The Sea Ranch Restrictions

Article VI. Funds and Assessments.
Section 6.01. Operating Fund.
There shall be an operating fund, into which the Association shall deposit all monies
paid to it as
(a) maintenance assessments;
(b) recreational assessments;
(c) special assessments;
(d) use fees paid by users of public recreational facilities;
(e) use fees paid by participating facilities;
(f) management fees paid by Project Committees under agreements entered into pursuant
to paragraph (f) of section 5.05;
(g) miscellaneous fees; and
(h) income and profits attributable to the operating fund;
and from which the Association shall make disbursements in performing the functions for
which the foregoing assessments are levied.
Section 6.02. Maintenance Assessment.
(a) Within thirty (30) days prior to the commencement of each fiscal year the
Association shall estimate the costs and expenses to be incurred by the Association during
such fiscal year in performing its functions under Article V (including a reasonable
provision for contingencies and replacements), and shall subtract from such estimate:
(1) the estimate of costs and expenses referred to in section 6.03;
(2) an amount equal to the anticipated balance (exclusive of any reserves for
contingencies and replacements) in the operating fund at the start of such fiscal year
which is attributable to maintenance assessments; and
(3) the estimated receipts for all use fees to be collected from users of public
recreational facilities and from participating facilities during the next fiscal year.
(b) The sum or net estimate determined pursuant to paragraph (a) above shall be
assessed to the Owners as a maintenance assessment in the following manner:
(1) an equal amount, to be fixed by the Association but not more than three hundred
sixty dollars ($360) for any fiscal year, shall be assessed to the Owner of each lot in
The Sea Ranch; provided that said maximum amount may be adjusted upward in direct
proportion to any increase in the Cost of Living Index measured from January, 1965, to the
January immediately preceding the assessment, and
(2) if the assessments mace pursuant to subparagraph (1) above are maximum assessments
and if the aggregate of said assessments does not cover said sum or net estimate
determined pursuant to paragraph (a) above, then the balance of said sum or net estimate
shall be assessed to the Owner of each lot in The Sea Ranch in accordance with the
proportion that the assessed value of such lot bears to the assessed value of all lots in
The Sea Ranch at the time such assessment is made.
(c) If at any time and from time to time during any fiscal year the maintenance
assessment proves inadequate for any reason, including nonpayment of any Owner's share
thereof, the Association may levy a further assessment in the amount of such actual or
estimated inadequacy, which shall be assessed to the Owners in the manner set forth in
paragraph (b) above.
(d) Maintenance assessments shall be due and payable by the Owners to the Association
in equal monthly installments, on or before the first day of each month during the fiscal
year, or in such other manner as the Association shall designate.
(e) Any provision in this section 6.02 to the contrary notwithstanding, the aggregate
amount of all maintenance assessments from time to time levied during any fiscal year
shall not, without first complying with the provisions of paragraph (f) below, exceed the
sum of the following:
(1) the aggregate cost and expense incurred or to be incurred by the Association during
such fiscal year in performing its functions under paragraphs (f), (g) and (h) of section
5.04 and paragraph (b) (5) of section 5.05;
(2) Three hundred sixty dollars ($360) (as such figure may be adjusted upward in direct
proportion to any increase in the Cost of Living Index measured from January, 1965, to the
January immediately preceding the start of the fiscal year involved) multiplied by the
number of lots within The Sea Ranch at the time such assessment is made;
(3) Five percent (5%) of the aggregate assessed value of all lots within The Sea Ranch
at the time such assessment is made; and
(4) the aggregate amount of all additional maintenance assessments from time to time
theretofore approved pursuant to the provisions. of paragraph (f) and which approval has
not by its terms expired.
(f) No maintenance assessment which exceeds the sum determined pursuant to paragraph
(e) above shall be levied unless the Association has approved such assessment by the
unanimous action of the Board or by the vote or written consent of Owners owning not less
than fifty-one percent (51%) of the lots then within The Sea Ranch. Such approval shall
set forth the dollar amount by which the maintenance assessment may exceed the sum
determined pursuant to paragraph (e) above, and may by its terms be limited to a specified
fiscal year or years; provided, however, that if such approval relates to the maintenance
of one or more designated public recreational facilities, then such approval shall be
deemed to have been given with respect to any and all maintenance assessments levied
thereafter with respect to such public recreational facilities which do not exceed the
dollar amount set forth in such approval.
Section 6.03. Recreational Assessment.
(a) Within thirty (30) days prior to the commencement of each fiscal year the
Association shall estimate the costs and expenses to be incurred by the Association during
such fiscal year in performing its functions with respect to each private recreational
facility developed pursuant to Article VII, and shall subtract from each such estimate the
amount, if any, of the anticipated balance in the operating fund at the start of the next
fiscal year attributable to recreational assessments for each such private recreational
facility.
(b) The sum or net estimate determined pursuant to paragraph (a) above for each private
recreational facility shall be assessed equally to the Owners of the lots then listed in
the Development Assessment Certificate recorded with respect to each such private
recreational facility as a recreational assessment.
(c) If at any time and from time to time during the fiscal year any recreational
assessment proves, or appears likely to prove, inadequate for any reason, including
nonpayment of any Owner's share thereof, the Association may levy a further assessment in
the amount of such actual or estimated inadequacy, which shall be assessed to each Owner
in the manner and to the extent provided for in paragraph (b) above.
(d) Recreational assessments shall be due and payable by Owners to the Association in
equal monthly installments, on or before the first day of each month during the fiscal
year, or in such other manner as the Association shall designate.
Section 6.04. Special Assessment.
The Association shall levy a special assessment against any Owner as a direct result of
whose acts, or failure or refusal to act or otherwise to comply with The Sea Ranch
Restrictions, The Sea Ranch Rules or the Design Committee Rules, monies were expended from
the operating fund by the Association in performing its functions under The Sea Ranch
Restrictions. Such assessment shall be in the amount so expended, and shall be due and
payable to the Association when levied.
Section 6.05. Development Fund.
There shall be a development fund, into which the Association shall deposit all monies
paid to it as:
(a) Public facility development assessments;
(b) Private facility development assessments; and
(c) Income and profits attributable to the development fund:
and from which the Association shall make disbursements in performing the functions for
which the foregoing assessments are levied.
Section 6.06. Public Facility Development Assessment.
(a) To provide for the development of public recreational facilities, the Association
may, subject to the provisions of paragraph (h) below, from time to time assess to the
Owners as a public facility development assessment such amount or amounts as the
Association may determine to be appropriate in the following manner:
(1) an equal amount, to be fixed by the Association but not more than thirty-six
dollars ($36) for any fiscal year shall be assessed to the Owner of each lot in The Sea
Ranch; provided that said maximum amount may be adjusted upward in direct proportion to
any increase in the Cost of Living Index measured from January, 1965, to the January
immediately preceding the assessment; and
(2) if the assessments made pursuant to subparagraph (1) above are maximum assessments,
an amount shall be assessed to the Owner of each lot in The Sea Ranch in accordance with
the proportion that the assessed value of such lot bears to the assessed value of all lots
in The Sea Ranch at the time such assessment is made.
(b) No public facility development assessment pursuant to subparagraph (2) of paragraph
(a) above shall be levied unless the Owners of lots equal to at least seventy-five percent
(75%) of the assessed value of all lots in The Sea Ranch have approved such assessment by
filing a written consent thereto with the Association or by voting in favor thereof at a
meeting of the Association. No such assessment shall be made in an aggregate amount
greater than the amount approved pursuant to this paragraph; provided, however, that
approval hereunder of any assessment for the development of a given public recreational
facility pursuant to section 7.02 shall also constitute approval of any subsequent public
facility development assessment with respect to such facility.
(c) Public facility development assessments shall be due and payable by the Owners to
the Association in such installments and during such period or periods as the Association
shall designate.
Section 6.07. Private Facility Development Assessment.
Upon the recordation of a Development Assessment Certificate pursuant to section 7.03,
the Association shall levy a private facility development assessment prorated equally
among all of the Owners of the lots then listed in such Development Assessment
Certificate, in the aggregate amount of the estimated total cost of the private
recreational facility referred to therein. Such assessment shall be due and payable by
such Owners to the Association in such installments and during such period or periods as
the Association shall designate.
Section 6.08. Default in Payment of Assessments.
(a) Each assessment under this Article VI shall be a separate, distinct and personal
debt and obligation of the Owner against whom it is assessed. If the Owner does not pay
such assessment or any installment thereof when due, the Owner shall be deemed to be in
default, and the amount of the assessment not paid, together with the amount of any
subsequent default, plus interest at seven percent (7%), and costs, including reasonable
attorneys' fees, shall become a lien upon the lot or lots of such Owner upon recordation
by the Association of a notice of default. Such lien shall be subject and subordinate to
the lien of any mortgage upon the lot or lots of such Owner which is made in good faith
and for value and is recorded prior to the recordation of such notice of default. The
Association shall record such notice of default within sixty (60) days following the
occurrence of such default, and shall commence proceedings to enforce such lien within six
(6) months following such recordation. The foregoing remedy shall be in addition to any
other remedies provided by law for the enforcement of such assessment obligation.
(b) The Association shall execute and acknowledge a certificate stating the
indebtedness secured by the lien upon any lot or lots, and such certificate shall be
conclusive upon the Association and the Owners, in favor of all persons who rely thereon
in good faith, as to the amount of such indebtedness on the date of the certificate. The
Association shall furnish a copy of such certificate to any Owner upon request, at a
reasonable fee.
Article VII. Development and Use of
Recreational Facilities.
Section 7.01. Introduction.
In order to promote the beneficial recreational use of common and restricted common
area in a manner which fosters the diverse recreational interests of Owners or groups of
Owners and which is compatible with the rights of other Owners in their enjoyment of the
environment of The Sea Ranch, provision is hereby made in this Article for the development
by the Association of public recreational facilities, which shall be for the use and
enjoyment of any Owner or Guest, and of private recreational facilities, which shall be
for the use and enjoyment of those Owners who are permitted users pursuant to section
7.04.
Section 7.02. Public Recreational Facilities; Procedure for Development.
(a) One or more Owners may from time to time petition the Association for the
development of a public recreational facility on any portion of common area reserved on a
subdivision map for such development, or on any portion of restricted common area reserved
on a subdivision map for such development and contiguous to common area. Such petition
shall be in such form and shall contain such information as the Association may require,
including, among other things, the following:
(1) the names and addresses of the petitioning Owners;
(2) the location of the common or restricted common area; and
(3) the type of public recreational facility which the petitioning Owners wish to have
developed.
The Association may from time to time and on its own motion move for the development of
a public recreational facility, in which case such motion shall be treated as if it were a
petition submitted by one or more Owners.
(b) The Association shall tentatively approve the petition if it finds that the
proposed public recreational facility is financially feasible and is compatible with The
Sea Ranch. Among the factors which the Association shall consider in making such finding
are the following:
(1) the suitability of the proposed use of the location;
(2) the suitability of the proposed use as opposed to other possible recreational uses
on such location;
(3) the suitability of the public character of the proposed recreational facility as
opposed to a private character;
(4) the anticipated volume of use; and
(5) the estimated cost of development and operation.
(c) After tentative approval of the petition the Association shall prepare, or cause to
be prepared, and submit to the Design Committee pursuant to paragraph (b) of section 3.07,
two sets of plans and specifications for the proposed recreational facility Upon the
request of the Design Committee, such plans and specifications shall be prepared by an
architect and/or engineer.
(d) If the Design Committee approves such plans and specifications, the Association
shall obtain firm bids on the total cost of constructing and otherwise developing the
proposed public recreational facility, and the lowest acceptable bid or bids shall be
deemed the estimated total cost of development of such facility.
(e) If the Design Committee rejects such plans and specifications for failure of the
same to satisfy the conditions set forth in clause (dd) of subparagraph (1) or in
subparagraph (3), both of paragraph (b) of section 3.07, the Association shall reconsider
the petition in the light of the reasons given for such rejection by the Design Committee.
If upon such reconsideration the Association reaffirms the finding made pursuant to
paragraph (b) above, such plans and specifications shall be deemed approved by the Design
Committee.
(f) The Association shall give final approval to the petition if it finds on the basis
of the plans and specifications approved by the Design Committee and the estimated total
cost of development that the proposed public recreational facility is financially feasible
and is compatible with The Sea Ranch. In its final approval the Association may impose
such restrictions upon the use and operation of the facility, including reasonable use
fees to be charged Owners and Guests for the use thereof, as it may deem advisable to
assure the satisfactory functioning and financial stability of the facility, or to protect
other Owners in their use and enjoyment of The Sea Ranch.
(g) After its final approval of the petition, the Association shall allocate for the
development of the proposed public recreational facility an amount equal to the total
estimated cost of development of such facility (including a reasonable provision for
contingencies) from the portion, if any, of the development fund attributable to public
facility development assessments levied for the development of such facility. If no such
assessments have been made, the Association shall allocate such amount from the
unallocated balance of such fund.
(h) After allocation of monies pursuant to paragraph (g) above, the Association, at
such time and on such terms and conditions as it may deem appropriate but not exceeding
the estimate total cost of development determined pursuant to paragraph (d) above, shall
commence or contract for the development and construction of the public recreational
facility in accordance with the plans and specifications approved by the Design Committee.
(i) If the amount allocated from the development fund pursuant to paragraph (g) above
from time to time proves or appears to be inadequate to cover the actual cost of
development of the public recreational facility, the Association shall at its option and
from time to time.
(1) levy an additional public facility development assessment pursuant to section 6.06
in an amount sufficient to cover such actual or estimated inadequacy and allocate such
amount to the development of such facility; or
(2) allocate an amount sufficient to cover such actual or estimated inadequacy from the
unallocated balance of the development fund to the development of such facility.
(j) Any monies allocated to the development of a given recreational facility pursuant
to paragraph (g) or (i) above which are not expended for such purpose shall, upon
completion of the development of such facility, become part of the unallocated balance of
the development fund.
(k) If for any reason the Association does not give final approval to the petition
pursuant to paragraph (f) above, all expenses incurred by the Association in obtaining
plans and specifications pursuant to paragraph (c) above shall be paid out of the
unallocated balance of the development fund.
(l) Any improvement constructed or to be constructed by Grantor on any portion of
common area reserved on a subdivision map for development as a public recreational
facility or on any portion of restricted common area reserved on a subdivision map for
such development and contiguous to common area shall be deemed to be a public recreational
facility developed by the Association upon completion of such improvement by Grantor.
Section 7.03. Private Recreational Facilities.
(a) One or more Owners may from time to time petition the Association for the
development of a private recreational facility on any portion of common area reserved on a
subdivision map for such development, and one or more Owners of condominiums within one or
more projects may petition the Association for the development of a private recreational
facility on any portion of restricted common area which is contiguous to such project or
projects and which is reserved on a subdivision map for such development. Such petition
shall be in such form and shall contain such information as the Association may require,
including among other things the following:
(1) the names and addresses of the petitioning Owners;
(2) the location of the common or restricted common area and the type of private
recreational facility which the petitioning Owners wish to have developed; and
(3) the maximum private facility development and recreational assessments the
petitioning Owners are willing to pay.
(b) The Association shall tentatively approve the petition if it finds that the
proposed private recreational facility is financially feasible and is compatible with The
Sea Ranch. Among the factors which the Association shall consider in making such finding
are the following:
(1) the suitability of the proposed use to the location;
(2) the suitability of the proposed use as opposed to other possible recreational uses
on such location;
(3) the suitability of the private character of the proposed recreational facility as
opposed to a public character;
(4) the proximity of the lots of the petitioning Owners to the location;
(5) the number of petitioning Owners;
(6) the anticipated volume of use;
(7) the estimated cost of development and operation; and
(8) the ability of the petitioning Owners to bear private facility development and
recreational assessments.
(c) After tentative approval of the petition the Association shall prepare, or cause to
be prepared, and submit to the Design Committee pursuant to paragraph (b) of section 3.07,
two sets of plans and specifications for the proposed private recreational facility. Upon
the request of the Design Committee, such plans and specifications shall be prepared by an
architect and/or engineer.
(d) If the Design Committee approves such plans and specifications, the Association
shall obtain firm bids on the total cost of constructing and otherwise developing the
proposed private recreational facility, and the lowest acceptable bid or bids shall be
deemed the estimated total cost of development of such facility.
(e) If the Design Committee rejects such plans and specifications for failure of the
same to satisfy the conditions set forth in clause (dd) of sub-paragraph (1) or in
subparagraph (3), both of paragraph (b) of section 3.07, the Association shall reconsider
the petition in the light of the reasons given for such rejection by the Design Committee.
If upon such reconsideration the Association reaffirms the finding made pursuant to
paragraph (b) above, such plans and specifications shall be deemed approved by the Design
Committee.
(f) The Association shall give final approval to the petition if it finds on the basis
of the plans and specifications approved by the Design Committee and the estimated total
cost of development that the proposed private recreational facility is financially
feasible and is compatible with The Sea Ranch. In its final approval the Association may
impose such restrictions upon the use and operation of the facility as it may deem
advisable to assure the satisfactory functioning and financial stability of the facility,
or to protect other Owners in their use and enjoyment of The Sea Ranch.
(g) If within three (3) months after the date of final approval of the petition by the
Association pursuant to paragraph (f) above, a number of Owners at least equal to the
number of petitioning Owners shall file with the Association their consent to the
development of the private recreational facility in accordance with the terms and
conditions of said final approval, the development of the proposed private recreational
facility shall be deemed approved. Each such written consent shall, among other things,
identify the Owner's lot or lots to be benefited by the development and use of such
facility. Each Owner by filing such consent shall be deemed to have consented to any and
all private facility development assessments and recreational assessments from time to
time levied in connection with such facility pursuant to Article VI.
(h) After the development of the proposed private recreational facility has been
approved in the manner set forth in paragraph (g) above, the Association shall record a
Development Assessment Certificate identifying each lot to be benefited by the development
and use of such facility and certifying that the Owner of each such lot has consented to
any and all private facility development assessments and recreational assessments to be
levied in connection with such facility pursuant to Article VI.
(i) After the levy of the private facility development assessment pursuant to section
6.07, and at such time and upon such terms and conditions as the Association may deem to
be appropriate, but not exceeding the estimated total cost of development determined
pursuant to paragraph (d) above, the Association shall commence or contract for the
development and construction of the private recreational facility in accordance with the
plans and specifications approved by the Design Committee.
(j) If for any reason the Association does not give final approval to the petition
pursuant to paragraph (f) above within six (6) months after the petition is filed, or if
the development of the proposed recreational facility is not approved pursuant to
paragraph (g) above, then in either event the petitioning Owners shall reimburse the
Association for all expenses incurred by the Association in obtaining plans and
specifications pursuant to paragraph (c) above.
Section 7.04. Users of Private Recreational Facilities.
(a) Any Owner who has filed a consent pursuant to paragraph (g) of section 7.03 with
respect to any private recreational facility and is not in default in the payment of any
private facility development assessment or any recreational assessment levied with respect
thereto shall be permitted to use such facility.
(b) The right to use any private recreational facility may from time to time be
extended to one or more Owners in addition to those referred to in paragraph (a) above if:
(1) seventy-five percent (75%) of the Owners then permitted to use a given private
recreational facility shall file with the Association a written petition recommending that
such additional Owners be permitted to use such facility,
(2) each such additional Owner shall file with the Association a written consent which
identifies his lot to be benefited by the development and use of such facility and
consents to any and all private facility development assessments and recreational
assessments that may from time to time be levied in connection with such facility pursuant
to Article VI, and
(3) the Association shall find that increased number of Owners permitted to use such
facility is within the capacity of such facility and does not adversely affect other
Owners in their use and enjoyment of The Sea Ranch.
Upon satisfaction of the foregoing conditions, the Association shall record an
amendment to the Development Assessment Certificate previously recorded with respect to
such facility, which amendment shall identify the additional lot or lots to be benefited
by the development and use of such facility. Upon recordation of such amendment such
additional Owner shall be permitted to use such facility so long as he is not in default
in the payment of any private facility development assessment or any recreational
assessment levied with respect thereto.
(c) The right to use any given private recreational facility shall be appurtenant to
the lot identified in the consent filed by each Owner pursuant to paragraph (b) above or
paragraph (g) of section 7.03, and any sale, transfer or conveyance of such lot shall
operate to transfer the appurtenant right to use such facility without the requirement of
express reference thereto, and the transferee shall thereupon be permitted to use such
facility; provided, however, that the right to use such facility may be severed from such
lot by the Owner thereof and transferred separately if the proposed transferee of the
right to use is an Owner and files with the Association a written consent which identifies
the transferee Owner's lot to be benefited by the development and use of such facility and
consents to any and all private facility development assessments and recreational
assessments that may from time to time be levied in connection with such facility pursuant
to Article VI. After the filing of such consent, the Association shall record an amendment
to the Development Assessment Certificate previously recorded with respect to such
facility, which amendment shall identify the lot to be benefited by the development and
use of such facility and substitute such lot for the lot of the transferor Owner. Upon
recordation of such amendment, no further private facility development assessments or
recreational assessments shall be levied against such transferor Owner with respect to
such facility, and the transferee Owner shall be permitted to use such facility so long as
he is not in default in the payment of any private facility development assessment or any
recreational assessment levied with respect thereto.
Article IX. Miscellaneous Provisions.
Section 9.01. Amendment or Repeal; Duration.
(a) In addition to the rights reserved to Grantor pursuant to section 2.02 to modify or
supplement The Sea Ranch Restrictions with respect to property annexed to The Sea Ranch,
and unless specifically provided to the contrary herein, The Sea Ranch Restrictions, or
any part thereof, as from time to time in effect with respect to all or any part of The
Sea Ranch, and any limitation, restriction, covenant or condition thereof, may, at any
time with the written consent of Grantor, or at any time from and after five (5) years
from the date and year first above written without the consent of Grantor, be amended or
repealed upon the happening of the following events:
(1) the vote or written consent of Owners owning not less than three-fourths (3/4) of
the lots within The Sea Ranch, approving the proposed amendment or amendments to The Sea
Ranch Restrictions; and
(2) the recordation of a certificate of the Secretary or an Assistant Secretary of the
Association setting forth in full the amendment or amendments to The Sea Ranch
Restrictions so approved, including any portion or portions thereof repealed, and
certifying that said amendment or amendments have been approved by Owners owning not less
than three-fourths (3/4) of the lots within The Sea Ranch.
(b) All of the limitations, restrictions, covenants and conditions of The Sea Ranch
Restrictions shall continue and remain in full force and effect at all times with respect
to all property, and each part thereof, included within The Sea Ranch, to the Owners and
to the Association, subject, however, to the right to amend and terminate as provided for
in paragraph (a) above, for a period of twenty-one (21) years following the death of the
survivor of all the living descendants of Lyndon B. Johnson, President of the United
States, but not beyond the year 2000 A.D.: provided, however, that unless within one (1)
year prior to the expiration of said twenty-one (21) year period or prior to December 31,
1999, whichever, occurs first, there shall be recorded an instrument directing the
termination of The Sea Ranch Restrictions signed by Owners of not less than two-thirds
(2/3) of the lots within The Sea Ranch, The Sea Ranch Restrictions in effect immediately
prior to the expiration date shall, subject to the provisions of paragraph (a) above, be
continued automatically, without any further notice, for an additional period of ten (10)
years and thereafter for successive periods of ten (10) years unless within one (1) year
prior to the expiration of any such period The Sea Ranch Restrictions are terminated as
set forth above in this paragraph (b).
Section 9.02. Enforcement; Non-waiver.
(a) Except to the extent otherwise expressly provided herein, the Association or any
Owner or Owners shall have the right to enforce any and all of the limitations,
restrictions, covenants, conditions, obligations, liens and charges now or hereafter
imposed by The Sea Ranch Restrictions upon other Owners, or upon any property within The
Sea Ranch.
(b) Except to the extent otherwise expressly provided herein, any Owner or Owners shall
have the right to enforce any and all limitations, restrictions, covenants, conditions and
obligations now or hereafter imposed by The Sea Ranch Restrictions upon the Association.
(c) Every act or omission whereby any restriction, condition or covenant of The Sea
Ranch Restrictions is violated in whole or in part is hereby declared to be and to
constitute a nuisance and may be enjoined or abated, whether or not the relief sought is
for negative or affirmative action, by the Association or by an Owner or Owners, as
provided for in pare graphs (a) and (b) above; provided, however, that any provision to
the contrary notwithstanding, only the Association or its duly authorized agents may
enforce by self-help any limitation, restriction covenant, condition or obligation herein
set forth.
(d) Each remedy provided for in The Sea Ranch Restrictions is cumulative and not
exclusive.
(e) The failure to enforce the provisions of any limitation, restriction, covenant,
condition obligation, lien or charge of The Sea Ranch Restrictions shall not constitute a
waiver of any right to enforce any such provision or any other provision of The Sea Ranch
Restrictions.
Section 9.03. Construction; Compliance with Laws; Severability Singular and Plural;
Titles.
(a) All of the limitations, restrictions, covenants, and conditions of The Sea Ranch
Restrictions shall be liberally construed, together, to promote and effectuate the
fundamental concepts of The Sea Ranch, as set forth in the introductory paragraphs of this
declaration,
(b) No provision of The Sea Ranch Restrictions shall be construed to excuse any person
from observing any law or regulation of any governmental body having jurisdiction over
such person or The Sea Ranch or any part thereof.
(c) Notwithstanding the provisions of paragraph (a) above, the limitations,
restrictions, covenants and conditions of The Sea Ranch Restrictions shall be deemed
independent and severable, and the invalidity or partial invalidity of any provision, or
portion thereof, of any of such limitations, restrictions, covenants or conditions shall
not affect the validity or enforceability of any other provision.
(d) The singular shall include the plural and the plural the singular unless the
context requires the contrary, and the masculine, feminine and neuter shall each include
the masculine, feminine or neuter, as the context requires.
(e) All titles used in The Sea Ranch Restrictions including those of articles and
sections, are intended solely for convenience of reference and the same shall not nor
shall any of them affect that which is set forth in such articles, sections, nor any of
the terms or provisions of The Sea Ranch Restrictions.
Section 9.04. Lot Splitting; Consolidation.
(a) No lot within The Sea Ranch of less than two (2) acres shall be split. No other lot
within The Sea Ranch shall be split unless the minimum area of each resulting lot is one
(1) acre, or if the lot splitting is for a project, the ratio of condominiums to acres
within the resulting project area does not exceed 8 to 1, and unless there is filed with
respect to the lot being split a subdivision map on which at least two of the three
members of the Design Committee shall have endorsed their consent and the Secretary or any
Assistant Secretary of the Association shall have endorsed the consent of the Association.
(b) No two or more lots within The Sea Ranch shall be consolidated into one lot unless
there is filed with respect to the lots being consolidated a subdivision map on which at
least two of the three members of the Design Committee shall have endorsed their consent
and the Secretary or any Assistant Secretary of the Association shall have endorsed the
consent of the Association.
(c) Nothing contained in paragraph (a) or (b) above shall apply to the splitting of any
lot by Grantor or the consolidation of two or more lots into one lot by Grantor.
Section 9.05. Conveyance of Common Area and Restricted Common Area; Reservation of
Easements and Rights of Way; Reclassification of Land Area.
(a) Grantor shall transfer and convey to the Association and the Association shall
accept, the fee interest to all of the real property designated on a subdivision map as
"Common Area" and "Restricted Common Area". Such real property may be
subject to any or all of the following exceptions, liens and encumbrances:
(1) the lien of real property taxes and assessments not delinquent;
(2) such easements and rights of way on, over or under all or any part thereof as maybe
reserved to Grantor or granted to any Owner or participating facility for the use thereof
in accordance with the provisions of The Sea Ranch Restrictions;
(3) such easements and rights of way on, over or under all or any part thereof as may
be reserved to Grantor for access to real property contiguous to common area or restricted
common area;
(4) such easements and rights of way on, over or under all or any part thereof as may
be reserved to Grantor or granted to or for the benefit of the United States of America,
the State of California, or the County of Sonoma, any other political subdivision or
public organization, any public utility corporation, any participating facility, any
project, or any lot, for the purpose of constructing, erecting, operating and maintaining
thereon, therein and thereunder, at that time or at any time in the future
(aa) roads, streets, walks, driveways, parkways and park areas,
(bb) poles, wires and conduits for the transmission of electricity for lighting,
heating, power, telephone, television and other purposes and for the necessary attachments
in connection therewith, and
(cc) public and private sewers, sewage disposal systems, storm water drains, land
drains and pipes, water systems, sprinkling systems, water, heating and gas lines or pipes
and any and all equipment in connection therewith;
(5) the obligations imposed, directly or indirectly, by virtue of any statute, law,
ordinance, resolution or regulation of the United States of America, the State of
California or any other political subdivision or public organization having jurisdiction
over such property, or by virtue of any organization or body politic created pursuant to
any such statute, law, ordinance or regulation.
(6) the rights reserved to Grantor pursuant to paragraph (f) of section 3.07; and
(7) any other lien, encumbrance or defect of title of any kind whatsoever (other than
of the type which would at any time or from time to time create a lien upon such properly
to secure an obligation to pay money) which would not materially and actually prejudice
the Owners and Guests in their use and enjoyment of such property.
(b) The land classification of any real property within The Sea Ranch which is neither
common area nor restricted common area may be changed to common area or restricted common
area by the transfer of such property to the Association from all persons havin9 any
right, title or interest therein, The Association shall accept such property and shall
file a subdivision map with respect thereto designating the same either "Common
Area" or "Restricted Common Area", as it may elect. Such property shall
thereupon become common area or restricted common area in accordance with such
designation. Notwithstanding the foregoing, Grantor may change the land classification of
any such property as to which it is the Owner by filing a subdivision map designating such
property either "Common Area" or "Restricted Common Area", as Grantor
may elect, Grantor shall convey such property to the Association which shall accept the
same, and such property shall thereupon become common area or restricted common area, as
the case may be.
Section 9.06. Assignment of Powers.
Any and all of the rights and powers vested in Grantor pursuant to The Sea Ranch
Restrictions may be delegated, transferred, assigned, conveyed or released by Grantor to
the Association, and the Association shall accept the same, effective upon the recording
by the Grantor of a notice of such delegation, transfer, assignment, conveyance or
release.
Section 9.07. Condemnation of Common Area and Restricted Common Area.
If at any time, or from time to time, all or any portion of common area or restricted
common area, or any interest therein, be taken for any public or quasi-public use, under
any statute, by right of eminent domain or by private purchase in lieu of eminent domain,
the entire award in condemnation shall be paid to the Association and deposited into
either the operating fund or the development fund as the Association may, in its sole
discretion, determine. No Owner shall be entitled to any portion of such award and no
Owner shall be entitled to participate as a party, or otherwise, in any proceedings
relating to such condemnation, such right of participation being herein reserved
exclusively to the Association which shall, in its name alone, represent the interests of
all Owners; provided, however, that the portion of any award relating to improvements
which constitute a private recreation facility shall be divided equally among the Owners
who, at the time of such taking, are permitted users of such facility.
Section 9.08. Obligations of Owners; Avoidance; Termination.
(a) No Owner, through his non-use of any common area, restricted common area, project
area or recreational facility, or by abandonment of his lot, may avoid the burdens or
obligations imposed on him by The Sea Ranch Restrictions by virtue of his being an Owner.
(b) Upon the conveyance, sale, assignment or other transfer of a lot to a new Owner,
the transferring Owner shall not be liable for any assessments levied with respect to such
lot after the date of such transfer, and no person, after the termination of his status as
an Owner and prior to his again becoming an Owner, shall incur any of the obligations or
enjoy any of the benefits of an Owner under The Sea Ranch Restrictions following the date
of such termination.
Section 9.09. Notices; Documents; Delivery.
Any notice or other document permitted or required by The Sea Ranch Restrictions to be
delivered may be delivered either personally or by mail. If delivery is made by mail, it
shall be deemed to have been delivered twenty-four (24) hours after a copy of same has
been deposited in the United States mail, postage prepaid, addressed as follows if to the
Association or to the Design Committee, at The Sea Ranch, Sonoma County, California; if to
an Owner, then at any lot within The Sea Ranch owned by the Owner; if to Grantor, at One
Bush Street, San Francisco, California; provided, however, that any such address may be
changed from time to time by any Owner, by the Design Committee, or by Grantor by notice
in writing, delivered to the Association, or by the Association, by notice in writing
delivered to all Owners.

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