the majority of the Board of Directors. Subject to the Declarant's right to appoint a majority of the directors, the unit owners shall nominate and elect the directors. Such Board shall have all of the powers and responsibilities attendant to the general administration and control of the condominium. Additionally, the Board shall have the authority necessary to carry into effect the powers and duties specified by these Bylaws and in the Declaration for the condominium_ The manner of election of the Board of Directors shall be as follows: First the number of persons on the Board of Directors shall be set by a majority vote of the unit owners present at a duly called and proper meeting in person or by proxy_ Nominations for vacancies on the Board will be accepted from any of the unit owners present at each annual meeting of the Association, provided a nominee for a Board member must be a unit owner or a person who has an ownership in the entity owning a unit. Voting will be noncumulative with each Association member having a vote equal to his or her percentage of interest in the general common elements. The persons nominated for the vacant Director positions shall be voted upon by the unit owners present at the meeting in person, by proxy, or by written ballot each casting their vote for one nominee for each vacant position. The nominees receiving the most votes shall be the elected Directors. Board members shall serve for such periods as shall be set by a majority of the voting interests of the unit owners, or until their successors are elected. The Directors shall be elected by those present, in person or by proxy. The first Board which may consist of two persons shall be appointed by the Declarant, which Board shall serve until the first annual meeting of the Association, at which time a new Board shall be elected at least three persons. 7. officers Qf the Board of Directors: The Hoard shall elect from its membership a Chairman, Secretary, and Treasurer. The Secretary and Treasurer position may be combined. The chairman and secretary must be Board members. The treasurer need not be Board member but must be a unit owner. BYLAWS OF THE ASSOCIATION OF UNIT OWNERS MCGOUGh.9YLAWS GLENWOOD MEADOWS CONDOMINIUKe; — 4 f1lM iSl�C�4=319 The Board may also elect such other officers as it deems advisable Including a vice-president and assistant secretary. S. Powers and Duties of the Board of Directors: The Board of Directors shall have the following powers and duties: A. To call annual meetings of the Association and give due notice thereof. B. To conduct elections of the Board of Directors. C. To enforce the provisions of the Declaration and Bylaws of the Condominium by appropriate action. D. To promulgate and adopt rules and regulations for the use of the common elements and for the occupancy of the units so as to not interfere with the peace and quiet of all the residents. Such - rules must be ratified by sixty percent (601) of the allocated percentage of unit owners present in person or by proxy, at regular or special meetings of the Association, or ratified by 60% of the allocated percentage by written ballot of the unit owners- E. To provide for the management of the condominium by hiring or contracting with suitable and capable management and personnel for the day--to-day operation, maintenance, upkeep and repair of the general common and limited common elements. The Board of Directors may be designated as management. F. To levy assessments as allowed by the Declaration, these Bylaws and the State of Montana, and to provide for the collection, expenditure and accounting of said assessments. G. To pay for the expenses of the maintenance, repair and upkeep of the general common elements and the limited common elements and to approve payment vouchers, either at regular or special meetings. H. To delegate authority to the manager for the conduct of condominium business and to carry out the duties and powers of the Hoard. However, such authority shall be precisely defined with ultimate authority at all times residing in the Board of Directors. I. To provide a means of hearing grievances of unit BYLAWS OF THE ASSOCIATION OF UNIT OWNERS MCGOUGH BYLAWS GLENWOOD MEADOWS CONDOMINIUMS - 5 r 11 �320 owners and responding appropriately thereto. J. To meet at regularly scheduled times and hold such meetings open to all unit owners or their agents. K. To prepare an annual budget for the condominium in order to determine the amount of the assessments payable by the unit owners, to meet the general common and limited common expenses and allocate and assess such charges among the unit owners according to their respective interests in the general common and limited elements, and to submit such budget to the unit owners on or before the date of the annual meeting. L. To levy and collect special assessments whenever, in the opinion of the Board, it is necessary to do so in order to meet increased operating or maintenance expenses, costs or additional capital expenses, or because of emergencies_ M_ To take appropriate legal action to collect any delinquent assessments, payments or amounts due from unit owners or from any person or persons owing money to the condominium, and to levy a penalty and to charge interest on unpaid amounts due and owing. N. To defend in the name of the Association any and all lawsuits wherein the Association or all the unit owners are party defendants. O. To enter into contracts with third parties to carry out the duties herein set forth, for and on behalf of the Board and the Association, including the authority to hire, or authorize the manager to hire, accountants to keep the books and records. P. To establish a bank account for the condominium and to keep therein all of the funds of the Association. Withdrawal of monies from such accounts shall only be by checks signed by such persons as are authorized by the Board of Directors. Q. In general, to act for and carry on the administration and affairs of the Association as authorized and prescribed by the Declaration and to do all those things which are necessary and reasonable in order to carry out the governance and operation of the Condominium. BYLAWS OF THE ASSOCIATION OF UNIT OWNERS McGOUGH BYLAWS GLENWOOD MEADOWS CONDOMINIUMS - 6 �t[�4 191��r�4321 R. To establish rules and regulations for conduct, behavior and use of the general common and limited common elements. S. To make repairs, alterations and improvements to the general common and limited common elements consistent with managing the condominium in a first class manner and in the best interest of the unit owners, and all mortgagees. T. To arrange, keep, maintain and renew the insurance for the Association as set forth in the Declaration, and to arrange, keep, maintain and renew Errors and ®missions Insurance for the Directors. U. To carry out the duties and responsibilities of the Board in all other matters as may be authorized, needed or required by the Declaration. 9. Vacancies and Removal: Should a vacancy occur on the Board of Directors, the Board, subject to the exception described below, shall appoint a member of the Association to serve for the unexpired term. Such vacancy shall be filled no later than the next Board meeting after which it occurs. Should such vacancy not be filled by the Board, at the next regular meeting of the Association, the Association may fill such vacancy. At any annual or special meeting of the Association, any member of the Board may be removed prior to the end of his term by three-fourths (3/4ths ) of the aggregate voting interest in the condominium_ Such vacancy shall be filled by the unit owners. If the vacancy is not filled by the unit owners the Board shall appoint a member to fill the vacancy. Such removal matter must be announced in the notice of an annual or special meeting. 10. CgpPensatipr- No member of the Board of Directors shall receive any compensation for acting as such. Nothing herein, however, shall be construed to preclude compensation being paid to managers who are hired by the Board of Directors. A member of the Board of Directors may be reimbursed his or her actual expenses if the expense is authorized by a majority of the Board of Directors. 11. Manager: A manager may be appointed and/or removed by the Board of Directors. The Board may delegate such duties to the manager as it determines appropriate. The Board shall determine the terms, conditions and compensation of the manager. If required by the BYLAWS OF THE ASSOCIATION OF UNIT OWNERS M&MUGH.SYLAWS GLENWOOD MEADOWS CONDOMINIUMS - 7 1 Hoard, the manager shall be bonded. If the board does not engage a manager the Board shall act as manager. The Board may have the manager maintain records of the financial affairs of the condominium. Such records shall detail all assessments made by the Association and the status of payments of said assessments by all unit owners. All records shall be available for examination during normal business hours to any unit owner or his or her designated representative or his or her mortgagee. All functions and duties herein provided for the manager may be performed by the Hoard or the Chairman, or other Board member, if the Hoard should decide not to have a separate manager. A. Accounts: The receipts and expenditures of the Association shall be under the direction of the Board of Directors and shall be classified as appropriate into general common expenses and limited common expenses and may include a provision for: (1) Current Bxpenses: Which shall include all receipts and expenditures to be made within the year for which the budget is made, including a reasonable allowance for contingencies and working funds, except expenditures chargeable to reserve or to better- ments. The balance in this fund at the end of the year shall be applied to reduce the assessments for current expenses for the succeeding year. (2) Reserve for Maintenance Repair or Replacemment: Which shall include funds for maintenance repair or replacement of common elements required because of damage, depreciation or obsolescence. (3) Betterments: Which shall include the funds to be used for capital expenditures for additional improvements or additional personal property which shall be a part of the common elements. B. Budget: Each calendar year the Board shall prepare and submit to the unit owners a budget, which must be approved and adopted by a majority the Board. The budget shall include the estimated funds required to defray the general common and limited common expenses and to provide and maintain funds for the operation of the Association and enforcement of the declaration and By-laws, according BYLAWS OF THE ASSOCIATION OF UNIT OWNERS MCGOUGH.BYLAW S GLENWOOD MEADOWS CONDOMINIUMS - 8 i FILM 18PACE4323 to good accounting practices. A copy of the proposed budget shall be transmitted to each member before the annual meeting of the Association for which the budget is made. The budget shall be discussed by the membership and adopted by a majority of the votes of the members present or represented by proxy or voting by written ballot. The budget may be amended by a majority of the votes present at the meeting or represented by proxy or by written ballot. If the budget is amended, a copy of the amended budget shall be furnished to each member. A budget shall be adopted by the unit owners at the annual meeting or at such other meeting as may be called for this purpose. C. Financial Report: A financial report of the receipts and disbursements and balance of accounts of the Association shall be made annually by the Board of Directors and a copy of the report shall be furnished to each member before or at the annual meeting. D. Board as Manager: If the Board chooses not to appoint a manager, all of the above functions may be performed by one of the Board members to whom the job is delegated by a majority of the Board of Directors. If a board member is appointed manager, the Board may pay the board member a reasonable salary for his or her services. E. 14anag_er•s Authors.►: Any manager shall generally operate and manage the condominium for and on behalf of the unit owners and shall have such other powers and authority as the Board may delegate. 12. Anw-ndment of Bylaws: Except as otherwise provided in the Declaration and herein, these Bylaws may be amended at any regular or special meeting of the Association providing that a copy of the proposed revision is included in the notice of such meeting. Upon a vote of seventy- five percent (75%) of the aggregate voting interest in the condominium, the amendment shall be declared adopted. The By-laws may also be amended by 75% favorable vote of the aggregate voting interest of the unit owner by written ballot. The Secretary shall, as soon as practicable after adoption, prepare a copy of the Bylaws as amended for certification by the Chairman and Secretary of the Association. Such amended and certified Bylaws shall then be recorded in the office of the Clerk and Recorder of the county in BYLAWS OF THE ASSOCIATION OF UNIT OWNERS MCGOUGH.BYLAWS GLENWOOD MEADOWS CONDOMINIUMS - 9 fl'_ti 181?R.rf4324 which the Condominium are located. Bylaws as. amended shall become effective at the time of such recording after recording. Notwithstanding the provisions of this Paragraph, the - Association may be merged with another condominium unit owner's association upon a vote of 75% of the aggregate interest of the unit owners. In such event, the merged associations shall act as one Association and shall elect one Board of Directors, which shall have all of the powers and duties set forth in the Declaration and Bylaws of all of the condominium phases so merged. The voting and - assessments of such merged Association shall be based upon that portion that each unit's original percentage interest stated in the original Declaration bears to the total aggregate percentage interest of all of the units in the merged association. 13. Assessments: Each unit owner shall be assessed for general common expenses and for limited common expenses in accordance with the percentage of interest in the general common elements as set forth in the Declaration which shall be set, levied, collected and paid according to the terms and under the procedures more particularly set forth in the Declaration. The amount of assessments described above and any other assessments allowed by these Bylaws, the Declaration and by the State of Montana shall be fixed by the Board of Directors provided, however, the total amount of assessments shall not exceed the total budget approved by the members, except as set forth in the Declaration or these by-laws. in the event a unit is not built, the owner of such unit shall be assessed only for the common expenses allocable to the vacant land upon which the unit is to be located according to the site plan. Notice each owner' s assessments shall be mailed to said owner at his or her address of record. 14. Notice of Default to Mortgagee: A first mortgage, upon written request delivered to the Association, will be entitled to written notification from the Association of any default in the performance by the individual unit borrower of any obligation under the condominium documents which is not cured within sixty days. 15. Notices - Dasaaes: The Homeowner's Association shall notify all first mortgagees in writing of any casualty loss to a unit if such loss or taking exceeds the sum of $15, 000.00. 16. Due Process by Association: BYLAWS OF THE ASSOCIATION OF UNIT OWNERS McGOUGH.BYLAWS GLENWOOD MEADOWS CONDOMINIUMS - 10 F�!� 191?��E4325 In the event an action is taken by the Association against any individual unit owner to enforce an assessment, any part of the Bylaws or Declaration, or any rule or regulation properly adopted by the Association, said homeowner shall be afforded the protection of due process which includes, but is not limited to, the following: A. Adequate notice in writing of any default with a reasonable time to cure the default. B. If the unit owner contests the allegations of default, such unit owner shall have the following options: ( 1 ) An opportunity to defend himself or herself against any allegations of default before the Board of Directors. (2 ) An opportunity to present witnesses and cross- examine opposing witnesses. (3) An opportunity to receive a formal hearing before an impartial hearing officer or arbitrator. (4) To findings of fact by the hearing officer or arbitrator in accordance with the evidence presented. C. To a penalty proportionate to the offense, such as suspension of voting rights, suspension of the right to be elected as a Director or officer or to continue as a Director or officer, or a reasonable fine or late fee imposed by the Board of Directors, or in the event of an action for unpaid assessments, the costs of collection, interest and reasonable attorney's fees. 17. The Declaration: The Declarant has filed along with these Bylaws a Declaration whereby the properties known as "Glenwood Meadows Condominium" are submitted under the Unit Ownership Act, Montana Code Annotated, Title 70, Chapter 23. The Declaration and any amendments thereto shall govern the acts, powers, duties and responsibilities of the Association of unit owners; and in the event these Bylaws and the said Declaration are in conflict, the Declaration shall prevail. Each unit owner is advised that until the Declarant has sold or transferred a majority of the units to third parties, the Declarant will have a majority control of the Association. The definitions of terms set forth in the Declaration shall be applicable throughout these Bylaws and the interpretation thereof. By virtue of these Bylaws and the Declaration, each unit owner BYLAWS OF THE ASSOCIATION OF UNIT OWNERS MCG(MIGH.BYL.AWS GLENWOOD MEADOWS CONDOMINIUMS - 11 .� * 7 rr V 1 S ". f 4•329 has the right to membership in the Association of Unit Owners and may be elected to the Board of Directors of the condominium. IN WITNESS WFUMEOF, the undersigned, owner of record of all of the Condominium units and one hundred percent ( 100%) of the units and voting interests of the said condominium as of the date hereof, hereby appoints the following persons to serve on the Board of Directors and to serve as officers until the first annual meeting of the Association, to-wit: Name Office Address 1. Stephen P. McGough Chairman 2722 West Mendenhall Bozeman, MT 59718 2. Brenda McGough Secretary 2722 West Mendenhall Bozeman, MT 59718 The undersigned, owner of all the units, hereby declares and affirms the adoption of the foregoing Bylaws on the t'CrF{ day of �J GLENWOOD MEADOWS, L.L.C. BY: .rt-ephien P. McGoug , Its Managing Partner STATE OF MONTANA ) t "6f :s 3 , Gallatin ) f�strument was acknowledged before me on the j day 1998, for Glenwood Meadows, L.L.C. , by Stephen P. eugh is, anaging Partner. *' ` •� * z Notary /Public for a State of Montana My Commission Expires: The undersigned Chairman and Secretary of the Association of Unit Owners of Glenwood Meadows Condominium, after first being sworn certify that the foregoing are an accurate and correct copy of the Bylaws adopted by the Unit Owners of Glenwood Meadows Condominium. Date Secretary �' (' Date BYLAWS OF THE ASSOCIATION OF UNIT OWNERS MCGOUGH,BYt.Aws GLENWOOD MEADOWS CONDOMINIUMS - 12 f !" 181''r[4327 SUBSCRIBED and SWORN to before se this � � day of t. i O , << 1998. • - Notary Public f r e State of Montana *-..SEA L-. Residing at: Montana . � 3 . � / •••- My Coarrission res:__x �rrPiT kk.A�'r ;SUBSCRIBED and SWORN to before we this �. day of 1998. - r / p�f' ` • _ Notary Public for the State of Montana Residing at:_�� lit' Montana `* SEAL;* My Comission expires:w i ; ltir��R� M 1 ATM % 359995 Mft of Mort., Cm* of Qe"An. ES Filed for record _ FEBRUARY 24 119 98 4:35 P f., MW rBCordVd 1D 8aek 181 of MISCELLANEOUS ape 4264r— SUN pecorder. By _ DeP* FEE: $390.00PD RT: DRYSDALE, MCLEAN & NELLEN 1800 WEST KOCH, SUITE 5 BOZEMAN, MT. 59715 ATTN: CHARLOTTE r BYLAWS OF THE ASSOCIATION OF UNIT OWNERS McGOUGH BYLAWS GLENWOOD MEADOWS CONDOMINIUMS - 13