Complaint Filed 12-24-18

1 Joseph Tuchmayer (SBN 72974)
Law Offices of Joseph D. Tuchmayer

2
888 S. Figueroa Street, Suite 620
3 Los Angeles, California 90017
Telephone: (323) 806-2209
4 Facsimile: (323) 656-0911
Attorneys for Plaintiff Grant Beuchel
5
on behalf of himself and all others similarly situated
6
7
SUPERIOR COURT, STATE OF CALIFORNIA
8
9 COUNTY OF LOS ANGELES
10 GRANT BEUCHEL, on behalf of himself and Case No.:

all others similarly situated
11
Plaintiff,
12 COMPLAINT FOR DECLARATORY
vs. RELIEF AND BREACH OF FIDUCIARY
13 DUTIES
14 LITTLE TOKYO LOFTS HOMEOWNERS
ASSOCIATION, A CORPORATION; AND
15
DOES 1 THROUGH 100
16
Defendants
17
COMES NOW PLAINTIFF, GRANT BEUCHEL, on behalf of himself
18
19
and all others similarly situated, and alleges against defendants, and each of them, as
20 follows:
21 GENERAL ALLEGATIONS
22
1. Defendant, LITTLE TOKYO LOFTS HOMEOWNERS ASSOCIATION, A
23
CORPORATION (hereinafter referred to as the “Association”) is, and at all times mentioned
24
25
was a non-profit mutual benefit corporation organized and existing under and by virtue of the
26 laws of the State of California and United States Code Title 26 Section 501(c), and is composed
27
-1-
28 COMPLAINT FOR DECLARATORY RELIEF
1 owners of semi-residential and semi-commercial units which are located at 420 S. San Pedro
2
Street, Los Angeles, California 90013, legally described as:
3
“Lot 1 of Tract No. 53922, as shown on a subdivision
4
map, filed July 18, 2006, in book 1319, pages 88 to 90,
5
6 inclusive, of maps, in official records”
7 (The property is also hereinafter described as the “Property” or “Little Tokyo Lofts”.)
8
2. Grant Beuchel (hereinafter “Plaintiff”) is an individual who owns an undivided interest in
9
common areas of the Property coupled with a separate interest in space called a unit, over which
10
he enjoys exclusive use, and as such is one of 160 owners of the Property with standing to bring
11
12 this action for an order to enforce the governing documents; and an order mandating the
13 disclosure of certain material facts which, as of the time of the filing of this complaint, remain
14
undisclosed by the Association; and to cure various violations of law; and for further relief as is
15
prayed for herein.
16
3. The Property is not in fact the section of Los Angeles designated as “Little Tokyo,” but
17
18 rather, is actually in the district known as “Skid Row.” The property was named by the
19 developer, Hammer LLC.

20
4. The “Skid Row” district which is a historical neighborhood over 100 years old was
21
defined by Jones v. City of Los Angeles as the area east of Main Street, South of Third Street,
22
West of Alameda Street, and North of 7th Street. The Property located at 420 S. San Pedro street
23
24 does fall within these boundaries.
25 5. The Skid Row community is generally, a low-income community, of approximately 15,000

26
residents, many of whom live in converted single room occupancy hotels or “SRO’s”. At last
27
-2-
1 count, the homeless population living on the street in tents or otherwise was estimated at 4,633 - - -
2
the largest homeless population in the United States. A great percentage of the population suffer
3
from disabilities, both physical and mental, which, among other ways, express themselves by the
4
use of drugs like methamphetamine and a chemical concoction sold legally as bath salts, but in
5
6 reality, is smoked and referred to as “spice.”
7 6. These unusual neighborhood conditions, including the homeless persons who live on the
8
streets just outside and around the Property, as well as other circumstances not specifically alleged
9
herein, create unique challenges for the Association in terms of security of the Property, its owners
10
and residents and their respective guests, as well as other unique circumstances.
11
12 7. In accordance with the “Declarations of Covenants, Conditions & Restrictions” (the
13 “CC&Rs”) recorded with and on file with the Los Angeles County Recorder’s Office, and
14
pursuant to Civil Code Section 4000 et. seq., the Association has the sole and exclusive right and
15
duty to manage, operate and control the Property and has all the power necessary to carry out its
16
rights and obligations, including the right, duty and power to contract for legal services to
17
18 prosecute any action to enforce the CC&Rs and/or other governing documents.
19 8. A true and correct copy of the CC&Rs is attached hereto as Exhibit “A”, the contents of
20
which are incorporated herein, by this reference, as if set forth here, in full, verbatim.
21
9. The CC&R’s are enforceable equitable servitudes; are not unreasonable; and inure to the
22
benefit of and bind all owners of separate interests in the Association.
23
24 10. The Property is subject to the “Los Angeles Adaptive Reuse Ordinance” (hereinafter
25 “Ordinance”) originally enacted in 1999 and which has been modified and extended since that
26
27
-3-
1 time. Adaptive reuse refers to the process of reusing an old or historical site for a purpose other
2
than which it was originally built or designed for in an attempt to preserve historic buildings.
3
11. In the case of the Property, the Ordinance allows residential and some semi-commercial
4
uses which absent the Ordinance would be contrary to zoning laws, and allows those changes in
5
6 use so long as certain conditions required by the Ordinance are met, and continue to be met, and
7 that the reuse will not adversely affect the special character or special historical, architectural,
8
archaeological, or cultural value of the Property. The units within these buildings are commonly
9
referred to as “artist lofts” although they are not limited to semi-commercial uses by artists alone.
10
12. A part of the first floor of the property is permitted by the city to be used as fully
11
12 commercial units and are owned by a commercial developer, and a mutual benefit agreement
13 exists between the owner of these first-floor commercial units and the Association. A copy of
14
this mutual benefit agreement is attached hereto as Exhibit “B” solely for its ease of reference.
15
13. Plaintiff is informed and believes and thereupon alleges for each of the within the causes
16
of action contained in this Complaint that the Association’s representatives, through their actions
17
18 and inactions, created situations wherein, among other things:
19 a. The property may not be meeting all of the required conditions of the
20
Ordinance;
21
b. The Association has consistently failed to enforce its governing
22
documents while being under a duty to do so;
23
24 c. The Association has consistently failed to disclose material facts to the
25 owners when under a duty to do so;

26
d. The Association has engaged in violations of law;
27
-4-
1 e. The Association, through its representatives DOES I – 100 habitually
2
ignore the law and do not respond effectively to the government’s
3
attempts to enforce the law, and as such for all intents and purposes are
4
“scofflaw”
5
6 f. The Association through their actions and inactions have breached their
7 obligation to act in good faith as well as their fiduciary obligations to

8
the Plaintiff and other owners generally, and have also failed to deal
9
fairly with them, and among these failures is the Association’s use of
10
the law to thwart attempts by the Plaintiff and other owners to enforce
11
12 their rights under the law and the Association’s obligations pursuant to
13 the governing documents. Thus, the Association is not acting in the best
14
interests of the Plaintiff or the other owners. (See Exhibits “N” and “G”
15
the contents of which are incorporated herein by this reference.)
16
g. The Association violated Civil Code Section 5500 by failing to
17
18 reconciliate the Association’s operating accounts on a quarterly basis
19 and/or violated Civil Code Section 4935(e) by failing to generally note

20
the same in the minutes of the immediately following general meeting;
21
and violated Civil Code Section 4955.
22
h. The Association violated Civil Code Section 5235 by unlawfully
23
24 denying the Plaintiff the right to inspect documents that were not
25 privileged.
26
27
-5-
1 14. None of the allegations made herein are for purely ordinary maintenance issues which the
2
Plaintiff concedes are issues entrusted to the discretion of the Association through its board of
3
directors. Rather, the causes of action herein embody flagrant failures of the Association to
4
reasonably discharge their obligations to the Plaintiff and the other owners, including but not
5
6 limited to, the failure to enforce CC&R’s, Rules & Regulations, and other governing documents;
7 to disclose material facts known to the Association; and to comply with the law generally.
8
15. DOES I through 100 are natural persons designated or elected to act on behalf of the
9
corporate Association pursuant to Corporations Code Section 5047, and who have served in that
10
capacity during the relevant times complained of herein. The true names of these natural persons
11
12 are unknown to the Plaintiff who will amend this complaint accordingly when the true names
13 and relevant capacities are ascertained.

14
16. Plaintiff is not seeking money damages from the Association or its board of directors,
15
neither past nor present, but is seeking declaratory relief and other relief as is more fully set forth
16
in this complaint, including but not limited to, the costs, fees and other expenses associated with
17
18 bringing this action.
19 17. All of the images collectively contained in Exhibit “P” were taken between August 1,
20
2018 and the time this Complaint was filed, the contents of which are incorporated herein by this
21
reference.
22
18. FirstService Residential became the “community management team” for the Property on
23
24 August 1, 2018 and has remained so through the present.
25
26
27
-6-
1 19. Plaintiff brings this action on his own behalf, and in a representative capacity on behalf
2
of all other owners of the Property, past and present, who have a similar interest in having the
3
CC&Rs and other governing documents enforced, and other declaratory relief prayed for herein.
4
20. The Association has legal standing and a legal duty to enforce the CC&Rs and other
5
6 governing documents, but upon any such failure by the Association, then any member, including
7 but not limited to the Plaintiff, has standing to litigate enforcement of the same. Likewise, both
8
the Association and any member, including but not limited to, the Plaintiff has standing to
9
litigate to compel the Association to obey all existing laws that apply to them, and disclose
10
material facts to all of the owners, which they have failed to disclose as of the filing of this
11
12 complaint and/or thereafter.
13 21. Prior to the institution of these proceedings, Plaintiff did comply with Civil Code Section
14
5935, (See Declaration of Grant Beuchel attached to this complaint as Exhibit “C”) and further
15
did attempt to engage in informal resolution procedures pursuant to Section 5910 of that same
16
code, and thus Plaintiff has made a prima facia showing of his good faith efforts to resolve the
17
18 issues complained of herein without the need for judicial intervention.
19 22. The Association failed to engage in resolution procedures in good faith as is further
20
detailed in the First Cause of Action herein, and more specifically did not comply with Civil
21
Code Sections 5905(a) & 5910(f).
22
23. Since approximately 2010 through the present, Plaintiff also engaged in many other pre-
23
24 litigation activities and requests seeking to informally obtain resolution of the issues raised
25 herein and to avoid this formal litigation and its incumbent costs and consequences, all which
26
27
-7-
1 were with some limited success, but in the end, not sufficient success to avoid these legal
2
proceedings.
3
24. On October 17, 2018, Plaintiff did engage in legally mandated dispute resolution. As a
4
result, Plaintiff agreed to give to the Association sixty (60) days to come into compliance; the
5
6 Association suggesting that it would do so; and Plaintiff skeptical if this would actually occur.
7 25. On October 22, 2018 at a regularly noticed general meeting of the board, Plaintiff did
8
attend and did offer to email a draft version of this complaint to the Association’s representatives
9
who were present at the meeting hoping that would both avoid this litigation and motivate the
10
board to undertake to resolve some or all of the issues raised herein. All of the Association’s
11
12 representatives declined this offer. (See Exhibit “Q”)
13 26. Alternative dispute resolution pursuant with Civil Code Section 5935 did not occur
14
within 90 days because the parties stipulated to a longer time period.
15
16
FIRST CAUSE OF ACTION
17
18 (Declaratory Relief -- Violation of Civil Code Sections 5905(a) & 5910(f))
19 27. Plaintiff incorporates hereat by this reference paragraphs 1 through 26, inclusive, as set
20
forth above.
21
28. Prior to engaging in the Civil Code’s mandatory “Alternative Dispute Resolution” by
22
way of a mediation on October 17, 2017, Plaintiff did demand an informal resolution procedure
23
24 pursuant to section 5910, in an attempt to avoid litigation and seeking to informally obtain
25 resolution of the issues raised herein, among other issues.

26
27
-8-
1 29. In response to the request for an informal resolution procedure, an informal meeting was
2
scheduled for and did occur on February 22, 2018 in an area of the Property used by the Board
3
for various meetings, including executive sessions and general meetings, and as an office
4
generally, on the first floor of the Property adjacent to the passenger elevator lobby.
5
6 30. The term “office” is a misnomer in that this area is actually a room for storage illegally
7 built-out into an office without the required city permits to do so. This storage/office area
8
remains unpermitted as of the time of the filing of this complaint.
9
31. During the section 5910 meeting, Plaintiff was represented by attorney Joseph
10
Tuchmayer, and the Association was represented by David A Wankel of the law firm of Iger,
11
12 Wankel Bonkowski.
13 32. When the meeting began, it was suggested by attorney Tuchmayer that Plaintiff be
14
allowed to address the board directly so he could explain his position regarding various
15
grievances, many of which form the basis for the causes of action in this complaint. After being
16
allowed to speak for approximately 2 minutes, counsel for the Association, with the agreement of
17
18 the board, took the position that the Plaintiff was being “rude” and immediately ended the
19 meeting without giving the Plaintiff an opportunity to further or fully explain his positions and/or
20
answer questions from the board or its counsel. Such actions by the board and its counsel were
21
in violation of Civil Code Section 5910(f).
22
33. In truth, when the meeting was abruptly ended, Plaintiff was merely just starting to point
23
24 out the myriad of problems the owners were facing as a result of the Association’s failures,
25 including but not limited to the fact that the room used for the 5910 meeting was not a legally
26
occupiable space; the meeting itself was a serial communication since the owners were not
27
-9-
1 notified in advance of the meeting pursuant to Civil Code Sections 4920(b)(2) & 4930(a); and
2
other matters which adversely affect the owners and of which he was seeking to obtain a
3
resolution.
4
34. Three of the Association’s board of directors were present at the meeting, the three
5
6 representing a quorum, and none of these representatives objected to the ending of that informal
7 meeting without giving the Plaintiff a full and fair opportunity to explain his positions, the issues
8
in dispute and suggest or discuss any possible resolutions of the same. In fact, those issues still
9
remain in dispute as of the filing of this action, and many form the basis for this complaint and
10
its causes of action herein.
11
12 35. In trying to resolve these and other issues and disputes as alleged herein with the Board
13 and Association, Plaintiff attempted to reasonably follow the policies and/or procedures set out
14
in the CC&Rs as well as the governing Rules and Regulations by among other things reporting
15
and/or bringing to the attention of the Board and its members such issues and violations;
16
however the Board generally and usually then failed to follow specified resolution and/or
17
18 enforcement procedures after Plaintiff’s reporting to them of such issues and violations.
19 36. Plaintiff prays that this court make a finding that the Association’s actions and inactions
20
were in violation of Civil Code Sections 5905(a) & 5910(f) for reason that the Association failed
21
to give to the Plaintiff a fair and adequate opportunity to explain his position regarding various
22
issues, which may have negated the need to proceed to more formal mediation proceedings and
23
24 the filing of this legal action. Plaintiff further prays that the court make a finding that the
25 Association failed to act in goof faith towards the Plaintiff in regard to dispute resolution, and
26
other matters generally.
27
- 10 -
1
2
SECOND CAUSE OF ACTION
3
(Declaratory Relief -- Failure to Enforce CC&R’s Including Sections 2.8.2 and 2.8.4)
4
37. Plaintiff incorporates hereat by this reference paragraphs 1 through 36, inclusive, as set
5
6 forth above.
7 38. The Board through their actions or inactions have failed to either reasonably interpret
8
and/or consistently enforce CC&R Sections 2.8.2 and 2.8.4, to the detriment of Plaintiff and
9
other owners.
10
39. CC&R 2.8.2 states an authorized vehicle is:
11
12 “an automobile, a passenger van designed to
13 accommodate ten (10) or fewer people, a motorcycle or a

14
pickup truck having a manufacturer’s rating or payload
15
capacity of one ton or less” (Emphasis Added)
16
17
40. CC&R 2.8.4 section (a) Parking Restrictions states, in pertinent part:
18
Parking. All vehicles owned or operated by or under the
19
control of an Owner or a Resident of an Owner’s
20
21 Condominium and kept in the Community must be parked
22 in the Owner’s assigned parking space in the Parking

23
Garage. No vehicle may be parked in any manner that the
24
Association determines will restrict the normal passage of
25
pedestrians or vehicles in the parking areas………No
26
27
- 11 -
1 vehicle repair (except for emergencies) or other activities
2
may be undertaken in the parking garage.
3
(Emphasis Added)
4
41. Filed almost simultaneously with the CC&R’s, was the original set of “Rules and
5
6 Regulations” dated April 27, 2006. A true and correct copy of those Rules & Regulations is
7 attached hereto as “Exhibit “D”, the contents of which are incorporated herein, by this reference,
8
as if set forth here, in full, verbatim.
9
42. Neither CC&R 2.8.2 nor the original rules & regulations reasonably contemplate nor
10
permitted the parking of more than one (1) vehicle in a parking space.
11
12 43. Neither CC&R 2.8.4 nor the original rules & regulations reasonably contemplate nor
13 permitted the parking of a vehicle in-between parking spaces, such that the vehicle is straddling 2
14
parking spaces.
15
44. During the first approximate 7 years Plaintiff was an owner, the Association took the
16
position that the governing documents did only permit a single vehicle in a parking space, but
17
18 through its various boards and board of directors, never consistently enforced this rule.
19 45. Also, the Association, through their actions and inaction, allowed the parking of vehicles,
20
such as motorcycles and mini-bikes, both registered and unregistered in locations of the garage
21
that were not designated as parking spaces in violation of CC&R 2.8.4, such as either in-between
22
automobiles parked lawfully in a parking spot or in-between an automobile lawfully parked and
23
24 an adjacent wall of the parking garage.
25 46. Plaintiff repeatedly reported these issues and violations to the Board and sought the
26
Board to remedy the issues and violations and to adopt and enforce a clear and consistent
27
- 12 -
1 policies, rules and regulations with respect thereto. However, the Association almost never
2
enforced these CCR’s and Rules & Regulations regarding the parking of vehicles in the parking
3
garage, and to the extent they did, such enforcement was sporadic and inconsistent.
4
47. In approximately February of 2016 the Association attempted to sanction these CC&R
5
6 violations by purportedly amending its Rules & Regulations to allow for the parking of multiple
7 vehicles in the same parking spot. However, the Association has never enforced its purported
8
new rules, the same as it never enforced the original rules. As such, the Property has many
9
residents parking two or three motorcycles and/or an automobile with a motorcycle in the same
10
parking spot, or motorcycles, registered and unregistered, in areas that are not designated parking
11
12 spots, among other violations.
13 48. These purportedly new and revised Rules & Regulations are attached hereto as Exhibit
14
“E” the contents of which are incorporated herein by this reference, as if set forth, herein,
15
verbatim.
16
49. These CC&R violations complained of herein have the effect of lowering the value of the
17
18 Property; decrease the residents enjoyment of the property and more specifically result in less
19 habitable common areas; result in an increased risk of harm to residents and their guests; violate
20
the terms and conditions of the Association’s liability policy; and otherwise violate the law and
21
common practices in the industry.
22
50. The Association’s failures complained of herein are in violation of the CC&R’s, and
23
24 more specifically sections 2.8.2 and 2.8.4 constitute violations of the Association’s duty to
25 enforce the governing documents; are in conflict with their purportedly revised Rules &
26
Regulations; are contrary to the conditions required by the Ordinance; are contrary to what the
27
- 13 -
1 Association’s liability carrier will allow to continue liability coverage; and are contrary to law
2
and common standards in the industry, all of which results in damages to the owners as well as
3
an increase in potential liability to the Plaintiff and other owners of the Property.
4
51. Plaintiff is informed and believes and thereupon alleges that the Association has failed to
5
6 inform its liability carrier of its purported new rules & regulations even though the terms of their
7 liability policy require the Association to provide notice of such changes to the carrier if they
8
occur, and these failures subjects the owners to the potential for a claim denial and/or a partial
9
coverage situation.
10
52. In combination and in aggravation with the Association’s failure to enforce CC&R 2.8.2
11
12 and 2.8.4, the Association has also failed to enforce various other Rules & Regulations regarding
13 the parking of vehicles in parking spaces and/or in non-parking spaces and/or in-between parking
14
spaces; and allowing storage of items or garbage including petroleum-based fuels and other
15
hazardous materials.
16
53. CC&R Sections 2.8.2 and 2.8.4 are enforceable equitable servitudes and enforcement of
17
18 the same would not be “wholly arbitrary, violate a fundamental public policy, or impose a
19 burden on the use of affected land that far outweighs any benefit.”
20
54. The failure to enforce the governing documents has resulted in actual damage to the
21
owners; has lowered the quality of life of the owners and residents; and results in the diminution
22
of the pecuniary and commercial value of the Property, its common areas, and the individual
23
24 units therein.
26
and Association, Plaintiff attempted to reasonably follow the policies and/or procedures set out
27
- 14 -
1 in the CC&Rs as well as the governing Rules and Regulations by among other things reporting
2
3
4
enforcement procedures after Plaintiff’s reporting to them of such issues and violations.
5
6 56. Plaintiff prays for declaratory finding regarding the interpretation of these CC&R
7 sections as well as a finding that the board has failed to enforce CC&R Sections 2.8.2 and 2.8.4,
8
and other sections of the governing documents to the detriment of the owners, and further prays
9
for an order requiring that the Association to enforce the same, forthwith, and without hesitation,
10
to minimize any future damages to the Plaintiff and other owners.
11
12 THIRD CAUSE OF ACTION
13 (Declaratory Relief -- Failure to Enforce Rules & Regulations –

14
Original Version Dated April 27, 2006)
15
16
forth above.
17
18 58. Plaintiff is informed and believes and thereupon alleges that the Association has
19 consistently failed to enforce the original version of the Rules & Regulations dated August 27,
20
2006 and attached hereto as Exhibit “D”
21
59. Plaintiff is informed and believes and thereupon alleges that the Association takes the
22
position that these Rules & Regulations are no longer in effect because they were superseded by
23
24 a new set of Rules & Regulations enacted on or about April of 2016, whereas Plaintiff alleges
25 that these revised and un-dated Rules & Regulations are void for the Association’s failure to
26
27
- 15 -
1 follow the Civil Code when the Association attempted to enact them. (See Fourth Cause of
2
Action).
3
60. Thus, Plaintiff alleges that these original rules and regulations are still in full force and
4
effect due to the fact that the Association never legally enacted a revised set of Rules &
5
6 Regulations.
7 61. Plaintiff became an owner, and thus a member of the Association in approximately
8
September, 2009, and since that time through the present the Association, has chronically failed
9
to enforce various portions of the Rules & Regulations (a copy of which is attached as Exhibit
10
“E”), and continues to violate the law generally.
11
12 62. Some of the sections of Exhibit “E” that the Association has consistently failed to enforce
13 are:
14
(a) Section 6.5- Door Mats at door entry;
15
(b) Section 6.5 - Signage
16
(c) Section 6.6 – Signs, symbols or door knockers or similar features……which can be seen
17
18 from the common area corridor and hallway;
19 (d) 6.15 – Adornment

20
(e) 7.2 – Illegal discharge into storm drains
21
(f) 10.2 Dogs off of leash
22
(g) 10.10 – Dogs in the pool area
23
24 (h) 9.1 – Parking blocks access of other parking and/or parking outside of parking spaces
25 (i) 9.4 – Parking vehicles with excessive oil leaks causing staining
26
(j) 9.6 – Oversized vehicles……which do not fit in a parking space
27
- 16 -
1 (k) 9.7 – Working on vehicles in the performance of non-emergency repairs
2
(l) 9.9 - Unregistered vehicles
3
(m) Section 11 Generally – Failure to require that owners notify the Association if a unit is
4
being rented; contact information for the renters; leases in writing requiring that the
5
6 tenants be required to adhere to the Rules & Regulations as part of the written lease
7 agreement; and providing tenants with a copy of the Rules & Regulations;
8
(n) Section 12 Generally – Failure to require owners to notify the Association that a unit has
9
been listed for sale; providing the name, telephone number of the listing agents; lock
10
boxes in designated areas only; failure to provide the listing agent with a copy of the
11
12 rules & Regulations; and most importantly, failing to escort prospective buyers through
13 the common areas and instead allowing the owner or listing agent to simply “buzz” non-
14
owner and non-residents into the building;
15
(o) Section 13 Generally – Allowing owners to use service and trade people without
16
notifying the Association in advance; allowing said persons onto the premises to do
17
18 work; allowing said contractors to use hallways and the loading dock as a staging area;
19 not limiting said work to days and times specified in the Rules & Regulations, including
20
but not limiting to, allowing the performance of said work on Sunday; allowing
21
exclusive use of elevators; allowing work by unlicensed and uninsured trades persons;
22
allowing the use of noisy equipment such as jackhammers without notifying neighbors in
23
24 advance of the proposed work;
25 (p) 15.6 – No pets allowed in the pool area;

26
(q) 16.5 – Disposal of oversized articles;
27
- 17 -
1 (r) 17.2 – Black drapes and window coverings
2
(s) Section 18 Generally – Allowing holiday ornaments and lights all year round
3
(t) 19.2 &19.4 Allowing residents to permit entry of third-parties not known to them
4
(u) 20.5 Signage
5
6 63. Images depicting some of these violations which did occur from 2009 through 2012 are
7 collectively attached hereto as Exhibit “F” the contents of which are incorporated herein by this
8
reference, as if set forth, in full, verbatim. Further images contained in a letter from the Plaintiff
9
to the Association’s then attorney Lisa Tashjian dated August 14, 2012 and August 31, 2012 are
10
attached hereto collectively as Exhibit “G” the contents of which are incorporated herein by this
11
12 reference, further evidence these violations and failures of the Association. (See also Exhibit N)
13 64. Plaintiff has on more than one occasion reported to the Association, its attorneys of
14
record, and others regarding the chronic failures of the Association to enforce the governing
15
documents and demanded that the Association investigate those complaints and take corrective
16
actions. However, Plaintiff is informed and believes and thereupon alleges that the Association
17
18 has repeatedly failed to investigate the Plaintiff’s complaints, notwithstanding their legal
19 obligation to do so, primarily because the Association and its board was aware that the
20
complaints were valid but was not desirous to enforce all of the governing documents.
21
65. The failure to enforce the Rules & Regulations, and other governing documents by the
22
Association and its boards is and always has been chronic in nature, and has resulted in actual
23
24 damage to the owners; has lowered the quality of life of the owners and residents; and results in
25 the diminution of the pecuniary and commercial value of the Property, its common areas, and the
26
individual units therein.
27
- 18 -
2
3
4
5
6 however the Board generally and usually then failed to follow specified resolution and/or
8
67. Plaintiff seeks a finding by the court that the Association has not and is not enforcing its
9
governing documents, including its Rules & Regulations as is required by law and prays for an
10
order requiring said enforcement, without hesitation, to prevent future damages, to the Plaintiff
11
12 and other owners.
13
14
FOURTH CAUSE OF ACTION
15
(Declaratory Relief - Violation of Civil Code Section 4360 )
16
17
18 forth above.
19 69. Plaintiff is informed and believes and thereupon alleges that on or about April, 2016, the
20
Association, according to them, amended the Rules & Regulations, which are attached to this
21
complaint as Exhibit “D” (original rules dated April 27, 2016) and Exhibit “E” (purported new
22
rules). Exhibit “E” is an undated document.
23
24 70. Plaintiff is informed and believes and thereupon alleges that that the Association did not
25 give at least 30 days’ notice of their proposed change in Rules & Regulations as is required by
26
Civil Code Section 4360.
27
- 19 -
1 71. Plaintiff is informed and believes and thereupon alleges that in violation of said 30-day
2
notice requirement, the Association mailed to the Plaintiff and other owners, a “Memorandum”
3
dated “February, 2016” in lieu of a properly dated notice which gave Plaintiff and other owners
4
actual notice of when the Memorandum was dated and/or mailed. Plaintiff is informed and
5
6 believes and thereupon alleges that the Memorandum was mailed not earlier than February 25,
7 2016. The Memorandum gave notice of a meeting to be held on March 24, 2016.
8
72. When Plaintiff received the undated Memorandum, because it was undated he could not
9
tell when it had been mailed and therefore was not given adequate notice of when his response
10
had to be provided. was due.
11
12 73. Uncertain of when his response had to be provided to the Association, and in order to try
13 to provide as timely a response as he could, Plaintiff did provide a response dated February 28,
14
2016, a true and correct copy of which is attached hereto as Exhibit “H”.
15
74. In Plaintiff’s response dated February 28, 2016 (Exhibit “H”), Plaintiff objected to the
16
lack of adequate notice and therefore an adequate opportunity to investigate and respond, and
17
18 Plaintiff expressly stated that he was responding without waiving that objection, and then he
19 provided a response which was based upon the information that was available to him within the
20
limited time that he had had to prepare the response.
21
75. Plaintiff also appeared at the March 24, 2016 scheduled general open meeting and again
22
voiced his objection to the Association’s purported notice, and asked that the proposed rule
23
24 change be re-noticed correctly, but notwithstanding the Plaintiff’s written and verbal objections,
25 the Association, through its board of directors, voted to approve the revised Rules & Regulations
26
and claims now that they did in fact properly enact the new revised set of Rules & Regulations.
27
- 20 -
1 76. Plaintiff alleges that these revised rules were not lawfully enacted for many reasons,
2
including but not limited to, lack of adequate and/or proper notice; they are in conflict with the
3
CC&R’s; they are contrary to the conditions required by the Adaptive Reuse Ordinance; they are
4
contrary to standards in the industry; they are not permissible by the Association’s liability
5
6 carrier; they result in actual damage to the owners; they have lowered the quality of life of the
7 owners and residents; and they result in the diminution of the pecuniary and commercial value of
8
the Property, its common areas, and the individual units therein. Notwithstanding, the
9
Association has failed to enforce these purportedly revised Rules & Regulations as is further
10
alleged in the Fifth Cause of Action herein, which failure has caused further and additional
11
12 issues, problems and damages to Plaintiff and other owners .
13 77. Plaintiff is informed and believes and thereupon alleges that the Association has failed to
14
disclose to its liability carrier that there was any revision or attempted revision in its Rules &
15
Regulations and has failed to provide a copy of the purported revised Rules & Regulations as is
16
required by the terms of its liability policy.
17
20
21
22
23
25 79. Plaintiff seeks a finding by this court that the Association failed to comply with Civil
26
Code Section 4360(a) and that the “revised” Rules & Regulations are void and not in effect
27
- 21 -
1 because they never legally took effect, and therefore the original set of Rules & Regulations
2
dated April 27, 2006 are still in effect; and for an order to the Association directing it to enforce
3
said original rules & regulations; and allowing the Association another opportunity to revise the
4
rules & regulations in a legal manner.
5
6 FIFTH CAUSE OF ACTION
7 (Declaratory Relief - Failure to enforce “revised” and un-dated Rules & Regulations )
8
9
forth above.
10
81. Notwithstanding the allegations made in the Fourth Cause of Action (above), Plaintiff
11
12 alleges in the alternative, that even if the revised and un-dated Rules & Regulations are found to
13 be in full force and effect, the Association is not enforcing these either to the detriment of
14
Plaintiff and other owners.
15
82. Plaintiff is informed and believes and thereupon alleges that of these revised and un-
16
dated Rules & Regulations, the Association is not enforcing:
17
18 a. Section 6.5- Door Mats at door entry;
19 b. Section 6.5 - Signage

20
c. Section 6.6 – Signs, symbols or door knockers or similar features……which can be seen
21
from the common area corridor and hallway;
22
d. 6.15 – Adornment
23
24 e. 7.5 – Increasing insurance rates
25 f. 10.1 – Parking blocks access of other parking and/or parking outside of parking spaces
26
g. 10.2 – Vehicles without registration or tags
27
- 22 -
1 h. 10.4 – Parking vehicles with excessive oil leaks causing staining
2
i. 10.6 – Oversized vehicles……which do not fit in a parking space
3
j. 10.7 – Working on vehicles
4
k. 10.11 – More than 2 motorcycles; Automobile/Motorcycle combination
5
6 l. 11.1 – Dogs off of a leash
7 m. 11.2 – Dogs in the pool area

8
n. 11.7 – Dogs urinating anywhere not in the dog run or off the property.
9
o. 11.10 – More than 1 dog permanently (other than guest dog)
10
p. Section 12 Generally – Failure to require that owners notify the Association if a unit is
11
12 being rented; contact information for the renters; leases in writing requiring that the
13 tenants be required to adhere to the Rules & Regulations; and providing tenants with a
14
copy of the Rules & Regulations;
15
q. Section 13 Generally – Failure to require owners to notify the Association that a unit has
16
17
18 boxes in designated areas only; failure to provide the listing agent with a copy of the rules
19 & Regulations; and most importantly, failing to escort prospective buyers through the
20
common areas and instead allowing the owner or listing agent to simply “buzz” non-
21
22
r. Section 14 Generally – Allowing owners to use service and trade people without
23
24 notifying the Association in advance; allowing said persons onto the premises to do
25 work; allowing said contractors to use hallways and the loading dock as a staging area;
26
limiting said work to days and times specified in the Rules & Regulations, including but
27
- 23 -
1 not limiting to, allowing the performance of said work on Sunday; allowing exclusive use
2
of elevators; allowing work by unlicensed and uninsured trades persons; allowing the use
3
of noisy equipment such as jackhammers without notifying neighbors in advance of the
4
proposed work;
5
6 s. 16.5 – Dogs in the pool area
7 t. 17.5 – Oversized trash

8
u. 18.1 – Black Drapes and window coverings
9
v. Section 19 – Allowing decorative lights outside the units year round
10
w. 20.2 – Allowing non-residents access to the building
11
12 x. 20.6 – All packages are left with security who signs for them.
13 83. Photographs of some of the violations alleged are attached hereto collectively as Exhibit
14
“P”, the contents of which are incorporated herein by this reference. All of these images were
15
taken from August 1, 2018 through the present, although Plaintiff is in possession of additional
16
images which will be provided upon request during the discovery process, and these images pre-
17
18 date August 1, 2018.
19 84. Prior to the claimed enactment of these new and undated rules and regulations, the
20
Plaintiff objected to some of the proposed new rules for merit based reasons. For example, one
21
of the suggestions was to eliminate the name of the property management company by specific
22
name and to eliminate use of their specific telephone number on the grounds that if the
23
24 Association changed management companies, the rules & regulations would be immediately
25 outdated and would need to be changed, and re-printed, incurring unnecessary cost and
26
confusion. The Association decided to not make any such changes as suggested by Plaintiff, and
27
- 24 -
1 the Association has at least twice changed management companies since it purportedly approved
2
these new rules & regulations and started haphazardly enforcing or not enforcing each of them
3
on a seriatim case by case basis and in an arbitrary and capricious manner. Hence, the telephone
4
numbers listed in these rules to call in case of an emergency go to the wrong management
5
6 company. Plaintiff alleges that in the event of a serious emergency, the waste of time contacting
7 the wrong company could result in monetary damages and possibly loss of life.
8
85. Plaintiff is informed and believes and thereupon alleges that these revised rules conflict
9
with the CC&R’s; are contrary to the conditions required by the Adaptive Reuse Ordinance; are
10
contrary to standards in the industry; are not permissible by the Association’s liability carrier;
11
12 result in actual damage to the owners; have lowered the quality of life of the owners and
13 residents; and result in the diminution of the pecuniary and commercial value of the Property, its
14
common areas, and the individual units therein
15
86. The failure to enforce these Rules & Regulations, and other governing documents by the
16
Association is and always has been chronic in nature and has resulted in actual damage to the
17
18 owners; has lowered the quality of life of the owners and residents; and results in the diminution
19 of the pecuniary and commercial value of the Property, its common areas, and the individual
20
units therein.
21
87. In trying to resolve these and other issues and disputes as alleged herein with the Board
22
23
24 in the CC&Rs as well as the governing Rules and Regulations by among other things reporting
25 and/or bringing to the attention of the Board and its members such issues and violations;
26
27
- 25 -
1 however the Board generally and usually then failed to follow specified resolution and/or
2
enforcement procedures after Plaintiff’s reporting to them of such issues and violations.
3
88. In the alternative to the Fourth Cause of Action, Plaintiff seeks a finding by the court that
4
the Association has not and is not enforcing its governing documents, including its Rules &
5
6 Regulations as is required by law and prays for an order requiring said enforcement, without
7 hesitation, to prevent future damages, to the Plaintiff and other owners.

8
9
SIXTH CAUSE OF ACTION
10
(Declaratory Relief - Violations of Various Civil Code Sections
11
12 and Accompanying Failures to Disclose)
14
forth above.
15
90. Plaintiff is informed and believes and thereupon alleges that prior to May 30, 2012,
16
Johnathan Wiseman and his wife were renting a unit within the Property and had been doing so
17
18 for at least a couple of years.
19 91. Plaintiff is informed and believes and thereupon alleges that the Wisemans’ had 2 large
20
dogs in violation of the CC&R’s which only permit an owner or resident to have one dog.
21
Plaintiff is informed and believes and thereupon alleges that prior the Weismans frequently used
22
a dog run located on the Property.
23
24 92. Plaintiff is informed and believes and thereupon alleges that: Prior to May 30, 2012
25 Johnathan Wiseman was in the dog run with his 2 dogs along with another owner who had his
26
one dog. One of the Wiseman dogs began fighting with the other owners dog and Mr. Wiseman
27
- 26 -
1 was unable to control both of his dogs, and as a result Mr. Wiseman claimed to have sustained
2
serious injuries. Some of the injuries that Mr. Weisman was claiming was that he broke his leg
3
in 3 places and was in a full leg cast from his toe to his hip for approximately 1 year; had
4
multiple surgeries; was out of work for a year and had other injuries for which he and his wife
5
6 sued both the owner of the other dog and the Association.
7 93. Plaintiff is informed and believes and thereupon alleges that from his claim of physical
8
injuries, loss of income and pain in suffering, Mr. Weisman was also claiming a loss of
9
consortium with his wife due to his injuries.
10
94. Plaintiff is informed and believes and thereupon alleges that Mrs. Weisman also brought
11
12 a claim for loss of consortium.
13 95. The Weisman case was filed at Stanley Mosk Los Angeles Superior Court located at 111
14
N. Hill Street in Los Angeles, California and was assigned Case Number BC485658.
15
96. Plaintiff is informed and believes and thereupon alleges that the owner of the one dog
16
(hereinafter referred to as “Kraft”), did not have any insurance that would have covered his
17
18 liability for the claims made by the Weismann’s, hence the only viable liability policy was the
19 liability policy issued to the Association.

20
97. Plaintiff is informed and believes and thereupon alleges that Kraft was woefully
21
delinquent in his Association dues at the time of the incident and the Association eventually
22
filed for foreclosure (or may have been in the process of filing said foreclosure) against him to
23
24 collect said dues. Plaintiff is informed and believes and thereupon alleges that as a result of both
25 his potential liability without homeowners insurance to cover the same and due to the
26
foreclosure proceedings, Kraft sold his unit and vanished with his dollar equity to parts
27
- 27 -
1 unknown to the Plaintiff, leaving the Association as the only viable defendant in the case sued
2
by the Weisman’s.
3
98. Plaintiff is informed and believes and thereupon alleges that the failure of the
4
Association to enforce the one pet policy resulted in their lack of one legal defense the
5
6 Association would have otherwise had, but for the Association’s failure to enforce.
7 99. In September of 2012, Plaintiff believed, and continues to believe, that the board of
8
directors were responsible to reimburse the Association for any damages associated with the
9
Weisman case, and that those costs and expenses should not be borne by the owners in the form
10
of unnecessary attorney fees, increased insurance costs, or otherwise. In an attempt to protect
11
12 the Association, Plaintiff authored several letters to the Association’s then attorney, Lisa
13 Tashjian suggesting that it was her duty as the attorney for the Association to protect her client
14
[the Association] and make the liability carrier aware of the facts surrounding the
15
commencement of the Weisman case and the board of directors failures to enforce the rules
16
either causing or contributing to the Weisman case occurring in the first instance, and that her
17
18 fiduciary obligation to her client [the Association] should not be overlooked simply because
19 some of the responsible parties were members of the board of directors whom pay her a legal
20
fee with Association money. A copy of one of those letters dated September 14, 2012 is
21
attached hereto as Exhibit “I”, the contents of which are incorporated herein by this reference,
22
as if set forth herein, verbatim.
23
24 100. Plaintiff is informed and believes and thereupon alleges that Lisa Tashjian refused to
25 disclose the information alleged above to the Association’s liability carrier and thereby violated
26
her duties to the Association and the owners who would have benefitted from such advice.
27
- 28 -
1 101. When Plaintiff discovered that Ms. Tashjian apparently had not advised the liability
2
carrier of the information requested to be provided to them, Plaintiff authored a letter to the law
3
firm of Kolesky, Mancici Feldman & Morrow – legal counsel assigned by the liability carrier to
4
represent the Association in the Weisman litigation – and suggested that they contact attorney
5
6 Tashjian because Plaintiff believed she was in possession of “information that would exculpate
7 or exonerate the Little Tokyo Lofts Community Association” and other information that could
8
raise affirmative defenses. This letter dated September 14, 2012 is attached hereto as Exhibit
9
“J” the contents of which are incorporated herein by this reference, as if set forth herein,
10
verbatim.
11
12 102. This case remained pending and many owners, including the Plaintiff, inquired the status
13 of the case. The Association correctly refused to discuss the case because it stated it was
14
“pending litigation”. However, upon one such call to the board for the “status” of the case, the
15
Association revealed for the first time that the case had settled 6 months earlier and there was
16
nothing to be discussed nor to be concerned about.
17
18 103. Plaintiff is informed and believes and thereupon alleges that the settlement of the
19 Weisman case was approved by the Association in an executive session and was enforceable
20
pursuant to Code of Civil Procedure Section 664.6.
21
104. Civil Code Section 4935(e) requires that any matter discussed in executive session shall
22
be generally noted in the minutes of the immediately following general meeting that is open to
23
24 the entire membership. Plaintiff is informed and believes and thereupon alleges that in fact, this
25 was never done with respect to the settlement/resolution of the Weisman matter. Plaintiff has
26
verified this failure with the Association’s “community manager” who was serving at that time,
27
- 29 -
1 and the failure to note any such settlement in the minutes of the general meetings creates a prima
2
facie case that section 4935(e) as well as was in fact violated. Civil Code Section 4955 was thus
3
also violated by the Association.
4
105. Plaintiff acknowledges that until the pending litigation has been finally adjudicated or
5
6 otherwise settled, documents pertaining to the case remain privileged. However, once the case is
7 final, the records regarding the terms of the settlement – how much was paid – how much
8
insurance costs would increase as a result – how much each owners HOA dues were affected -
9
should have been made available to the owners, if requested.
10
106. On or about August 3, 2013 Plaintiff made a written demand for records pertaining to
11
12 the Wiseman settlement. A copy of the Plaintiff’s demand is attached hereto as Exhibit “K”, the
13 contents of which are incorporated herein by this reference, as if set forth here, in full, verbatim.
14
107. In response to the Plaintiff’s request for records, the Association took the position that
15
the records were still privileged despite the fact that the case had been concluded 6 months
16
earlier, and through their counsel of record, David A. Wankel with the law firm of Hickey &
17
18 Petchul LLP denied the Plaintiff’ request for records on November 21, 2013. A copy of the
19 Association’s denial letter is attached hereto as Exhibit “L”, the contents of which are
20
incorporated herein by this reference, as if set forth here, in full, verbatim.
21
108. In November of 2013, the applicable Civil Code Section was 1363 and upon denial of
22
records for inspection, Plaintiff believed that he would have had to participate in “Alternative
23
24 Dispute Resolution” by way of mediation in which the Association had chosen to participate.
25
26
27
- 30 -
1 109. Plaintiff was unable at that time and should not have been required to spend thousands
2
of dollars in legal fees to find out the information that he was rightfully entitled to obtain
3
without either demand or spending thousands of dollars on legal fees.
4
110. Plaintiff is informed and believes and thereupon alleges that the Association, through the
5
6 board members, knowingly failed to comply with the obligations to disclose this information.
7 Plaintiff is informed and believes and thereupon alleges that the Association, through the board
8
members, knowingly believed that by withholding the information and forcing owners, such as
9
Plaintiff, to incur substantial legal fees to obtain the information that they were otherwise
10
rightfully able to obtain for “free”, would be a deterrent to Plaintiff and other owners from
11
12 pursuing obtaining that information and information that might have shown the board members
13 themselves could have been personally liable for the damages paid to the Weismans.
14
111. Plaintiff is informed and believes and thereupon alleges that the Association, through the
15
board members, in breach of their fiduciary duties, wanted not to disclose the information
16
concerning the settlement of the Weisman case because such disclosure would have revealed that
17
18 the Weisman case settled for a substantial sum of money and perhaps policy limits; that the loss
19 was the result of the Association’s failure to enforce its governing documents; that the
20
Association had violated Civil Code Section 4935(e) as well as then Civil Code Section 1363,
21
and that Plaintiff and the other owners had suffered damages as a result of the actions or
22
inactions of the board for which damages the board member individually may have been liable
23
24 for.
25 112. The failures of the Association and its board of directors, including but not limited to
26
their respective failures to disclose material facts as alleged herein are a breach of their
27
- 31 -
1 fiduciary duties to the owners. Plaintiff is informed and believes and thereupon alleges that
2
except for the board members involved, no owners knew or could have reasonably known what
3
information was being withheld from them.
4
113. Plaintiff seeks a court finding that the Association did not comply with Civil Code
5
6 Section 4935(e); did not enforce the “one pet policy” enumerated in CC&R 2.9; did not disclose
7 the amount and terms of the Weisman settlement agreement; obstructed any attempts by owners
8
to obtain records regarding the settlement of the Weisman case and that the owners were
9
damaged as a result of these failures. Plaintiff further prays that the Association be ordered to
10
disclose to the owners that the Weisman case is in fact settled; the terms of the settlement,
11
12 including the amounts paid to the plaintiff’s in that case; how said settlement affected the owners
13 in terms of increased costs for liability insurance; and how that settlement increased each
14
owner’s monthly HOA dues.
15
SEVENTH CAUSE OF ACTION
16
(Declaratory Relief and Breach of Fiduciary Duty – Failure to Disclose The Non-Permitted
17
18 BBQ and Other Items)
20
forth above.
21
115. Plaintiff is informed and believes and thereupon alleges that in 2014 the Association
22
approved in executive session plans to have a portable propane BBQ located in the pool area
23
24 “improved” by adding lights, a sink, a more sustainable source of fuel and a generally larger
25 work space for food preparation and serving and other items or work. Plaintiff is informed and
26
believes and thereupon alleges that this work was started and continued through 2016.
27
- 32 -
1 116. Plaintiff is informed and believes and thereupon alleges that the Association hired
2
unlicensed contractors to perform the aforementioned project and work and caused the propane
3
burners for the BBQ to be connected to an unused natural gas line without obtaining a permit
4
from the city of Los Angeles, primarily because those actions were violations of law and no
5
6 permit would have ever been issued.
7 117. Plaintiff is informed and believes and thereupon alleges that as a result the BBQ’s
8
burners designed for use with propane were in fact burning natural gas, a fuel for which they
9
were not designed, creating a dangerous condition to exist and exposing users of the BBQ to the
10
potential of injury, and thus liability to the owners.
11
12 118. Plaintiff is also informed and believes and thereupon alleges that the Association hired
13 and/or used unlicensed contractors to install lights in the area of the BBQ which lights and
14
electrical work were unpermitted and in violation of the law.
15
119. Plaintiff is also informed and believes and thereupon alleges that the Association
16
through their unlicensed contractors caused a sink to be installed that drained into a storm drain
17
18 via a hole cut into a metal grate which was unpermitted primarily because no permit would have
19 ever been issued for such actions and was therefore in violation of law.
20
120. Plaintiff is also informed and believes and thereupon alleges that the Association was
21
required to use a licensed contractor to perform these actions because they were new
22
installations and not repairs to existing items or fixtures, but the Association failed to do so in
23
24 violation both of the governing documents they were required to follow and enforce and
25 governing law.
26
27
- 33 -
1 121. Plaintiff is also informed and believes and thereupon alleges that the City of Los
2
Angeles, through their department of building and safety, discovered these violations during
3
one of their regular inspections and issued written violations that resulted in fines payable by
4
the Association to the city of Los Angeles.
5
6 122. Plaintiff is also informed and believes and thereupon alleges that these fines were
7 approximately $7150, and that the Association has become liable for interest and further penalty
8
for reason that they did not pay the fines on time, which has increased the total amount due to
9
approximately $9000, not including the costs of building, and later destroying, the BBQ.
10
123. In aggravation, the Association has still not cured the outstanding issues with the City of
11
12 Los Angeles, and there is, at the time of the filing of this complaint, an open “order to comply”
13 which the Association has failed to address.

14
124. Plaintiff is also informed and believes and thereupon alleges that the Association never
15
disclosed to the owners the fines paid and the fines still owing although these were material
16
facts and as such, the Association was under a duty to disclose the same to the owners.
17
18 125. Plaintiff is also informed and believes and thereupon alleges that the reason that the
19 fines were not paid on time was because the Association decided to wait for a new budget so
20
that additional monies could be paid without the need for doing a special assessment, which
21
would have had the effect, of notifying the owners of the City fines, but this delay did result in
22
an increase in monies owed due the City by reason of penalties and interest.
23
24 126. Plaintiff is also informed and believes and thereupon alleges that the Association has
25 still not cured the violations with the City of Los Angeles because there is currently an active
26
“order to comply” on file with the department of building and safety which remains unsatisfied.
27
- 34 -
1 127. Plaintiff is also informed and believes and thereupon alleges that the Association has
2
also engaged in other activities which constitute other violations of law.
3
128. Plaintiff is also informed and believes and thereupon alleges that the Association has not
4
disclosed to all of the owners any of the monies they have paid to the City of Los Angeles in
5
6 fines, nor have they disclosed to all of the owners the interest and penalties paid or due to the
7 City, and they have failed to list any of said items and expenses in their annual reports to the
8
owners as is required by Civil Code Section 5320, which has the effect of perpetuating these
9
failures to disclose.
10
129. The Association’s annual report for years 2014, 2015, 2016 & 2017 are attached hereto
11
12 collectively as Exhibit “M” the contents of which are incorporated herein by this reference, as if
13 forth in full, verbatim.

14
130. Plaintiff is also informed and believes and thereupon alleges that because the
15
Association’s financial statements, as that term is defined by Corporations Code Section 5012,
16
did not disclose the monies paid in governmental fines by the owners, it was therefore in
17
18 conformity with generally accepted accounting principles which reasonably sets forth, among
19 other things, the income and expenses of the Association and discloses the accounting basis used
20
in their preparation.
21
131. Plaintiff is also informed and believes and thereupon alleges that these failures to
22
disclose constitute a breach of the Association’s fiduciary duty to the owners.
23
24 132. In trying to resolve this and other issues and disputes as alleged herein with the Board
26
27
- 35 -
1 and/or bringing to the attention of the Board and its members and representatives of the Board
2
such issues however the Board generally and usually then failed to follow specified resolution
3
and/or enforcement procedures after Plaintiff’s reporting to them of such issues.
4
133. Plaintiff prays for an order requiring the Association to disclose to the owners the fines
5
6 paid to the city of Los Angeles; the amounts still due; and prays that the court issue an order to
7 the Association to cure the outstanding “order of compliance” which remains unresolved with
8
the department of building and safety and bring the Property into all aspects of legal code
9
compliance.
10
11
12 EIGHTH CAUSE OF ACTION
13 (Declaratory Relief and Breach of Fiduciary Duty --- Failure to Disclose a Lack of FDIC
14
Insurance on Reserve Funds)
15
16
forth above.
17
18 135. Plaintiff is informed and believes and thereupon alleges that the Association maintains
19 and/or previously maintained several accounts in which they held or hold reserve funds
20
pursuant to Civil Code Section 4177, as well as operating expenses, generally.
21
136. The monies held in these various accounts are maintained in trust for the owners,
22
including Plaintiff, and the Association has a fiduciary obligation to keep the funds safe.
23
24 137. On January 7, 2018 Plaintiff wrote a letter the Association inquiring if the monies held
25 in trust were in fact FDIC insured or otherwise insured in some form suggesting that if this was
26
not the case then the board of directors of the Association had breached their fiduciary duty and
27
- 36 -
1 that any loss in principal would be viewed as “gross negligence”. A copy of this letter is
2
attached hereto as Exhibit “O”, the contents of which are incorporated herein by this reference
3
as if set forth herein, in full, verbatim.
4
138. Plaintiff is informed and believes and thereupon alleges that at that time, and continuing
5
6 to dates presently unknown to Plaintiff, the Association has these funds in accounts which are
7 not FDIC insured, and that the Association considers the account in which these monies are held
8
to be investment vehicles, in that they pay more interest than an FDIC account, but in exchange
9
for that increase in return, the principal is not guaranteed and is therefore at risk.
10
139. Plaintiff is informed and believes and thereupon alleges that at no time were the
11
12 Association’s representatives licensed investment advisors, and as such were never registered
13 with the Securities and Exchange Commission nor did they obtain from or require any owner to
14
sign disclosure agreements and therefore were in violation of 15 U.S.C. § 80b-1 through 15
15
U.S.C. § 80b-21.
16
140. Plaintiff is informed and believes and thereupon alleges that the fact that the funds held
17
18 in trust by the Association have been previously deposited, and/or are currently deposited, in
19 one or more accounts which are not FDIC insured results in the funds not being secure and that
20
this is a material fact.
21
141. Plaintiff is informed and believes and thereupon alleges that this material fact has not
22
been disclosed by the Association to the owners.
23
24 142. This failure to disclose is a breach of the Association’s fiduciary duty to the owners.
25 143. Plaintiff seeks an order requiring the Association to disclose material facts to the owners
26
which, heretofore remain undisclosed, including but not limited to the fact that the monies they
27
- 37 -
1 previously held and/or are now holding in trust for the owners is not FDIC insured, nor is the
2
principal amount guaranteed in any form, and that the monies held are in fact at risk, and to
3
provide to the owners a copy of all of the disclosures that the Association was required to
4
acknowledge and sign when the accounts were opened, up to and including the present.
5
6 144. Notwithstanding the above, Plaintiff was informed for the first time by the mediator on
7 October 17, 2018, that the subsequent to the Plaintiff’s letter of January 7, 2018 that the
8
Association did in fact transfer the monies to a federally insured certificate of deposit in
9
amounts not exceeding $250,000.00 per each account of deposit, but to date the Association has
10
not provided any proof of that transfer despite being requested to do so. In the event that the
11
12 funds have in fact been transferred to a safe account(s) Plaintiff demands proof of the same and
13 disclosure of where the monies were previously held; where they were transferred to; and the
14
relevant dates relating to the same.
15
145. Plaintiff, based upon information and belief, alleges that if in fact the Association moved
16
the above-described monies out of an unsecure investment vehicles on or after October 17, 2018
17
18 (the date of mandatory mediation in this case) such actions were as a direct and proximate result
19 of the Plaintiff’s actions described herein, and if this is the case, Plaintiff alleges that such
20
actions by the Association are material facts that must be disclosed to the owners.
21
PRAYER FOR RELIEF
22
On the First Cause of Action:
23
24 1. Plaintiff prays that this court make a finding that the Association’s actions and inactions
25 were in violation of Civil Code Sections 5905(a) & 5910(f) for reason that the Association
26
failed to give to the Plaintiff an opportunity to explain his position regarding various issues,
27
- 38 -
1 which may have negated the need to proceed to more formal mediation proceedings and the
2
filing of this legal action.
3
On the Second Cause of Action:
4
2. Plaintiff prays for declaratory finding that interprets these CC&R sections and a finding
5
6 that the board has failed to enforce CC&R Sections 2.8.2 and 2.8.4, and other sections of the
7 governing documents to the detriment of the owners, and further prays for an order requiring that
8
the Association to enforce the same, forthwith, and without hesitation, to minimize any future
9
damages to the Plaintiff and other owners.
10
On the Third Cause of Action:
11
12 3. Plaintiff seeks a finding by the court that the Association has not and is not enforcing its
13 governing documents, including its Rules & Regulations as is required by law and prays for an
14
order requiring said enforcement, without hesitation, to prevent future damages, to the Plaintiff
15
and other owners.
16
On the Fourth Cause of Action:
17
18 4. Plaintiff seeks a finding by this court that the Association failed to comply with Civil
19 Code Section 4360(a) and that the “revised” Rules & Regulations are void and not in effect
20
because they never legally took effect, and therefore the original set of Rules & Regulations
21
dated April 27, 2006 are still in effect; and order to the Association directing it to enforce said
22
rules & regulations; and allowing the Association another opportunity to revise the rules &
23
24 regulations in a legal manner if it chooses to do so.
25 On the Fifth Cause of Action:

26
27
- 39 -
1 5. In the alternative to the Fourth Cause of Action, Plaintiff seeks a finding by the court that
2
the Association has not and is not enforcing its governing documents, including its Rules &
3
Regulations as is required by law and prays for an order requiring said enforcement, without
4
hesitation, to prevent future damages, to the Plaintiff and other owners.
5
6 On the Sixth Cause of Action:
7 6. Plaintiff seeks a court finding that the Association did not comply with Civil Code
8
Section 4935(e); did not enforce the “one pet policy” enumerated in CC&R 2.9; did not disclose
9
the amount and terms of the Weisman settlement agreement; obstructed any attempts by owners
10
to obtain records regarding the settlement of the Weisman case and that the owners were
11
12 damaged as a result of these failures. Plaintiff further prays that the Association be ordered to
13 disclose to the owners that the Weisman case is in fact settled; the terms of the settlement,
14
including the amounts paid to the plaintiffs in that case; how said settlement affected the owners
15
in terms of increased costs for liability insurance; and how that settlement increased each
16
owner’s monthly HOA dues.
17
18 On the Seventh Cause of Action:
19 7. Plaintiff prays for an order requiring the Association to disclose to the owners the fines
20
paid to the city of Los Angeles; the amounts still due; and prays that the court issue an order to
21
the Association to cure the outstanding “order of compliance” which remains unresolved with
22
the department of building and safety, if any, and to bring the entire Property up to fully legal
23
24 standards, and to the extent that any portion of the Property is in violation of law, for an order to
25 Bring the Property into full compliance.

26
On the Eighth Cause of Action:
27
- 40 -
1 8. Plaintiff seeks an order requiring the Association to disclose material facts to the owners
2
which, heretofore remain undisclosed, including but not limited to the fact that the monies they
3
are holding in trust for the owners are not FDIC insured, nor is the principal amount guaranteed
4
in any form, and that the monies held are in fact at risk, and to provide to the owners a copy of
5
6 all of the disclosures that the Association was required to acknowledge and sign when the
7 accounts were opened, up to and including the present. To the extent that by the time this
8
complaint is filed, the Association has in fact transferred monies held in trust to a federally
9
insured account, then for an order that the Association disclose to the owners when this
10
transferred did occur; the accounts transferred from and to; and the dates of the same.
11
12 On All Causes of Action:
13 9. Plaintiff further seeks that the court make a determination if all of the facts alleged and
14
proven in this case constitute a situation where the owners are in a continuing jeopardy such
15
that it would be appropriate to have the court appoint a third-party property manager to assist
16
the Association is curing the defects alleged and proven herein, and to the extent necessary
17
18 report to the court of said status.
19 10. To the extent the court determines that it is necessary and appropriate, ordering the
20
Association’s board of directors to participate in training and continuing education.
21
11. Plaintiff further seeks a declaration by this court of the items Plaintiff has alleged and
22
proven herein that the court deems are in fact breaches of fiduciary duties owed to the owners
23
24 and an order requiring the Association to disclose those breaches.
25
26
27
- 41 -
1 12. A finding that the Association’s failures to enforce the governing documents and comply
2
with applicable laws is chronic in nature and that as a result the owners have been damaged and
3
are in jeopardy of continuing to be damaged;
4
13. An order that the parties agree to a mutual third-party to oversee the Association’s board
5
6 of directors, at the expense of the Association, until such time that the court deems the owners
7 are no longer in financial jeopardy. In the event the parties cannot mutually agree to a third-
8
party, the court will assign a third party based upon the recommendations of the parties herein.
9
14. A finding that the Association did not act in good faith towards the Plaintiff in regard to
10
his legal rights as an owner and other matters generally alleged herein.
11
12 15. Any further relief the court deems just under the circumstances, including but not
13 limited to, ordering the Association’s board of directors to participate in training and continuing
14
education.
15
16. Plaintiff be awarded his costs of suit incurred herein;
16
17. For such other relief and further relief, the Court deems just, reasonable, and equitable to
17
18 be granted.
19 DATED: December 19, 2018

20
JOSEPH D. TUCHMAYER
21 Attorney for Plaintiff Grant Beuchel
On behalf of himself and all others similarly situated
22
23
24
25
26
27
- 42 -
12. A finding that the Association·s failures to enforce the governing documents and compl
2
'with applicable laws is chronic in nature and that as a result the owners have been damaged and
3
are in jeopardy of continuing to be damaged;
4
13. An order that the parties agree to a mutual third-party to oversee the Association's board
5
6 of directors, at the expense of the Association, until such time that the court deems the owners
7 are no longer in financial jeopardy. lo the event the parties cannot mutuaUy agree to a third-
8
party, the court will assign a third party based upon the recommendations of tl:te parties herein.
9
14. A finding that the Association did not act in good faith towards the Plaintiff in regard to
10
i]
12 15. Any further relief the court deems just under the circumstances, including but not
13 limited to, ordering the Association's board of directors to participate in training and continuing
14
education.
15
16. Plaintiff be awarded his costs of suit incurred herein;
16
17. For such other relief and further relief, the Court deems just, reasonable, and equitable t
17
18 be granted.
1'9 DATED: December 19, 2018

20
21 Attomeyes for Plaintiff Grant iBeuahel

On behalf of himself and all others similarly situated
22
23
24
25
26
27
- 42 -
TABLE OF CONTENTS
Exhibit A Declaration of Covenants, Conditions &Restrictions

Exhibit B Mutual Benefit Agreement
Exhibit C Declaration of Grant Beuchel
Exhibit D Original Rules and Regulations dated April 27, 2006
Exhibit E "Revised" Rules & Regulations (undated)
Exhibit F Images taken from 2009 through 2012 (collectively)
Exhibit G Images included in Letters to Associations attorney Lisa Tashjian dated 8/14/2012
and 8/31/2012
Exhibit H Memorandum of Rule change dated "February, 2016" with Plaintiff's objections
Exhibit I Letter to Lisa Tashjian dated September 14, 2012
Exhibit J Letter to Kolesky law firm dated September 14, 2012
Exhibit K Plaintiff's demand for Weisman records dated August 3, 2013
Exhibit L Associations response to Exhibit K dated November 21, 2013
Exhibit M Associations annual reports for years 2014, 2015, 2016 & 2017
Exhibit N Letter from attorney Tashjian to Plaintiff dated August 10, 2012
Exhibit O Letter from Plaintiff to the Association dated January 7, 2018
Exhibit P Pictures taken by Plaintiff from August 1, 2018 through October 16, 2018
Exhibit Q Draft version of Complaint
EXHIBIT "A"
08/08/06
FIRST MURICAN TITlt COM:'1'111 LOS Ar~
06 1756878
RECORDING REQUESTED~
FIRSTAMERICANTITLECOMPANY
WHEN RECORDED, MAIL TO:
JACKSON, DeMARCO, TIDUS &

PECKENPAUGH (BWC)
2030 Main Street, Suite 1200
Irvine, CA 92614
(Space Abovefor Recorder's Use)
DECLARATION OF COVENANTS, CONDITIONS, RESTRICTIONS
AND RESERVATION OF EASEMENTS
FOR
LITILE TOKYO LOFTS
NOTE: CERTAIN DISPUTES ARISING UNDER THIS DECLARATION, INCLUDING

DISPUTES CONCERNING THE DESIGN OR CONSTRUCTION OF THE
COMMUNITY, SHALL BE SUBMITTED TO JUDICIAL REFERENCE, A FORM OF
ALTERNATIVE DISPUTE RESOLUTION, IN ACCORDANCE WITH SECTION 12.4.
....
,:r,
4934-37690\CCRS\ S86567 13
116/06
08/08/06
TABLE OF CONTENTS

FOR
LITTLE TOKYO LOFfS
Page
ARTICLE 1 DEFINITIONS AND INTERPRETATION ..................................................... 2

1.1 Definitions ......................................................................................................... 2
1.2 Interpretation ........ ..... .. ... ... .. .. ...... ... ... . ... ... ... ....... .. ... .. ....... ..... ....... .. ... ... .... .... ... 11
ARTICLE2 MAINTENANCE COVENANTS AND USE RESTRICTIONS ................... 11
2.1 Repair and Maintenance.................................................................................. 11
2.2 Single Fantily Residence ................................................................................. 15
2.3 Further Subdivision ......................................................................................... 15
2.4 Resale and Rental ............................................................................................ 15
2.5 Business and Commercial Activities .............................................................. 15
2.6 Nuisances ........................................................................................................ 17
2.7 Signs ................................................................................................................ 18
2.8 Parkmg and Vehicular Restrictions................................................................. 19
2.9 Animal Regulations......................................................................................... 20
2.10 Antenna Restrictions ....................................................................................... 21
2.11 Trash ................................................................................................................ 22
2.12 Owner-Installed Improvements ....................................................................... 22
2.13 Mechanics' Liens ............................................................................................ 23
2.14 Drainage .......................................................................................................... 23
2.15 Water Supply System ...................................................................................... 23
2.16 View Obstructions ........................................................................................... 23
2.17 Rights ofDisabled ........................................................................................... 24
2.18 Temporary Buildings ...................................................................................... 24
2.19 Association Property ....................... ................................................................ 24
ARTICLE 3 DISCLOSURES .............................................................................................. 24
3.1 No Representations or Warranties .................................................................. 24
3.2 Condition of Improvements ............................................................................ 24
3.3 Mixed use Project............................................................................................ 25
3.4 Urban Envirorunent ....................................................... ............... ................... 26
3.5 Special City Requirements .............................................................................. 26
0 3.6 Parking Garage ................................................................................................ 26
en 3.7 Redevelopment Area ....................................................................................... 26
C.•
c:'..,
3.8 Adaptive Reuse/Live Work ............................................................................. 26
3.9 Access Facilities; Security and Privacy Disclaimer ........................................ 27
0 3.10 Alley ................................................................................................................ 27
er,
-i- 4934-37690\CCRS\ S86.567 13

7/6/06
06 1156878,
08/08/06
TABLE OF CONTENTS
(continued)
Page
3.11 Nextel Facilities .............................................................................................. 27

3.12 Leasing:........................................................................................................... 27
3.)3 Electric Power Lines ....................................................................................... 27
3.14 Mold ................................................................................................................ 28
3.15 Natural Hazard Zone Disclosures ................................................................... 29
3.16 Additional Provisions ...................................................................................... 29
ARTICLE4 TIIE ASSOCIATION ..................................................................................... 30
4.1 General Duties And Powers ............................................................................ 30
4.2 Specific Duties And Powers ........................................................................... 30
4.3 Standard of Care, Non-Liability...................................................................... 36
4.4 Membership .................................................................................................... 37
4.5 Voting Rights .................................................................................................. 38
4.6 Unsegregated Real Property Taxes ................................................................. 39
ARTICLE 5 DESIGN REVIEW COMMITTEE ................................................................. 40
5.1 Members Of Committee.................................................................................. 40
5.2 Powers and Duties ........................................................................................... 40
5.3 Review of Plans and Specifications ................................................................ 40
5.4 Meetings and Actions of the Design Review Committee ............................... 43
5.5 No Waiver of Future Approvals ...................................................................... 43
5.6 Compensation of Members ............................................................................. 43
5.7 Inspection of Work .......................................................................................... 44
5.8 Variances ......................................................................................................... 44
5.9 Pre-Approvals ................................................................................................. 45
5.10 Appeals ............................................................................................................ 45
ARTtCLE6 PROPERTY EASEMENTS AND RIGHTS ................................................... 45
6.1 Easements ........................................................................................................ 45
6.2 Delegation of Use ............................................................................................ 47
6.3 Right ofEntry.................................................................................................. 47
6.4 Utility Meters .................................................................................................. 48
ARTICLE 7 ASSOCIATION MAINTENANCE FUNDS AND ASSESSMENTS ........... 49
7.1 Personal Obligation to Pay Assessments ........................................................ 49
7.2 Association Maintenance Funds ..................................................................... 49
7.3 Purpose of Assessments .................................................................................. 49
7.4 Waiver of Use ................................................................................................. 50
r_-, 7.5 Limits on Annual Assessment lncreases ......................................................... 50
o~ 7.6 Annual Assessments ....................................................................................... 51
--
,::;, 7.7 Capital Improvement Assessments ................................................................. 52
t:,,
ARTICLES INSURANCE .................................................................................................. 52
-=·
".T' 8.1 Duty to Obtain Insurance; Types .................................................................... 52
-ii• 4934-37690\CCRS\58656713
06 1756878 7
/6/06
08/08/06
TABLE OF CONTENTS
(continued)
Page
8.2 Waiver of Claim Against Association............................................................. 53

8.3 Right and Duty of Owners to Insure ............................................................... 53
8.4 Notice of Expiration Requirements................................................................. 53
8.5 Trustee For Policies ......................................................................................... 54
8.6 Actions as Trustee ........................................................................................... 54
8.7 Annual Insurance Review ............................................................................... 54
8.8 Required Waiver ......................................................................................... .... 54
ARTICLE9 DESTRUCTION OF IMPROVEMENTS ...................................................... 55
9.1 Restoration of the Community ........................................................................ 55
9.2 Sale of Community and Right to Partition ....... ............................................... 55
9.3 Interior Danlage .............................................................................................. 56
9.4 Notice to Owners and First Mortgagees ......................................................... 56
ARTICLE 10 EMINENT DOMAIN ..................................................................................... 56
10.1 Property Condemnation .................................................................................. 57
10.2 Condemnation of Conunon Property .............................................................. 57
10.3 Condemnation of Exclusive Use Area ............................................................ 57
10.4 Condemnation of Condominiums ................................................................... 57
10.5 Condemnation of Portions of Units ................................................................ 57
10.6 Portions of Awards in Condemnation not Compensatory for Value of
Real Property................................................................................................... 58
10.7 Notice to Owners and First Mortgagees ......................................................... 58
ARTICLE 11 RIGHTS OF MORTGAGEES ........................................................................ 59
11.1 General Protections ......................................................................................... 59
11.2 Additional Rights ................... ............................... .......................................... 59
ARTICLE 12 ENFORCEMENT AND DISPUTE RESOLUTJON ...................................... 60
12.1 Enforcement of Governing Documents .......................................................... 60
12.2 Delinquent Assessments ................................................................................. 62
12.3 Enforcement of Bonded Obligations ........... .................................................... 65
12.4 Disputes with Declarant Parties ...................................................................... 66
ARTICLE 13 DURATION AND AMENDMENT ............................................................... 70
13.l Duration........................................................................................................... 70
13.2 Tennination and Amendment ......................................................................... 70
ARTICLE 14 GENERAL PROVISIONS ............................................................................. 73
r::• 14.1 Mergers or Consolidations .............................................................................. 73
n:,
14.2 No Public Right or Dedication ........................................................................ 74
0
c,, 14.3 Notices............................................................................................................. 74
14.4 Constructive Notice and Acceptance .............................................................. 74
0
vi
-iii- 4934-37690\CCRS\ 586567 13

06 17 5 6 87 8 71
6/06
08/08/06
TABLE OF CONTENTS
(continued)
Page
ARTICLE 15 DECLARANT'S RIGHTS AND RESERVATIONS ..................................... 74

15.1 Construction Rights ......................................................................................... 74
15.2 Sales and Marketing Rights ............................................................................ 75
15.3 Leasing Office ................................................................................................. 75
15.4 Use of Association Property............................................................................ 75
15.5 Creating Additional Easements ....................................................................... 75
15.6 Architectural Rights ........................................................................................ 75
15.7 Use Restriction Exemption ............................................................................. 76
15.8 Assignment of Rights ...................................................................................... 76
15.9 Amendment ..................................................................................................... 76
15.10 Power of Attorney ........................................................................................... 76
15.11 Participation in Association ............................................................................ 76
15.12 Declarant Approval of Actions ....................................................................... 77
15.13 Marketing Name.............................................................................................. 77
LENDER SUBORDINATION
EXHIBIT A - ARTICLES OF INCORPORATION OF THE ASSOCIATION
EXHIBIT B - BYLAWS OF THE ASSOCIATION

EXHIBIT C - SPECIFIC MAINTENANCE OBLIGATIONS
EXHIBIT D - PARKING SPACE ASSIGNMENTS
EXHIBIT E - ELEMENfS OF VARIABLE ANNUAL ASSESSMENTS
0
,,....
-IV- 4934-37690\CCRS\ 586567 13

7
- - - - - - - - - - - - - - -0-6-1-'l!ift8_7L),L______'6!06_ _ _ __
08/08/06
DECLARATION OF COVENANTS, CONDffiONS, RESTRICTIONS
FOR
LITTLE TOKYO LOFTS
This Declaration of Covenants, Conditions, Restrictions and Reservation of Easements is

made by Hammer IRP LTL Associates, LLC, a Delaware limited liability company. The
capitalized tenns used in the Preamble below are defined in Article 1.
PREAMBLE
A. Declarant is the owner of real property in the City and County of Los Angeles,
California, described as follows:
Units 1 through 161, Association Property and Common Area as

shown on the Residential Condominium Plan for Little Tokyo
Lofts (the "Condominium Plan) recorded o n ~ 'l
:JPPI, , Y:Y::, as Instrument No. Qt,· 11?; q . in the
Official Records of Los Angeles County, California. The Plan
covers Lot _1_ of Tract No. 53922, as shown on a Subdivision
Map. Filed on July 18, 2006, in Book 1319, Pages 88 to 90,
inclusive, of Maps, in the Office of the Los Angeles County
Recorder.
Except therefrom, Commercial Units l and 2 (the "Commercial
Recorded on
01,· /1~ q
r
Units") and the Commercial Common Area (the "Commercial
Common Area'i as shown on the Commercial Condominium Plan
'11 , 200~, as Instrument No.
, in the Official Records.
B. Declarant intends to create a "condominium project," as defined in California
Civil Code Section 1351 (le), which is also a "common interest subdivision" within the meaning
of California Civil Code Section 1351(c), and a "subdivision" as defined in California Business
and Professions Code Section 11000. Declarant intends to impose mutually beneficial
restrictions under a general plan for subdividing, maintaining, improving and selling the
Condominiums in the Community for the benefit of all the Condominiums pursuant to the Davis-
Stirling Common Interest Development Act. The general plan of development will include
forming an owners association under the California Non-Profit Mutual Benefit Corporations Law
to which will be assigned the powers of (1) owning, maintaining and administering the
Association Property, (2) administering and enforcing the Governing Documents. and (3)
collecting and disbursing the Assessments and charges hereinafter created. Declarant will cause
the corporation to be formed to exercise such powers, as required by California Civil Code
Section 1363. The Members of the Association will be the Owners in the Community, as further
provided in Article 4 herein.
00·1756878
-)- 4934•37690\CCRS\ S86S67 13
7/6/06
08/08/06
C. The Community is to be held, conveyed, encumbered, leased, used and improved

subject to covenants, conditions, restrictions and easements in this Declaration, all of which are
in furtherance of a plan for subdividing, maintaining, improving and selling the Condominiums
in the Community. All provisions of this Declaration are imposed as equitable servitudes on the
Community. All covenants, conditions, restrictions and easements in this Declaration shall run
with and burden the Community, and be binding on and for the benefit of all of the Community
and aJJ Persons acquiring any interest in the Community.
ARTICLE 1
DEF1NJTJONS AND INTERPRETATION
l. 1 DEFINITIONS. Unless otherwise expressly provided, the foHowing words and

phrases when used in this Declaration have the following meanings.
1.1.1 Adaptive Reuse Ordinance. Adaptive Reuse Ordinance means the

provisions of the City's Municipal Code related to Adaptive Reuse Projects in the City's
downtown areas, including Subdivision 26 of Subsection A of Section 12.22 and Subdivision I
of Subsection X of Section 12.24 of the City' s Municipal Code.
1.1.2 Annual Assessment. Annual Assessment means a charge against the

Owners and their Condominiums representing their share of the Common Expenses. The Annual
Assessment is a regular assessment as described in California Civil Code Section 1366.
1.1.3 Articles. Articles means the Articles of Incorporation of the

Association currently in effect. A copy of the Articles is attached as Exhibit B .
l. l.4Assessment. Assessment means any Annual Assessment, Capital

Improvement Assessment, Reconstruction Assessment and Special Assessment.
1.1.5 Association. Association means Little Tokyo Lofts Community

Association, a California nonprofit corporation (fonned pursuant to the California Nonprofit
Mutual Benefit Corporation Law or successor statutes), and its successors-in-interest. The
Association is an "association" as defined in California Civil Code Section 1351 (a).
1.1.6 Association Maintenance Funds. Association Maintenance Funds

means the accounts created for Association receipts and disbursements pursuant to Article 7.
1.1.7 Association Property. Association Property means the portion of Lot

I of Tract No. 53922 and the Improvements thereon, excepting therefrom the Units and Common
Area shown on the Condominium Plan and the Commercial Units and Commercial Common
Area shown on the Commercial Condominium Plan. The Association Property includes:
(a) the Building;

C• •
(b) the Parking Garage;
0
0"1
(c) the courtyard, recreational facilities and overhead walkway
between the Building and the Parking Garage;
06 1756878
-2- 4934·37690\CCRS\ 586567 13
116106
08/08/06
(d) the land beneath and around the Building and the Parking
Garage;and
(e) easement and rights reserved to the Association m the

Governing Docwnents including for access, maintenance and enforcement purposes.
Association Property is "common area," as that term is defined in California ClVll

Code Section 135l{b).
1. 1.8 Board or Board of Directors. Board or Board of Directors means the

Association's Board of Directors.
l. l.9 Budget. Budget means a written, itemized estimate of the

Association's income and Common Expenses prepared pursuant to the Bylaws.
1.1.10 Building. Building means the high-rise mixed-use structure housing

the Units and the Commercial Units (such Units and Commercial Units, are not, however, a part
of the Building for purposes of this definition). The tenn Building includes all of the following
Improvements:
(a) the shell and core of the Building;
(b) all structural support elements existing in, on, under and
throughout the Building shell and core, including all separate or common footings, girders,
columns, braces, foundations, temporary and pennanent tieback systems, shared party walls, load
bearing walls and other standard support elements, and every wall, column, floor, ceiling,
footing, foundation or other vertical or horizontal Improvement in the Building, but not including
any demising partition that is not necessary for the structural support of the Building;
( c) the elevators and related machinery;
(d) any HVAC systems which benefit the entire Building;
(e) any fire and life safety systems and security equipment which
benefit the entire Building; and
(t) all or any portion of any elevator shaft, stairway, trash chute,
dumpster pad, vault, loading dock, air shaft, mechanical shaft, duct, pipe, line, mam, conduit,
lighting, flue and any other equipment, fixtures, machinery, system or apparatus which benefits
the entire Building.
l. l. 11 Bylaws. Bylaws means the Bylaws of the Association as currently in

effect. A copy of the Bylaws as initially adopted by the Board is attached as Exhibit C.
,:: I
c:,,
1.1.12 Capital Improvement Assessment Capital Improvement Assessment
means a charge against the Owners and their Condominiums representing their share of the
Association's cost for installing or constructing capital Improvements on the Common Area
Capital Improvements Assessments shall be levied in the same proportion as Annual
-3- llf 4934-37690\CCRS\ 586567 13

06 1. 56 87 8 ?/6/06
08/08/06
Assessments. Capital Improvement Assessments are special assessments as described m

California Civil Code Section 1366.
1. J.13 City. City means the City of Los Angeles, California, and its various
departments, divisions, employees and representatives.
1.1.14 Close of Escrow. Close of Escrow means the date on which a deed is
Recorded conveying a Condominium pursuant to a transaction requiring the issuance of a Public
Report.
1. LI 5 Commercial Common Area. Commercial Common Arta means the

volume of airspace described as the Commercial Common Area on the Commercial
Condominium Plan.
l.1.16 Commercial Condominium Plan. Commercial Condominium Plan is

described in the second part of Paragraph A of the Preamble.
1.1.17 Commercial Project. Commercial Project means the Commercial

Units and the Commercial Common Area shown and described on the Commercial
Condominium Plan.
1.1.18 Commercial Owner. Commercial Owner is the owner of the

Commercial Project.
1.1.19 Commercial Units. Commercial Units means the Commercial Units

shown and described on the Commercial Condominium Plan.
1.1.20 Common Area. Common Area means the volume of airspace

described in the Condominium Plan as the Residential Common Area, which shall be owned by
Owners as tenants-in-common. Any references in this Declaration to Common Area are
references to the Common Area as a whole and to portions thereof The Common Area excludes
the Commercial Common Area.
1.1.21 Common Expenses. Common Expenses means those expenses for

which the Association is responsible under this Declaration. Common Expenses include the
actual and estimated costs of and reserves for maintaining, managing and operating the
Association Property (including amounts incurred for maintenance this Declaration imposes on
the Association}, including:
(a) Association Property and Improvements thereon;
(b) The cost of all utilities (including sewer and water) and
mechanical and electrical equipment serving the Association Property, utilities which serve
individual Condominiums but which are subject to a common meter. and trash collection and
removal from central receptacles;
(c) The costs and fees attributable to managing and administering

the Association, compensating the Manager, accountants, attorneys and employees, all insurance
-4- 4934-37690\CCRS\ 586567 13

116/06
---------------------u-6- 1-7-5-6-8.!l-Rw--- - - - - - - - - - - -
08/08/06
covering the Community and the Directors, officers and agents of the Association, and bonding
the members of the Board;
(d) The cost to repair damage to public utility Improvements if

caused by the Association during installation, maintenance or repair of private utility
Improvements;
(e) Unpaid Special Assessments, Reconstruction Assessments and

Capital Improvement Assessments;
(f) Tax.es paid by the Association;
(g) Amounts paid by the Association for discharge of any lien or

encumbrance levied against the Community, and
(h) All other expenses incurred by the Association for the

Community, for the common benefit of the Owners.
1.1.22 Common Property. Common Property means the Common Area, the
Association Property and the Improvements constructed thereon. Any references to the
Common Property are references to the Common Property as a whole and to portions thereof.
1.1.23 Community. Community means the real property dcscnbed in

Paragraph A of the Preamble to this Declaration. The Community is a "condominium project" as
defined in California Civil Code Section 1351(f), and a "common interest development" as
defined in California Civil Code ~tl.on 135l(c). Any references in this Declaration to the
Community is references to the Community as a whole and to portions thereof. The Community
will include 161 Units.
1.1.24 Condominium. Condominium means an estate in real property as

defined in California Civil Code Section 135l(f). A Condominium consists of an undivided fee
simple ownership interest in the Common Area in the Commuruty, together with a separate
ownership interest in fee in a Unit and all easements appurtenant thereto. Subject to the
provisions of Section 10.5, an undivided 1/161 fee simple interest in the Common Area in the
Community is appurtenant to each Unit in the Community. Commercial Condominiums are not
"Condominiums" for the purposes of this Declaration.
1.1 .25 Condominium Plan. Condominium Plan means the Recorded plan, as
currently in effect, for the Community consisting of (a) a description or survey map of the
Community, which shall refer to or show monumentation on the ground, (b) a three dimensional
description of the Community, one or more dimensions of which may extend for an indefinite
distance upwards or downwards in sufficient detail to identify the Association Property,
Common Area and each Unit, and (c) a certificate consenting to the Recordation thereof signed
and acknowledged by the record owner of fee title to the Community, and by either the trustee or
the Mortgagee of each Recorded Mortgage encumbering the Community.
1.1.26 County. County means Los Angeles County, California, and its
.,.,
0
various departments, divisions, employees and representatives.
4934-37690\CCRS\ 586567.13
7/6/06
08/08/06
1.1.27 Declarant Declarant means Hammer IRP LTL Associates, LLC, a

Delaware limited liability company, its successors and any Person to which it shall have assigned
any of its rights by an express written assignment. As used in this Section, "successor" means a
Person who acquires Declarant or substantially all of Declarant's assets by sale, merger, reverse
merger, consolidation, sale of stock or assets, operation of law or otherwise. Declarant shall
determine in its sole discretion the time, place and manner in which it discharges its obligations
and exercises the rights reserved to it under this Declaration. Declarant is a "builder" as
described in California Civil Code Section 1375.
1.1.28 Declaration. Declaration means this instrument as currently in effect.
1.1.29 Defect Claim. Defect Claim means a construction defect claim under
the applicable Defect Law.
1.1.30 Defect Claims Period. Defect Claims Period means the period
beginning at the first Close of Escrow and ending on the expiration of all statutes of limitation or
repose applicable to Defect Claims under the Defect Law (including any tolling periods).
1.1.31 Defect Law. Defect Law means the California law applicable to
Defect Claims made concerning the Community (which is a condominium conversion).
1.1.32 Design Guidelines. Design Guidelines mean the rules or guidelines

setting forth procedures and standards for submission of plans for Design Review Committee
approvaJ.
1.1.33 Design Review Committee or Committee. Design Review

Committee or Committee means the Design Review Committee created in accordance with
Article 5.
1.1.34 DRE. DRE means the California Department of Real Estate and any
department or agency of the California state government which succeeds to the DRE's functions.
1.1.35 Exclusive Use Area. Exclusive Use Area means the Association
Property over which exclusive easements are reserved for the benefit of specified Owners
including for patios, balconies, parking spaces, and internal and external telephone wiring
designed to serve a single Unit but located outside the boundaries of that Unit, in accordance
with Civil Code Section 135l(i). The approximate location of the Exclusive Use Areas is shown
on the Condominium Plan, however, the as-built location of such Exclusive Use Areas shall
control. The Exclusive Use Area patios and balconies are assigned on the Condominium Plan.
The Exclusive Use Area parking spaces are assigned on Exhibit D attached hereto, except for
certain spaces which will be assigned in the individual deeds to the purchasers of certain Units.
C::)
1.1.36 Family. Family means natural ind1v1duals, related or not, who live as a
c,,, single household in a Residence.
...
C•
Co 1.1.37 Fannie Mae. Fannie Mae means the Federal National Mortgage
Association, a government-sponsored private corporation established pursuant to Title VIll of
the Housing and Urban Development Act of I 968 and its successors.
:6- 4934-37690\CCRS\ 586567 .13
06 17 5 68_7.Bc____ _ _ 7
_'6/06_ __
08/08/06
--
1.1.38 FHA. FHA means the Federal Housing Administration of the United
States Department of Housing and Urban Development and its successors.
1.1 .39 First Mortgage.. First Mortgage means a Mortgage with first priority
over other Mortgages on a Condominium.
1.1.40 First Mortgagee. First Mortgagee means the Mortgagee of a First

Mortgage.
1.1.41 Fiscal Year. Fiscal Year means the fiscal accounting and reporting
period of the Association.
1.1.42 Freddie Mac. Freddie Mac means the Federal Home Loan Mortgage
Coiporation created by Title Il of the Emergency Home Finance Act of 1970 and its successors.
1.1.43 Ginnie Mae. Ginnie Mae means the Government National Mortgage
Association administered by the United States Department of Housing and Urban Development
and its successors.
1. 1.44 Governing Documents. Governing Documents means this

Declaration, the Articles, Bylaws, Design Guidelines, Rules and Regulations, Supplemental
Declarations and Notices of Addition.
1.1.45 Improvement Improvement means, without limitation, any structure

and any appurtenance thereto including the Building and all components thereof listed in
Section 1.1.10, the Parking Garage, structures including stairways. walkways, driveways,
planters, plants, irrigation equipment, signs, antennae, the exterior surface of any visible
structure and the paint on such surface, exterior air conditioners, air conditioning compressor
pads and water softener fixtures or equipment either benefiting the Community as a whole or one
or more Units, but excluding the Nextel Facilities. In addition, Improvement shall mean the
floor coverings, wall coverings, non-load-bearing partitions, entry/exit doors and windows
withm or enclosing a Urut. The Design Review Committee may identify additional items that
are Improvements.
1.1.46 Include, Including. Whether capitalized or not, include and including

means "includes without limitation" and "including without limitation," respectively.
1.1.47 Local Government Agency. Local Government Agency means the

City, the County, a public school district, a public water district, and any other local or municipal
governmental entity or agency, including any special assessment district, maintenance district or
community facilities district.
1.1.48 Maintain, Maintenance. Whether capitalized or not, maintain and

maintenance mean "maintain, repair and replace" and "maintenance, repair and replacement,"
._-. respectively; provided however, that maintain or maintenance shall not include repair and
,:r, replace(ment) where the context or specific language of this Declaration provides another
meaning.
06 1756878
4934-37690\CCRS\ 586567 13
7/6/06
08/08/06
1.1.49 Maintenance Guidelines. Maintenance Guidelines means any current

written guidelines, setting forth procedures and standards for the maintenance and operation of
Association Property or the Condonumurns. Maintenance Guidelines may be provided by
Declarant, by the Association, or by any governmental agency. Maintenance Guidelines include
any maintenance manual initially prepared at Declarant' s direction and containing recommended
frequency of inspections and maintenance activities for components of the Association Property
or pertaining to a Condominium.
1.1.50 Manager. Manager means the Person retained by the Association to

perform management functions of the Association as limited by the Governing Docwnents and
the tenns of the agreement between the Association and the Person.
1.1.51 Membership. Membership means the voting and other rights,

privileges, and duties established in the Governing Documents for members of the Association.
1.1.52 Mortgage. Mortgage means any Recorded document, including a deed

of trust, by which a Condominium, Condominiums, or Association Property is/are hypothecated
to secure perfonnance of an obligation.
1.1.53 Mortgagee. Mortgagee means a Person to whom a Mortgage is made,

or the assignee of the Mortgagee's rights under the Mortgage by a recorded instrwnent For
purposes of this Declaration, the tenn Mortgagee includes a beneficiary under a deed of trust.
1.1.54 Mortgagor. Mortgagor means a person who has mortgaged his

property. For purposes of this Declaration, the tenn Mortgagor shall include a trustor under a
deed of trust.
1.1.55 Mutual Benefit Agreement. Mutual Benefit Agreement means the

Recorded agreement between the Association and the Commercial Owner to (a) reimburse the
Association for shared expenses related to maintenance of the Association Property, (b) create
certain easements and rights appurtenant to the Community and the Commercial Project,
(c) impose certain use restrictions on the Community and Commercial Project, (d) to establish a
working relationship between the Association and the Commercial Owner, and (e) provide for
other matters in connection with the interface between the Community and the Commercial
Project.
1.1.56 Nextel Facilities. Nextel Facilities means the radio communications

facilities, including utilities, transmission lines, electronic equipment, radio transmitting and
receiving antennas and supporting equipment and structures thereto maintained and operated on
the roof of the Building by Nextel Communications ("Nexte/'1 under the Communications Site
Lease Agreement (Building) between Nextel and Declarant dated April 1998 (the "Nextel
Lease").
1.1.57 Notice and Hearing. Notice and Hearing means written notice and a
hearing before the Board as provided in the Bylaws.
l.l.58 Official Records. Official Records means the Official Records of the
County.
06 1756878
-8- 4934-37690\CCRS\ 586567 13
7/61()(;,
08/08/06
1.1.59 Operating Fund. Operating Fund means that portion of the Common
Expenses allocated for the daily operation of the Association.
1.1.60 Owner. Owner means the Person or Persons, including Declarant,

holding fee simple interest to a Condominiwn. Each Owner has a Membership in the
Association. The term ''Owner" includes sellers under executory contracts of sale but excludes
Mortgagees. The term "Owner" may be expanded in a Supplemental Declaration to include
other Persons.
1.1.61 Parking Garage. Parking Garage means the five level parking garage
adjacent to the Buildmg as shown on the Condominium Plan. The Parking Garage contains the
Exclusive Use Area parking spaces assigned to the Units on Exhibit D and the parking spaces
assigned to the Commercial Owner and its tenants in the Mutual Benefit Agreement.
1. 1.62 Party Wall. Party Wall means any wall or fence that separates
adjacent Condominiums.
1.1.63 Person. Person means a natural individual or any legal entity

recognized under California law. When the word "person,, is not capitalized, the word refers
only to natural persons.
l. l ,64 Reconstruction Assessment. Reconstruction Assessment means a

charge against the Owners and their Condominiums representing their share of the Association's
cost to reconstruct any Improvements on the Association Property. Such charge shall be levied
among all Owners and their Condominiums in the same proportions as Annual Assessments.
Reconstruction Assessments are "special assessments" as described in California Civil Code
Section 1366.
1.1.65 Record or File. Record or File means, concerning any document, the
entry of such document in Official Records.
1.1.66 Reserve Fund. Reserve Fund means that portion of the Common
Expenses allocated (a) for the future repair and replacement of, or additions to, structural
elements, mechanical equipment and other major components of Association-maintained
Improvements, and (b) amounts necessary to cover the deductibles under all insurance policies
maintamed by the Association.
1.1.67 Residence. Residence means the living element of the Unit and
excludes the appurtenant Exclusive Use Areas and the garage element of the Unit.
1.1.68 Rules and Regulations. Rules and Regulations or "Rules" means the
current rules and regulations for the Community.
1.1.69 Special Assessment. Special Assessment means (a) a reasonable

monetary penalty imposed agamst an Owner and the Owner' s Condominium in accordance with
California CiVIl Code Section 1367. l(e), as a disciplinary measure for the failure of an Owner to
comply with the Governing Documents, or (b) a monetary charge imposed against an Owner and
his Condominium in accordance with California Civil Code Section 1367.l(d) to recover costs
-9- oa t1.11U[56713 7/6/06

08/08/06
incurred by the Association for reimbursement of costs incurred in the repair of damage to
Common Property, all as further described in this Declaration.
1.1. 70 Supplemental Declaration. Supplemental Declaration means an

instrument Recorded by Declarant against all or a portion of the Community to supplement,
modify, or clarify conditions, covenants, restrictions or easements established under this
Declaration. A Supplemental Declaration may affect one or more Condominiums and
Association Property. Declarant may Record a Supplemental Declaration as long as Declarant
owns all of the real property to be encumbered by the Supplemental Declaration. A
Supplemental Declaration may modify this Declaration only as it applies to the property
encumbered by the Supplemental Declaration.
1.1. 71 Telecommunications Facilities. Telecommunications Facilities means

Improvements constructed in the Community, including cables, conduits, ducts, vaults,
connecting hardware, wires, poles, transnutters, towers, antennae and other devices now existing
or that may be developed in the future to provide Telecommunication Services to the
Community.
1.1.72 Telecommunications Services. Teleconummications Services means

the reception, distribution or transmission of video, audio, data, telephony, all related vertical
services, and any other similar services now existing or that may be developed in the future.
Declarant may expand this definition in any Supplemental Declaration.
1.1.73 Unit. Unit means a separate interest in space as defined in California

Civil Code Section 1351(f). Each Unit is a separate freehold estate, as separately shown,
numbered and designated in the Condominium Plan. Each Unit includes, the front doors, the
first layer of dry wall, gas, water and waste pipes, ducts, chutes, conduits, wires and other utility
installations that extend into the Units. The Unit shall not include those portions of the gas and
water pipes, ducts, chutes, conduits, wires or other utility installations which serve more than one
Unit. The boundanes of the Unit are approximately shown in the Condominium Plan. In
interpreting deeds, the Declaration and the Condominium Plan, the actual boundaries of each
Unit shall be deemed to extend to (a) the unfinished surface of the bottom of the ceiling slab,
(b) the unfimshed surface of the top of the floor slab, and (c) the first layer of dry wall which
establishes the perimeter walls of the Unit, as constructed or reconstructed in substantial
accordance with the original plans for the Unit, as constructed or reconstructed in substantial
accordance with the original plans for the Unit. Load bearing and utility bearing walls at the
penmeter of the Unit are not part of the Unit. Duct work which leads outside the Building and
the fire sprinkler system are not part of the Unit. The foregoing interpretation shall apply
notwithstanding any description expressed in the deed, the Condominium Plan or the
Declaration, regardless of settling or lateral movements of Improvements, and regardless of
minor variances between Unit boundaries shown in the Condominium Plan or deed and those of
the Improvement. Commercial Units are not "Units" for the purposes of this Declaration.
,_,,
0
1. l.74 VA. VA means the Department of Veterans Affairs of the United
States of America and any department or agency of the United States government which
succeeds to the VA 's function of issuing guarantees of notes secured by Mortgages on residential
real estate.
06 1756878
-10- 4934-37690\CCRS\ .586567 13
7/6/06
08/08/06
1.2 INTERPRETATION.
1.2.1 General Rules. This Declaration shall be liberally constnied to

effectuate its purpose of creating a unifonn plan for subdividing, maintaining, improving and
selling the Community. As used in this Declaration, the singular includes the plural and the
plural the singular. The masculine, feminine and neuter each includes the other, unless the
context dictates otherwise. Ail.y reference in this Declaration to time of perfonnance of
obligations or to elapsed time means consecutive calendar days, months or years, as applicable,
unless otherwise expressly provided.
l .2.2 Articles, Sedions aod Exhibits. The Article and Section headings are
inserted for convenience only and may not be considered in resolving questions of interpretation
or construction. Unless otherwise indicated, any references in this Declaration to articles,
sections or exhibits are to Articles, Sections and Exhibits of this Declaration. ExhibiJs C, D and
E attached to this Declaration are incorporated in this Declaration by this reference. The
locations and dimensions of any Improvements shown on the Exhibits attached hereto are
approximate only and the as-built location and dimension of any such Improvements shall
control.
1.2.3 Priorities and Inconsistencies. If there are conflicts or inconsistencies

between this Declaration and (a) the Mutual Benefit Agreement or (b) the Articles, Bylaws,
Rules and Regulations, a Supplemental Declaration or a Condominium Plan, then the provisions
of this Declaration shall prevail; however, the conflicting documents shall be construed to be
consistent with the Declaration to the extent possible.
1.2.4 SeverabOity. The provisions of this Declaration are independent and

severable. A detennination of invalidity, partial invalidity or unenforceability of any one (1)
provision of this Declaration by a court of competent jurisdiction does not affect the validity or
enforceability of any other provisions of this Declaration.
1.2.5 Statutory References. All references made in this Declaration to

statutes are to those statutes as currently in effect or to subsequently enacted replacement
statutes.
ARTICLE2
MAINTENANCE COVENANTS AND USE RESTRICTIONS
The Community shall be held, used and enjoyed subject to the followmg restrictions and
subject to the exemptions of Declarant set forth in the Governing Documents.
2.1 REPAJRANDMAINTENANCE.
2. 1.1 Maintenance Standards. The Association shall maintam everything it

is obligated to maintain in a clean, sanitary and attractive condition reasonably consistent with
... the level of maintenance reflected in the most current Budget, and in conformance with all
applicable Maintenance Guidelines. Unless specifically provided in any Maintenance
... Guidelines, the Board shall detennine, in its sole discretion, the level and frequency of
maintenance of the Association Property and Improvements thereon. Each Owner shall maintain
-11-
06 1756878 4934-37690\CCRS\ 586567 13
7/6/06
08/08/06
everything the Owner is obligated to maintain in a clean, sanitary and attractive condition and in
conformance with all applicable Maintenance Guidelines; provided, however, that only
Declarant (and not the Association or any other Owner) shall have the right to detennine and
enforce confonnance with Maintenance Guidelines.
2.1 .2 Specific Maintenance Obligations. The specific items hsted in

Exhibit D to this Declaration shall be maintained by either the Association or the Unit Owners,
as indicated. If an item is not listed in Exhibit D, then it shall be maintained in accordance with
the general rules established in Section 2.1.3 or as provided in Section 2.1 .3 and 2.1.5, as
applicable. The maintenance obligations imposed in Exhibit D can be varied as provided in
Section 2.1.4.
2.1.3 General Maintenance Obligations. Unless Exhibit D provides

otherwise or the maintenance obligation is changed pursuant to Section 2.1.4, the Association
shall maintain the Association Property (excluding the Exclusive Use Areas) and the Owners
shall maintain the Units and the Exclusive Use Areas. Each Owner shall immediately notify the
Association of any dangerous, defective or other condition which could cause injury to person or
property in such Owner's Unit or Exclusive Use Area. Unless other arrangements are approved
by the Board, all Improvements an Owner installs in any area of the CommW1ity must be
maintained by the Owner who installed the Improvements. If the Owner fails to maintain the
Improvements and the Board determines that the Improvements significantly interfere with the
Association's ability to fulfill its obligations, the Association may remove any Improvement
installed by an Owner.
2 .1.4 Variations in Maintenance Obligations. The specific and general

maintenance obligations established in Sections 2. 1.2 and 2.1 .3 may be varied as descnbed in
this Section.
(a) If an Owner fails to maintain any Improvement the Owner is

obligated to maintain, the Association has the power but not the duty to perform the
ma.mtenance. In a situation that the Association determines is an emergency, the Association
may perform the maintenance immediately; in all other cases, the Association may perform the
maintenance after Notice and Hearing.
(b) If any portion of a Condominmm that an Owner is obligated to

maintain is (1) damaged as a result of the Association's gross negligence or willful misconduct,
and (2) has not been upgraded from the original Improvements installed in the Condominium,
then the Association is responsible for repairing the damage; otherwise, the Owner is responsible
for repairing the damage. If anything an Owner is obligated to maintain causes damage to any
Condominium or the Association Property, the Owner is responsible for paying the cost of
repairs. Neither the Association nor any Owner is responsible for paying consequential
damages.
2.1.5 Disputes Regarding Maintenance Obligations. If a dispute arises

between Owners or between an Owner and the Association regarding any maintenance
obligation, the Board, in its reasonable discretion, shall determine who is responsible for the
maintenance obligation and that decision shall be binding on the Association and all Owners.
06 1756878
-12- 4934-37690\CCRS\ 586S67 I 3
7/6/06
08/08/06
2.1.6 Inspections. The Board shall periodically cause a compliance

inspection of the Community to be conducted by the Design Review Committee to report any
violations thereof. The Board shall also cause condition inspections of the Association Property
and all Improvements thereon to be conducted in conformity with the applicable Maintenance
Guidelines, and in the absence of inspection frequency recommendations in any applicable
Maintenance Guidelines at least once every three (3) years, in conjunction with the inspection
required for the reserve study to be conducted pursuant to Section 2.12 of the Bylaws, to (a)
detennine whether the Association Property is being maintained adequately in accordance with
the standards of maintenance established in Section 2.1, (b) identify the condition of the
Association Property and any Improvements thereon, including the existence of any hazards or
defects, and the need for performing additional maintenance, refurbishment, replacement, or
repair, and (c) recommend preventive actions which may be taken to reduce potential
maintenance costs to be incurred in the future. The Board shall, dunng its meetings, regularly
determine whether the recommended inspections and maintenance activities set forth in any
applicable Maintenance Guidelines have been followed and, if not followed, what corrective
steps need to be taken to assure proper inspections and maintenance of the Association Property.
The Board shall keep a record of such determinations in the Board's minutes. The Board shall
keep Declarant fully informed of the Board's activities under this Section 2.1.6. The Board shall
employ, consistent with reasonable cost management, such experts, contractors and consultants
as are necessary to perform the inspections and make the reports required by this Section.
2.1. 7 Reporting Requirements. The Association shall prepare a report of

the results of the mspection required by this Section. The report shall be furmshed to Owners
and Declarant within the time set for furnishing the Budget to the Owners. The report must
include at least the following:
(a) a description of the condition of the Association Property,

including a list of items inspected, and the status of maintenance, repair and need for
replacement of all such items;
(b) a description of all maintenance, repair and replacement

planned for the ensuing Fiscal Year and included in the Budget;
(c) if any maintenance, repair or replacement is to be deferred, the

reason for such deferral;
(d) a swnmary of all reports of inspections pcrfonned by any expert

or consultant employed by the Association to perform inspections;
(e) a report of the status of compliance with the maintenance,

replacement and repair needs identified in the inspection report for preceding years~and
\.-, (f) such other matters as the Board considers appropriate.

r,..,
0 For a period of ten (10) years after the date of the last Close of Escrow in the
' ,., Community, the Board shall also furnish to Declarant (a) the report of each Condition Inspection
performed for the Board. whenever such inspection is performed and for whatever portion of the
0
er,
Association Property that is inspected, within thirty (30) daQ f,fter Sff
17 8 1,tan of such
- J3- 4934-37690\CC.RS\ 586567 13

7/6/06
08/08/06
inspection, and (b-) the most recent Condition Inspection report prepared for any portion of the
Association Property, no later than the date that is ten ( 10) days after the Association receives
DecJarant's written request.
2.1.8 Termite Eradication. If determined by the Board to be economically

feasible, the Association shall adopt an inspection and prevention program for the prevention and
eradication of infestation by wood-destroying pests and organisms in the Community. If the
Association adopts such a program, the Association, on no less than fifteen (1 S) nor more than
thiny (30) days' notice, may require each Owner and to the occupants of the Owner's
Condominium to vacate such Condominium to accommodate the Association's efforts to prevent
and eradicate such infestation. The notice must state the reason for the temporary relocation, the
date and time of the beginning of treatment, the anticipated date and time of tennination of
treabnent, and that the occupants wilJ be responsible for their own accommodations during the
temporary relocation. Any damage caused to a Condominium by such entry by the Association
or by any person authorized by the Association shall be repaired by the Association as a
Common Expense. All costs involved in operating the inspection and preventive program as
well as repairing and replacing the Association Property and Improvements thereon when the
need for such maintenance, repair or replacement is the result of wood-destroying pests or
organisms are a Common Expense.
2.1.9 Damage by Owners. Each Owner is liable to the Association for all
damage to the Association Property that is sustained due to the negligence or willful act of the
Owner, the Owner's Family, tenants or invitees, and any other Persons who derive their use of
the Association Property from the Owner or from the Owner's Family, tenants or invitees. The
Association may, after Notice and Heanng, levy a Special Assessment against the Owner
representing a monetary charge imposed as a means of reimbursing the Association for costs
incurred by the Association in the repair of damage to Association Property and facilities for
winch the Owner or the Owner's Family, tenants or invitees were responsible. The amount of
the Special Assessment may include (a) the amount of any deductible payable on the insured
portion of the loss (if the Association elects to make a claim under its insurance policy), (b) all
costs and expenses actually incurred by the Association to correct damage that is not covered by
the Association's insurance or for which no claim has been made, and (c) the amount of the
increase in premiums payable by the Association, to the extent the increase is directly caused by
damage that was attributed to the Owner or the Owner's Family, tenants or invitees. In
accordance with California Civil Code Section 1367. l (d), the Association shall have the power
to impose a lien for the foregoing Special Assessment. If a Condommiurn is jointJy owned, the
liability of its Owners for damage to Association Property is joint and several, except to the
extent that the Association and the Joint Owners have otherwise agreed in writing.
2.1.10 Stormwater Pollutant Control. The Community is subject to all

federal, state and local requirements of the National Pollutant Discharge Elimination System
("NPDES''), adopted in accordance with the Federal Clean Water Act. In 1999, the California
c_-,
State Water Resources Control Board ("SWRCB'') enacted a new statewide General Permit for
C••
Storm Water Discharges Associated with Construction Activity (the "General Permit',. The
General Pennit imposes a comprehensive series of requirements on developers and builders to
file a Storm Water Pollution Prevention Plan ("SWPPP") with the Regional Water Quality
Control Board that sets forth Best Management Practices ("BMPS'') 81fi
l~~~tigate
-14- 4934-37690\CCRS\ .586567 13

7/61()(,
08/08/06
runoff of silt and pollutants from the Community into stonn drains. Some BMPs apply to
activities undertaken by the Association and Owners, and the Association and the Owners are
required to comply with the applicable BM.PS. The SWPPP includes specific maintenance
schedules for post-construction operation of the BMPs that may impose long term maintenance
obligations on the Association and each Owner in the Community. The BMPs are in addition to
any local ordinances established by the City and any rules and regulations imposed by the
Association concerning discharge of non-storm water into stonn drams.
The Association shall ensure that (a) irrigation equipment in the Association Property
shall include water sensors and programmable irrigation times allowing for short cycles. (b)
replacement plants installed by the Association in the Association Property are the same as or
similar to those plants that were originally instalJed, (c) water-penneable surfaces originally
installed in according with the approved landscape plans are maintained free of debris and in
good working order to promote surface filtration of stonn water and irrigatjon runoff, and (d)
maintenance of native and drought-tolerant plants originally installed on pennanent slopes in
accordance with the approved landscaping plans. The cost of the Association's portion of such
maintenance, if any, shall be treated as a Common Expense.
2.2 SINGLE FAMILY RESIDENCE. The Residence shall be used as a dwelling

for a single Family and for no other purpose except as permitted under Section 2.5.2 below.
2.3 FURTHER SUBDIVISION. Except as otherwise provided in this Declaration,

no Owner may physically or legally subdivide his Condominium in any manner, including
dividing such Owner's Condominium into time-share estates or time-share uses. This provision
does not limit the right of an Owner to (a) rent or lease his entire Condominium by a written
lease or rental agreement subject to this Declaration, (b) sell such Owner's Condominium, or
(c) transfer or sell any Condominium to more than one (1) Person to be held by them as tenants-
in-common, joint tenants, tenants by the entirety or as community property. Any failure by the
tenant of the Condominium to comply with the Governing Documents constitutes a default under
the lease or rental agreement.
2.4 RESALE AND RENTAL. Nothing in this Declaration shall be deemed to (a)
prevent an Owner from selling the Condominium or (b) prevent an Owner from entering a
written lease or rental agreement for occupancy of the Residence by a single Family, provided
that the lease or rental agreement is made expressly subject to this Declaration. Owners may
also rent Condominiums to Declarant for use as sales offices, model homes and parking areas.
All lessees, tenants, and their Families, agents and invitees are bound by the Governing
Docwnents when present in the Community, and any violation of the Governing Documents
constitutes a default under the lease or rental agreement. Declarant may not lease any portion of
the Common Property to the Owners or the Association.
2.5 BUSINESS AND COMMERCIAL ACTIVITIES.
2.5.1 GeoeraUy. Except as permitted under Section 2.5.2, no Owner or other

occupant of the Community may undertake any activity in any Condominium or on any portion
of the Association Property for business, commerc1al or non-residential purposes nor for any
other purpose that is inconsistent with the Governing Documenij•(ci~ ~S1'fisturmg,
-lS- 4934-37690\CCRS\ 586567 IJ
7/6/06
08/08/06
storage, vending, auctions, vehicle or equipment repair, any lease or rental agreement under
which the Residence would be occupied by numbers of persons in excess of the maximum
occupancy pennitted under applicable law, and transient occupancy purposes (such as vacation
rental, hotel, motel, inn, or similar temporary lodging). Any lease or rental agreement for a term
of fewer than thuty (30) days or pursuant to which the lessor provides any services normally
associated with transient occupancy shall be deemed to be for transient purposes and prohibited
under this Declaration. All of the foregoing activities are prohibited whether they are engaged in
full-time or part-time, whether they are for-profit or non-profit, and whether they are licensed or
unlicensed.
2.5.2 Exceptions. This Section shall not be interpreted to prolubit any of the
following:
(a) The hiring of employees or contractors to provide mamtenance,

construction or repair services that are consistent with the Governing Documents;
(b) Rental or leasing of a Residence to Declarant for use as a sales

office, model homes or parking area for any period of time;
(c) Exercise by Declarant of any rights reserved to it under

Article 15;
(d) The provision of in-home health care or assisted-living services

to any resident of the Community;
(e) The provision of family home child care services as de.fined in

California Health and Safety Code Section l 597 .40, et seq., so long as such services comply with
all applicable state and local laws, including licensing, inspection and zoning requirements.
Provided, however, that the Association has the power to limit or prohibit use of recreational
facilities and other common amenities in the Association Property by clientele of the business;
(f) The operation of small home-based service businesses are

permitted under the Adaptive Reuse Ordinance and the City's live/work regulations and that
comply with all of the following:
(l) A portion of the Condominium must be used for

residential purposes;
(2) When conducted in the Community, business activities

take place solely inside the Residence;
(3) Visits by clientele or suppliers are limited to regular

business hours and chentele and suppliers park their vehicles only in the spaces designated as
resident visitor parking in the Parking Garage;
(4) The activity complies with all laws, regulations and

ordmances applicable to the Community, including zoning, health and licensing requirements;
C,
O"•
06 1756878
-16- 4934-37690\CCRS\ 586567.13
7/6/06
08/08/06
(5) The activity otherwise complies with the Declaration

and is consistent with the residential character of the Community;
(6) The operator of the business posts no signage anywhere

in the Community;
(7) There is no visible eVJdence in the Community of the

activity;
(8) The activity does not generate noise or odors that are
apparent outside the Residence; and
(9) The business does not increase the Association's

liability or casualty insurance obligation or premium; or
(g) Other activities that have been detennined by governmental

authorities to be consistent with the single-farmly residential uses in the Community, including,
for example, residential care facilities that are operated m accordance with California Health and
Safety Code Section 1566.5.
2.6 NUISANCES. Noxious or offensive activities are prohibited in the Community

and on any pubhc street abutting or visible from the Community. The Board is entitled to
determine if any device, noise. odor, or activity constitutes a nuisance.
2.6.1 Nuisance Devices. Nuisance devices may not be kept or operated in

the Community or on any public street abutting the Community, or exposed to the view of other
Condominiums or Association Property. Nuisance devices include the following:
(a) All horns, whistles, bells or other sound devices (except security
devices used exclusively to protect the security of a Residence or a vehicle and its contents)
(b) Noisy or smoky vehicles, power equipment (excluding lawn

mowers and other equipment used in connection with ordinary landscape maintenance and not
creating unreasonable levels of noise for umeasonable periods of time), and Restricted Vehicles
(defined below);
(c) Devices that create or emit loud noises or noxious odors;
(d) Construction or demolition waste containers (except as

pennitted in writing by the Committee);
(e) Devices that unreasonably interfere with television or radio

reception to a Condominium;
(t) Plants or seeds infected with noxious insects or plant diseases;
(g) The presence of any other thing in the Community which may
0 (1) increase the rate of insurance in the Community, (2) result in cancellation of the insurance,
,:TI
06
•17-
1756878 4934-37690\CCRS\586567 )3
7/6/06
08/08/06
(3) obstruct or interfere with the nghts of other Owners or the Association, (4) violate any law or
provisions of this Declarallon or the Rules and Regulations, or (5) constitute a nuisance or other
threat to health or safety under applicable law or ordinance.
2.6.2 Nuisance Activities. Nuisance activities may not be undertaken in the

Community or on any public street abutting the Community, or exposed to the view of other
Condominiums or Association Property without the Board's prior written approval. Nuisance
activities include the following:
(a) Hanging, drying or airing clothing, fabrics or unsightly articles

in any place that is visible from other Condomiruums, Association Property or public streets;
(b) The creation of unreasonable levels of noise from parties,

recorded music, radios, television or related devices, or live music performance;
(c) The creation of unreasonable levels noise from a barking dog or

other animal kept in the Community (e.g., chronic daily nuisance barkmg by a dog over extended
periods of time);
(d) Repair or maintenance of vehicles or mechanical equipment,

except in a closed garage or rear yard screened from view by other Condorniruwns or
Association Property.
(e) Outdoor fires, except in barbecue grills and fire pits designed
and used in such a manner that they do not create a fire hazard;
(f) Outdoor storage of bulk materials or waste materials except in

temporary storage areas designated by the Committee.
(g) Any activity which may (1) increase the rate of insurance in the
Community, (2) result in cancellation of the insurance, (3) obstruct or interfere with the rights of
other Owners, (4) violate any law or provisions of this Declaration or the Rules and Regulations,
or (5) constitute a nuisance or other threat to health or safety under apphcable law or ordinance.
2 .7 SIGNS. Subject to California Civil Code Sections 712, 713 and 1353.6, no sign,
advertising device or other display of any kind shall be displayed in the Community or on any
public street in or abutting the Community except for the following signs:
2. 7.1 entry monuments, community identification signs, and traffic or

parking control signs maintained by the Association;
2.7.2 for each Condominium, one (1) nameplate or address identification

sign which complies with Design Review Committee rules;
2.7.3 for each Condominium, one (1) sign advising of the existence of
security services protecting a Condominium which complies with Design Review Committee
rules;
06 1756878
-18- 4934-37690\CCRSI 586567.13
7/6/06
08/08/06
2.7.4 other signs or displays authorized by the Design Review Committee.
2.8 PARKING AND VEHICULAR RESTRICTIONS.
2.8. l Definitions. The following definitions shall apply to parking and

vehicular restrictions set forth in this Declaration:
2.8.2 Authorized Vehicle. An '·Authorized Vehicle" is an automobile, a

passenger van designed to accommodate ten (10) or fewer people, a motorcycle, or a pickup
truck having a manufacturer's rating or payload capacity of one (1) ton or less. The Association
has the power to identify additional vehicles as Authorized Vehicles in the Rules and
Regulations in order to adapt this restriction to other types of vehicles that are not listed above.
2.8.3 Restricted Vehicles. The following vehicles are "Restricted

Vehicles:" (a) large commercial-type vehicles (e.g., stake bed trucks, tank trucks, dump trucks,
step vans, and concrete trucks), (b) buses, limousines or vans designed to accommodate more
than ten (10) people, (c) inoperable vehicles or parts of vehicles, (d) aircraft, (e) boats, jet skis
and other water craft, (f) trailers (e.g., trailers designed for horses, boats, motorcycles or other
equipment or materials), (g) motor homes and recreational vehicles (e.g., fifth-wheels, folding
camping trailers, travel trailers, but not including van conversions and truck campers), (g) any
vehicle or vehicular equipment deemed a nuisance by the Association, and (h) any other vehicle
that is not classified as an Authorized Vehicle. If a vehicle qualifies as both an Authorized
Vehicle and a Restricted Vehicle, then the vehicle is presumed to be a Restricted Vehicle, unless
the vehicle is expressly authorized in writing by the Association. The Association has the power
to identify additional vehicles as Restricted Vehicles in the Rules and Regulations to adapt this
restriction to other types of vehicles that are not listed above.
2.8.4 Parking Restrictions.
(a) Parking. All vehicles owned or operated by or under the

control of an Owner or a resident of an Owner's Condominium and kept in the Community must
be parked in the Owner's assigned parking space in the Parking Garage. No vehicle may be
parked in any manner that the Association determines will restrict the normal passage of
pedestrians or vehicles in the parking areas. The right to use an assigned parking space is
exclusive to the Owner of the Condominium to which the parking space is appurtenant.
However, parking spaces are for parking of Authorized Vehicles only. No vehicle repair (except
in emergencies) or other activities may be undertaken in the Parking Garage. Certain parking
spaces m the Parking Garage are reserved for resident visitors, the Commercial Owner, its
tenants and their respective pennittees as more particularly provided in the Mutual Benefit
Agreement. No Owner may park in any of the parking spaces assigned to the Commercial
Owner.
0
(b) Restricted Vehicles . No Restricted Vehicle may be parked,
co stored or kept in the Community except for periods of two (2) hours or less in any 24-hour period
.....
dunng loading, unloading, or emergency repairs.
·~
06 1756878
-19- 4934-37690\CCRS\ 586S67 13
116/0fJ
08/08/06
2.8.5 Parking Spaces.
(a) Assignment. Parking spaces in the Parking Garage for the

Units in the Community are assigned on Exhibit D, except for certain spaces that will be
assigned in the individual deeds to purchasers of certain Units. The parking space assignments
will be referenced in the deeds conveying the Units to Owners. The right to use an assigned
parking space is an exclusive easement appurtenant to the Owner's Condominium, and it will run
with the Condominium for the benefit of the Owner and future Owners of the Condominiwn.
(b) Transfer ofAs.signed Parking Spaces.
(1) Transfers. An Owner may, after the Close of Escrow,

transfer that Owner's assigned parking space or exchange it for a parking space owned by
another Owner or the Association. Each transfer of an exclusive parking space shall be
evidenced by Recorded deed and must satisfy all applicable Mortgagee requirements to be
enforceable. The deed shall reference the legal description of the transferee's Condominium as
the parcel benefited by the transfer.
(2) Restnctions. The assigned parking spaces in the

Community are private property. Declarant has reserved the parking spaces in the Parking
Garage for the benefit of itself, and for the use of residents, employees, Community visitors, the
Commercial Owner, its tenants and their respective permittees only. No Owner may transfer by
sale, lease, easements or license any assigned parking space in the Community to any Person
other than an Owner, the Association, or the Declarant. All other transfers are void.
2.8.6 Repair, Maintenance and Restoration. No Person may repair,

maintain or restore any vehicle in the Community (except for emergency repairs), no Person may
carry on in any portion of the Community any vehicle repair, maintenance or restoration
business.
2.8.7 Enforcement. The Board has the right and power to enforce all
parking and vehicle use regulations applicable to the Community, including the removal of
violating vehicles from the Parking Garage, alleys and other portions of the Community in
accordance with California Vehicle Code Section 22658.2 or other applicable laws. The City
may, but is not required to, enforce such restrictions, rules and regulations, in addition to
applicable laws and ordinances.
2.8.8 Regulation and Restriction by Board. The Board has the power to:
(a) establish additional rules and regulations concerning parking in the Parking Garage, including
designating "parking," "visitor parking," and "no parking" areas and establish visitor parking
charges; (b) prohibit any vehicle parking, operation, repair, maintenance or restoration activity in
the Community if it detennines in its sole discretion that the activity is a nuisance; and (c)
promulgate rules and regulations concerning vehicles and parking m the Community as it deems
necessary and desirable.
C•
t"t> 2.9 ANIMAL REGULATIONS. No commercial or farm livestock, including
poultry, may be kept in the Community. However, not more than one (1) dog or cat, or other
common domestic pet may be kept in each Residence, subject to local ordinances and such rules
-20- 4934-37690\CCRSI 586567 13

7/6/0<,
- - - - - - - - - - - - - - - - -01)--i-,s-6-8~9~- - - - - - - - - -
08/08/06
and regulations as may be adopted by the Board. All pets should be suitable for living in
confined quarters. No Person may keep any animal that is detennined by the Board to be a
nuisance to other residents in the Community. The Board has the power and discretion to
detem1ine whether the types or numbers of animals kept in a Residence are a nuisance, and the
Board shall have the power to abate the nuisance through any legal procedure that is available to
the Association. Small household pets such as fish and caged birds may be kept in reasonable
numbers so long as there is no external evidence of their presence in the Community. Animals
belonging to residents or guests in the Community must be kept in the Residence. If an animal is
taken outside a Residence, it must be kept under the control of a Person capable of controlling
the animal, either on a leash or other appropriate restraint. Each Owner shall be absolutely liable
to each and all remaining Owners, their families, tenants, residents and guests for damages or
injwies caused by any animals brought or kept in the Community by an Owner, by members of
the Owner's Family, or by the Owner's guests, tenants or invitees. Each Owner shall
immediately remove any excrement or clean other unsanitary conditions left by the Owner's
animals on any portion of the Community.
2.10 ANTENNA RESTRICTIONS. No Person may install on the exterior of any

Residence, rooftops, balcony railings or in a yard any antenna or over-the-air receiving device
except for an ..Authorized Antenna." An Authorized Antenna is (a) an antenna designed to
receive direct broadcast satellite service, including direct-to-home sate11ite service, that is one (1)
meter or less in diameter, (b) an antenna designed to receive video programming service,
including multi-channel multipoint distribution service, instructional television fixed service, and
local multipoint distribution service, and is one (1) meter or less in diameter or diagonal
measurement, (c) an antenna designed to receive television broadcast signals, or (d) an antenna
used to receive and transmit fixed wireless signals. An Authorized Antenna may be mounted on
a mast to reach the height needed to receive an acceptable quality signal, subject to local
governmental agency penmtting requirements for safety purposes.
2.10.1 Restrictions on Installation. The Committee may adopt reasonable

restrictions on installation and use of an Authorized Antenna as part of its Design Guidelines in
order to minimize visibility of the Authorized Antenna from other Condominiums. Such
restrictions may designate one (l) or more preferred installation locations, or require camouflage
such as paint (subject to the antenna manufacturer's recommendations) or screening vegetation
or other Improvements. However, no restriction imposed by the Committee may (a)
unreasonably delay or prevent the installation, maintenance or use of an Authorized Antenna, (b)
W1reasonably increase the cost of the installation, maintenance or use of an Authorized Antenna,
or (c) preclude acceptable quality reception.
"
2.10.2 Prohibitions on Installation. The Committee may prohibit the
installation of an Authorized Antenna in a particular location if, in the Committee's opinion, the
installation, location or maintenance of such Authorized Antenna unreasonably affects the safety
of the Owners or any other Person, or for any other safety-related reason established by the
0 Committee. The Committee may also prohibit an Owner from installing an Authorized Antenna
0:,
on any real property which such Owner does not own or is not entitled to exclusively use or
control under the Governing Documents. The Committee also has the power to prohibit or
restrict the installation of any antenna or other over-the-air receiving device that does not meet
the definition of an Authorized Antenna as set forth above.
06 1756818
-21- 4934-37690\CCRS\ 586567 13
116/06
08/08/06
2.10.3 Review after Installation. The Committee may review the location
and installation of an Authorized Antenna after it is installed After its review, the Committee
may require that the Authorized Antenna be moved to a preferred location (if one has been
designated) for safety reasons or to comply with reasonable restrictions subject to this Section
and applicable law.
2.10.4 Restatement or Applicable Law. This Section is intended to be a

restatement of the authority granted to the Committee under the law. All amendments,
modifications, restatements and interpretations of the law applicable to the installation, use or
maintenance of an antenna or over-the-air receiving device shall be interpreted to amend,
modify, restate or interpret this Section.
2.11 TRASH. Trash shall be disposed of in trash containers designated and

maintained by the Association. Storage of building materials, refuse or any other matenals in the
Community is prohibited. No trash may be kept or permitted in the Community or on any public
street abutting or visible from the Community except in the Association maintained trash
containers located in appropriate areas screened from view.
2.12 OWNER•INSTALLED IMPROVEMENTS.
2.12.1 Outdoors. No Person may install outdoors in sight of the Association

Property or other real properties any clothesJines, patio cover, wiring, air conditioning
equipment, heating units, water softeners, other similar Improvements, or other exterior additions
or alterations to any Condominium. Outdoor patio or lounge furniture and plants may be kept jn
an Exclusive Use Area patio in accordance with the Rules and Regulations. Outdoor display of
the flag of the United States is permitted pursuant to California Civil Code Section 1353.S, as
long as the flag and flag pole are located solely within, on and over the Owner's Exclusive Use
Area patio.
2. 12.2 Indoors. No Owner or other resident of the Community may apply

paint, foil, film, or other reflective material to the glass portion of any window in the Residence.
2.12.3 Structural Modification. Except as otherwise expressly provided in

this Declaration, no Person may modify any Condominium or any Association Property
(including walls, foundation, roof or fire sprinklers) if the modification will impair the structural
integrity or fire safety of the Residence or neighbonng Residence. No Owner may pierce or
otherwise modify any fire wall assembly or other interior common wall separating attached
Condominiums.
2.12.4 Noise Mitigation. No Owner may take any actions that may interfere
with structural noise mitigation Improvements installed in the Condominium by DeclaranL
Owners are further prohibited from (a) puncturing, piercing or otherwise aJtering any walls
shared with another Condominium, if any, (b) installing any sound system, loudspeakers,
entertainment system or other music-, sound- or noise-generating or amplifying device in any
·~ walls or ceding of an attached Condominium, and (c) installing any tile or other hard surface
.... flooring on the upper levels of a Building without the prior written approval of the Design
0 Review Committee. Noise mitigating floor materials in upper floors or wall Improvements in
er,
06 1756878
-22- 4934•37690\CCRS\ S86567 13
7/6/06
08/08/06
walls shared with an adjoining Condominium may have been installed. No Owner shall remove
any noise mitigation Improvements without replacing the same with materials offering the same,
substantially similar or better noise mitigation as the materials that were originally installed.
Before installation, the Owner shall present the Design Review Committee with written
documentation from a licensed engineer, architect or other consultant with qualifications
reasonably acceptable to the Committee that the noise mitigating properties of the proposed
flooring or wall material are the same as, substantially similar to, or better than the materials
originally installed.
2.12.5 No Liability. Neither the Declarant nor the Association shall be liable
or responsible for any damage that results from Improvements installed, constructed or modified
by or at the direction of an Owner. Owners are adVIsed to consult and use qualified consultants
and contractors when installing, constructing or modifying Improvements on the Owner's
Condominium.
2.13 MECHANICS' LIENS. No Owner may cause or permit any mechanic's lien to
be filed against the Association Property or another Owner's Condominium for labor or
materials alleged to have been furnished or delivered to such Owner. Any Owner who permits a
mechanics' lien to be so filed shall cause the lien to be discharged no later than five (5) days
after receipt of written notice to discharge the lien is received from the Board. If the Owner fai]s
to-remove a mechanic's lien after written notice from the Board, the Board may discharge the
lien and levy a Special Assessment against the violating Owners Condominium to recover the
cost of discharge.
2.14 DRAJNAGE. There shall be no interference with or obstruction of the

established surface drainage pattern(s) over any portion of the Community, unless an adequate
alternative provision is made for proper drainage. Any alteration of the established drainage
pattern must at an times comply with all applicable local governmental requirements. For the
purpose hereof, "established" drainage is defined as the drainage which exists at the time of the
first Close of Escrow for the sale of a Condominium by Declarant, or as shown on any plan
approved by the Committee. Established drainage includes drainage within the Community and
to and from property lying outside the Community.
2.15 WATER SUPPLY SYSTEM. No individual water supply, sewage disposal or

water softener system is pennitted on any Condominium unless such system is designed, located,
constructed and equipped in accordance with the requirements, standards and recommendations
of any water district having junsdiction, the City, the Design Review Committee and all other
applicable governmental authorities with jurisdiction.
2.16 VIEW OBSTRUCTIONS. Each Owner acknowledges that (a) there are no
protected views in the Community, and no Condominium is assured the existence or
unobstructed continuation of any particular view, and (b) any construction, landscaping
(including the growth of landscaping) or other installation of Improvements by Declarant or
r;o
other Owners may impair the view from any Condominium, and each Owner hereby consents to
,., such view irnpainnent.
06 1756878
-23- 4934-37690\CCRS\ 586567 13
716/06
08/08/06
2.17 RIGHTS OF DISABLED. Subject to Article 5, each Owner may modify his
Residence and the route over the Association Property leading to the front door of his Residence,
at his sole expense to facilitate access to his Residence by persons who are blind, visually
impaired, deaf or physically disabled, or to alter conditions which could be hazardous to such
persons, in accordance with California Civil Code Section 1360 or any other applicable law.
2.18 TEMPORARY BUILDINGS. No outbuilding, tent, shack, shed or other
temporary building or Improvement may be placed upon any portion of the Community either
temporarily or pennanently, without the prior written consent of the Design Review Committee.
No garage, carport, trailer, camper, motor home, recreation vehicle or other vehicle may be used
as a residence in the Community, either temporarily or pennancntly.
2.19 ASSOCIATION PROPERTY. The Association Property may not be altered

without the Board's prior written consent.
ARTICLE3
DJSCLOSURES
This Article discloses information obtained from third-party sources such as consultants,
government and public records. No Person should rely on the ongoing accuracy or completeness
of the information discussed in this Article because many of the matters discussed below are
outside the control of Declarant and the Association. Accordingly, Declarant does not make any
guarantee as to the accuracy or completeness of the matters disclosed below. Furthermore.
Declarant is under no obligation to update or revise any matter disclosed in this Article. This
Article is intended to provide Owners with information known or provided to Declarant as of the
date this Declaration was Recorded, to be used as a starting point for further independent
investigation.
3.1 NO REPRESENTATIONS OR WARRANTIES. No representations or

warranties, express or implied, have been given by Declarant, the Association or their agents, in
connection with the Community, its physical condition, zoning, compliance with law, fitness for
intended use, or in connection with the subdivision, sale, operation, maintenance, cost of
maintenance, ta,ces or regulation of the Community as a condominium project, except as
expressly provided in this Declaration, as submitted by Declarant to the DRE and as provided by
Declarant to the first Owner of each Condominium. ·
3.2 CONDITION OF IMPROVEMENTS.
3.2. l Generally. The Building and other Improvements in the Community

were originally built in 1922 as a manufacturing facility. This facility was converted by
Declarant's predecessor-in-interest in 2001 into a mixed use project including apartments and
commercial uses pursuant to the then applicable Local Governmental Agency requirements and
the Adaptive Reuse Ordinance. The Community has been operated and maintained as a mixed
use project from that time until 2005 when Declarant began converting the Community into a
mixed use condominium project. Various components of the Improvements in the Community
have been repaired or replaced over the years, and Declarant has made and will continue to make
...
0 certain additional repairs and replacements in connection with the conversion of the Community
0-.
06 1756878
-24- 4934-37690\CCRS\ 586567.13
7/6/06
08/08/06
into a condominium project; however, most of the Improvements are in their originally
constructed condition. Accordingly, the Association and the Owners should expect these
Improvements to operate and to require maintenance in a manner appropriate to their age and
existing condition, and not as new construction.
3.2.2 Renovation Work. Various improvements have been made to the

Units including the installation of sinks and plumbing fixtures in bathrooms and kitchens, toilet
seats, light fixtures in bathrooms, new paint, range/oven, microwave, refrigerator, garbage
disposal. dishwasher and washer/dryer. Declarant makes no representation or warranty that these
improvements are adequate or will perfonn as designed or installed. Declarant has not modified
nor investigated the adequacy of the plumbing or the electrical systems. Owners and the
Association should carefully follow all applicable Maintenance Guidelines and inspection
requirements in the Maintenance Manuals and the Declaration to ensure that these Improvements
are kept in good condition and repair.
3.2.3 Original Interior Improvements. The wood floors and cabinets in

each Unit, and in some Units, the blinds, are not new. Owners should expect these
Improvements to operate and require maintenance in a manner appropriate to their age and
existing condition, not as new.
3.2.4 Original Concrete. The concrete originally used to build the Building
in 1922 remains. This concrete is somewhat porous and tends to absorb water during inclement
weather. Declarant has caused the Building to be repainted with a type of paint that acts as a
sealant as well as recaulking and resealing joints. The sealant paint has special maintenance
requirements with which the Association with which will need to comply as provided in the
Maintenance Guidelines.
3.2.5 Windows. Many of the exterior windows in the Building are the
windows instaJled in J922. The glass in these windows may cause some viewing distortion due
to the age of that glass, and the windows may leak during rainstorms. Owners of these Units
may also hear sounds of traffic and other street noise.
3.2.6 Courtyard and Parking Garage Noise. The activities in the

courtyard and pool areas between the Building and the Parking Garage as well as the vehicular
and pedestrian activities in the Parking Garage and the pedestrian walkway from the Parking
Garage will generate noise and light that can be heard and seen from Units in the Building,
particularly those Units facing these Improvements.
3.3 MIXED USE PROJECT. The Commercial Project includes retail spaces on the
ground floor of the Building (collectively comprising 2 Commercial Condominium Units) and a
10' thick air cube Commercial Common Area located above the Common Area as shown on the
Commercial Condominium Plan. The Commercial Project is not part of the Community but has
a relationship to it as set forth in the Mutual Benefit Agreement. As of the date this Declaration
(_•
is Recorded, the Commercial Project is owned entirely by Declarant and has no association and
(•:I no association property. A commercial owners association may be formed in the future in
C.•
connection with the individual sales of one or more Commercial Condominium Units as more
,.,, particularly described in the Mutual Benefit Agreement.
r·'
(''
-25- 4934-37690\CCRS\ S86S67 13
7/6/06
06 1756878
08/08/06
3.4 URBAN ENVIRONMENT. Living in the Building entails living in very close
proximity to other persons and businessest with attendant limitations on solitude. Walls, floors
and ceilings have been designed to meet applicable building codes. However, Owners will hear
noise from adjacent Units in the Comnnmity, including noise from showers, bathtubs, smks,
toilets or other sources of running water. Also, Owners may hear noise from items such as
vacuum cleanern, stereos or televisions, or from people running, wallcing or exercising. Finally,
Owners can expect to hear noise from adjacent residential and commercial areas. Owners may
also experience light entering the Units from street lights located in close proximity to the
windows and doors of the Units.
3.5 SPECIAL CITY REQUIREMENTS.
3.5.1 Emergency Egress Ladders. The Community is subject to a

Recorded Covenant and Agreement Regarding Maintenance of Building under which the City
requires the floors above the first floor to be equipped with ship ladders attached to the exterior
walls of the Building with tamper resistant bolts. These ladders provide an emergency exit from
the Building. The Association will be required to maintain these ladders in a safe and secure
condition and to inspect them annually. Building residents are prohibited from obstructing
access to the ladders with furniture or any other object that would impede their use in case of
emergency.
3.5.2 Ventless Washer/Dryers. The Community is also subject to a

Recorded Covenant and Agreement Regarding Maintenance of Building under which the City
requires that the Units be equipped with ventless washers and dryers (which heat with steam)
from a City approved manufacturer. These washers and dryers must be maintained in
accordance with the manufacturer's recommendations that are included in the Maintenance
Recommendations. If an Owner replaces a ventless dryer with a standard vented dryer, that
Owner must install, at the Owner's expense, a 4 inch moisture exhaust duct as required by
Section 5043.1 of the City's Municipal Code.
3.6 PARKING GARAGE. Owners, the Commercial Owner. the Commercial

Tenants and the Commercial Pennittees (as defined in the Mutual Benefit Agreement) will be
entitled to park in their respective assigned parking spaces in the Parking Garage. Declarant or
the Association may in the future permit members of the public to use the unassigned parking
spaces in the Parking Garage on a short tenn and/or long term pay parking arrangement.
3.7 REDEVELOPMENT AREA. In 1975, the City adopted a Redevelopment Plan

for the Central Business Redevelopment Project Area (the "Redevelopment Area"). The
Community is m the Redevelopment Area. Its conversion from a manufacturing facility into a
mixed use apartment project was accomplished under the Redevelopment Plan.
3.8 ADAPTIVE REUSE/LIVE WORK. The City has approved the conversion of
the Community into a mixed use project including 161 live/work Units. pursuant to the Adaptive
Reuse Ordinance. Accordingly, the Community may have a variety of artists, artisans and others
who use their Units for business purposes as well as living purposes, consistent with the
restrictions in this Declaration and the requirements of applicable Local Government Agencies.
06 1756878
-26- 4934-37690\CCRS\58656713
7/6/0l,
08/08/06
3.9 ACCESS FACILITIES; SECURITY AND PRIVACY DISCLAIMER. The

pedestrian and vehicular entrances to the Community are controlled. Vehicular access to the
Parking Garage is controlled with a front entry gate for general authorized access and a
secondary gate for residential only authorized access. The Building entrances, Parking Garage
entrances and elevators are referred to collectively as the "Access Facilities."
3.9.1 Attendants. Declarant may. at its sole expense, post attendants in the
Building lobbies and/or Parlcing Garage to assist construction personnel and visiting prospective
purchasers during the renovation and marketing of the Community. As long as Declarant retains
control of the Access Facilities and provides attendants at its sole expense, Declarant may
ehminate or modify the numbers or presence of attendants at any or all of the Access Facilities at
any time without notice. Furthermore, Declarant has the right to discontinue the operation of or
leave open any Access Facilities during the renovation and marketing of the Community. Until
the last Close of Escrow in the Community, one or all of the Access Facilities may be left open
to the general public at various times. Access Facilities and any staffing provided by Declarant
are not intended to provide security or privacy for residents of the Community or for any
resident's personal or real property.
3.9.2 Security. Neither Declarant nor the Association have any obligation to
provide security, privacy or safety for the Community or for residents of the Community, nor do
they make any representations or warranties that any feature of the Community wiJI improve
security, privacy or safety. Neither the Association nor Declarant shall be liable for (a) any
unauthorized or criminal entry by third parties into the Community, including the Parking
Garage or any Unit, (b) any damage or injury to Persons, or (c) any loss of property in and about
the Community, resulting from any unauthorized or criminal acts of third parties, regardless of
any action, inaction, failure, breakdown, malfunction or insufficiency of the security services and
improvements provided by the Association or Declarant.
3.10 ALLEY. There is an aJJey located on the north side of the Building. No parking
is permitted in the alley at any time.
3.11 NEXTEL FACILITIES. Nextel maintains and operates the Nextel Facilities on
the roof of the Building under the tenns of the Nextel Lease. Nextel has the right to access the
Nextel Facilities 24 hours a day, 7 days a week, 365 days a year as long as the Nextel Lease
remains in effect. Concurrently with conveying the Association Property to the Association,
Declarant will assign its rights and obligations under the Nextel Lease to the Association. The
assigned rights include the right to receive the rent Nextel is obligated to pay under the Nextel
Lease.
3.12 LEASING. Declarant expects to sell Condominiums to Owners over a penod of

months. During this sales period, Declarant intends to continue to lease some or all of the unsold
Condominiums. Tenants of these Condommmms will have full use of the amenities in the
Community, including the recreational facilities.
3.13 ELECTRIC POWER LINES. Underground or overhead electric transmission

and distribution lines and transfonners are located in and around the Community. The lines and
.,,::,. transfonners are owned, operated and maintained by Southern California Edison Company.
06 1756878
-27- 4934-37690\CCRS\ 586567 13
7/6/06
08/08/06
Power lines and transformers produce extremely low-frequency electromagnetic fields ("ELF-
EMFj when operating. For some time, there has been speculation in the scientific community
about health risks associated with living near ELF-EMF sources. In 1992, the United States
Congress authorized the Electric and Magnetic Fields Research and Public Information
Dissemination Program ("EMF-RAPID Program,) to perform research on these issues and to
analyze the existing scientific evidence in order to clarify the potential for health risks from
exposure to ELF-EMF. In May of 1999, the National Institute of Environmental Health Sciences
("NIEHSj issued a report to Congress summarizing its review of scientific data from over three
hundred (300) studies on ELF-EMF health risks. The ELF-EMF studies consist of both
epidemiological studies (studies of exposure m human populations) and controlled laboratory
experiments on animal and cell models. While some epidemiological studies suggested some
hnk between certain health effects and exposure to ELF-EMF, the laboratory experiments did not
support such a link. According to the NIEHS report, the scientific evidence shows no clear
pattern of health hazards from ELF-EMF exposure. and the NIEHS report did not find evidence
of any link sufficient to recommend widespread changes in the design or use of electncal
transmission equipment. However, because the evidence does not clearly rule out any effect,
NIEHS advocated continuing inexpensive and safe reductions in exposure to ELF-EMF and
endorsed current utility practices regarding design and siting of new transmission and
distribution lines. Further information on this subject is available from the Regional EMF
Manager, Southern California Edison Company, 1851 West Valencia Drive, Fullerton, California
92833 (for LNVentura: Regional EMF Manager, Southern California Edison, 1721 22nd Street,
Santa Monica, California 90404). Additional info:m1ation on ELF-E.MF and copies of the
NIEHS report are available from the EMF-RAPID website at http://www.niehs.nih.gov/
emfrapid/homc.htm.
3.14 MOLD. Molds are simple, microscopic organisms, present virtually everywhere,
indoors and outdoors. Mold can be any color, but is usualJy green, gray, brown or black. Mold
requires a food source (such as paper, wood, leaves or dirt), a source of moisture and a suitable
temperature (generally 40-100 degrees Fahrenheit) to grow.
Individuals are exposed to molds on a daily basis, and in most instances there are no
harmful effects. However, the buildup of molds in the indoor environment may contribute to
serious health problems for some individuals. Due to a variety of factors, including the fact that
sensitivities to various types of molds and other potential contaminants vary from person to
person, there are currently no state or federal standards concerning acceptable levels of exposure
to mold. Sources of indoor moisture that may lead to mold problems include, but are not limited
to flooding, leaks. seepage, sprinkler spray hitting the residence, overflow from sinks or sewers,
damp basement or crawl space, steam from shower or cooking, humidifiers, wet clothes drying
indoors, watering house plants, and clothes dryers exhausting indoors.
Each Owner should take precautions to prevent the growth of mold in the Residence from
these and other sources. Preventative measures include, but are not limited to the following: (1)
regularly cleaning the Residence; (2) regularly checking for accumulated moisture in comers and
unventilated areas; (3) running fans, dehumidifiers and air conditioners to reduce indoor
humidity; (4) stopping the source of any leak or flooding; (5) removing excess water with mops
or a wet vacuum; (6) moving wet items to a dry, well ventilated area; (7) regularly cleaning and
disinfecting indoor and outdoor surfaces that may contain mold; (8) having major appliances,
-28- 4~~CRS\58656713
0 6 1 756 0 ' 0 7/6/06
08/08/06
such as furnaces, heat pumps, central air conditioners, ventilation systems and furnace-attached
humidifiers inspected, cleaned and serviced regularly by a qualified professional; (9) cleaning
the refrigerator, air conditioner and dehumidifier drip pans and filters regularly and ensuring that
refrigerator and freezer doors seal properly; and (10) avoiding over-watering of landscaping.
It is the Owner's responsibility to monitor that Owner' s Residence on a continual basis

for excessive moisture, water and mold accumulation. For additional infonnation regarding
mold, please refer to the following websites: California Department of Health Services -
http://www.dhs.ca.gov; Centers for Disease Control and Prevention - http://www.cdc.gov/nceb;
U.S. Environmental Protection Agency - http://www.epa.gov; Illinois Department of Public
Health - http://www.1dph.state.il.us; and Washington State Department of Health -
http://www.doh.wa.gov.
3.15 NATURAL HAZARD ZONE DISCLOSURES.
3.15.1 Earthquake Fault Zones. California is subject to a wide range of

earthquake activity. California has many known faults as well as yet undiscovered faults.
Owner must evaluate the potential for future seismic activity that might seriously damage an
Owner's Condominium. A major earthquake, which some have predicted will occur in our
lifetimes, could cause very serious damage to Residences, located even many miles from the
epicenter of the earthquake. A more moderate earthquake occurring on a more minor fault, or on
an undiscovered fault, could also cause substantial damage.
Declarant makes no representations or warranties as to the degree of earthquake risk

within the Community. Please read "The Homeowner's Guide to Earthquake Safety," and
consult with the City, other public agencies, and appropriate experts to evaluate the potential
risk.
3.15.2 Area of Potential Flooding. Declarant has been infonned that the
Community is located within an Area of Potential Flooding (or Dam Inundation Zone) pursuant
to applicable maps. The Office of Emergency Services is required to designate areas within
which personal injury or death would, in its determination, result from the partial or total failure
of any darn. These areas of potential flooding, as defined in the California Emergency Services
Act (California Government Code Section 8984.4, et seq.), are shown on maps released by the
Office of Emergency Services, copies of which are also on file with the City/County. These
maps are updated periodically, and Declarant makes no representations, guarantees or warranties
with respect to any future dam inundation zone detenninations. Please contact the Office of
Emergency Services for further information concerning Areas of Potential Flooding.
3.16 ADDITIONAL PROVISIONS. There may be provisions of various laws,

including the Davis-Stirling Common Interest Development Act codified at Sections 1350, et
seq. of the California Civil Code and the Federal Fair Housing Act codified at Title 42 United
States Code, Section 3601 et seq., which may supplement or override the Governing Documents.
Declarant makes no representations or warranties regarding the future enforceability of any
portion of the Governing Documents .
....
06 1756878
-29- 4934-37690\CCRS\ 586567 13
7/6/06
08/08/06
ARTICLE4
THE ASSOCIATION
4.1 GENERAL DUTIES AND POWERS. The Association has the duties and
powers enumerated and described in the Governing Documents, in addition to the general and
implied powers of a nonprofit mutual benefit corporation, generally to do all things that a
corporation organized under California law may lawfully do which are necessary or proper in
operating for the general welfare of the Owners, subject only to the limits on the exercise of such
powers listed in the Governing Docwnents. Unless otherwise indicated in the Articles, Bylaws,
this Declaration, or the Supplemental Declarations, the powers of the Association may be
exercised by the Board.
4.2 SPECIFIC DUTIES AND POWERS. In addition to its general powers and
duties, the Association has the following specific powers and duties.
4.2.l Association Property. The power and duty to accept, maintain and
manage the Association Property in accordance with the Governing Documents. The
Association may install or remove capital Improvements on the Association Property. The
Association may reconstruct, replace or refinish any Improvement on the Association Property.
4.2.2 Utilities. The power and duty to obtain, for the benefit of the
Community, all water, gas and electric services necessary for the Association Property. The
power and duty to obtain for the benefit of the Commuruty, all commonly metered residential
utilities.
4.2.3 Granting Rights. The power to grant exclusive or nonexclusive

easements, licenses, rights of way or fee interests in the Association Property owned in fee
simple by the Association, to the extent any such grant is reasonably required (a) for
Improvements to serve the Community, (b) for purposes of conformity with the as-built location
of Improvements installed or authorized by Declarant or the Association, (c) in connection with
any lawful lot line adjustment, or (d) for other purposes consistent with the intended use of the
Community. This power includes the right to create and convey easements for one or more
Owners over portions of the Association Property. The Association may de-annex any portion of
the Community from the encumbrance of the Declaration in connection with any lawful lot line
adjustment.
4.2.4 Employ Personnel. The power to employ Persons necessary for the
effective operation and maintenance of the Association Property, including lega~ management
and accounting services.
4.2.5 Insurance. The power and duty to keep insurance for the Association
Property in accordance with this Declaration.
0
O'> 4.2.6 Sewers and Storm Drains. The power and duty to maintain any
private sewer systems, private storm drams, or private drainage facilities in the Association
..... Property in accordance with the Governing Documents.
-30-
06 1756878 4934-37690\CCR.S\ 586567 1J
116/06
08/08/06
4.2.7 Maintenance Guidelines. The power and duty to (a) operate, maintam
and inspect the Association Property and its various components in confonnity with any
Maintenance Guidelines and any maintenanc.e manual, and {b) review any maintenance manual
for necessary or appropriate revisions no less than annually after the Board has prepared the
Budget
4.2.8 Rules and Regulations. The power, but not the duty, to adopt, amend,
repeal and create exceptions to, the Rules and Regulations.
(a) Standards for Enforceability. To be valid and enforceable, a

Rule must satisfy all the following requirements:
( 1) The Rule must be in writing;
(2) The Rule is within the authority of the Board conferred

by law or by this Declaration. the Articles or the Bylaws;
(3) The Rule is not inconsistent with governing law, this

Declaration, the Articles or the Bylaws;
(4) The Rule is adopted, amended or repealed in good faith

and in substantial complianc.e with the requirements of Article 4 of Title 6 of Part 4 of Division 2
of the California Civil Code;
(5) The Rule is reasonable; and
(6) The Rule complies with the requirements of California

Civil Code Section 1357.110.
(b) Areas of Regulation. The Rules and Regulations may cone.em

use of the Community, signs, parking restrictions, minimum standards of property maintenance,
and any other matter under the Association's jurisdiction.
(c) Limits on Regulation. The Rules and Regulations must apply

uniformly to all Owners and must comply with this Declaration and all applicable state and local
laws. The rights of Owners to display in or on their Residences religious, holiday and political
signs, symbols and decorations of the kinds nonnally displayed in residential condominium
neighborhoods shall not be abridged. However, the Association may adopt time, place and
manner restrictions for such displays if they are visible outside the Residence. No modification
to the Rules and Regulations may require an Owner to dispose of personal property that was in
compliance with all rules previously in force; however, this exemption shall apply only during
the period of such Owner's ownership of the Condominium and it shall not apply to:
(1) subsequent Owners who take title to a Condominium after the modification is adopted; or
(2) clarifications to the Rules and Regulations.
....
(d) Procedure for Adoption, Amendment and Repeal. Rules or
procedures concerning (1) the use of Association Property, (2) the use of a Condominiwn,
including any aesthetic standards or Design Guidelines that affect Condominiums, (3) member
-31- 4934-37690\CCRS\ 586567 13

06 1756878 71
~
08/08/06
discipline, including any schedule of monetary penalties for violation of the Governing
Docwnents, (4) any procedure for the imposition of penalties, (5) any standards for delinquent
assessment payment plans, and (6) any procedures adopted by the Association for resolution of
assessment disputes (each, a "Covered Rule'') may only be adopted, amended or repealed in
accordance with the following procedure:
(1) The Board must provide written notice ("Noticei of a

proposed change in a Covered Rule to the members at least thirty (30) days before making the
change, except for an Emergency Rule Change (defined below). The Notice must include the
text of the proposed change and a description of the purpose and effect of the proposed change
(Notice is not required if the Board determines that an immediate change is required to address
an imminent threat to public health or safety, or an imminent risk of substantial economic loss to
the Association);
(2) The decision on a proposed change shall be made at a

Board meeting after consideration of comments made by the members of the Association;
(3) The Board shall deliver Notice of the adopted change to

every member of the Association within fifteen (15) days of adoption. If the change was an
Emergency Rule Change, the notice shall include the text of the Emergency Rule Change, and
the date on which the Emergency Rule Change expires;
(4) If the Board detennines that an immediate Rule change

is required to address an imminent threat to public health or safety, or an imminent risk of
substantial economic loss to the Association, it may make the change on an emergency basis
("Emergency Rule Change") and no Notice will be required. An Emergency Rule Change is
effective for one hundred-twenty (120) days, unless the adopted change provides for a shorter
effective period. Any change that is adopted as an Emergency Rule Change may not be re-
adopted under authority of this subpart;
(5) A Notice required by this Section 4.2.8(d) is subject to

California Civil Code Section 1350.7;
(6) A Rule change made pursuant to this Section 4.2.S(d)

may be reversed as provided in California Civil Code Section 1357.140.
The foregoing procedure does not apply to Rules that do not meet the definition of
Covered Rules above, nor to decisions of the Board regarding maintenance of Association
Property, a decision on a specific matter that is not intended to apply generally, a decision setting
the amount of an Annual Assessment or a Special Assessment, a Rule change that is required by
law if the Board has no discretion as to the substantive effect of the changes, or issuance of a
document that merely repeats existing law or the Governing Documents.
(e) Use of Facilities. The Rules and Regulations may (1) specify a
maximum number of guests which an Owner, tenant or other Person may admit to the
t;'•") Association Property recreational facilities at one time, (2) establish rules for allowing Owners,
.... tenants or other Persons to use Association Property facilities for private functions, or
C•
O"•
06 1756878
-32- 4934-37690\CCRS\ 586567 l 3
7/6/06
08/08/06
(3) establish admission fees, deposit requirements and other fees for the use of any Association
Property facilities.
4.2.9 Borrowings. The power, but not the duty, to borrow money for
purposes authorized by the Articles, Bylaws, Declaration, or any Supplemental Declarations, and
to use the Association Property as security for the borrowing.
4.2.10 Contracts. The power and the duty to enter into the Mutual Benefit
Agreement. The power, but not the duty, to enter into contracts. This includes contracts with
Owners or other Persons to provide services or to maintain Improvements in the Community and
elsewhere which the Association is not otherwise required to provide or maintain by this
Declaration.
4.2.11 Telecommunications Contract. Notwithstanding anything in the

Governing Documents to the contrary, the Board shall have the power to enter into, accept an
assignment of, or otherwise cause the Association to comply with the tenns and provisions of an
exclusive telecommunications services contract ("Telecommunications Contract") with a
telecommunications service provider ("Service Provider"), pursuant to which the Service
Provider shall serve as the exclusive provider of Telecommunications Services to each
Condominium in the Community. The Board shall only enter into, accept an assignment of, or
otherwise cause the Association to comply with the tenns of the Telecommurucations Contract if
the Board detennines that the Telecommunications Contract is in the best interests of the
Association. Although not exhaustive, the Board shall consider the following factors in making
such a detennination:
(a) lnitial Term and Extensions. The initial tenn of the

Telecommunications Contract should not exceed five (5) years, and, if the Telecommunications
Contract provides for automatic extensions, the length of each such extension should also not
exceed five (5) years.
(b) Termination. The Telecommunications Contract should

provide that: (1) at least six (6) months before the end of either the initial or any extended tenn
of the Telecommunications Contract, the entire Membership of the Association may, with the
vote or written approval of at least sixty percent (60%) of all Members other than Declarant,
prevent any automatic extension that the Telecommunications Contract may provide for (with or
without cause), and thereby cause the Telecommunications Contract to expire, and (2) at any
time, the Board may terminate the Telecommunications Contract if, in the sole discretion of the
Board, the Service Provider fails to provide quality, state-of-the-art Telecommunications
Services.
(c) Fees. Whether the monthly fee charged to the Association by

the Service Provider for the provision of the Telecommunications Services to all of the
Condominiums represents a discount from the comparable retail fees charged by the Service
Provider in the general geographic area in wruch the Community is located, and, if so, the
·~
amount of such discount.
06 1756878
.33. 4934-37690\CCRS\ S86S67 13

7/6/fYJ
08/08/06
(d) Installation of Telecommunications Facilitiu. Whether the

Service Provider is solely responsible for the installation, and the cost thereof, of all of the
Telecommunications Facilities necessary to provide Telecommunications Services to each
Condominium.
(e) Removal of Telecommunications Facilities. Whether the

Service Provider has the right to remove the Telecommunications Facilities upon expiration or
termination of the Telecommunications Contract.
4.2.12 Indemnification.
(a) For Assoc/a/ion Representatil'es. To the fullest extent

authorized by law, the Association has the power and duty to indemnify Board members,
Association officers, Design Review Committee members, and all other Association committee
members for all damages, pay all expenses incurred, and satisfy any judgment or fine levied as a
result of any action or threatened action brought because of performance of an act or omission
within what such person reasonably believed to be the scope of the Person's Association duties
("Official Act''). Board members, Association officers, Design Review Committee members,
and all other Association committee members are deemed to be agents of the Association when
they are perfonnmg Official Acts for purposes of obtaming indemnification from the Association
pursuant to this Section. The entitlement to indemnification under this Declaration inures to the
benefit of the estate, executor, administrator and heirs of any person entitled to such
indemnification.
(b) For Other Agents of the Association. To the fullest extent

authorized by law, the Association has the power, but not the duty, to indemnify any other
Person acting as an agent of the Association for damages incurred, pay expenses incurred, and
satisfy any judgment or fine levied as a result of any action or threatened action because of an
Official Act.
(c) Provided by Contract. The Association also has the power, but
not the duty, to contract with any Person to provide indemnification in addition to any
indemnification authorized by law on such terms and subject to such conditions as the
Association may impose.
4.2.13 Vehicle and Parking Restrictions. The power granted in Section 2.8
to identify Authonzed Vehicles or Restricted Vehicles and to modify the vehicle and parking
restrictions in the Governing Documents.
4.2.14 Landscaping. The Board has the power, but not the duty, to grant
Owners revocable licenses that allow Owners to replace and/or add landscaping Improvements to
any portion of the Association Property, subject to the prior written approval of the Board, any
reasonable restrictions or conditions the Board may impose, and the right of the Board to revoke
such license, remove the Improvements and charge the Owner for the cost of such removal.
06 1756878
.34- 4934·37690\CCRS\ 586561 13
7/6/06
08/08/06
----
4.2.15 Prohibited Functions.
(a) Property Manager. The Association shall not hire any

employees, furnish offices or other facilities, or use any Association Property for an "on-site"
Manager. The Association Manager shall at all times be a professional manager employed as an
independent contractor or agent working at its own place of business.
(b) Off-site Nuisances. The Association shall not use any

Association funds or resources to abate any annoyance or nuisance emanating from outside the
physical boundaries of the Community.
(c) Political Activities. The Association shall not conduct, sponsor,

participate in or expend funds or resources toward any activity, campaign or event, including any
social or political campaign, event or activity which does not directly and exclusively pertain to
the authorized activities of the Association. Furthermore, the Association shall not participate in
federal, state OT local activities or activities intended lo influence a governmental action affecting
areas outside the Community (e.g. endorsement or support oflegislative or administrative actions
by a local governmental authority), nor shall it support or campaign for or against candidates for
elected OT appointed office or ballot proposals. There shall be no amendment of tlns Section so
long as Declarant owns any portions of the Commuruty.
4.2. 16 Standing to Resolve Disputes. The Association shall have standing to

institute, defend, settle OT intervene in litigation, alternative dispute resolution or administrative
proceedings (each, an "Action") in its own name as the real party in interest and without joining
the Owners, in matters pertaining to (a) damage to the Association Property, (b) damage to
portions of the Condominiums which the Association is obligated to maintain or repair, and
(c) damage to portions of the Condominiums which arises out of, or is integrally related lo,
damage to the Association Property or portions of the Condominiums that the Association is
obligated to maintain or repair (each, a "Cl4im''). However, the Association shall not have
standing to institute, defend, settle or intervene in any Action in any matter pertaining only to an
individual Condominium and not included in subsections (b) and (c) above.
The Association may, in its sole discretion, elect to institute, intervene in, continue, settle
or dismiss an Action at any time. If the Association institutes or intervenes in an Action on a
Claim, the Association's standing shall be exclusive, and the Owners shall thereafter be barred
from instituting a new Action or maintaining a pending Action on the same Claim. The
Association's election to institute or intervene in an Action on a particular Claim shall not create
any affirmative obligation on the part of the Association to maintain, settle or dismiss the Action,
except in the Association's sole discretion, and subject to Section 12.4. If the Association elects
to settle an Action, the tenns of the settlement shall be binding on the Owners, and the Owners
shall be barred from instituting or continuing any other Action on the same Claim. If the
Association e)ects to dismiss an Action, the dismissal shall be with prejudice to the institution or
o continuation by one or more Owners of any Action on the same Claim.
0-,
...
06 1756878
-35- 4934-37690\CCRS\ 586567 13
7/6/06
08/08/06
4.3 STANDARD OF CARE, NON-LIABILITY.
4.3.1 Scope of Powers and Standard of Care.
(a) General Scope of Powers. Rights and powers conferred on the

Board, the Design Review Committee or other committees or representatives of the Association
by the Governing Documents are not duties, ob]igations or disabilities charged upon those
Persons unless the rights and powers are explicitly identified as including duties or obligations in
the Goverrung Documents or Jaw. Unless a duty to act is imposed on the Board, the Design
Review Committee or other committees or representatives of the Association by the Governing
Documents or law, the Board, the Design Review Committee and the committees have the right
to decide to act or not act. Any decision not to act is not a waiver of the right to act in the future.
(b) Business Affairs. This Section 4.3. l(b) applies to Board

member actions in connection with management, personnel, maintenance and operations,
insurance, contracts and finances, and Design Review Committee member actions. Each Board
member shaJI perfonn the duties of a Board member in good faith, in a manner the Board
member believes to be in the best interests of the Association and with such care, including
reasonable inquiry, as an ordinarily prudent person in a like position would use under similar
circumstances. When performing his duties, a Board member is entitled to rely on information,
opinions, reports or statements, including financial data prepared or presented by:
(1) One (1) or more officers or employees of the

Association whom the Board member believes to be reliable and competent in the matters
presented;
(2) Counsel, independent accountants or other Persons as to

matters which the Board member believes to be within such Person•s professional or expert
competence; or
(3) A committee of the Board upon which the Board

member does not serve, as to matters under its designated authority, which committee the Board
member believes to merit confidence, so long as, in any such case, the Board member acts in
good faith, after reasonable inquiry when the need therefor is indicated by the circumstances and
without knowledge that would cause such re]iance to be unwarranted.
This Section 4.3. l(b) is intended to be a restatement of the business judgment rule
established in applicable law as it applies to the Association. All modifications and
interpretations of the business judgment rule applicable to the Association shall be interpreted to
modify and interpret this Section 4.3. l(b).
(c) Association Governance. This Section 4.3 applies to Board

actions and Design Review Committee decisions in connection with interpretation and
enforcement of the Governing Documents, architectural and landscaping control, regulation of
uses within the Community. rule making and oversight of committees. Actions taken or
decisions made in connection with these matters shall be reasonable, fair and nondiscriminatory.
,, .
0
06 1756878
-36- 4934-37690\CCRS\ 586S67 13
7/6/06
08/08/06
4.3.2 Non-liability.
(a) General Rule. No Person is liable to any other Person {other

than the Association or Declarant or a party claiming in the name of the Association or
Declarant) for injuries or damage resulting from such Person's Official Acts, except to the extent
that such injuries or damage result from the Person's willful or malicious misconduct. No
Person is liable to the Association (or to any party claiming in the name of the Association) for
injuries or damage resulting from such Person's Official Acts, except to the extent that such
injuries or damage result from such Person's negligence or willful or malicious misconduct The
Association is not liable for damage to property in the Community unless caused by the
negligence of the Association, the Board, the Association's officers, the Manager or the
Manager's staff.
(b) Nonllabilily of Volunteer Board Members and Officers. A

volunteer Board member or volunteer Association officer shall not be personally liable to any
Person who suffers injury, includmg bodily injury, emotional distress, wrongful death or
property damage or loss as a result of the tortious act or omission of the volunteer officer or
Board member if alJ applicable conditions specified in California Civil Code Section 1365.7 are
met.
(c) Nonliability of Owners. Pursuant to California Civil Code

Section 1365.9, no Owner shall be liable for any cause of action in tort which can be brought
against the Owner solely because of the Owner's undivided interest in the Common Area so long
as the Association keeps one (1) or more policies of insurance which include coverage for
general liability of the Association in the am0tmt required by California Civil Code
Section 1365.9 and that insurance 1s in effect for the cause of action bemg brought.
4.4 MEMBERSHIP.
4.4.1 Generally. Every Owner shall automatically acquire a Membership in

the Association and retain th~ Membership until such Owner's Condominium ownership ceases,
at which time such Owner's Membership shall automatically cease. Ownership of a
Condominium is the sole qualification for Membership. Memberships are not assignable except
to the Person to whom title to the Condominium is transferred, and every Membership is
appurtenant to and may not be separated from the fee ownership of the Condominium. The
rights, duties, privileges and obligations of all Owners are as provided in the Governing
Documents.
4.4.2 Traosfer. The Membership of any Owner may not be transferred,

pledged or alienated in any way, except on the transfer or encumbrance of such Owner's
Condominium, and then only to the transferee or Mortgagee of the Owner's Condominium. A
prohibited transfer is void and will not be reflected in the records of the Association. Any Owner
who bas sold his Condominium to a contract purchaser under an agreement to purchase may
delegate the Owner's Membership rights to the contract purchaser. The delegation must be in
writing and must be delivered to the Association before the contract purchaser may vote. The
contract seller shall remain liable for all Assessments attributable to the contract seller's
Condominium which accrue before title to the Condominium is transferred. If the contract seller
-37- 4934-37690\CCRS\ 586567 13

7/6/06
- - - - - - - - - - - -;0~- t7S-6878
08/08/06
fails or refuses to delegate his Membership rights to the contract purchaser before the Close of
Escrow, the Association may record the transfer to the contract purchaser in the Association's
records. However, no contract purchaser will be entitled to vote at Association meetings during
the term of a purchase contract without satisfactory evidence of the delegation of the contract
seller's Membership rights to the contract purchaser. The Association may levy a reasonable
transfer fee against a new Owner and such Owner's Condominium (which fee shall be paid
through escrow or added to the Annual Assessment chargeable to such new Owner) to reimburse
the Association for the administrative cost of transferring the Membership to the new Owner on
the Association's records. Such fee may not exceed the Association's actual cost involved in
changing its records.
4.4.3 Classes of Membership. The Association classes of voting

Membership are as follows:
(a) Class A. Class A members are all Owners except Declarant for
so long as a Class B Membership exists. Class A members are entitled to one (1) vote for each
Condominium owned by such Class A members which is subject to Assessment. Declarant shall
become a Class A member on conversion of Declarant's Class B Membership as provided
below. The vote for each Condominium shall be exercised in accordance with Section 4.5.1, but
no more than one {l) Class A vote may be cast for any Condominium.
(b) Class B. The Class B member is Declarant. The Class B

member is entitled to three (3) votes for each Condommium owned by Declarant which is
subject to Assessment. The Class B Membership shall convert to Class A Membership on the
earlier to occur of the following events:
(1) When the total votes outstanding in the Class A

Membership equals the total votes outstanding in the Class B membership; or
(2) The fifth anniversary of the first Close of Escrow in the

Community.
4.5 VOTJNG RIGHTS.
4.5.1 Limits Generally. All voting rights are subject to the Governing
Documents. Except as provided in Sections 4.5.2 and 12.3 of this Declaration and Section 4.2.13
of the Bylaws, as long as there is a Class B Membership, any provision of the Governing
Docwnents which expressly requires the vote or written consent of a specified percentage
(instead of a majority of a quorum) of the Association' s voting power before action may be
undertaken shall require the approval of such specified percentage of the voting power of both
the Class A and the Class B Memberships. Except as provided in Section 12.3 of this
Declaration and Section 4.2.13 of the Bylaws, on tennination of the Class B Membership, any
provision of the Governing Documents which expressly requires the vote or written consent of
Owners representing a specified percentage (instead of a majority of a quorum) of the
Association's voting power before action may be undertaken shall then require the vote or
written consent of Owners representing such specified percentage of both (a) the Association's
-38- 4934-37690\CCRS\ 586567.13

7/6/06
- - - - - - - - - - - - - - - - - - - - - - --tl- -G- 1~-5-6-8-1-Q~ -------------

08/08/06
--
total Class A voting power, and (b) the Association's Class A voting power represented by
Owners other than Declarant.
4.5.2 Vote to Initiate Construction Defect Claim. Beginning on the date of

the first annual meeting of Owners, Declarant relinquishes control over the Association's ability
to decide whether to initiate a construction defect claim under the Right to Repair Law (a
"Defect Claim1'. This means that Declarant, currenl employees and agents ofDeclarant, Board
members who are appointed by Declarant, Board members elected by a majority of votes cast by
Declarant, and all other Persons whose vote or written consent is inconsistent with the mtent of
the preceding sentence, are prohibited from participating and voting in any decision of the
Association or Owners to initiate a Defect Claim.
4.5.3 Joint Ownership. When more than one (1) Person holds an interest in
any Condominium ("co-owners"), each co-owner may attend any Association meeting, but only
one (1) co-owner shall be entitled to exercise the single vote to which the Condominium is
entitled. Co-owners owning the majority interests in a Condominium may designate in writing
one (I) of their number to vote. Fractional votes shall not be allowed and the vote for each
Condominium shall be exercised, if at all, as a unit. Where no voting co-owner is designated or
if the designation is revoked, the vote for the Condommium shall be exercised as the co-owners
owning the majority interests in the Condominium agree. Unless the Association receives a
written objection in advance from a co-owner, it shall be conclusively presumed that the voting
co-owner is acting with his co-owners' consent. No vote may be cast for any Condommiwn if
the co-owners present in person or by proxy owning the majority interests in such Condominium
fail to agree to the vote or other action. The nonvoting co-owner or co-owners are jointly and
severally responsible for all obligations imposed on the jointly-owned Condominium and are
entitled to all other benefits of ownership. All agreements and determinations lawfully made by
the Association in accordance with the voting percentages established in the Governing
Docwnents are binding on all Owners and their successors in interest.
4.6 UNSEGREGATED REAL PROPERTY TAXES. To the extent not assessed to

or paid by the Owners, the Association shall pay all real and personal property taxes and
assessments levied on the Community. If all Condominiums in the Community are taxed under a
tax bill covering all of the Community, then each Owner shall pay the Owner's share of any
installment due under the tax bill to the Association at least ten (10) days before the delinquency
date. The Association shall transmit the taxes to the appropriate tax collection agency on or
before the delinquency date. The Association shall allocate taxes equally among the Owners and
their Condominiums in the Community. The Association shall, at least forty five (45) days
before the delinquency date of any tax installment, deliver to each Owner a copy of the tax bill,
along with a written notice setting forth the Owner's obligation to pay the Owner's share of the
tax installment and the potential additional charges to the Owner for failure to comply. The
Association shall pay the taxes on behalf of any Owner who does not pay the Owner's share.
The Association shall add to the Annual Assessment of a delinquent Owner the amount of any
sum advanced, plus interest at the rate of ten percent (10%) per annum and any amount
necessary to reimburse the Association for any penalty or late charge actually assessed in
':"• · connection with the tax bill for the Community, which late charge results from the failure of the
delinquent Owner to make timely payment of the Owner' s share of the truces. Until Close of
0
er,
-39- 4934-37690-CCRS\ 586567 13

7/6/0f,
- - - - - - - - - - - - - - - - - -8-6- 1-?S-a-a·1~
08/08/06
Escrow for the sale of ninety percent (90%) of the Condominiums m the Community has
occurred, this Section may not be amended without the written consent ofDeclarant.
ARTICLES
DESIGN REVIEW COMMITTEE
5.1 MEMBERS OF COMMITTEE. The Design Review Committee shall be

composed of three (3) members. The initial members of the Design Review Committee shall be
representatives of Declarant until one (1) year after the original issuance of the Public Report for
the Community ("First Anniversary''). After the First Anniversary, the Board may appoint and
remove one (1) member of the Design Review Committee, and Declarant may, but is not
obligated to, appoint and remove a majority of the members of the Design Review Committee
and fill any vacancy of such majority, until the earlier to occur of (a) Close of Escrow for the sale
of ninety percent (9QO/o) of all the Condominiums in the Community, or (b) the fifth (5°')
anniversary of the original issuance of the Public Report for the Community, after which the
Board may appoint and remove all members of the Design Review Committee. Design Review
Committee members appointed by the Board must be Owners, but Design Review Committee
members appointed by Declarant need not be Owners. Members of the Board of Directors may
serve as Design Review Committee members.
5.2 POWERS AND DUTIES.
5.2.1 General Powers and Duties. The Design Review Committee shall
consider and act upon all plans and specifications submitted for its approval, including inspection
of work in progress to assure confonnity with plans approved by the Design Review Committee,
and shall perform such other duties as the Board assigns to it.
5.2.2 Issuance of Standards. The Design Review Committee shall annually

issue and update its Design Guidelines and provide notice of any requirements for Committee
approval of proposed hnprovements. The notice shall describe the types of proposed
hnprovernents that require Committee approval, and it shall include a copy of the procedure used
to review and approve or disapprove such proposed Improvements. The Design Guidelines may
require a fee to accompany each application for approval, and may identify additional factors
which the Design Review Committee will consider in reviewing submissions. The Design
Review Committee may provide that fees it imposes be unifonn, or that fees be determined in
any other reasonable manner. The Design ReVIew Committee may require such detail in plans
and specifications submitted for its review as it deems proper, including landscape plans, floor
plans, site plans, drainage plans, elevation drawings and descriptions or samples of exterior
materials and colors.
5.2.3 Retaining Consultants. The Design Review Committee has the

power, but not the duty, to retain licensed architects, contractors and other professionals to
.._.... advise its members in connection with decisions .
"."l
-::, 5.3 REVIEW OF PLANS AND SPECIF1CATIONS.

co
5.3.1 Improvements Requiring Approval. No Owner may construct,
install or alter any Improvements in a Condominium which affects the structural integrity of the
4934-37690'CCRS\586567 13
7/6/0(,
- - - - " - - - - - - - - - - '0£-1 56878

08/08/06
walls, floors and ceilings of the Condominium or any structural or ornamental component of any
Building without the prior written approval of the Design Review Committee. The Design
Review Committee may review the Improvements' impact on (1) the structural integrity of the
Building, (2) the safety of the Owners and the public, (3) the noise heard beyond the
Condominium in which the Improvement is located, and (4) fire safety {collectively, the "Design
Factors"). The Design Review Committee may review the impact the construction, installation,
or altering of the Improvement has on the Design Factors, as well as the impact the completed
Improvement has on the Design Factors.
5.3.2 Application Procedure. Owners who seek Committee approval shall

submit plans and specifications showing the dimensions, exterior elevation, color, materials used
and location of the proposed Improvements, along with an initial review fee of Fifty Dollars
($50) or other amount set in writing from time to time by the Committee, along with all other
review materials required under this Article (collectively, an ''Applicanonj. Until changed by
the Board, the address for the submission of the Application is the Association's principal office.
The fonn of Application used by the Design Review Committee may include spaces allowing
"Adjacent Owners" to sign or initial the Application confinning that they have been notified of
the application. The Design Review Committee may establish a definition of "Adjacent
Owners" in its Design Guidelines. Applications will be complete and may be approved or
disapproved by the Design Review Committee even if all of the Adjacent Owners do not initial
the Applications so long as the Owner submitting plans and specifications (the ''Applicant')
certifies that the Applicant has asked the Adjacent Owners to sign the Applications. The
requirement that the Applicant attempt to obtain the signatures of Adjacent Owners is intended
only to provide notice of the pending application to the Adjacent Owners. It does not create in
the Adjacent Owners any power to approve or disapprove the Application by signing or
withholding a signature. Only the Committee may approve or disapprove an Application.
The Design Review Committee shall deliver its written approval, disapproval, or request
for additional information or materials to the Applicant at the address listed in the Application no
later than the date that is forty-five (45) calendar days after the date on which the Design Review
Committee has received the complete Application (the "Review Deadline"). If, on the Review
Deadline, the Committee has failed to deliver to the Applicant its written approval, disapproval,
or request for additional information or materials, then the Application shall be deemed
approved, and the Manager or a representative of the Board or Committee shall at the request of
the Applicant execute a written approval therefor within fifteen (1 S) days after receipt of such
request. A decision on a proposed Improvement shall be consistent with California law, made in
good faith and may not be unreasonable, arbitrary or capricious. If disapproved, the written
decision shall include both an explanation of why the proposed Improvement is disapproved and
a description of the procedure for reconsideration by the Board.
5.3.3 Standard for Approval. The Design Review Committee shall

approve an Application only if it determines that (a) installation, construction or alterations of
the Improvements in the locations proposed will not be detrimental to the appearance of the
Community as a whole, (b) the appearance of the proposed Improvements will be in harmony
with the existing Improvements and the overall design theme in the Community, (c) installation,
c:,- construction or alteration of the proposed hnprovements will not detract from the beauty,
,:-. wholesomeness and attractiveness of the Community or the enjoyment of the Community by the
-41 - 4934-37690\CCRS\ 586567 13

716/0f,
- - - - - - - - - - ~0_6_115Ji.8-..7£_ _ _ _ _ __
08/08/06
Owners, (d) maintenance of the proposed Improvements will not become a burden on the
Association, and {e) the proposed Improvements are consistent with the Governing Documents.
The Committee may consider the impact of views from other Condominiwns, reasonable privacy
right claims, passage of light and air, beneficial shading and other aesthetic factors in reviewing,
approving or disapproving any Application. However, neither the Declarant nor the Association
warrants that any views in the Community are protected. No Condominium is guaranteed the
existence or unobstructed continuation of any particular view. In review of an Application, the
Committee shall not make any determination as to non-aesthetic factors such as general safety,
fire protection, noise mitigation or compliance with building codes or applicable industry
building standards.
5.3.4 Condidons of Approval. The Design Review Committee may

condition its approval of an Application for any Improvement on any one (1) or more of the
following: (a) the Applicant's agreement to furnish the Association with security acceptable to
the Association against any mechanic's lien or other encumbrance which may be Recorded
against the Association Property or another Owner's Condominium as a result of such work;
{b) such changes to the Application as the Design Review Committee considers appropriate; or
(c) the Applicant's agreement to complete the proposed work within a stated period of time. The
Committee may also require the Applicant, before commencing work, to deposit with the
Association adequate funds to repair or restore any Common Property that may be damaged by
the Applicant or the Applicant's contractors. The Design Review Committee will determine the
actual amount of the deposit in each case, but the amount shall be at least enough to cover the
cost of repainng or restoring damage that is reasonably foreseeable to the Design Review
Committee. The deposit shall be refundable to the extent the Design Review Committee finds
that the work of Improvement 1s complete, and that the Association Property was not damaged or
was restored at least to the condition it was the work began.
The Design Review Committee has the right to require a reasonable security deposit with
each Application. The security deposit will be applied to the cost of repainng damage to
Association Property as a result of the Application. The amount of the security deposit shall be
specified in the Design Guidelines. The security deposit may be increased or decreased from
time to time at the discretion of the Design Review Committee. The Design Review Committee
may also require submission of additional plans and specifications or other information before
approving or disapproving material submitted. The Applicant shall meet any review or permit
requirements of the City and County before making any construction, installation or alterations
permitted under this Declaration.
5.3.5 Matters Outside Scope of Approval. The Design Review

Committee's approval or disapproval of each Application shall be based solely on the aesthetic
considerations listed in this Article. Approval of any Application does not constitute a finding
by the Design Review Committee that the Application or any portion of the Application {a)
incorporates good engineering practices, (b) complies with applicable law, ordinance, code, or
regulation, including zoning laws, building and safety codes or fire codes, (c) complies with the
C•
requirements of any ut1hty provider, or (d) is permissible under the terms of any easement,
c,:, license, pennit, mortgage, deed of trust, or other recorded or unrecorded instrument (other than
the Governing Documents) that affects the land. Nothing in this Declaration shall be construed
06 1756878
-42- 4934-37690\CCRS\ 586567.13
7/6/06
08/08/06
to require Design Committee approval of any construction, reconstruction, installation. removal

or alteration of an Improvement by Declarant or by the Association.
5.3.6 Exculpation of Committee. By submitting an Application, each

Applicant is deemed to agree that neither the Design Review Committee, nor the members
thereof: nor Declarant, nor their respective agents, employees, attorneys or consultants shall be
liable to any Person for:
(a) Any matter outside the Committee's scope of approval as

discussed in Section 5.3.5 above;
(b) Any defect in any Improvement constructed by or on behalf of

the AppJicant pursuant to an approved Application;
(c) Any loss, damage, or injury to Persons or property an.sing out

of or in any way connected with work performed by or on behalf of the Applicant pursuant to an
approved Application; or
(d) Any loss, damage, or injury to Persons or property arising out

of or in any way connected with the performance of the Design Review Committee's duties
hereunder, unless due to willful misconduct or gross negligence.
5.4 MEETINGS AND ACTIONS OF mE DESIGN REVIEW COMMITTEE.

The Design Review Committee shall meet as necessary to perform its duties. As long as a
majority of the members of the Design Review Committee are Declarant representatives, the
Design Review Committee may, by resolution unanimously adopted in writing, designate an
Owner or a Declarant representative to serve as a Design Review Committee Representative to
take any action or perform any duties for and on behalf of the Design Review Committee except
the granting of variances. The Design Review Committee Representative need not be a current
member of the Design Review Committee. In the absence of such designation, the vote or
written consent of a majority of the Design Review Committee constitutes an act of the Design
Review Committee. All approvals issued by the Design Review Committee must be in writing.
Verbal approvals issued by the Design Review Committee, any individual Design Review
Committee member or any other representative of the Association are not valid, are not binding
on the Association and may not be relied on by any Person. If within six (6) months after
issuance of the approval, an Owner either does not begin work pursuant to approved plans or
obtain an extension of time to begin work, the approval shall be automatically revoked and a new
approval must be obtained before work can be begun.
5.5 NO WAIVER OF FUTURE APPROVALS. The Design Review Committee's

approval of any proposals, plans and specifications or drawings for any work done or proposed
in connection with any matter requiring the Design Review Committee's approval does not
waive the right to withhold approval of any similar proposals, plans. and specifications, drawings
.... or matters subsequently or additionally submitted for approval.
(,)) 5.6 COMPENSATION OF MEMBERS. The Design Review Committee's
r.:• members shall receive no compensation for services rendered, other than reimbursement for
.... ,
expenses incurred by them in performing their duties. 0 6 175 6 87 8
-43- 4934-37690\CCRS\ 58656713
7/6/06
08/08/06
5.7 INSPECTION OF WORK. The Design Review Committee or its duly

authorized representative may inspect any work for which approval of plans is required under
this Article ("Work"). The right to inspect includes the right to require any Owner to take such
action as may be necessary to remedy (includmg removal of) any noncompliance with the
Design Review Committee•approved plans for the Work or with the requirements of this
Declaration ( "Noncompliance'').
5.7.1 Time Limit for Inspections. When the Work is complete, the
Applicant shall immediately provide the Committee with written notice of completion on the
form prescribed by the Committee. The Design Review Committee's right to inspect the Work
and notify the responsible Owner of any Noncompliance shall terminate on the date that is sixty
(60) calendar days after the date on which the Committee has received written notice from the
Applicant on a form provided by the Comnuttee that the Work is complete. If the Design
Review Committee fails to send a written notice of Noncompliance to an Applicant before this
time limit expires, the Work shall be deemed to comply with the approved Application.
5.7.2 Noncompliance. If an Improvement that requires the prior approval of
the Design Review Committee is (a) commenced or completed without prior written approval by
the Committee, or (b) an Improvement is not completed within the time limit established by the
Committee in its approval, or (c) an Improvement is not completed in substantial conformity
with the approved Application, or (d) if no time limit is established by the Committee, the
Applicant fails to complete the Work within one (1) year after the date on which the Application
was approved, then a Noncompliance is deemed to exist, and then the Committee has the right,
but not the obligation, to deliver a written notice of Noncompliance to the violating Owner, and
the Association may, but is not required to, pursue the remedies set forth in this Section.
5.7.3 Remedy for Noncompliance. The Committee shall notify the Board
in wnting when an Owner fails to remedy any Noncompliance within sixty (60) days after the
date of the notice of Noncompliance. After Notice and Hearing, the Board shall determine
whether there is Noncompliance and, if so, the nature thereof and the estimated cost of correcting
or removing the same. If a Noncompliance exists, the Owner shall remedy or remove the same
within a period of not more than forty-five (45) days after the date that notice of the Board ruJing
is given to the Owner. If the Owner does not comply with the Board ruling within that period,
the Association may record a Notice of Noncompliance (if allowed by law), correct the
Noncompliance and charge the Owner for the Association's costs, or commence an action for
damages or injunctive reliet: as appropriate, to remedy the Noncompliance.
5.8 VARIANCES. The Design Review Committee may authorize variances from
compliance with any of the architectural provisions of this Declaration or the Design Guidelines
including restrictions on height, size, floor area or placement of structures, or similar restrictions,
when circumstances such as topography, natural obstructions, hardship, aesthetic or
environmental consideration require. Vanances must be evidenced in writing, must be signed by
a majority of the Board, and become effective on Recordation. After Declarant's right to appoint
O>
a majority of the Design Review Committee's members ends, the Board must approve any
variance recommended by the Design Review Committee before any such variance becomes
occurred concerning the matter for which the variances were gr,nr· r, f,ff~'g
· effective. If variances are granted, no violation of this Declaration shall be deemed to have
a variance
44- 4934-37690\CCRS\586567 13
7/6/06
--
08/08/06
does not waive any of the provisions of this Declaration for any purpose except as to the
particular property and particular provision of this Declaration covered by the variance, nor does
it affect the Owner's obligation to comply with all laws affecting the use of that Owner's
Condominium. The Committee's written variance shall be Recorded against the Applicant's
Condominium in the Official Records. The cost of Recording the variance shall be borne solely
by the Applicant. No variance shall conflict with local ordmances or any specific plan for the
Community without the prior written approval of the City.
5.9 PRE-APPROVALS. The Design Review Committee may authorize pre-

approval of specified types of construction activities if, in the exercise of the Design Review
Committee's judgment, a pre-approval is appropriate to carry out the purposes of the Governing
Documents.
5.10 APPEALS. If a proposed Improvement is disapproved, the applicant is entitled

to reconsideration by the Board of Directors at an open meeting that satisfies the requirements of
California Civil Code Section 1363.05. This paragraph docs not require reconsideration of a
decision that is made by the Board, or the Design Review Committee if the Committee has the
same membership as the Board.
ARTICLE6
PROPERTY EASEMENTS AND RIGHTS
6.1 EASEMENTS.
6.1. J Maintenance and Repair. Declarant reserves for the benefit of the
Association and all Association agents, officers and employees, nonexclusive easements over the
Common Property as necessary to fulfill the obligations and perform the duties of the
Association.
6.1.2 Utility Easements. Declarant reserves easements to install and

maintain utilities over the Common Property for the benefit of the Owners and their
Condominiums. Declarant reserves the right to grant additional easements and rights-of-way
throughout the Community to utility companies and public agencies as it deems necessary for the
proper development and disposal of the Community. Such right of Declarant shall expire on the
Close of Escrow for the sale of the last Condominium in the Community.
6.1.3 Encroachments. Declarant reserves, for its benefit and for the benefit
of all Owners and their Condominiums, a reciprocal easement appurtenant to each Condominium
over the other Condominiums and the Common Property to accommodate (a) any existing
encroachment of any wall or any other Improvement installed by Declarant or approved by the
Design Review Committee, and (b) shifting, movement or natural settling of the Residences or
other Improvements. Use of the easements may not unreasonably interfere with each Owner's
use and enjoyment of the burdened Residences.
6.1.4 Easements for Public Service Use. Declarant reserves easements over
the Community for public services of the local government agencies, including but not limited
C:• to, the right of law enforcement and fire protection personnel to enter upon the Community to
O•
carry out their official duties. O6 17 5 87 86
-45- 4934-37690\CCRS\ 586561.13
116/<Xi
08/08/06
6.1.5 Easements for Water and Ub1ity Purposes. Declarant reserves

easements over the Community for public and private utility purposes, including but not limited
to, the right of any public utility or mutual water district of ingress and egress over the
Community to read and maintain meters, and use and maintain fire hydrants.
6.1.6 Completion of Improvements. Declarant reserves the right and

easement to enter the Community to complete any Improvement which Declarant considers
desirable to implement Declarant's development plan.
6.1.7 Owners' Easements in Association Property. Declarant reserves, for

the benefit of every Owner, and each Owner's Family, tenants and invitees, nonexclusive
easements for pedestrian and vehicular access (all as applicable) over the Association Property in
the Community as reasonably necessary for the use and enjoyment of each Condominium in the
Community. This easement is appurtenant to and passes with title to every Condominium in the
Community. ·
6.1.8 Exclusive Use Areas. Declarant reserves for the benefit of specified
Owners exclusive easements over the Community for use of the Exclusive Use Areas, including
for patios, balconies and parking spaces, as shown and assigned in this Declaration, deed or on
the Condominium Plan for the Community, as applicable. Declarant also reserves, for the
benefit of the Association, the right to enter the Exclusive Use Areas as necessary to perfonn the
obhgations of the Association. The foregoing easements shaJl be assigned by separate deed, and
the easements so conveyed shall be appurtenant to and run with the Owner's Condominium. The
assignments of parking spaces to the Units are set forth on Exhibit D or in certain cases, in the
individual deeds to the purchasers of certain Units. Declarant reserves the right, without
amending the Declaration, to unilaterally amend or replace Exl,ibil D as necessary to correct
errors, or to reflect changes in parking space assignments for Units Declarant owns or as built
conditions by Recording a Supplemental Declaration with the amended exhibit. When
Recorded, the amended exhibit will control.
6. t .9 Commercial Project. Declarant reserves for the benefit of the

Commercial Project, the Commercial Owner, the Commercial Tenants and the Commercial
Pennitees, easements over the Commuruty as more particularly provided in the Mutual Benefit
Agreement
6.1.10 Drainage Easements. Declarant reserves, for the benefit of the

Community, the Owners and the Association, reciprocal nonexclusive easements for drainage of
water over, across and on the Community.
6.1. l l Telecommunications Easement Declarant reserves blanket

easements (collectively, "Telecommunications Easements'i over the Community for access and
for purposes of constructing, installing, locating, altering, operating, maintaining, inspecting,
upgrading, removing and enhancing Telecommunications Facilities (collectively,
"Ttlecommunications Purposes'') for the benefit of Declarant. Such easements are freely
-=· transferable by Declarant to any other Person and their successors and assigns. No one, except
for Declarant and Declarant's transferees, may use the Community for Telecommunications
,, .
,::-,
Purposes. All Telecommunications Facilities shall be owned, leased or licensed by Declarant. as
06 1756878
-46- 4934-37690\CCRS\ 586567 13
7/6/06
08/08/06
detennined by Declarant. in its sole discretion and business judgment. Transfer of the
Community does not imply transfer of any Telecommunications Easements or
Telecommunications Facilities. The holders of the Telecommunications Easements may not
exercise the rights reserved hereunder in any manner which will unreasonably mterfere with the
reasonable use and enjoyment of the Community by any Owner. If the exercise of any
Telecommunications Easement results in damage to the Community, then the easement holder
who caused the damage shall, within a reasonable period of time, repair such damage. -If
Dec}arant has not conveyed the Telecommunications Easements in the Community to another
Person before the last Close of Escrow in the Community, then Declarant grants the
Telecommunications Easements to the Association effective as of the last Close of Escrow in the
Community.
6.1 .12 Easements for Public Service Use. In addition to the foregoing
easements, Declarant hereby reserves easements over the Community for public services of the
Local Governmental Agencies, including, the right of law enforcement and fire protection
personnel to enter upon any part of the Community for the purpose of carrying out their official
duties.
6.1.13 Sales Office. Declarant reserves the exclusive right and easement to
operate any portion of the Association Property for sales purposes as provided in Section 15.2
and 15.3 until such time as Declarant no longer owns any Condominium in the Community.
6.2 DELEGATION OF USE. Any Owner may delegate his right to use the
Association Property in writing to the Owner's tenants, contract purchasers or subtenants who
reside in such Owner's Residence, subject to regulation by the Board. An Owner who has
delegated his rights may not use the recreational facilities on the Association Property so long as
such delegation remains in effecL
6.3 RIGHT OF ENTRY.
6.3. l Association. The Association has the right to enter the Exclusive Use
Areas and the Condominiums to inspect the Community, and may take whatever corrective
action it determines to be necessary or proper. Entry onto any Exclusive Use Areas and
Condominium under this Subsection may be made after at least three (3) days' advance written
notice to the Owner of the Condominium except for emergency situations, which shall not
require notice. Any damage to a Unit or Exclusive Use Area caused by entry under this
Subsection shall be repaired by the Association.
6.3.2 Declarant. The Declarant has the right to enter the Condominiums and
the Association Property (a) to comply with requirements for the recordation of subdivision
maps or lot line adjustments in the Community, (b) for repair of Improvements in accordance
with the provisions of the Right to Repair Law, (c) to accommodate grading or construction
activities, and (d) to comply with requirements of applicable governmental agencies. Declarant
shall provide the applicable Owner reasonable notice before such entry, except for emergency
situations, which shall not require notice. Any damage to the Community that is caused by entry
under this Subsection shall be repaired by the Declarant Unless otherwise specified in the
applicable initial grant deed by which Declarant has transfe 7f
o gg~
06 1 subject
-47- 4934-37690\CCRS\ 586567 13

116/06
08/08/06
Condommrnm or subject Associanon Property, this right of entry shall automatically expire on
the later of the date that is twelve (12) years after (a) the date this Declaration 1s Recorded, or
(b) the date the grant deed is Recorded by which Declarant first conveyed fee title to the subject
real property under authority of a Public Report.
6.3.3 Owners. Each Owner shall pennit other Owners, and their
representatives, to enter that Owner's Exclusive Use Area and Condominium to perfonn
installations, alterations or repairs to the mechanical or electrical services to a Condominium if
(a} requests for entry are made in advance, (b) entry is made at a time reasonably convenient to
the Owner whose Exclusive Use Area or the Condominium is to be entered; and (c) the entered
Exclusive Use Area or the Condominiwn is left in substantially the same condition as existed
immediately preceding such entry. Any damage to the Exclusive Use Area or the Condominium
caused by entry under this Subsection shall be repaired by the entering Owner.
6.4 UTILITY METERS. Each Owner, by acceptance of a deed, acknowledges that

water and sewer services are not separately metered to measure individual Condominium usage,
but are rather metered to the Building. Other utility services are separately metered to the Units.
6.4.1 Allocation of Bills. To calculate the share attributable to each Unit, for
water, sewer and other charges imposed by the utility providers, the Association may enter into a
contract with a metering service company (the "Metering Company,. The Metering Company
will be responsible for reading the meters, allocating the water, sewer and other charges imposed
by the utility provider for each Unit and preparing the individual bills for delivery to each
Owner. Additionally, the Metering Company will impose a service charge for their services.
Each Owner will be responsible for paying directly to the Metering Company such Owner's
share of water, sewer and other charges imposed by the utility provider and the service charge to
the Metering Company. The Metering Company will provide to the Association a statement of
all amounts received from the Owners on a regular basis. If an Owner fails to pay any amounts
when due, such Owner will be responsible for any penalties or delinquent amounts levied by the
utility provider and the Metering Company. Additionally, the Association shall have the right to
cure any failure by an Owner (a "Defaulting Owner'') to pay the amounts due to the utility
provider. If the Association elects to cure such default, then the Defaulting Owner will be
responsible for reimbursing the Association. If the Defaulting Owner fails to reimburse the
Association, the Association will be entitled to impose a Special Assessment as provided under
this Declaration, may enter a Unit to shut off utility service to the Defaulting Owner's Unit or
may pursue any other remedies as provided under this Declaration. Each Owner shall also have
the obligation to maintain any submeter providing service to such Owner's Unit. lf an Owner
with a submeter fails to maintain such submeter, the Association shall be entitled to maintain the
submeter and charge the cost thereof to the Owner as a Special Assessment or pursue any other
remedies as provided under this Declaration. If: in the future, there are no companies which can
provide the submetering service, the Association will be responsible to allocate utility usage
costs for the other charges levied by the utility providers.
0
...... 6.4.2 Deposits. Upon the initial sale of a Unit to an Owner from Declarant
0 under authority of a Public Report and any subsequent sale of a Unit by an Owner, such Owner
c,,
..... shall be obligated to pay to the Association a deposit in an amount equal to one {1) months
0
en average water and sewer bill for a Unit within the Community (as determined by the
06 1756878
-48• 4934-37690\CCRS\ 586567 13
7/6/06
08/08/06
Association) as security for such Owner's obligation to pay such Owner's water and sewer bill
when due. As provided above, the Association may apply such deposit in payment of a
Defaulting Owner's water and sewer bill and such Owner shall replace the full amount of such
deposit promptly upon written notice from the Association. The Association shall, within thirty
(30) days after receiving written notice from an Owner that such Owner has conveyed Owner's
Unit (provided that the subsequent Owner bas paid a replacement security deposit in the amount
detennined appropriate by the Association) return to the Owner any amounts not expended by
the Association from such Owner's deposit. The Association may increase the amount of such
security deposits and require the deposit of additional amounts by the Owners, based on
increases in such water and sewer bills.
ARTICLE7
ASSOCIATION MAINTENANCE FUNDS AND ASSESSMENTS
7.1 PERSONAL OBLIGATION TO PAY ASSESSMENTS. Each Owner shall

pay to the Association all Assessments established and collected pursuant to this Declaration.
The Association shall not levy or collect any Assessment that exceeds the amount necessary for
the purpose for which it is levied. All Assessments, together with late payment penalties,
interest, costs, and reasonable attorney fees for the collection thereof, are a charge and a
continuing Jien on the Condominium against which such Assessment is made. Each Assessment,
together with late payment penalties, interest, costs and reasonable attorney fees. is also the
personal obligation of the Person who was the Owner of the Condominium when the Assessment
accrued. The personal obligation for delinquent Assessments may not pass to any new Owner
("Purchaser") unless expressly assumed by the Purchaser or unless the Purchaser has actual or
constructive knowledge of such delinquent Assessments, whether by virtue of the Recordation of
a Notice of Delinquent Assessment or receipt from the Association of a certificate pursuant to
California Civil Code Section 1368(a)(4).
7.2 ASSOCIATION MAINTENANCE FUNDS. The Association shall establish no

fewer than two (2) separate Association Maintenance Fund accounts into which shall be
deposited all money paid to the Association and from which disbursements shall be made, as
provided in this Declaration. The Association Maintenance Funds may be established as trust
accounts at a banking or savings institution and shall include: (a) an Operating Fund for current
Common Expenses, (b) an adequate Reserve Fund for the portion of Common Expenses
allocated to (1) reserves for Improvements which the Board does not expect to repair or replace
on an annual or more frequent basis, and (2) payment of deductibles under the Association's
insurance policies; and (c) any other funds which the Association may elect to establish.
7.3 PURPOSE OF ASSESSMENTS. The Assessments shall be used exclusively to

(a) promote the Owners' recreation and welfare, (b) operate, improve and maintain the Common
Property, and (c) discharge any other Association obligations under this Declaration. All
amounts deposited into the Association Maintenance Funds must be used solely for the common
.,.,
0 benefit of all Owners for purposes authorized by this Declaration. Disbursements from the
Operating Fund generally shall be made by the Association to discharge Association
responsibilities which cannot be discharged by disbursements from the Reserve Fund. However,
.. if the Board determines that the Operating Fund contains excess funds. the Board may transfer
the excess funds to any other Association Maintenance Fund. Disbursements from the Reserve
06 1756878
-49- 4934-37690\CCRS\ 586567 13
7/6/06
08/08/06
Fund shall be made by the Association only for the purposes specified in this Article and in
California Civil Code Section 1365.S(c).
7.4 WAIVER OF USE. No Owner may exempt himself from personal liability for
Assessments duly levied by the Association, nor release such Owner's Condominium from the
liens and charges thereof. by waiving use and enjoyment of the Common Property or by
abandoning such Owner's Condominium.
7.5 LIMITS ON ANNUAL ASSESSMENT INCREASES. The following shall

apply to the general component of Annual Assessments:
7.5.1 Maximum Authorized Annual Assessment For Initial Year of

Operations. During the Fiscal Year in which Annual Assessments commence, the Board may
levy an Annual Assessment per Condominium in an amount which exceeds one hundred twenty
percent (120%) of the amount of Annual Assessments disclosed for the Community in the most
current Budget filed with and approved by the DRE only if the Board first obtains the approval
of Owners casting a majority of votes at a meeting or election of the Association in which more
than fifty percent (50%) of the Condominiums are represented ("Increase Election"). This
Section does not limit Annual Assessment increases necessary for addressing an ·'Emergency
Situation" as defined in Section 7.5.4.
7.5.2 Maximum Authorized Annual Assessment For Subsequent Fiscal

Years. During the Fiscal Years following the Fiscal Year in which Annual Assessments
commence, the Board may levy Annual Assessments which exceed the Annual Assessments for
the immediately preceding Fiscal Year only as follows:
(a) If the increase in Annual Assessments is less than or equal to

twenty percent (200/o) of the Annual Assessments for the immediately preceding Fiscal Year,
then the Board must either (1) have distributed the Budget for the current Fiscal Year in
accordance with California Civil Code Section 1365(a), or (2) obtain the approval of Owners
casting a majority of votes in an Increase Election; or
(b) If the increase in Annual Assessments is greater than twenty

percent (20%) of the Annual Assessments for the immediately preceding Fiscal Year, then the
Board must obtain the approval of Owners casting a majority of votes in an Increase Election.
This Section does not limit Annual Assessment increases necessary for addressing an
"Emergency Situation" as defined in Section 7.5.4.
7.5.3 Supplemental Annual Assessments. If the Board determines that the

Association's essential functions may be properly funded by an Annual Assessment in an
amount less than the maximum authorized Annual Assessment described above, it may levy such
lesser Annual Assessment. If the Board detennines that the estimate of total charges for the
c.,
current year is or will become inadequate to meet all Common Expenses, it shall immediately
detennine the approximate amount of the inadequacy. Subject to the limits described in
0
Ct> Sections 7.5.1, 7.5.2 and 7.5.4, the Board may levy a supplemental Annual Assessment reflecting
a revision of the total charges to be assessed against each Condominium.
06 1756878
-50- 49J4.37690\CCRS\ 586567 I J
7/6/06
08/08/06
7.5.4 Emergency Situations. For purposes of Sections 7.5.1, 7.5.2 and 7.7,
an "Emergency Situation" is any one of the following:
(a) An extraordinary expense required by an order of a court;
(b) An extraordinary expense necessary to maintain the portion of

the Community for which the Association is responsible where a threat to personal safety on the
Community is discovered; and
{c) An extraordinary expense necessary to maintain the portion of

the Community for which the Association is responsible that could not have been reasonably
foreseen by the Board when preparing the Budget. Before imposing or collecting an Assessment
pursuant to this subsection (c), the Board shalJ adopt a resolution containing wntten findings
regarding the necessity of the extraordinary expense involved and why the expense was not or
could not have been reasonably foreseen in the budgeting process. The resolution shall be
distributed to the Owners with the notice of the assessment.
7.6 ANNUAL ASSESSMENTS.
7.6.1 Commencement of Annual Assessments. Annual Assessments shall

commence on all Condominiwns in the Community on the first day of the first calendar month
after the first Close of Escrow in the Community. Annual Assessments for fractions of a month
shall be prorated. Declarant shall pay its full pro rata share of the Annual Assessments on all
unsold Condominiums for which Annual Assessments have commenced. The Board shall fix the
arnowlt of the Annual Assessment against each Condominium at least thirty (30) days m advance
of each Annual Assessment period. However, unless otherwise established by the Board, the
initial Annual Assessments shall be assessed in accordance with the most recent Budget on file
with and approved by the DRE. Written notice of any change in the amount of any Annual
Assessment, Capital Improvement Assessment or Reconstruction Assessment shall be sent by
first-class mail to every Owner subject thereto not less than thirty (30) nor more than sixty (60)
days before the increased Assessment becomes due.
7.6.2 Apportionment of Annual Assessments. All Annual Assessments

shall be assessed uniformly and equally agamst the Owners and their Condominiwns based on
the number of Condominiums owned by each Owner except that portion of Annual Assessments
attributable to those Common Expenses descnoed on Exhibit E shall be variably assessed
against the Owners and their Condominiums in proportion to the base interior square footage of
Condominium Unit types, also described on Exhibit E. The Board may detennine that funds in
the Operating Fund at the end of the Fiscal Year be retained and used to reduce the following
Fiscal Year's Annual Assessments. On dissolution of the Association incident to the
abandonment or termination of the Community as a condominium project, any amounts
remaining in any of the Association Maintenance Funds shall be distributed to or for the benefit
of.the Owners in the same proportions as such money was collected from the Owners.
7.6.3 Payment of Annual Assessments. Each Owner shall pay Annual

Assessments in installments at such frequency, in such amounts and by such methods as are
established by the Board. If the Association incurs additional expoies fiif'5~ '715Y°1ent
-51- 4934-37690\CCRS\ 586367 13
7/6/06
08/08/06
method selected by an Owner, the Association shall charge the additional expenses to the Owner.
Each installment of Annual Assessments may be paid to the Association in one (1) check or in
separate checks as payments attributable to specified Association Maintenance Funds. If any
payment of an Annual Assessment installment (a) is less than the amount assessed and (b) does
not specify the Association Maintenance FWtd or Funds into which it should be deposited, then
the amount received shall be credited in order of priority first to the Operating Fund, until that
portion of the Annual Assessment has been satisfied, and second to the Reserve Fund.
7.7 CAPITAL IMPROVEMENT ASSESSMENTS. The Board may levy, in any

Fiscal Year, a Capital Improvement Assessment or Reconstruction Assessment to defray, in
whole or in part, the cost of any construction, repair or replacement of a capital Improvement or
such other addition to the Association Property. No Capital Improvement ~ e n t s in any
Fiscal Year which, if added to the Capital hnprovement Assessments already levied during such
Fiscal Year, exceed five percent (5%) of the Association's Budgeted gross expenses for such
Fiscal Year, may be levied without the vote or written consent of Owners casting a majority of
votes at an Increase Election. The Board may levy, in any Fiscal Year, a Capital Improvement
Assessment applicable to that Fiscal Year which exceeds five percent (5%) of the Association's
Budgeted gross expenses for such Fiscal Year if such increase is necessary for addressing an
Emergency Situation as defined in Section 7.5.4.
ARTICLES
INSURANCE
8.1 DUTY TO OBTAIN INSURANCE; TYPES. The Association shall obtain and
keep in effect at all hmes the following insurance coverages:
8.1 .1 Public Liability. Adequate public liability insurance (including

coverage for medical payments), with limits acceptable to Fannie Mae and as required by
California Civil Code Section 1365.9, insuring against liability for bodily injury, death and
property damage arising from the activities of the Association and the Owners on the Association
Property. The limits of such insurance shall not be less than Five Million Dollars ($5,000,000).
8.1.2 Fire and Casualty Insurance. Fire and casuaJty insurance with
extended coverage, speciaJ form, without deduction for depreciation, in an amount as near as
possible to the full replacement value of all insurable Improvements on the Association Property
and those portions of the Units consisting of all fixtures, installations or additions comprising a
part of the Building housing the Units and aJI built-in or set-in appliances, cabinets and initial
basic floor coverings in the amount designated by Declarant as the original replacement cost
thereof based on the standard package of appliances, cabinets, and floor covenngs offered to all
Owners before the Close of Escrow. The casualty insurance shall not include earthquake
coverage unless the Board is directed to obtain earthquake coverage by a majority of the
Association's voting power.
8.1.3 Fidelity Insurance. Fidelity insurance coverage for any Person

handling funds of the Association, whether or not such persons are compensated for their
services, in an amount not less than the estimated maximum of funds, including reserve funds, in
the custody of the Person during the term of the insurance. The a ~ e 8J:9/156f8,s1elity
-52- 4934-37690\CCRS\ 586567 13
7/6/06
08/08/06
insurance coverage may not be less than the sum equal to one-fourth (1/4) of the Annual
Assessments on all Condominiums in the Community, plus resetve funds.
8.1.4 Insurance Required by Fannie Mae, Ginnie Mae and Freddie Mac.
Casualty, flood, liability and fidelity insurance meeting the insurance requirements for
condominium projects established by Fannie Mae, Ginrue Mac and Freddie Mac, as long as any
of these entities is a Mortgagee or Owner of a Condominium in the Community, except to the
extent such coverage is not reasonably available or has been waived in writing by the entity
requiring the insurance coverage.
8.1.5 Other Insurance. Such other insurance insuring other risks

customarily insured by associations managing condominium projects similar in construction,
location and use. Such additional insurance may include general liability insurance and
director's and officer's errors and omissions insurance in the minimum amounts established in
California Civil Code Section 1365.9.
8.1.6 Beneficiaries. The Association's insurance shall be kept for the benefit
of the Association, the Owners and the Mortgagees, as their interests may appear as named
insureds, subject, however, to loss payment requirements established in this Declaration.
8.2 WAIVER OF CLAIM AGAINST ASSOCIATION. All policies of insurance

kept by or for the benefit of the Association and the Owners must provide that the Association
and the Owners waive and release all claims against one another, the Board and Declarant, to the
extent of the insurance proceeds available, whether or not the insurable damage or injury is
caused by the negligence or breach of any agreement by any of the Persons.
8.3 RIGHT AND DUTY OF OWNERS TO INSURE. Each Owner is responsible

for insuring his personal property and all other property and Improvements in the Owner's
Condominium for which the Association bas not purchased · insurance in accordance with
Section 8.1. Nothing in this Declaration precludes any Owner from carrying any public liability
insurance he considers desirable; however, Owners' policies may not adversely affect or
diminish any coverage under any of the Association's insurance policies. Duplicate copies of
Owners' insurance policies shall be deposited with the Association on request. If any loss
intended to be covered by the Association's insurance occurs and the proceeds payable are
reduced due to insurance carried by any Owner, such Owner shall assign the proceeds of the
Owner's insurance to the Association, to the extent of such reduction, for application to the same
purposes as the reduced proceeds are to be applied.
8.4 NOTICE OF EXPIRATION REQUIREMENTS. If available, each of the

Association's insurance policies must contain a provision that the policy may not be canceled,
terminated, materially modified or allowed to expire by its tenns, without at least ten (10) days'
prior written notice to the Board and Declarant, and to each Owner and Mortgagee, insurer and
guarantor of a First Mortgage who has filed a written request with the carrier for such notice and
every other Person in interest who requests such notice of the insurer. In addition, fidelity
insurance shall provide that it may not be canceled or substantially modified without at least ten
(l 0) days' prior written notice to any insurance trustee named pursuant to Section 8.5 and to each
,:.,
,,.., Fannie Mae servicer who bas filed a written request with the earner for such notice.
06 1756878
-53- 4934-37690\CCRS\ 586567 13
7/6/06
08/08/06
8.5 TRUSTEE FOR POLICIES. The Association is trustee of the interests of all
named insureds under the Association's insurance policies. Unless an insurance policy provides
for a different procedure for filing claims, all claims must be sent to the insurance carrier or
agent by certified mail and be clearly identified as a claim. The Association shall keep a record
of all claims made. All insurance proceeds under any Association insurance policies must be
paid to the Board as trustees. The Board has the authority to negotiate loss settlements with
insurance carriers, with participation, to the extent the Board desires, of First Mortgagees who
have filed wntten requests within ten (10) days of receipt of notice of any damage or destruction
as provided in Section 9 .4. The Board is authori'l.ed to make a settlement with any insurer for
less than full coverage for any damage, so long as the Board acts in accordance with the standard
of care established in this Declaration. Any two (2) officers of the Association may sign a loss
claim form and release fonn in connection with the settlement of a loss claim, and such
signatures are binding on all the named insureds. A representative chosen by the Board may be
named as an insured, including a trustee with whom the Association may enter into an insurance
trust agreement and any successor to such trustee, who shall have exclusive authority to
negotiate losses under any insurance policy and to perform such other functions necessary to
accomphsh this purpose.
8.6 ACTIONS AS TRUSTEE. Except as otherwise specifically provided in this

Declaration, the Board has the exclusive right to bind the Association and the Owners to all
matters affecting insurance carried by the Association, the settlement of a loss c]aim, and the
surrender, cancellation and modification of all such insurance. Duplicate originals or certificates
of all policies of fire and casualty insurance kept by the Association and of all renewals thereof:
together with proof of payment of premiums, shall be delivered by the Association to all Owners
and Mortgagees who requested them in writing.
8.7 ANNUAL INSURANCE REVIEW. The Board shall review the Association's
insurance policies at least annua1ly to determine the amount of the casualty and fire insurance
referred to in Section 8.1. If economically feasible, the Board shall obtain a current appraisal of
the full replacement value of the Improvements in the Association Property except foundations
and footings, without deduction for depreciation, from a qualified independent insurance
appraiser, before each such annual review.
8.8 REQUIRED WAIVER. All of the Association's insurance policies insuring

against physical damage must provide, if reasonably possible, for waiver of:
8.8.1 Subrogation of claims against the Owners and tenants of the Owners;
8.8.2 Any defense based on coinsurance;
8.8.3 Any right of setoff. counterclaim, apportionment, proration or

contribution due to other insurance not carried by the Association;
8.8.4 Any invalidity, other adverse effect or defense due to any breach of
warranty or condition caused by the Association, any Owner or any tenant of any Owner, or
arising from any act or omission of any named insured or the respective am:ntsb co~tors and
employees of any insured; 0 6 1 r/ 5 O 8 7 ts
-54- 4934-37690\CCRS\586567 13
7/6/06
08/08/06
8.8.5 Any right of the insurer to repair, rebuild or replace, and, if the
Improvement 1s not repaired, rebuilt or replaced following loss, any right to pay under the
insurance an amount less than the replacement value of the Improvements insured;
8.8.6 Notice of the assignment of any Owner of his interest in the insurance
by virtue ofa conveyance of any Condominium;
8.8. 7 Any right to require any assignment of any Mortgage to the insurer;
8.8.8 Any denial of an Owner's claim because of negligence or willful acts

by the Association or other Owners; and
8.8.9 Prejudice of the insurance by any acts or omissions of Owners that are
not under the Association's control.
ARTICLE9
DESTRUCTION OF IMPROVEMENTS
9.1 RESTORATION OF THE COMMUNITY. Except as otherwise authorized by

the Owners, if any portion of the Community which the Association is responsible for
maintaining is destroyed, the Association shall restore the same to its former condition as
promptly as practical and in accordance with applicable law and City approvals, including plan
checks, pennits and fee payments. The Association shall use the proceeds of its insurance for
reconstruction or repair of the Community unless otherwise authorized in this Declaration or by
the Owners. The Board shall commence such reconstruction promptly. The Community shall be
reconstructed or rebuilt substantially in accordance with the onginal construction plans if they
are available, unless changes recommended by the Design Review Committee have been
approved by at least a majority of the Owners. If the insurance proceeds amount to at least
ninety percent (90%) of the estimated cost of restoration and repair, the Board shall levy a
Reconstruction Assessment to provide the additional funds necessary for such reconstruction. If
the insurance proceeds amount to less than ninety percent (90%) of the estimated cost of
restoration and repair, the Board may levy a Reconstruction Assessment and proceed with the
restoration and repair only if both of the following conditions ("Conditions To Reconstruction")
have been satisfied: (a) the levy of a Reconstruction Assessment to pay the costs of restoration
and repair of the Community is approved by the Owners, and (b) within one {l) year after the
date on which the destruction occurred, the Board Records a certificate of the resolution
authorizing the restoration and repair ("Reconstruction Certificatej. If either of the Conditions
to Reconstruction does not occur after a destruction for which insurance proceeds available for
restoration and repair are less than ninety percent (90%) of the estimated cost of restoration and
repair, then the Board shall proceed as provided in Section 9.2.
9.2 SALE OF COMMUNITY AND RIGHT TO PARTITION. No Owner shall

have the right to partition of the Owner's interest in the Condominium and there shall be no
judicial partition of the Community, or any part thereof, except as provided in California Civil
Code Section 1359(b). For purposes of Subsection 4 of Section J359(b), partition may occur
only if all of the following conditions are satisfied: (a) either or both of the Conditions to
Reconstruction described in Section 9.1 have failed to occur; (b) within six (6) months after the
-55- 4934-37690\CCRS\586567 13
716106
------'-----------
0-'--
6 -=1~7 -=----
5 ~87 _____ _ __
08/08/06
date on which destruction occurred, restoration or repair has not actually commenced; and (c) the
Owners of at least sixty seven percent (67%) of the Condominiums in the Community approve
the partition. In such event, the Association shall prepare, execute and Record, as promptly as
practical, the certificate stating that a majority of the Board may properly exercise an irrevocable
power of attorney to sell the Community for the benefit of the Owners and execute such other
documents and instruments as may be necessary for the Association to consummate the sale of
the Community at the highest and best price obtainable, either in its damaged condition, or after
damaged structures have been razed. Such certificate shall be conclusive evidence of such
authority for any Person relying thereon in good faith. The net proceeds of such sale and the
proceeds of any insurance carried by the Association shall be divided proportionately among the
Owners, such proportions to be determined in accordance with the relative appraised fair market
valuation of the Condominiums as of a date immediately before such destruction (or
condemnation), expressed as percentages, and computed by dividing such appraised valuation of
each Condominium by the total of such appraised valuations of all Condominiums in the
Community. The Board is authorized to hire one (1) or more appraisers for such purpose and the
cost of such appraisals shall be a Common Expense of the Association. However, the balance
then due on any valid Mortgage of Record shall be first paid in order of priority before the
distribution of any proceeds to an Owner whose Condominium is so encumbered. Nothing in
this Declaration prevents partition of a cotenancy in any Condominium. Except as provided
above, each Owner and the successors of each Owner, whether by deed, gift, devise, or by
operation of law, for their own benefit and for the Condominiums and for the benefit of all other
Owners, specifically waive and abandon all rights, interests and causes of action for a judicial
partition of the tenancy in common ownership of the Community and do further covenant that no
action for such judicial partition shall be instituted, prosecuted or reduced to judgment
9 .3 INTERIOR DAMAGE. Except for any casualty or damage covered by

insurance kept by the Association, restoration and repair of any damage to the interior of any
individual Residence, including all fixtures, cabinets and improvements therein, together with
restoration and repair of all interior paint, wall coverings and floor coverings, must be made by
and at the individual expense of the Owner of the Residence so damaged. If a determination to
rebuild the Community after partial or total destruction 1s made, as provided in this Article, such
interior repair and restoration shall be completed as promptly as practical and in a lawful and
workmanJike manner, in accordance with plans approved by the Design Review Comnuttee as
provided in this Declaration.
9.4 NOTICE TO OWNERS AND FIRST MORTGAGEES. The Board,

immediately on having knowledge of any damage or destruction affecting a material portion of
the Association Property owned in fee simple by the Association, shall promptly notify all
Owners and First Mortgagees who have filed a written request for such notice with the Board.
ARTICLE 10
EMINENT DOMAIN
,-,
The term "taking" as used in this Article means inverse condemnation by exercise of the
power of eminent domain or by sale under threat of the exercise of the power of eminent domain.
The Board shall represent the Owners in any proceedings, negotiations, settlements, or
agreements regarding takings. All takings proceeds sha11 be payable to the Association for the
-56- 0 6 17 5 6 87 8 49}4-37690\CCRS\586~~
08/08/06
benefit of the Owners and their Mortgagees, and shall be distributed to such Owners and
Mortgagees as provided in this Article.
10.1 PROPERTY CONDEMNATION. If (a) there is a taking of an interest in all or

part of the Community such that the ownership, operation and use of the Community in
accordance with this Declaration is substantially and adversely affected, and (b) within one
hundred twenty (120) days after the effective date of the taking the Owners of Units (1) not
taken, or (2) only partially taken but capable of being restored to at least ninety five percent
(95%) of their floor area and to substantially their condition before the taking (collectively, the
"Remaining Units") do not by affinnative vote of at least one third (1/3) of their voting power
approve the continuation of the Community and the repair, restoration and replacement to the
extent feasible of the Association Property and the Remaining Units, then the Board shall
proceed with the sale of that portion of the Commurnty which was not taken and distribute the
net proceeds of such sale after deducting any incidental fees and expenses, in the same
proportion and manner as provided in Section 9.2.
10.2 CONDEMNATION OF COMMON PROPERTY. If there is a taking of

(a) the Common Area or any interest therein (other than the taking of an undivided interest
therein taken as a result of the taking of a Condominium), or (b) the Associahon Property (other
than Exclusive Use Area) or any interest therein, then the award in condemnation shall be paid to
the Association and shall be deposited in the Operating Fund.
10.3 CONDEMNATION OF EXCLUSIVE USE AREA. If there is a taking of all or

any portion of an Exclusive Use Area, the award in condemnation shaJl be paid to the Owner of
the Condominiwn to which the taken Exclusive Use Area was appurtenant; however, such award
shall first be applied to the balance then due on any Mortgages encumbering such Owner's
Condominium, in order of priority.
10.4 CONDEMNATION OF CONDOMINIUMS. If there is a taking of a

Condominiwn, the award in condemnation shall be paid to the Owner of the Condominium;
however, such award shall first be applied to the balance then due on any Mortgages
encumbering such Owner's Condominium, in order of priority.
10.5 CONDEMNATION OF PORTIONS OF UNITS.
10.5.1 Minor Takings Within Limits. If (a) there is a taking of a portion of

one or more Units such that the intended use of the Units as residential dwellings is not
substantially and adversely affected, and (b) restoration of such Units can be accomplished at a
cost less than or equal to the sum of (I) the amount of the condemnation awards for such takings
plus (2) any amounts the Owners of the taken Units wish to contribute to restoration plus (3) an
amount less than or equal to five percent (5%) of the Budgeted gross expenses of the Association
for that Fiscal Year (collectively, the "Allowable Cost•i, then the Board shall contract for such
C. ' restoration and levy a Reconstruction Assessment in an amount equal to the Allowable Cost
C,-J
minus the amount of the condemnation awards and Owners• contributions, and the condemnation
awards, Owners' contributions and Reconstruction Assessment shall be applied to such
restoration. If the restoration is accomplished at a cost less than the amount of the condemnation
awards, then that portion of the condemnation awards which exceeds the restoration costs shall
-57- ~34-37690\CCRS\ 586.567 13

0 6 175 6 87 0 716106
08/08/06
be paid to the Owners of the partially taken Units in proportion to the decreases in the fair market
values of their Condominiums; however, such awards shall first be applied to the balance then
due on any Mortgages encumbering such Owners' Condominiums, in order of priority.
10.5.2 Minor Takings Exceeding Limits. If (a) there is a taking of a portion

of one or more Units such that the intended use of the Units as residential dwellings is not
substantially and adversely affected, and (b) restoration cannot be accomplished at a cost less
than or equal to the Allowable Cost, then the Board shall call a Special Meeting of the Owners.
If more than fifty percent (50%) of the voting power of the Association is represented at such
Special Meeting, either in person or by proxy, and a majority of the votes east at such Special
Meeting are in favor of levying a Reconstruction Assessment in an amount equal to the
restoration costs minus the sum of the amount of the condemnation awards and the amounts the
Owners of the taken Units wish to contnbute to such restoration. then the Board shall contract
for such restoration and levy a Reconstruction Assessment, and the condemnation awards,
Owners' contributions and Reconstruction Assessment shall be applied to such restoration.
10.5.3 Major Takings. If neither Section 10.5.l nor Section 10.5.2 applies to
the ta1cing of a Unit, then the award in condemnation shall be paid to the Owners of the taken
Units; however, such award shall first be applied to the balance then due on any Mortgages
encumbering such Owner's Condominium, in order of priority. The Board shall have the
remaining portions of the taken Units razed. The remaining portions of the taken Units and
appurtenant Exclusive Use Areas shall become part of the Association Property, and the Owners
of such taken Units in the Community, by acceptance of the award allotted to them in taking
proceedings, relinquish (a) to the other Owners in the Community, on the basis of their relative
ownership of the Common Area therein, such Owners' undivided interest in the Common Area,
and (b) to the Association, the remaining portions of the Units and the appunenant Exclusive Use
Areas. Each Owner relinquishing the Owner' s interest in the Common Area pursuant to this
Section shall, at the Board's request and at the Association's expense, execute and acknowledge
such deeds and other instruments which the Board considers necessary or convenient to evidence
such relinquishment. Each Owner of a taken Unit or Residence is not liable for Assessments
under this Declaration which accrue on or after the date such Owner accepts the Owner's
condemnation award.
10.6 PORTIONS OF AWARDS IN CONDEMNATION NOT

COMPENSATORY FOR VALUE OF REAL PROPERTY. Those portions of awards in
condemnation which do not directly compensate Owners for takings of real property (e.g.,
awards for takings of personal property, relocation expenses, moving expenses, or other
allowances of a similar nature intended to facilitate relocation) shall be paid to the Owners
whose personal property is taken, or whose relocation is intended to be facilitated.
10.7 NOTICE TO OWNERS AND FIRST MORTGAGEES. The Board, on

learning of any taking affecting a Unit or a material portion of the Community, or any threat
thereof, shall promptly notify all Owners and those First Mortgagees who have filed a written
request for such notice with the Association.
,.~
r:..•
...
0
(H
06 1756878
-58- 4934-37690\CCRS\5116567 13
116/06
08/08/06
ARTICLE 11
RIGHTS OF MORTGAGEES
11 .1 GENERAL PROTECTIONS. No amendment or violation of this Declaration

defeats or renders invalid the rights of the Mortgagee under any Mortgage encumbering one (1)
or more Condominiums made in good faith and for value, provided that after the foreclosure of
any such Mortgage, the foreclosed Condominium(s) will remain subject to this Declaration. For
purposes of any provisions of the Governing Docwnents which require the vote or approval of a
specified percentage of First Mortgagees, such vote or approval is determined based on one (1)
vote for each Condominium encumbered by each such First Mortgage.
11.2 ADDITIONAL RIGHTS. To induce the VA, FHA Freddie Mac, Ginnie Mae
and Fannie Mae to participate in the financing of the sale of Condominiums, the following
provisions are added hereto (and to the extent these added provisions conflict with any other
provisions of the Governing Documents, these added provisions control):
11.2. l Notices. Each Mortgagee, insurer and guarantor of a Mortgage

encumbering one (1) or more Condominiums, upon filing a written request for notification with
the Board, is entitled to written notJfication from the Association of: (a) any condemnation or
casualty loss which affects either a material portion of the Community or the Condominium(s)
securing the respective First Mortgage; (b) any delinquency of sixty (60) days or more in the
performance of any obligation under the Governing Documents, including the payment of
Assessments or charges owed by the Owner(s) of the Condominium(s) securing the Mortgage,
which notice each Owner hereby consents to and authorizes; (c) a lapse, cancellation, or material
.modification of any policy of insurance or fidelity bond kept by the Association and (d) any
proposed action that requires the consent of a specified percentage of First Mortgagees.
11.2.2 Right of First Refusal. Each Owner who obtains title to a

Condominium (including a First Mortgagee who obtains title to a Condominium pursuant to
(a) the remedies provided m the First Mortgage, (b) foreclosure of the First Mortgage, or (c) deed
or assignment in lieu of foreclosure), is exempt from any "right of first refusal" created or
purported to be created by the Governing Documents.
11 .2.3 Unpaid Assessments. If the First Mortgagee of a Condominium

obtains fee title to the Condominium either by foreclosure, a deed in lieu of foreclosure or by any
other remedy provided under the Mortgage, then the Mortgagee shall take title to the
Condominium free and clear of any claims for unpaid Assessments or charges against the
Condominium to the extent the Assessments or charges accrued before the date on which the
Mortgagee acquired title to the Condorniniwn.
11.2.4 Association Records. All Mortgagees, insurers and guarantors of First

Mortgages, on written request to the Association, shall have the right to:
(a) examine current copies of the Association's books, records and

financial statements and the Governing Documents during normal business hours;
•'D (b) require the Association to submit an annual audited financial

er,
statement for the preceding Fiscal Year, if one is available, or have one prepared at the expense
-59- 4934-37690\CCRS\586567 13
116/06
-----------------------0-G,_.:tA-5-6-8-7-o'!..~-------------
08/08/06
of the requesting entity if such statement is not otherwise prepared by the Association ; provided
that, on annexation of additional Condominiums to the Community such that fifty (50) or more
Condominiums are subject to this Declaration. the Association may be required to submit such a
statement without expense to the requesting entity within one hundred twenty (120) days of the
end of the Fiscal Year;
(c) change the method of determining the obligationst Assessments,

dues or other charges which may be levied against any Owner; or
(d) receive written notice of all meetings of Owners; and
(e) designate in writing a representative who shall be authorized to

attend all meetings of Owners.
11.2.5 Payment of Taxes. First Mortgagees may, jointly or singly, pay taxes
or other charges which are in default and which may or have become a charge against any
Association Property and may pay any overdue premiums on hazard insurance policies, or secure
new hazard insurance coverage on the lapse of a policy, for Association Property, and the
Association shall immediately reimburse First Mortgagees who made such payments.
11.2.6 Intended Improvements. All intended Improvements in the

Community must be substantially completed or the completion of such Improvements must be
secured by a bond or other arrangement acceptable to the DRE before the first Close of Escrow
in the Community. All intended Improvements in the Community shall be substantially
consistent with the Improvements in the Community in structure, type and quality of
construction. The requirements of this Section are for the benefit of and may be enforced only
by Fannie Mae.
11.2.7 Contracts. The Board may enter into such contracts or agreements on
behalf of the Association as are required to satisfy the guidelines of the VA, FHA, Freddie Mac,
Ginnie Mae, Fannie Mae or any similar entity, to allow for the purchase, insurance or guaranty,
as the case may be, by such entities of First Mortgages encumbering Condominiums. Each
Owner agrees that it will benefit the Association and the Owners, as a class of potential
Mortgage borrowers and potential sellers of their Condominiums, if such agencies approve the
Community as a qualifying subdivision under their respective policies, rules and regulations.
Each Owner authorizes his Mortgagees to furnish information to the Board concerning the status
of any Mortgage encumbering a Condominium.
ARTICLE12
ENFORCEMENT AND DISPUTE RESOLUTION
12.1 ENFORCEMENT OF GOVERNING DOCUMENTS. All violations of the

e:::, Governing Documents, except for: (a) those governed by Sections 12.2 or 12.3, or (b) those
Ou subject to the Defect Law (and accordingly subject to resolution through Declarant' s
0 nonadversarial contractual provisions and alternative dispute resolution provisions commencing
at Section 12.4 below), or California Civil Code Section 1375, et seq. (the "Calderon Act"),
shall be resolved as follows:
-6().. 4934-37690\CCRS\ 586567 13

716/06
---------------ioo 11&--s-s-1-s ~
08/08/06
12.1.1 Right to Enforce. The Board, the Association, the Declarant and any
Owner may enforce the Governing Documents as described in this Article, subject to California
Civil Code Sections 1363.810, et seq., and 1369.510, et seq. Each Owner has a right of action
against the Association for the Association's failure to comply with the Governing Documents.
Each remedy provided for in this Declaration is cumulative and not exclusive or exhaustive. The
City shall have the right, but not the obligation, to enforce any provision of this Declaration.
12.l.2 Violations Identified by the Association. If the Board or the Design

Review Committee determines that there is a violation of the Governing Documents, other than
nonpayment of any Assessment, then the Board shall give written notice to the responsible
Owner identifying (a) the condition or violation complained of, and (b) the length of time the
Owner has to remedy the violation including, if appropriate, the length of time the Owner has to
submit plans to the Design Review Committee and the length oftime the Owner has to complete
the work proposed in the plans submitted to the Design Review Committee. This requirement
shall apply notwithstanding the fact that this Declaration may duplicate City ordinances or
regulations. lf an Owner does not perfonn corrective action within the allotted time, the Board,
after Notice and Hearing, may remedy such condition or violation complained of, and the cost
thereof shall be charged to the Owner as a Special Assessment. If the violation involves
nonpayment of any Assessment, then the Board may collect such delinquent Assessment
pursuant to the procedures established in Section 12.2.
12.1.3 Violations Identified by an Owner. If an Owner alleges that another

Person 1s violating the Governing Documents (other than nonpayment of any Assessment), the
complaining Owner must first submit the matter to the Board for Notice and Hearing before the
complaining Owner may resort to alternative dispute resolution, as required by California Civil
Code Section 1369.510, et seq , or litigation for relief.
12.1 .4 Legal Proceedings. Failure to comply with any of the terms of the
Governing Documents by any Person is grounds for relief which may include an action to
recover damages, injunctive relief, foreclosure of any lien, or any combination thereof; however,
the procedures established in California Civil Code Sections 1363.810, et seq., and 1369.510 et
seq. and in Sections 12.1.2 and 12.1.3 must first be followed, if they apply.
12.1.5 Additional Remedies. After Notice and Hearing, the Board may
impose any of the remedies provided for in the Bylaws. The Board may adopt a schedule of
reasonable fines or penalties which, in its reasonable discretion, the Board may assess against a
Person for the failure of such Person to comply with the Governing Documents. Such fines or
penalties may only be assessed pursuant to California Civil Code Section 1363. After Notice and
Hearing, the Board may direct the officers of the Association to Record a notice of
noncompliance (if allowed by Jaw) against a Condominium owned by any Owner who has
violated any provision of this Declaration. The notice shall include a legal description of the
Condominium and shall specify the provision of this Declaration that was violated, the violation
committed, and the steps required to remedy the noncompliance. Once the noncompliance is
remedied or the noncomplying Owner has taken such other steps as reasonably required by the
Board, the Board shall direct the officers of the Association to Record a notice that the
noncompliance has been remedied.
06 1756878
-61- 4934-37690\CCRS\ 586567 13
716/06
08/08/06
12.1.6 No Waiver. Failure to enforce any provision of this Declaration does

not waive the right to enforce that provision, or any other provision of this Declaration.
12.1.7 Limit on Expenditures. The Association may not incur litigation

expenses, including attorneys' fees, or borrow money to fund litigation, where the Association
initiates legal proceedings or is joined as a plaintiff in legal proceedings, unless the Association
first obtains the consent of the Owners (excluding the voting power of any Owner who would be
a defendant in such proceedings) and, if applicable, complies with the requirements of California
Civil Code Sect.Ions 1363.810, et seq.• and 1369.510, et seq.. Such approval is not necessary if
the legal proceedings are initiated (a) to enforce the use restrictions contained in Article 2, (b) to
enforce the architectural and landscaping control provisions contained in Article 5, (c) to collect
any unpaid Assessments levied pursuant to the Governing Documents, (d) for a claim, other than
a Defect Claim (defined in Section 4.5.2) or a Dispute (defined in Section 12.4) the total value of
which is less than Five Hundred Thousand Dollars ($500,000), or (e) as a cross-complaint in
litigation to which the Association is already a party. If the Association decides to use or transfer
Reserve Funds or borrow funds to pay for any litigation. the Association must notify the Owners
of the decision by mail. Such notice shall provide an explanation of why the litigation is being
initiated or defended, why Operating Funds cannot be used, how and when the Reserve Funds
will be replaced or the loan will be repaid, and a proposed budget for the litigation. The notice
must state that the Owners have a right to review an accounting for the litigation which will be
available at the Association's office. The accounting shall be updated monthly. If the
Association action to incur litigation expenses or borrow money to fund litigation concerns a
Defect Claim or Dispute, then the voting requirements of both Sections 4.5.2 and 12.1. 7 must be
met.
12.2 DELINQUENT ASSESSMENTS.
12.2.1 Delinquency. Assessments are delinquent if not paid within fifteen

(15) days after the due date established by the Association. Assessments not paid within thirty
(30) days after the due date, plus all reasonable costs of collection (including attorneys' fees) and
late charges bear interest at the maximum rate permitted by law commencing thirty (30) days
after the due date until paid. The Association may also require the delinquent Owner to pay a
late charge m accordance with California Civil Code Section 1366(d)(2). The Association need
not accept any tender of a partial payment of an Assessment and all costs and attorneys' fees
attributable thereto. Acceptance of any such tender does not waive the Association's right to
demand and receive full payment.
12.2.2 Creation and Release of Lien.
(a) Priority of Lien. All liens levied in accordance with this

Declaration shall be prior and superior to (1) any declaration of homestead Recorded after the
Recordation of this Declaration, and (2) all other liens, except (A) all taxes, bonds, Assessments
and other levies which, by Jaw, would be superior thereto, and (B) the lien or charge of any First
Mortgage made in good faith and for value and Recorded before the date on which the "Notice
0
c,.,
of Delinquent Assessment" (described in this Section) against the assessed Condominium was
Recorded.
06 1756878
-62- 4934-37690\CCRS\ 586567 13
7/6/06
08/08/06
(b) Prerl!IJuiSite to Creating Lien. Before the Association may

place a lien on a Owner's Condominium to collect a past due Assessment, the Association shall
send written notice e'Notice of Intent to Lien"), at least thirty (30) days before Recording the
lien, to the Owner by certified mail which contains the following infonnation: (1) the fee and
penalty procedure of the Association, (2) an itemized statement of the charges owed by the
Owner, including the principal owed, any late charges, any interest, the method of calculation,
and any attorneys' fees, (3) the coJlection practices used by the Association, (4) a statement that
the Association may recover reasonable costs of collecting past due Assessments, (5) a statement
that the Owner has the right to inspect the Association's records, pursuant to California
Corporations Code Section 8333, (6) the following statement in 14-point boldface type or all
capital letters: l'IMPORTANT NOTICE: IF YOUR SEPARATE INTEREST IS PLACED IN
FORECLOSURE BECAUSE YOU ARE BEHIND IN YOUR ASSESSMENTS, IT MAY BE
SOLD WITHOUT COURT ACTION," (7) a statement that the Owner shall not be liable to pay
the charges, interest and costs of collection if it is determined the Assessment was paid on time
to the Association, and (8) a statement that the Owner has the right to request a meeting with the
Board, as provided by California Civil Code Section 1367. l{c) and Section 12.2.2(d) below.
{c) Dispute by Owner. An Owner may dispute the Notice of Intent

to Lien by submitting to the Board a written explanation of the reasons for the Owner's dispute.
The Board shall respond in writing to the Owner within fifteen (15) days after the date of the
postmark of the explanation, if the explanation is mailed within fifteen {15) days after the
postmark of the Notice of Intent to Lien.
(d) Owner's Right to Request Meeting. An Owner may submit a

written request to meet with the Board to discuss a payment plan for the debt noticed in
Section 12.2.2(d) above. The Association shall provide the Owner with the standards for
payment plans, if any exist. The Board shall meet with the Owner in executive session within
forty-five (45) days of the posbnark of the request, if the request is mailed within fifteen (l S)
days after the date of the postmark of the Notice of Intent to Lien, unless there is no regularly
scheduled Board meeting within that period, in which case the Board may designate a committee
of one or more members to meet with the Owner.
(e) Notice of Delinquent Assessment. The lien becomes effective

on Recordation by the Board or its authorized agent of a Notice of Delinquent Assessment
("Notice of Delinquent Assessment") securing the payment of any Assessment or installment
thereof levied by the Association against any Condominium Owner, as provided in California
Civil Code Section 1367 or 1367 .1. The Notice of Delinquent Assessment must identify (1) the
amount of the Assessment and other authorized charges and interest, including the cost of
preparing and Recording the Notice of Delinquent Assessment, (2) the amount of collection costs
incurred, including reasonable attorneys' fees, (3) a sufficient description of the Condominium
that has been assessed, (4) the Association's name and address, (5) the name of the Owner of the
Condominium that has been assessed, and (6) if the lien is to be enforced by nonjudicial
0
•"Y., foreclosure, the name and address of the trustee authorized by the Association to enforce the lien
by sale. The Notice of Delinquent Assessment must be signed by an authorized Association
officer or agent and must be mailed in the manner required by California Civil Code Section
... 2924b to the Owner of record of the Condominium no later than ten (l 0) calendar days after
06 1756878
-63- 4934-37690\CCRS\ 586567.13
7/6/06
08/08/06
Recordation. The lien relates only to the mdividual Condominium against which the Assessment
was levied and not to the Community as a whole.
(f) Exceptions. Assessments described in California Civil Code

Section 1367(e) and California Code of Regulations Section 2792.26(c) may not become a lien
against an Owner's Condominium enforceable by the sale of the Condominium under California
Civil Code Sections 2924, 2924b and 2924c.
(g) Release of Lien. Within twenty-one (21) days after payment of

the full amount claimed in the Notice of Delinquent Assessment, or other satisfaction thereof, the
Board shall cause to be Recorded a Notice of Satisfaction and Release of Lien ( "Notice of
Release") stating the satisfaction and release of the amount claimed. The Association shall
provide the Owner with a copy of the Notice of Release or any other notice that the full amount
claimed in the Notice of Delinquent Assessment has been satisfied. The Board may require the
Owner to pay a reasonable charge for preparing and Recording the Notice of Release. Any
purchaser or encumbrancer who has acted in good faith and extended value may rely on the
Notice of Release as conclusive evidence of the full satisfaction of the sums identified as owed in
the Notice of Delinquent Assessment
12.2.3 Enforcement of Liens. The Board shall enforce the collection of

amounts due under this Declaration by one (1) or more of the alternative means ofrehef afforded
by this Declaration. The lien on a Condominium may be enforced by foreclosure and sale of the
Condominium after failure of the Owner to pay any Assessment, or installment thereof, as
provided in this Declaration. The sale shall be conducted in accordance with the provisions of
the California Civil Code applicable to the exercise of powers of sale in Mortgages. or in any
manner pennitted by law. The Association (or any Owner if the Association refuses to act) may
sue to foreclose the lien if (a) at least thirty (30) days have elapsed since the date on which the
Notice of Delinquent Assessment was Recorded and (b) at least ten (10) days have elapsed since
a copy of the Notice of Delinquent Assessment was mailed to the Owner affected thereby. The
Association may bid on the Condominium at foreclosure sale, and acquire and hold, lease,
mortgage and convey the same. On completion of the foreclosure sale, the Association or the
purchaser at the sale may file suit to secure occupancy of the defaulting Owner's Condominium,
and the defaulting Owner shall be required to pay the reasonable rental value for the
Condominiwn during any period of continued occupancy by the defaulting Owner or any
persons claiming under the defaultmg Owner. A suit to recover a money judgment for unpaid
Assessments may be brought without foreclosing or waiving any hen securing the same, but this
provision or any suit to recover a money judgment does not affirm the adequacy of money
damages. Any recovery resulting from a suit at law or in equity initiated pursuant to this Section
may include reasonable attorneys' fees as fixed by the court.
12.2.4 Priority of Assessment Lien. Mortgages Recorded before a Notice of

Delinquent Assessment have lien priority over the Notice of Delinquent Assessment. Sale or
0
("., transfer of any Condominium does not affect the Assessment lien, except that the sale or transfer
of any Condominium pursuant to judicial or nonjudicial foreclosure of a First Mortgage
extinguishes the lien of such Assessments as to payments which became due before such sale or
transfer. No sale or transfer relieves such Condominium from liens for any Assessments
.,
'='..
thereafter becoming due. No Person who obtains title to a Condominium pursuant to a judicial
-64- 06 17 5681~37690\CCRS\586;~~
08/08/06
or nonjudicial foreclosure of the First Mortgage is liable for the share of the Common Expenses
or Assessments chargeable to such Condominium which became due before the acquisition of
title to the Condominium by such Person. Such unpaid share of Common Expenses or
Assessments is a Common Expense collectible from all Owners including such Person. The
Association may take such action as is necessary to make any Assessment lien subordinate to the
interests of the California Department of Veterans Affairs under its Cal-Vet loan contracts as if
the Cal-Vet loan contracts were First Mortgages.
12.2.5 Alternative Dispute Resolution. An Owner may dispute the

Assessments imposed by ~he Association 1f such Owner pays in full (a) the amount of the
Assessment in dispute, (b) any late charges, (c) any interest, and (d) all reasonable fees and costs
associated with preparing and filing a Notice of Delinquent Assessment (including mailing costs
and reasonable attorneys' fees not to exceed the maximum amount allowed by law), and states
by written notice that such amount is paid under protest, and the written notice is mailed by
certified mail not more than thirty (30) days after Recording the Notice of Delinquent
Assessment. On receipt of the written notice, the Association shall inform the Owner in writing
that the dispute may be resolved through alternative dispute resolution as established in
California Civil Code Sections 1363.810, et seq., and 1369.510, et seq. The right of any Owner
to use alternative dispute resolution under this Section may not be exercised more than two {2)
times in any single calendar year, and not more than three (3) times within any five (5) calendar
years unless the Owner and the Association mutually agree to use alternative dispute resolution
when this limit is exceeded. An Owner may request and be awarded through alternative dispute
resolution reasonable interest to be paid by the Association in the total amount paid under items
(a) through (d) above, if it is detennined that the Assessment levied by the Association was not
correctly levied.
12.2.6 Receivers. In addiuon to the foreclosure and other remedies granted to

the Association in this Declaration, each Owner, by acceptance of a deed to such Owner's
Condominium, conveys to the Association all of such Owner's right, title and interest in all rents,
issues and profits derived from and appurtenant to such Condominium, subject to the right of the
Association to collect and apply such rents, issues and profits to any delinquent Assessments
owed by such Owner, reserving to the Owner the right, before any default by the Owner in the
payment of Assessments, to collect and retain such rents, issues and profits as they may become
due and payable. On any such default, the Association may, on the expiration ofthtrty (30) days
following delivery to the Owner of the ''Notice of Delinquent Assessment" described in this
Declaration, either in person, by agent or by receiver to be appointed by a court, and without
regard to the adequacy of any security for the indebtedness secured by the lien described in this
Declaration, (a) enter in or on and talce possession of the Condominium or any part thereof, (b) in
the Association's name sue for or otherwise collect such rents, issues and profits, including those
past due and unpaid, and (c) apply the same, less allowable expenses of operation, to any
delinquencies of the Owner, and in such order as the Associatton may determine. The entering
_o upon and taking possession of the Condominiwn, the collection of rents, issues and profits and
00 the application thereof, shall not cure or waive any default or notice of default under this
Declaration or invalidate any act done pursuant to such notice.
12.3 ENFORCEMENT OF BONDED OBLIGATIONS. If (a) the Common

.,.,
a
Property Improvements in the Community are not completed before the DRE issues a Public
-65- 4934-37690\CCRS\ 586567 13

7/6/06
- - - - - - - - - - - - - - --\;,--6-1-'?-5-6-8-7-8- - - - - - - - - -
08/08/06
Report. and (b) the Association is an obligee under a bond or other arrangement (a "Bond")
required by the DRE to secure perfonnance of Declarant's commitment to complete such
Improvements, then the following provisions of this Section will apply:
12.3.1 Consideration by the Board. The Board shall consider and vote on
the question of action by the Association to enforce the obligations under the Bond concerning
any such Improvement for which a Notice of Completion has not been filed within sixty (60)
days after the completion date specified for that Improvement in the Planned Construction
Statement appended to the Bond. If the Association has given an extension in writing for the
completion of any Common Property Improvement, then the Board shall be directed to consider
and vote on the aforesaid question if a Notice of Completion has not been filed within thirty (30)
days after the end of the extension.
12.3.2 Consideration by the Owners. A special meeting of Owners for the

purpose of voting to override a decision by the Board not to initiate action to enforce the
obligations under the Bond or on the Board's failure to consider and vote on the question shall be
held no fewer than thirty-five (35) nor more than forty-five (45) days after the Board receives a
petition for such a meeting signed by Owners representing five percent (5%) of the Association's
total voting power. A vote of a majority of the Association's voting power (excluding Declarant)
to take action to enforce the obligations under the Bond shall be deemed to be the decision of the
Association, and the Board shall thereafter implement such decision by initiating and pursuing
appropriate action in the Association's name.
12.4 DISPUTES WITH DECLARANT PARTIES. Any dispute between the

Association or any Owners, on the one hand, and the Declarant, or any director, officer, partner,
shareholder, member, employee, representative, contractor. subcontractor. design professional or
agent of the Declarant (each, a "Declarant Party," and collectively the "Declarant Partiesj, on
the other hand, which dispute:
(a) Arises under this Declaration or otherwise relates to the

Community (including disputes regarding latent or patent construction defects); and
(b) Involves neither Common Property completion bonds, nor the

collection of delinquent Assessments from Declarant; and
( c) Concerns an amount in controversy that is greater than Five

Thousand Dollars ($5,000), and
(d) Concerns matters that are not resolved under the wntten limited
warranty provided by Declarant
is a "Dispute" for purposes of this Section 12.4.
12.4.1 Notice. Any Person with a Dispute shall give written notice of the
Dispute by personal or mail service as authorized by California Code of Civil Procedure Sections
415.10, 415.20, 415.21, 415.30 or 415.40 to the party to whom the Dispute is directed
("Respondent") describing the nature of the Dispute and any proposed remedy (the "Dispute
Notice") .
-66- 4934-37690\CCRS\ 586567 13

7/6/06
-----------------------8·6-1:-'i-5-6-817-8-------------
08/08/06
12.4.2 Right to Inspect and Correct. Commencing on the date the Dispute
Notice is delivered to the Respondent and continuing until the Dispute is resolved, the
Respondent and its representatives have the right to (a) meet with the party alleging the Dispute
at a reasonable time and place to discuss the Dispute, (b) enter the Community to inspect any
areas that are subject to the Dispute, and (c) conduct inspections and testing (including
destructive or invasive testing) in a manner deemed appropriate by the Respondent. If
Respondent elects to take any corrective action, Respondent and its representatives shall be
proV1ded full access to the Community to take and complete the corrective action. Respondent is
not obligated to take any corrective action. Respondent, with the consent of Declarant, has the
right to select the corrective action Respondent believes is appropriate. The right to inspect and
correct granted in this Section is in addition to the rights granted in the Calderon Act. The
procedures established in the Calderon Act may be implemented before, during or after the
procedure in this Section is implemented.
12.4.3 Mediation. If the Dispute is not resolved within ninety (90) days after
the Respondent receives the Dispute Notice, any party may submit the Dispute to mediation by
delivering a request for mediation (a "Mediation Notice") in the same manner as allowed for
delivery of the Dispute Notice. The Dispute shall be mediated pursuant to (a) the Judicial
Arbitration and Mediation Service ("JAMS") mediation procedures in existence when the
Dispute Notice is delivered, as modified by this Section, or (b) the mediation procedures of any
successor to JAMS in existence when the Dispute Notice is delivered, as modified by this
Section, or (c) mediation procedures approved by the parties of any entity offering mediation
services that are acceptable to the parnes to the Dispute (each, a "Party" and co11ectively, the
"Parties"). Except as provided in Section 12.4.5, no Person shall begin litigation regarding a
Dispute without complying with this Section 12.4.3.
(a) Selection of MediaJor. The mediator shall be selected within

sixty (60) days after delivery of the Mediation Notice. The mediator shall be selected by mutual
agreement of the Parties. If the Parties cannot agree on a mediator, the mediator shall be selected
by the entity providing the mediation service. No Person shall serve as a mediator in any
Dispute m which the Person has any financial or personal interest in the result of the mediation,
except by the written consent of all Parties. Before accepting any appointment, the prospective
mediator shall disclose any circumstances likely to create a presumption of bias or to prevent a
prompt commencement of the mediation process.
(b) Position Letter; Pre-Mediation Conference. No later than

sixty (60) days after selection of the mediator, each party to the Dispute shall submit a letter (a
"Position Statement'') containing (1) a description of the Party's position concerning the issues
that need to be resolved, (2) a detailed description of the defects allegedly at issue, and (3) a
suggested plan of repair, remediation or correction. The mediator may schedule a pre-mediation
conference. All Parties shall attend unless otherwise mutually agreed. The mediation shall be
commenced within twenty (20) days after submittal of all Position Statements and shall be
concluded within fifteen (15) days after the mediation began Wlless either (A) the mediator
extends the mediation period, or (B) the Parties mutually agree to extend the mediation period.
The mediation shall be held in the County or another place mutually acceptable to the parties.
"
0
,_n
06 1756878
4934-37690\CCRS\ 586S67 13
7/6/0(J
08/08/06
(c) Conduct of Mediation. The mediator has discretion to conduct

the mediation in the manner in which the mediator believes is most appropriate to achieve the
goal of settling the Dispute. The mediator is authorized to conduct joint and separate meetings
with the Parties and to make oral and written recommendations for settlement. The mediator
may a)so obtain expert advice concerning technical aspects of the Dispute, provided the Parties
agree to and do assume the expenses of obtaining such advice. The mediator shall not have the
authority to impose a settlement on the Parties.
(d) Application of Evidence Code. The provisions of California

Evidence Code Sections 1115 through 1128 shall be applicable to the mediation process. Use
and disclosure of statements, evidence and communications offered or made in the course of the
mediation shall be governed by these sections, including the sections which preclude use of
material in future proceedings and the sections which provide for confidentiality of material.
(e) Parties Permitted at Mediation. Persons other than the Parties,

their liability insurers, Declarant. attorneys for the Parties and the mediator may attend mediation
sessions only with the pennission of the Parties and the consent of the mediator. Declarant has
the right to attend the mediation session even if Declarant is not one of the Parties.
(f) Record. There shall be no stenographic, video or audio record

of the mediation process.
(g) Expenses. Each Party shall bear its own attorneys' fees and
costs incurred in connection with the mediation. All other expenses of the mediation including
the fees charged by the mediator and the cost of any proof or expert advice requested by the
mediator shall be borne equally by each of Declarant and the Declarant Parties to whom the
Dispute is directed, unless the Parties agree otherwise. This provision does not modify any
provision of a contract between Declarant and any Declarant Party requiring indemnification or
establishing a different allocation of costs between the Declarant and the Declarant Party.
12.4.4 Judicial Reference. If a Dispute remains unresolved after the

mediation required by Section 12.4.3 is completed, any of the Parties may file a lawsuit,
provided that the Association must obtain the vote or written consent of Owners other than
Declarant who represent not less than sixty-seven percent (67%) of the Association's voting
power (excluding the voting power of Declarant) before filing a lawsuit in a Dispute with
Dec)arant or a Declarant Party. All lawsuits regarding Disputes must be resolved by general
judicial reference pursuant to California Code of Civil Procedure Sections 638 and 641 through
645.1, as modified by this Section 12.4.4. The Parties shall cooperate in good faith to ensure that
all necessary and appropriate parties are included in the judicial reference proceeding. No Party
shall be required to participate in the judicial reference proceeding if all Parties against whom
such Party would have necessary or pennissive cross-claims or counterclaims will not or cannot
be joined in the judicial reference proceeding. The general referee shall have the authority to try
all issues of fact and law and to report a statement of decision to the court. The referee shall be
the only trier of fact and law in the reference proceeding, and shall have no authority to further
refer any issues of fact or law to any other Person unless all parties to the judicial reference
proceeding consent, or the referee determines that a conflict of interest or similar situation has
arisen which would make it inappropriate for the referee to act as the trier of fact or law
-68- 4934-37690\CCRS\ 586567 13
0 7 5 6 87 8 71
6/06
08/08/06
concerning an issue or matter. In the second altemauve, an alternative judicial referee shall be
selected in accordance with Section 12.4.4(b) solely for resolving or rendering a decision
concerning the issue or matter involved in the conflict.
(a) Place. The proceedings shall be heard in the County.
(b) Referee. The referee shall be a retired judge who served on the
California Superior Court in the County with substantial experience in the type of matter in
dispute and without any relationship to the Parties or interest in the Community, unless the
Parties agree otherwise. The parties to the judicial reference proceeding shall meet to select the
referee no later than thirty (30) days after service of the initial complaint on all defendants named
in the complaint. Any dispute regarding the selection of the referee shall be resolved by the
court in which the complaint 1s filed.
(c) Beginning and Timing of Proceeding. The referee shall begin

the proceeding at the earliest convenient date and shall conduct the proceeding without undue
delay.
(d) Pre-hearing Conferences. The referee may require pre-hearing

conferences.
(e) Discovery. The parties to the judicial reference proceeding

shall be entitled only to limited discovery, consisting of the exchange of the following:
( 1) witness lists, (2) expert witness designations, (3) expert witness reports, (4) Exhibits,
(5) reports of testing or inspections, and (6) briefs. Any other discovery authorized in the
California Code of CiVll Procedure shall be permitted by the referee upon a showing of good
cause or based on the consent of all parties to the judicial reference proceeding.
(f) Motions. The referee shall have the power to hear and dispose
of motions, including motions relating to discovery, provisional remedies, demurrers, motions to
dismiss, motions for judgment on the pleadings and summary judgment and/or adjudication
motions, in the same manner as a trial court judge. The referee shall also have the power to
adjudicate summarily issues of fact or law including the availability of remedies whether or not
the issue adjudicated could dispose of an entire cause of action or defense.
(g) Record. A stenographic record of the hearing shall be made

which shall remain confidential except as may be necessary for post-hearing motions and any
appeals.
(h) Statement of Dedsion. The referee's statement of decision

shall contain an explanation of the factual and legal basis for the decision pursuant to California
Code of Civil Procedure Section 632. The decision of the referee shall stand as the decision of
the court, and upon filing of the statement of decision with the clerk of the court, judgment may
be entered thereon in the same manner as if the Dispute had been tried by the court.
(i} Remedies. The referee may grant all legal and equitable
remedies and award damages in the judicial reference proceeding.
-69- 4934-37690\CCRS\ 586S67 13

7/6/06
_ _ _ _ _ _ _ _ _ _ _ _ _ _____s 115~~~-e-- - - - - - -
08/08/06
(j) Post-hearing Motions. The referee may rule on all post-

hearing motions in the same manner as a trial judge.
(k) Appeals. The decision of the referee shall be subject to appeal

in the same manner as if the Dispute had been tried by the court.
()) Expenses. Each Party shall bear its own attorneys' fees and
costs incurred in connection with the judicial reference proceeding. All other fees and costs
incurred in connection with the judicial reference proceeding, including the cost of the
stenographic record, shall be advanced equally by each of Declarant and the Declarant Parties to
whom the Dispute is directed. However, the referee shall have the power to reallocate such fees
and costs among the Parties in the referee's final ruling. This provision docs not modify any
provision of a contract between Declarant and any Declarant Party requiring indemnification or
establishing a different allocation of costs between the Declarant and the Declarant Party.
12.4.5 Statutes of Limitation. Nothing in this Section 12.4 shall be

considered to toll, stay, reduce or extend any applicable statute of limitations; provid~
however, that Declarant, the Declarant Parties, the Association and any Owner may begin a legal
action which in the good faith detennination of that Person is necessary to preserve that Person's
rights under any applicable statute of limitations as long as no further steps in processing the
action are taken except those authorized in this Section 12.4.
12.4.6 Agreement to Dispute Resolution; Waivers of Jury Trial.

DECLARANT, THE ASSOCIATION AND EACH OWNER AGREE TO USE THE
PROCEDURES ESTABLISHED IN THJS SECTION 12.4 TO RESOLVE ALL DISPUTES
AND WANE THEIR RIGHTS TO RESOLVE DISPUTES IN ANY OTHER MANNER.
DECLARANT, THE ASSOCIATION AND EACH OWNER ACKNOWLEDGE THAT BY
AGREEING TO RESOLVE ALL DISPUTES AS PROVIDED IN THIS SECTION 12.4, THEY
ARE GIVING UP THEIR RIGHT TO HAVE DISPUTES TRIED BEFORE A JURY. THIS
SECTION 12.4 MAY NOT BE AMENDED WITHOUT DECLARANT'S PRIOR WRITTEN
CONSENT.
ARTICLE 13
DURATION AND AMENDMENT
13. l DURATION. This Declaration shall continue in full force unless a declaration of
termination satisfymg the requirements of an amendment to this Declaration established in
Section 13.2 is Recorded. ·
13.2 TERMINATION AND AMENDMENT.
13.2.1 Amendment Approval. Notice of the subject matter of a proposed

amendment to this Declaration in reasonably detailed form must be included in the notice of any
Association meeting or election at which a proposed amendment is to be considered. To be
effective, a proposed amendment (other than an amendment by Declarant or by the Board, as
described in Sections 13.2.7 or 13.2.8 respectively) must be adopted by the vote, m person or by
proxy, or written consent of Owners representing not less than (a) sixty-seven percent (67%) of
the voting power of each Class of the Association and (b) sixty-seven percent (67%) of the
-70- 4934-37690'£:CRS\ 586567 13

116106
nR . 1 '7 5 687 8
08/08/06
Association's voting power represented by Owners other than Declarant, provided that the
specified percentage of the Association's voting power necessary to amend a specific provision
of this Declaration may not be less than the percentage of affinnative votes prescribed for action
to be taken under the provision that is the subject of the proposed amendment.
13.2.2 Mortgagee Cooseut. In addition to the consents required by

Section 13.2.1, fifty-one percent (51%) of the First Mortgagees who have requested the
Association notify them of proposed action requiring the consent of a specified percentage of
First Mortgagees must approve any amendment to this Declaration and any Supplemental
Declaration; which is of a material nature, as follows:
(a) Any amendment of the provisions of this Declaration governing

any of the following:
(1) Voting rights;
(2)Increases in Assessments that raise the existing

Assessment by more than 25%, Assessment liens or the priority of Assessment liens;
(3) Reductions in reserves for maintenance, repair and

replacement of the Common Property;
(4) Responsibility for maintenance and repairs;
(5) Reallocation of interest in the Common Property or

rights to its use;
(6) Redefinition of any Umt boundanes;
(7) Convertibility of Units into Common Property or vice

versa;
(8) Expansion or contraction of the Community or the

addition, annexation or deannexation of real property to or from the Community;
(9) Hazard or fidelity insurance requirements;
(10) Imposing restrictions on leasmg of Units;
(11) Imposing restrictions on a Unit Owner's right to sell or

transfer that Owner's Unit;
(12) If the Community includes at least 50 Units, any

decision by the Association to establish self management if professional management had been
required previously by the Governing Documents or a First Mortgagee;
c,
,..., (13) Restoration or repair of the Community (after damage or
partial condemnation) in a manner other than that specified in this Declaration; or
-71- 4934-37690\CCRS\586567 13
7/6/0f,
- - - - - - - - - - - - - - - - - - -~a-1+5-6~~-8-- - - - - - - - - -
08/08/06
(14) Any provisions that expressly benefit Mortgagees.
(b) Any amendment which affects or purports to affect the validity

or priority of Mortgages or the rights or protection granted to Mortgagees, insurers or guarantors
of First Mortgages.
( c) Any amendment which would require a Mortgagee after it has

acquired a Condominium through forec]osure to pay more than its proportionate share of any
unpaid Assessment or Assessments accruing before such foreclosure.
(d) Any amendment which would or could result in a Mortgage

being canceled by forfeiture, or in a Condominium not being separately assessed for tax
purposes.
(e) Any amendment relating to (1) the insurance provisions in

Article 8, (2) the application of insurance proceeds in Article 9, or (3) the disposition of any
money received in any taking under condemnation proceedings.
(t) Any amendment which would or could result in partition or

subdivision of a Condominium in any manner inconsistent with this Declaration.
(g) Any amendment which would subject any Owner to a right of

first refusal or other such restriction, if such Condominium is proposed to be transferred.
13.2.3 Amendment of Defect Claims Provisions. Except for any

amendment made by Declarant as authorized in Section 13.2.7, neither this Section 13.2.3 nor
Sections 1.1.29, 1.1.30, 1.1.31, 2.1.6, 4.2.7, 4.5.2, 12.1.7, 12.4, 13.2.7, 13.2.8 or 15.9 may be
amended without the prior written approval of Declarant until the expiration of all applicable
statutes of limitation or repose for the filing of a complaint or suit or other legal remedies against
Declarant or its affiliates under the Defect Law (including tolling periods).
13.2.4 Termination Approval.
(a) By Owners and Dec/arant. Tennination of this Declaration

requires approval of the Owners as provided in Section 13.2.1, and until the expiration of all
applicable statutes of limitation or repose for the filing of a complamt or suit or other legal
remedies against Declarant or its affiliates under the Defect Law (jncluding tolling periods), the
prior written approval of Declarant.
(b) By First Mortgagees. No termination of this Declaration is

effective unless it is also approved in advance (or deemed approved under Section 13.2.5) by
67% of the First Mortgagees if termination is for reasons other. than such substantial destruction
or condemnation.
.... 13.2.5 Notice to First Mortgagees. Each First Mortgagee who receives
proper written notice of a proposed amendment or tennination of this Declaration or any
Supplemental Declaration with a return receipt requested is deemed to have approved the
-72- 4934-37690\CCRS\ 586567 13
06 175_6__8~7~8_ _v_~ - - ~
08/08/06
amendment or tennination if the First Mortgagee fails to submit a response to the notice within
thirty (30) days after the First Mortgagee receives the notice.
13.2.6 Certificate. A copy of each amendment must be certified by at least
two (2) Association officers. The amendment becomes effective when a Certificate of
Amendment is Recorded. The certificate, signed and sworn to by two (2) Association officers
that the requisite number of Owners and Mortgagees have approved the amendment, when
Recorded, is conclusive evidence of that fact The Association shall keep in its files for at least
four (4) years the record of all such approvals. The certificate reflecting any tennination or
amendment which requires the written consent of any of the Mortgagees of First Mortgages must
include a certification that the requisite approval of such First Mortgagees was obtained.
13.2. 7 Amendment or Termination by Declarant. Until the first Close of

Escrow in the Community, Declarant may unilaterally amend or tenninate this Declaration for
any purpose by Recording in the Official Records an instrument signed and acknowledged by
Declarant and any other record owners of the Community. Nothing in this Section 13 .2.7 may
be amended or terminated without the prior written approval ofDeclarant
(a) Minor Co"ections. Notwithstanding any other provisions of

this Article, Declarant (as long as Declarant owns any portion of the Community) may
unilaterally amend this Declaration or a Supplemental Declaration by Recording a written
instrument signed by Declarant to: (1) conform this Declaration or any Supplemental Declaration
to the rules, regulations or requirements of VA, FHA, DRE, Fannie Mae, Ginnie Mae or Freddie
Mac or the City, (2) amend, replace or substitute any Exhibit to correct typographical or
engineering errors, (3) include any Exhibit that was inadvertently omitted from the Declaration
or Supplemental Declaration at the time of Recording, (4) comply with any City, County, State
or Federal laws or regulations, (5) correct typographical errors, (6) supplement this Declaration
with provisions which pertain to rights and obligations of Declarant, the Association or Owners
arising under the Defect Law, and (7) change any Exhibit or portion of an Exhibit to conform to
as-built conditions.
13.2.8 Amendment by tbe Board. The Board may amend this Declaration
by Record.mg a written instrument signed by two officers of the Association certifying that the
Board approved the amendment for the purposes described in Sections 13.2.7(1), (4), (5), (6) and
(7) above. However, until the end of all applicable statutes of limitation or repose for the filing
of a complaint or suit or other legal remedies against Declarant or its affiliates under the Defect
Law (including tolling periods), the Board must obtain the prior written approval of Declarant to
any amendment approved by the Board for the reasons stated in this Section or any other
amendment by the Board or Association that affects the rights of Declarant under this
Declaration or any Supplemental Declaration or for any amendment the Board approves pursuant
to Article· 15.
ARTICLE 14
·~ GENERAL PROVlSIONS
r_. . .
C•>
14.1 MERGERS OR CONSOLIDATlONS. In a merger or consolidation of the
Association with another association. the Community, rights and obligations of the Association
-73- 4934-37690\CCRS\ 586567 13

7/6/06
- - - - - - - - - - - - -~ y-0- 1~..a6878_ _ _ _ _ _ __
08/08/06
may, by operation of law, be transferred to another surviving or consolidated association or,

alternatively, the Community, rights and obligations of another association may, by operation of
law, be added to the Community, rights and obligations of the Association as a surviving
corporation pursuant to a merger. The surviving or consolidated association may administer and
enforce the covenants, conditions and restrictions established by this Declaration governing the
Community, together with the covenants and restrictions established on any other property, as
one (1) plan.
14.2 NO PUBLIC RIGHT OR DEDICATION. Nothing in this Declaration is a gift

or dedication of all or any part of the Community to the public, or for any public use.
14.3 NOTICES. Except as otherwise provided in this Declaration, notice to be given

to an Owner must be in writing and may be delivered personally to the Owner. Personal delivery
of such notice to one ( 1) or more co-Owners, or any general partner of a partnership owning a
Condominium, constitutes delivery to all Owners. Personal delivery of such notice to any officer
or agent for the service of process on a corporation or limited liability company constitutes
delivery to the corporation or limited liability company. Such notice may also be delivered by
regular United States mail, postage prepaid, addressed to the Owner at the most recent address
furnished by such Owner to the Association or, if no such address has been furnished, to the
street address of such Owner's Condominium. Such notice is deemed delivered three (3)
business days after the time of such mailing, except for notice of a meeting of Owners or of the
Board, in which case the notice provisions of the Bylaws control. Any notice to be given to the
Association may be delivered personally to any member of the Board, or sent by United States
mail, postage prepaid, addressed to the Association at such address as may be fixed and
circulated to all Owners.
14.4 CONSTRUCTIVE NOTICE AND ACCEPTANCE. Every Person who owns,

occupies or acquires any right, title, estate or interest m or to any Condominium or other portion
of the Community consents and agrees to every limit, restriction, easement, reservation,
condition and covenant contained in this Declaration, whether or not any reference to these
restrictions is in the instrument by which such Person acquired an interest in the Community. As
soon as practicable before sale or transfer of title to a Condominiwn or other separate interest in
the Community or execution of a real property sales contract therefor, the Owner of the
Condominium or other separate interest shall provide to the purchaser copies of the Governing
Documents listed in California Civil Code Section 1368(a) and its successor statutes.
ARTICLE 15
DECLARANT'S RIGHTS AND RESERVATIONS
If there is a conflict between any other portion of the Governing Documents and this
Article, this Article shaII control.
15.1 CONSTRUCTION RIGHTS. Declarant has the right to (a) subcliVJde or

resubdivide the Community, (b) complete or modify hnprovernents to and on the Association
0 Property or any portion of the Community owned solely or partially by Declarant, (c) alter
c ·,
.... Improvements and Declarant's construction or renovation plans and designs, and (d) construct
such additional Improvements as Declarant considers advisable in the course of development and
-74- 49.34-37690\CCRS\ 586567 13

7/6/06
-------------------06-1?~-&81-8------------
08/08/06
renovation of the Community as long as Declarant owns any Condominium in the Community.
Declarant may temporarily erect barriers, close off and restrict access to portions of the
Association Property as reasonably necessary to allow Declarant to exercise the rights reserved
in this Section as long as an Owner's access to that Owner's Condominiwn is not eliminated.
15.2 SALES AND MARKETING RIGHTS. Declarant's rights under this

Declaration include, the right to install and maintain such structures, displays, signs, billboards,
flags and sales offices as may be reasonably necessary to conduct Declarant's business of
completing the work and disposing of the Condominiums by sale, resale, lease or otherwise.
Declarant may use any Condominiums owned or leased by Declarant in the Community as a
model home, real estate sales office or leasing office.
15.3 LEASING OFFICE. As long as Declarant owns any Condominium in the

Community, Declarant shall have an exclusive easement for the use of the leasing office of the
Community (which is pa.rt of the Association Property) as a sales and leasing office. Declarant
shall pay a commercially reasonable monthly rental to the Association for such office (not to
exceed $100 per month). Declarant shall not unreasonably interfere with any use the Association
- makes of the balance of the leasing office. Declarant may tenninate its use . of the sales and
leasing office and its obligation to pay rent to the Association at any time by written notice to the
Association.
15.4 USE OF ASSOCIATION PROPERTY. Declarant and its prospective

purchasers of Condominiums are entitled to the nonexclusive use of the Association Property
without further cost for access, ingress, egress, use or enjoyment, to (a) show the Community to
prospective purchasers and (b) dispose of the Community as provided in this Declaration.
Declarant, its employees, agents and prospective purchasers and are also entitled to the
nonexclusive use of private streets, drives and walkways for ingress, egress and vehicle parking
as necessary in connection with the marketing and sale of the Condominiums. Neither
Declarant, nor its employees, agents nor prospective purchasers shall make any use of the
Association Property that will unreasonably interfere with the use and enjoyment thereof by the
Owners.
15.5 CREATING ADDITIONAL EASEMENTS. At any time before the Close of

Escrow for a Condominium, Declarant reserves the right to establish on that Condominium
additional licenses, easements, reservations and rights-of-way to itself, to utility companies, or to
others as Declarant detennines are reasonably necessary to the proper development and disposal
of the Community.
15.6 ARCHITECTURAL RIGHTS. Declarant and any Person to whom Declarant

may assign all or a portion of its exemption under this Declaration need not seek or obtain
Design Review Committee approval of any Improvements constructed anywhere on the
Community by Declarant or such Person. Declarant may exclude portions of the Community
from jurisdiction of the Design Review Committee in the applicable. Declarant, may, at its
option, establish an additional design review committee for any area exempted from the
jurisdiction of the Design Review Committee.
0
er• 06 1756878
-75- 4934-37690\CCRS\ 586567 13
7/6/06
08/08/06
15.7 USE RESTRICTION EXEMPTION. Declarant and any Person to whom

Declarant may assign all or a portion of its exemption under this Declaration is exempt from the
use restrictions established in this Declaration and any other Governing Documents.
15.8 ASSIGNMENT OF RIGHTS. Declarant may assign its rights under the
Governing Documents to any successor in interest to any portion of Declarant's interest in the
Community by a Recorded written assignment
15.9 AMENDMENT. No amendment may be made to this Article without the prior
written approval ofDeclarant.
15.10 POWER OF ATIORNEY. Each Owner, by accepting a Grant Deed to a

Condominium in the Community, (a) constitutes and irrevocably appoints Declarant, as long as
Declarant owns any Condominium in the Community as Owner's attorney-in-fact, for Owner
and for each of Owner's mortgagees, optionees, licensees, trustees, receivers, lessees, tenants,
judgment creditors, heirs, legatees, devisees, administrators, executors, legal representatives,
successors and assigns, whether voluntary or involuntary, and (b) conveys to Declarant a special
power of attorney coupled with an interest authorizing Declarant to act as each Owner's attorney
in fact to prepare, sign, acknowledge and Record any amendment to or restatement of the
Condominium Plan, as Declarant deems to be reasonably necessary to correct errors, to confonn
to as-built conditions, or to bnng the Condominium Plan into compliance with any City, County,
State or Federal laws or regulations. The acceptance or creation of any Mortgage or other
encumbrance, whether or not voluntary, created in good faith, or given for value, shall be
accepted or created subject to the power of attorney provisions in this Section.
15.11 PARTICIPATION IN ASSOCIATION. The Association shall provide

Oeclarant with written notice of the transfer of any Condominium and all notices and other
documents to which a Mortgagee is entitled pursuant to this Declaration, provided that Declarant
shall not be required to make written request for such notices and other documents.
Commencing on the date on which Declarant no longer has a representative on the Board, the
Association shall provide Declarant with written notice of all meetings of the Board that any
Owner is entitled to attend (each, an "Open Meeting'~ as if Declarant were an Owner, and
Declarant shall be entitled to have a representative ("Declarant's Representative•~ present at all
Open Meetings. However, the Board has the power to withhold information from the
Declarant's Representative and to exclude the Declarant's Reptesentative from any Open
Meeting or portion thereof if, in the good faith judgment of the Board, access to such information
or attendance at the Open Meeting would adversely affect the attorney-client privilege between
the Association and its counsel or if, in the good faith judgment of the Board, access to such
information or attendance at an Open Meeting would not be in the best interest of the
Association or the Owners. The Declarant's Representative shall not be entitled to attend
executive sessions of the Board. The Declarant's Representative will attend any Open Meeting it
is pennitted to attend in an observer capacity on1y, and it shall not have any right to vote on
matters coming before the Board or Owners. Declarant's Representative shall be entitled to
receive copies of the minutes of all Open Meetings. The Declarant's rights to receive written
notice of meetings and to have a Declarant's Representative present at such meeting shall
.... continue untll the later of the date that is ten (10) years after the first Close of Escrow in the
c:-,
en Community, or the expiration date of all applicable statutes of limitations or repose for the filing
-76- 4934-37690\CCRS\ 586567 13

06 1756878 7
l<J0
6
08/08/06
of a complaint or swt or other legal remedies against Declarant under the Defect Law (including
any tolling periods).
15.12 DECLARANT APPROVAL OF ACTIONS.
15.12.1 General Rights. Until Declarant no longer owns a portion of the

Community, Declarant's prior written approval is required for any amendment to the Governing
Documents which would impair or diminish Declarant's right to complete the Community or sell
or lease Condominiwns therem.
15.12.2 Limit on Actions. Until the end of all applicable statutes of limitations
or repose for the filing of a complaint or suit or other legal remedies against Declarant under the
Defect Law (including any tolling periods), the following actions, before being undertaken by
the Association, must first be approved in writing by Declarant:
(a) Any amendment or action requiring the approval of First

Mortgagees;
(b) The levy of a Capital Improvement Assessment for the

construction of new facilities not constructed on the Association Property by Declarant;
(c) Any significant reduction of Association maintenance or other

services; or
(d) Any modification or termination of any provision of the

Governing Documents benefiting Declarant.
15.13 MARKETING NAME. The Community shall be marketed under the general
name "Little Tokyo Lofts." Declarant may change the marketing name of the Community or
designate a different marketing name for the Community at any time in Declarant's sole
discretion. Declarant shall notify the DRE of any change in or addition to the marketing name or
names of the Community.
{SIGNATlJRES ON NEXT PAGE/
·~
.,_
0
en
-77- 4934-37690\CCRS\ 586567 13

71
06 1756878 6Ki6
08/08/06
{SIGNATURE PAGE TO DECLARA TJON OF COVENANTS, CONDITIONS AND

RESTRICTIONS AND RESERVATION OF EASEMENTS/
This Declaration is dated for identification purposes _ _,Cµ...._..u.....~-=~-1_ _,. 200Je

HAMMER IRP LTL ASSOCIATES, LLC.
a Delaware limited liability company
By: HRV LITTLE TOKYO, LLC,

a Delaware limited liability company,
Member
By: HRV GERMANE HOLDINGS, LLC,

a California limited liability company,
its Manager
By: IRP LT MBER, LLC,

a D ware limited liability company,
its Member
By:~
rewSds,ExcuttvePresident
Declarant
0
c.....
....
06 1756878
-78- 4934-37690\CCRS\ 586567 13
7/6/0(,
08/08/06
STATE OF CALIFORNIA
COUNTY OF., <"..p,"'-'°D:eyo
On ~ 1 )7a;{p • _ , before me, £,(j 2,q be'ili o WQ.1-Z.~ ,-..,o,,t tl
(here msett ~ utle of the officer} 1 pt.io (,'-
personally appeared 3 ,"-,) 1-tAMM g L
per~naJh,.,.known to me (or proved to me on the basis of satisfactory evidence) to be the person
whose nameMbscribed to the within instrument and acknowledged to me tha~he executed
the same i ~ e r authorized capacity. and that by~er signature on the instrwnent the
person, or the entity upon behalf of which the person acted, executed the instrument.
WITNESS my hand and official seal.
(SEAL)
..
STATE OF CALIFORNIA
COUNTY O F ~ ~ ~b~
., )\Jb\ \\,~before me. ~~\1' ~ \ ~ , N ~ ' i

0
On YU!!iL.-\C..,
(here insert name and title of lhe officer)
personally appeared MD~N \. 'f:>~D ~

personally known to me (or proved to me on the basis of satisfactory evidence) to be the person
whose name is subscribed to the within instrument and acknowledged to me that he/~ executed
the same· in his/)w authorized capacity. and that by hisM signature on the instrument the
person, or the entity upon behalf of which the person acted. executed the instrument.
... :::n~:1· J
J@
f -·,.
ft
NotoryN)lc-CallfOmla i
J I.GIAngNMC4Ul'lty E
Signature: --,;.::::::...:_ _ _ ____.c.....:::..._ _ _ _ _ Js • • s :,;a;n-:S:-,°'!2!i=I

(SEAL)
0
,:-o
....
0
?"l
06 1756878
-79- 4934-37690\CCRS\ S86567 13
7/6/06
08/08/06
LENDER SUBORDINATION
The undersigned, as Beneficiary of the beneficial interest m and under the Deed of Trust
among Hammer IRP LTL Associates, a Delaware limited liability company, as Trustor, First
American Title Insurance Company, a California corporation, as Trustee, Corus Bank N.A., a
national banking association, as Beneficiary, recorded on JuJy 28, 2005, as Instrument No. 05-
1788549, in the Official Records of Los Angeles County, California (the "Deed of Trust'1,
hereby subordinates the Deed of Trust and its beneficial interest thereunder to the foregoing
Declaration of Covenants, Conditions and Restrictions and Reservation of Easements for Little
Tokyo Lofts, as amended or restated (the "Declaration''), any Supplemental Declaration, as
amended or restated, and to all easements to be conveyed to the Association in accordance with
the Declaration, any Supplemental Declaration. By executing this Subordination, the
undersigned agrees that if the undersigned acquires title to all or any portion of the Commuruty
by foreclosure (whether judicial or nonjudicial), deed-m-lieu of foreclosure or any other remedy
in or relating to the Deed of Trust, the undersigned will acquire title subject to the provisions of
the Declaration, and any applicable Supplemental Declaration, which shaJl remain in full force
and effect.
Dated:_ _ J_u._l-J_6_1_ __,, 200~ Corus Bank N.A.,

a national banking association
By: CQ_ (s _,._,-

P?nt Name:
Title: tJ \l.f
~t ~ 5{t·,f3;j
'" , p C
e,.,
~JA}CjS
STATE OF"CALWQ!.~
COUNTY OF _QA)!?=-_~_C.._ _ __
On .V\ ~ E>~ )JJDfo me, _ __

, ~before '--;)
_./1_ P. r-=-- ~~
~ -''- ~,~......-=.,.,,,(l) . ___
(here msen name and h Ile orllk officc}
personally appeared C;iRJs ~J'<,J lb ;r1 :S: eh \.6 <:&1" ~ $ 1 ) , n d
personally known to me (or proved to me on the basis of satisfactory evidence) to be the person
whose name is subscribed to the within mstrurnent and acknowledged to me that he/she executed
the same in his/her authorized capacity, and that by his/her signature on the instrument the
person, or the entity upon behalf of wh1ch the person acted, executed the instrwnent.
WTINESS~ official seal.
Signature: -·-• ~
--
0
Ci> 06 1756878
-80- 4934-37690\CCRS\ 586567 13
7/6/06
REQUESTED BY:
First American Title Company
WHEN RECORDED, MAIL TO:
ING Realty Partners

601 South Figueroa Street
Suite 3400
Los Angeles, CA 90071
(Space Above for Recorder's Use)
FIRST AMENDMENT TO
DECLARATION OF COVENANTS, CO~ITIONS, RESTRICTIONS
FOR
LITTLE TOKYO LOFTS

FIRST AMENDMENT TO
FOR
LITTLE TOKYO LOFTS
THIS FIRST AMENDMENT TO DECLARATION OF COVENANTS, CONDITIONS,

RESTRICTIONS AND RESERVATION OF EASEMENTS FOR LITTLE TOKYO LOFTS
("First Amendment") is made by HAMMER IRP LTL ASSOCIATES, LLC, a Delaware
limited liability company (the "Declarant").
PREAMBLE:
A. On August 8, 2006, Declarant recorded the Declaration of Covenants, Conditions,

Restrictions and Reservation of Easements for Little Tokyo Lofts (the "Declaration"), as
Document No. 061756878, of Official Records of Los Angeles County, California (the "Official
Records").
B. The real property described below is subject to the Declaration:
Unit Nos. 1 through 161, Association Property and Common Area

as shown on the Residential Condominium Plan for Little Tokyo
Lofts, Recorded on August 7, 2006, as Instrument No. 061739947,
(as may be amended, the "Condominium Plan"), in Official
Records. The Condominium Plan covers Lot 1 of Tract No.
53922, as shown on a Subdivision Map, Filed on July 18, 2006, in
Book 1319, Pages 88 to 90, inclusive, of Maps, in Official
Records.
C. Under section 13 .2. 7(a) of the Declaration, as long as Declarant owns any portion
of the property described above, known as "Little Tokyo Lofts" ("Project"), Declarant may
unilaterally amend the Declaration by recording a written instrument signed by Declarant for the
purpose of, among other things, amending, replacing or substituting any portion of the
Declaration, or any Exhibit thereto or portion thereof, to correct typographical or engineering
errors, or to change any Exhibit to conform to as-built conditions.
D. Declarant is the current owner of Unit No. 101, as shown on the Condominium
Plan. Declarant has amended, or is concurrently amending, the Condominium Plan for the
Project to designate a portion of Unit I 01 (as shown in the original Condominium Plan) as
Association Prnperty, to account for the as-built condition of Unit 101 . Such Condominium Plan
Amendment requires a change to the approximate base square footage for Unit l O1 as referenced
in Schedule 1 to Exhibit E to the Declaration ("Schedule 1 ").
E. Pursuant to the authority cited herein, and Declarant's rights under law, Declarant
now desires to amend the Declaration, specifically Schedule 1, to account for the amendment of
the Condominium Plan and to implement the resulting correction in Schedule 1.
-1-
THEREFORE, DECLARANT DECLARES AS FOLLOWS:
1. SCHEDULE 1. Schedule 1 to the Declaration is hereby deleted in its entirety

and replaced with Schedule 1 attached hereto.
2. TERMS; RATIFICATION. Except as modified herein, the capitalized terms

used in this First Amendment shall have the meanings given them in the Declaration. The
Declaration, as amended by this First Amendment, is hereby ratified and affirmed by Declarant.
{SIGNATURES ON FOLLOWING PAGES}
-2-
[FIRST AMENDMENT TO DECLARATION OF COVENANTS, CONDITIONS,
RESTRICTIONS AND RESERVATION OF EASEMENTS}
Dated: _'2.._;./_
1 ,0
_ _ _, 201_£ HAMMER !RP LTL ASSOCIATES, LLC,
a Delaware limited liability company
By: HRV LITTLE TOKYO, LLC

a Delaware limited liability company,
Member

a California limited liability company,
Its Manager
A notary public or other officer completing ·s certificate verifies only the identity of the
individual who signed the document to which this certificate is attached, and not the truthfulness,
accurac , or validit of that document.
STATE OF CALIFORNIA
COUNTY O F ~ I): ~o .S.C. BERKOWITZ, NOTARY PUBLIC

On ~\l'J ,J..-v 1 > beforeme, _ _ _ _ _ _ _ _ _ _ _ _ _ __
(here insert name and title of the officer)
personally appeared _ _ _~_o_~_H_tA_~----------------
who proved to me on the basis of satisfactory evidence to be thei,ie~on(whose names are

subscribed to the within instrument and11cknowledged to me that~ ·e,cecuted the same in tfteff' t,,,-..:~
authorized capacities, and that by tbei{'~fgnature.1'on the instrument the persoQ(, or the entity
upon behalf of which the persont' acted, executed the instrument.
I certify under PENALTY OF PERJURY under the laws of the State of California that the
foregoing paragraph is true and correct.
Signature:
(SEAL)
-3-
-
Schedule 1 to Exhibit E
Approximate Square Footage of Residential Units
2,207 901 791 704

2,153 901 787 703
2,032 901 786 702
1,927 899 783 700
1,559 (formerly 1,894) 896 781 700
1,507 896 780 700
1,304 896 777 699
1,302 895 775 697
1,296 889 774 697
1,287 885 771 695
1,286 884 770 693
1,286 883 766 693
1,281 883 760 692
1,205 881 755 692
1,201 876 751 690
1,200 876 750 687
1,142 876 748 685
1,138 875 747 682
1,137 874 744 682
l, 116 871 743 680
1,115 868 737 678
1,113 867 730 676
l, 110 864 730 676
1, I04 863 729 676
1,099 861 726 675
1,065 859 724 673
1,056 844 721 670
1,053 827 721 667
1,033 813 721 667
1,028 810 718 663
996 809 717 663
992 807 717 659
986 806 714 655
986 804 712 651
968 801 711 623
967 800 711 610
966 798 711 603
965 796 711 601
962 792 709
959 792 708
918 791 706
-
CALIFORNIA ALL-PURPOSE
CERTIFICATE OF ACKNOWLEDGMENT
Anotary public or other officer comploting this certificate
State of California verifies only the ldenlity of the Individual who signed the
document to which this certificate Is attached, and not
lhe trulhfulne$S,accurecy, or validity tll that docu l
County of
S.C. BERKOWI
On 2-\ IC) t<_ before me, _ _ __ _ __ _ _ __ _ __ _ _ __ _ _

(Hefe insert name and title of the officer)
personally appeared _ _-_

J_o_r.J
__Hi_ _M_t_r
_CAM _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ __ _ ___,
who proved to me on the basis of satisfactory evidence to be the perso~whose narne'-81§)'.are subscribed to
the within instrument and ~k.nowledged to me that ~ ll&'the,r executed the same in J@Rer/t! yauthorized
capacity(i~ and that by ~efftlµm signatur~ on the instrument the person-'8(or the entity upon behalf of
which the person~cted, executed the instrument.
I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph
is true and correct.
~ -C'. (~ 4 1 t-.lrJrri- l ,d}(t1. ·

Signature of Notary Public qe;; ( Notary Seal
ADDITIONAL OPTIONAL INFORMATION

INSTRUCTIONS POR COMPLETING THIS FORM
Any acknowledgment completed /11 California must contain verbiage exact(v as
DESCRlPTION OF THE ATIACHED DOCUMENT appears above m the 11ota1J' section or a sepora1e aclmowledgment form must be
proper~i· completed and al/ached to that doc11ma111. The only exception is If a
document is to be recorded outside of California. In such i1mances. a11y alternative
aclm01tledg111e111 verbiage as may be printed 011 .mch a docume/11 so long as the
(Title or description of nttached document)
verbiage does 1101 requlrt 1he 1101a,,, to do something that Is I/legal for a nota1y In
Caltfarnta (i.e. certifying the authorized capacity of the slgne,-). Plerue check the
document careful(v for proper 110/al'lal uor-ding and af/ach this form tfreq111red
(Title or description of attached document continued)
• State and County information must be the State and County where the document
Number of Pages _ _ Document Date_____ signer(s) personally appeared before the notary public for acknowledgment.
• Date of notarization must be the date that the signcr(s) personally appeared which
must also be the same date the acknowledgment is completed.
(Additio11al information} • TI1e notary public must p1int his or her name as it appears within his or her
commission followed by a comma and then your title (notary public).
• Print the name(s} of document signer(s) who personally appear at the time of
notarization.
CAPACITY CLATMED BY THE STONER • Indicate 1he correct singular or plural forms by crossing off incorrect fonns (i.e.
he/she/tiler,- is /&Fe) or circling the correct fonns. Failure to correctly indicate this
D Individual (s) information may lead to rejection of document recording,
D Corporate Officer • The notary seal impression must be clear and photographically reproducible.
Impression must not cover text or lines. If seal impression smudges, re-seal if a
(Title) sufficient area permits, othenvisc complete a different acknowledgment form.
D Partner(s) • Signature of !he notary public must match the signature oa file with the office of
the county clerk.
D Attorney-in-Fact ❖ Additional information is not required but could help to ensure this
D Trus1ee(s) acknowledgment is not misused or attached 10 a different document
D Other _ _ __ __ __ _ __ _ ❖ Indicate title or type of attached documeot, number of pages end date.
❖ Indicate the capacity claimed by the signer. If the claimed capacity is a
corporate officer, indicate the title (i.e. CEO, CFO, Secretary}.
• St:curely attach this documenl lo th~ signed ducumtnl
- ==:=:: -
?MR Vr.-.:inn rAPA vi? 10 07 ROO-R7J-9R65 WWW NotarVClasses.com
EXHIBIT "B"
08/08/06
• --r ·1 ill\il 111ll COl,j,\ltY LOS f.i~iG}'tt~.
t111.i1 ·"·"- I (
'
RECORDING REQUESTED · I 06 1756879
FIRST AMER.lCAN TITLE COMP ANY
WHE.N RECORDED MAIL TO:
JACKSON, DeMARCO nncs &

PECKENPAUGH (BW(.)
2030 Mam Streel, I 2'h Floor
Irvine. CA 92614
(Space Above For Recorder's Use)
MUTUAL BENEFIT AGREEMENT

BElWEEN OWNERS OF MIXF.D USF. PROJECT
(Llttlr. Tokyo Lofts} .
This Mutual Benefit Agreement between Owners of Mixed Use Project

{this "Agreement') 1s made betwt:c11 Hammer IRP LTL Associat'l!S, LLC, a Delaware hmned
liability company (the "ProjtM Dl'Vt>loptr"), and Little Tokyo Lofts Community Association, a
Cal1fom1a nonprofit mutual benefit corporation (tne "Residential Association').
REClTALS
A. The Project Developer owns t'1e mixed use condominiwn project known as "Littlt-
Tokyo Lofts" in the City and County of Los Angeles, California (the "Project"'). The land on
which the Project is located is legally descnocd on fu·hibil A attached hereto (the "Prop,my").
B. The Project is divided into the folJowmg two areas:
(I) 1 he "Re.-..rdentia/ Ar2n. '1 as more pa..>11cularly descnbed on Exhi.bit B

attached hereto and on the condominium plan identified therein (the ''Residenrial Cnndominium
Plan''). The Resid~tia] Arca includes (a) residential Condominium dwelling units
{the "Residential Condominiums") (b) exclusive use easem£nts appurtenant to each .residential
Condommrnm (such as patios) (the "Reside,lfia/ Exclusive Use Etueme.ntsj, (c) certain
Wldivided interests in the Common Arca (Residential), and (d) a multi-level parking garage (the
"Garage") and all other portions of the ProJec!., mcludmg the land and air w1thm the b01mdaries
of the Project, available for tl1c commoi I use and enjoyme..n1 of the o-wncrs and occupants of the
Residential Condomimwns but expressly excluding the Commercial Area dl!Scnbed below (the
"Residehtial Assodafio11 PropP.rly"); and
0
Oo (2) The "Commercial Arean· as more particularly described on Exhibit C
:1t"..acbed hereto and the condominium plan identified therem (the "Commucinl Condominium
Plan"). The Commercial Area includes of (a} Commerc,al Condominium Un.its (the
O•
·l• 4934-37690\AGRM1' 5sa,w.l li

7/6/06
• I
08/08/06
·•Commercial Condominiwr.s''), .llld (bJ certain undivided interests m the Common Area
(Commercial).
C. ?ort1c.,11:., 01 lht: L.ommcrc1aJ Arca have oeen leased 10 commercial tenants under
the following leases (collect1vely, the "Cummerc10/ Leosl!S'"I
(I) The AfREA Lease (Multi-Tenant/Gross) dated April 22. 2002, between
Little Tokyu Lofts UC ('LTL "), as Landlord and C1hfom1a S•lk, Inc. (.,California Silk"), as
Tenant, covering lhe premises (conlaining npproximately P.780 square feet) sht)w11 on
Exhibit D attached here:o (the "Ca/iforni.a Silk Lease") The Cahfomiil Silk I .ea,.e provides for
California Silk to operate a consumer goods impor., wholesale. retail and warehouse facility in
the premise-c;
(~i Th.., AIRE A J.A-asc ('.f1.lt1 Tenant/Gross) dated March 7, 2003, betweeH
Little Tokyo Lofts, as Landlord, and Caffc Roma ("Ca/ft Rtlmaj, as Tenant, covering the
p-l"mt<:l"S (cont,umng approxunatel)' 1,300 square fe<:t), shown on Exhibit D (the "Caffe Roma
Lease") TI1e C,ffc R,>m2 Lease provides fer Caffe Roma to operate ~ restaurant/cafe in the
premises.
(3) The AIRFA Lea~ (Multi-Tenant/Gross) dated June 11 1999 between

Almanson Properties, L.P .. as Landlord, and Unison Gifts, Inc. ("Unison Gifts'j, as Tenant,
covenng the p,~misc!'. (umtaimug appro;,:.1matcly 9,700 square feet) shown on Exhibit D (the
"Unison Gift,; lease"). The Umon Gift Lease provides for Unison Gifts to operate a gift sales
and warehousmg business in i.he premises. The Uni.s.on Gifu. has sublet lhe prenuses to Max
Choie~ F111erprse. Inc. (",\lax Choire") under the t\IREA Standard Sublease dated Mo.rch 17
2003 (the "Max Choice Subleusej. The Max Choice Sublease provides for Max Cho1ce to
operate a wholesale., warehouse and showroom in the premises.
California Silk, Caffe Roma. and Max Choice are herein each a "Commerci(l/ Tmant"
and Me collectively th!! •·commercial Tenanb .
lJ. Substanhai!y c.on1,,um..nU1 wnh ru.ordmg nus Agre1m1ent, lhe Project Developer
is (1) recording a Dt-c.lara.ion of Covr-nanl· r inJit:ons and Restrictions :m<l Reservation o·
f-.asc.menls for Littll. Tokyo Lofts {the "Residential Declaration''), (2) convtying the Resiuenl1al
Association Property to the Residential Association and (3) conveymg a Residential
Condominium to a Rt>s-idential Associ:>tion. Unless othcrwi~t" defined herein, the capitalized
terms in this Agrecmmt shall have the meanings given to them in the Declaration, and in the
Residential Co111lo1niiuunl Plan and the Commercial Condommiu.m Plan (coUectivdy, the
"Condominium Plans"}
E. ll1e Commt'Tcial AI-::R and Residential Area, although legally separate rea 1
pn.,peny 1nter~h, a.re commonly located w,tlun the ou1ldmg adjacent 10 lhe Garage (lh1,;
"Buildings") and share certain building components. The physical rel:itionship between the
Commercial Area and the Residenlial Area requires mutual cooperation and allocation of
responsibilities between the Commercial Owner (defined in Paragraph 1 of this Agreement) and
!he R(!tiidentifil Ass1Xi..anou rc:g.arding the use and mrunlen.ance thereof.
,..,
C"•
06 1'158879
-~- •9~4-)76~GRM1' 58844,I ~
7f6/06
08/08/06
'le P· ;- 1.., Develop ,;. ; the Res1den· 1 • • , • ,,n de c ,. en1 · • . -J is

A~eemc!lll to p1ovide fo r. ( I) a11 interface between the rights and obhgations of the Parties under
lh.ls Agr.i-emenr and the nghts and obhg.at ioru. of the Commercial Owner and the Commcrc1al
l cm!.nl:. under lhc \-oirur1e1c;1.il Leasw., , L) the pv~ib lc foture funn aticn of a c;omm cicial ow11c r:,
assoc1a11on (the "Lommucial AJsoczation 1 and 1he assump11on of the Commercial Owner's
obltgattons under this Agreement by the Cornmcrcu.1 Assoc1at1on; {3) the 1mpositton of certain
use rcstnclions OI' the use -md ocr.uminr-v of rhe R~sidemial Are11 and Comm~ial Area (4) the
perfonnance of the Shared Maintenance ObliStat1ons (defined m Secuon 3.2 below) by the
llesi.ocntia; As:.u<.aL,:m or 1t bent.ti, oJ b-,11, 1e.:> .... 1l111,,al t l,.,nc1 ... d<.n r.Jh: 11,e. ommc.c,1
Owner; (5) the reimbursement by the Commerc,al Owner o f a portion of the Shared l::.xpenses (as
defined in Section 4.1 below) incurred by lhe Residential Association in performance o f the
Shared Mamtenance Obhgattons; (6) the creation ot ccnam nghts of entry and casements
<1ppurtt"Tianr t •he ('. · 1f'Tlfr 31 Area lnd Rcs1,'en1,a' Area and (" 1other purposes as set forth
below. The Residential Association, the Commercial Owner and their successors and assigns are
-.. forrr.J to Ill ,h,s ,A.g.rt't: 'lt''I' , ullec. 1iv..J,,, .;_.., th " Parties'' and mdividu illy as a "Party." The
Project Developer and the Residential Assoc:ation intend that this A greement be :1 r ovf'.nant
running with the lan<l pursuant to California C1v1I Code Section 1468.
AGREEMENT
The Parties confirm the accuracy of the foregoing recitals and agree as follows:
I. Commercial Aren-
I. Commercial L.::a. "'.. · 7i,is ·,gi. ement 1c ,,_ i, d t1 -:i· :hitll :

mcrease a Commercial Tenant' s obligations or decrease a Commercial T 1:nant' s right:. wu.ler its
C ommerc1al Lease. lf there 1s any c onflict b etween the provlSlons o f any Commercial Lease and
this Agreement concerning the Commercial Tenant l> rights and obligation;. u.oder that
rommer("l<tJ Lease. th1,; Commercial I .ease pro •1sions shall control and prevail conccrrung the
Commercial Tenant. Notwithstanding the foregoing, however, if there 1s any cont11ct between
:hi.; provismns uf :my Comrnerc,a.1 Lease and this Agreement concerning thr- C ommercial
Owner's rights i1nd o bliga1ions under that Commercial Lease (a) the prov1s1ons of this
Agreecm. &hall wm:·o. ano prcviu1 ovt:r 1.J1t Lurmnt'TC.1Jl L<:.dSc .lS 1>etwte1, U1t. Residential
I
Association and the Commercial Owner, and (b) the proV1S1ons of the Commercial Lease shall
control and prevail over th1s Agreement as between the Commercial Tenant and the Commercial
Owner.
1.2. New Leases and Amendments. Ally (a) term extenston or renewal of
,,, 1y of lhe existing Conm,crc1al Lc.:.Ses (except pursu211t to an option to renew m favor of the
C'oTTJ.mercial Tenant th~under) or (b) new lea~e of ;u,y portion of the Commerctal Area after the
dat~ on which thh Ag.n::emeut 1s .-t.'COraed it.ac.h a 1\-ew Least') &hall be subJl:(;l and subordmatc
to this Agreement and the rights and obligations of the landlord and tenant thereunder shall not
be inconsistent With the rights and obligauoo.s of the Parties under this Agreement. No
Commercial Lease may be amended m any way that 1s contrary to the terms ot this Agreement.
1.3. Commercial Owner. The "CommercJal Owner" under tlus Agreement

sliall be {a) the Project Developer, (b) any successor owner of the ent1re Commercial Area, md
I, •
-3- 06 1 75 ~t?l~vRMl\5~· 7/6/06

08/08/06
r · 1· , 1· •· 1r concur ·• ·., u • f a Commercial

(.ondomimwn to an enuty wlfdatcd to lhc PioJ~l D,;:vdope1,..:; ctpph<;able.
1.4. Sak of Commercial Units. Befort! or ~ubst::uitially co~(,un ..nlly w,,h lh'-
lransfer of at least one (I) Commercial Condo,nini-.im Ill an entity WU'elatcd to the Pro1ect
Dcvt:lopc.:r, the CommerciaJ Owner shall do all of lhe following:
(a) Comnurcial A.l.sociation. 1be Commercial Owner shall form the

Commerr·-:' '.. •"· r-_ · .n · I'"\,_ ; .,·; ·,..;.;.·--: 1' r·t>- , -~ ~, -·1s:'.T ·r.~
under LbJ:;; Agreement 10 the Commcrc1al Assoc1atw11 cil any 1111,c o.1',;:r lhe ionnauon thereof, bul
shall be required to tr.msfer lls nghts and responsibilities as Commercial Owner 10 the
Corr.rm., ...1al Associ;.1ion c,nly upon the tran.,fer of ...1 l..:,,..:;1 01w (l) Cvmmercial Londomuuum to
an ennty unrelated to lhe Commercial Owner.
(b) Commercial Declaration. The Commerci.sl Area will be made

sub1ec1 to one or more dcclara11ons of covenants. conditions and restncl1ons, either before or
,· ,· , P 1rrcntly ~ · , ·: · ,. rin:i.tion r r.,· C,..,1 . r :1 .. 1~ _s01.1allun, governing
uµc1atu:,n ol U1e Co11w1t:rcial A~iahon aml ownership, occupancy, use and maintenance oi the
Conuncrc1al Area (collcchvely, the "Commuciol Declorotio1,")
(c) Other Requirements The Commerci:11 0\J,,'Tler shall obtam any

addluonal gove11m1l!l1tal appruvah., record any Commercial Condomm1wn Plan amendments and
take any other actions required in connection will1 !he sale of individual Commerc1'.\I
CondOflllmurns.
15. Single Unit.

lf lhc -..:01runc1c1.<1l Area a:. i,hown on lhe Commc-rc1al
Condominiwn .Pian is determined to be contrary LO any City approvals for the ProJect, the
Conunc, ...i..u Area shall be de~med Lo co~titUle a single wur· tmdu Ult: junsdiction of the
Residential Association and the Residential Association shall be governed by the provisions ot
this Agreement concerning the Commercial Area.
2. Use RestJ'ictions. !:)ubJecl to .Sect1on I.I, no part of the Commerctal A:rea or

Residential A"· , · t / " ., J y'-·"" _, :ent \, i1h :he L,muncr-.;1..l Ded.llulio11 (11
applicablq or lhc R\,;S1tl..:ntial Dedillahon, r«=spo..ltvely, or with applicable onlinancc:s oflhe City
of Los Angeles (the ''CiJyj.
2.1. Restrit:tions on use uf Residential Area Neither the Residential

Assoc1alion nor any pen.om. entilled lo use or occupy any part of the Residential A:rea under any
lease, deed, lic;ense 01 uU1er dITangcim.,1t arul their respective employees, agents, visitors,
contractors and inVltees ("Residential Permuees'') may perrmt, or cause to be permitted, any
11..1,qti"': v ..;·.101.....t ,,.,,'l n.1 11c.1 1... ly, <1,' ..r!c.l:, .J!l .. unrea:.cnablyatkctso1 :merfortSwllhthe
Commercial Arca or the operation of any business therein, mciuding without !mutation, watenng
plilnts. shaking rugs, or otherwise rclcasmg water, dirt, dust and other substances outside of
-=-· "'indow:. or fiom Rt;si&ntial uclusiv... U s e ~ locatt:d 1WOve the Com.rm:1c1al Area.
2.l. Re:,tricttooi. on ~~ of Commercial Are.a. Subject to Section 1. l, neither

... the Commercial (hvner the Commercial Tenants, nor any olher persons entitled to use or occupy
any part of the C,omrnerctal Area under any lease, deed, license or other arrangement and their
-4- .:.llJ,;-37690\AGRMl\ Sii-U4 a

116/06
06 1756879
08/08/06
respective. c:mplovee~ agent£. v1s11or:,, contractors and 1r,v1teei. ( 'Commercinl Permitees '} ma)'
permit, or cause to be permitted, (a) the operation of any adult businesses (mcludmg without
limitation, adult bookstores, escort ~rv1ccs, gentlemen's clubs and tattoo parlors), arcades. dance
clubs or bars, or {b) the mstallat1on of moving signs or lighted signs that pem111 the unreasonable
e,;capi:- of light iT'lo -my Pcs1dl'nt1al Condomimwn. Ir, add1110n, businesses operating withm the
Commerc,al Area shall be subject to the following limiUltions on hours of operation: (a) no
busirn:ss wi1hrn t.l1e Ct,mmac.1al AJea may be orc11 for business between the hour., of 12 01 a.m
and 6·59 :i.rn., ar:d (b) no deliveries to the Comrnerci11l Arca shall be permitted before 8:00 a.m .
or after 7 :00 p.m For purposes of this -\greemeni. Residential Permttees and l...Ommercial
Pennitees are hereinafter collectively called !he "Permitees."
23. Increased Insurance Premiums. Neither Party, nor its Permitees nor any
mernbc:- of Lhe Commercial Association (1f formed) or lhc Residential AssOC1ation shall possess
or sell from any portion of the Property any merchandise or substance or perform any activity in
rclat1on to the use c,f the Propeny which would ta) cause tne actual or threatened cancellation of
any insurance maintained hy the Rc.<:i\knlial Associalion ilnd C'ornmercial Owner or Commercial
Asscc,auon, :is applicable, covenng e:ict. parties respective portion of the Property or
(b) increase the premiums for such insurance over the rates wluch would otherwise apply, unless
responsible Party pays for the amount of the increase in insurance costs.
J. Maintenance and Operational Obli.gations.
3.1. Commercial Maintcnanc~ Obligations. The Commercial Owner, at its

sole cxpcn;;c, shall maintain, repair and replace the c.omponcnts in the Commercial Area
designated on Exhibi.t E attached hereto (the "Commi:rcial Maintenance Obligations"). The
Commercial Maintenance Obligations shall be performed in conformance with good business
practice<; and in compliance with the Commercial Leases and all applicable building codes and
laws. In performing its obligations under this Section 3.1, lhe Commercial Owner shall not take
any action that materially, adversely or unreasonably affc~{s the structural intetrity of the
Residential A.sea nor interferes with any of the utilities serving the Residential Area.
1,., "h:arP.d Maiutenanc~ Obligations. The Residential Association shall

perform the funcllons, provide the services and maintain those portions of the Property uescribed
on Exhibit F attached hereto ("Shared Maintenance Ob/iga1ions") in confonnance with good
business practices and in compliance with the Residential Declaration and all applicable building
codes and laws. The Shared Maintenance Obligations shall be performed as a Shared Expense
(dcfol<:<l iu Sl.:(.tion ~-1 below) of the Ccmmeicial Ownc1 and the R~itlt:.nlial Assoc.ialion. The
Residential A.~;,tlon shall prepare and deliver to the Commercial Owner no later than October
l of each calendar year, an operations .md maintenance plan (the "Maintenance Plan'') for
performing the Shared "1aintem~nce ObhP.ations for the followmf! calendar ,ea:. fl,c
Mainleu.am;e Plan shall i11Clude the ~pt:l-ific.alioru. foi maintenance uf all pottions of the Property
that are part of the Shared Maintenance Obligations. The Commercial Owner shall review.
.-. '.lpprovc or disapprove the Mamtmarc Plan within thirty (30) days after delivery thereof. which
0
-=·· approval shall not be unreasonably withheld. Any dispute relating to the Maintenance Plan shall
,::-. be resolved pursu:ml lo the J1~u1e rt:Solution proceaure set forth m Section 9 oftlns Agreement.
06 1756879
-5-
08/08/06
~-, "esid,•1::.d\T,;r.1" •·il : (',b1i,.,r'ur T R1:.:;;· ti' , :a ·.,r,·J... I'.

m amtaln, repair and replace oil portion:. o t the Propeny uthct tha1, tho:.c porllon:. that the
Commercial Owner 1s obligated 10 mamt,un pun.uant to Sei:11on 3.1 above and that arc not
dcsign.iled ...s Sha:cd M amtcnance Obligations pursuant iv Section J.2 dbo1,,1; (Lhe ·R,.s1de11tial
Maintenanu Obligatio11S") at its sole expense The Re<sidenual Maintenance Obhl!Pllons shall
be performed by the Residential Association m confonnance w1th good business pracuces and m
compliance wi1h lhe Re~idential Dt'.c-lm.11ior !lni! l'r apphc<ib)e building codes and laws. The
Res1dent1al Associauon shall 1101 matenally. adversely or unreasonably affect the structural
1m-:gnt1 -i t1te '~ommc: ...131 /,re.a no, 1r.t-:11cr<. \I,. ll, .m1 o: L ... u11ht1es st1vmg .he C<immcrc1al
Area m perform mg 11s ob ligations under ttus Section 3. 3.
3.4. P Qt t.oolrol. 'I he l.01nmcrc1a1 Uwner and Res1dcn11al Assoc1at1on snail

pcrfonn their own ptst control except where a comb·ned effort ,s necessary or desirable If the
Res,dcnlial Assoc1at1on elects or ,s required to fwmgate the Building for termites or condllct
other pest control that .:vot.lcl potentially adversely affect the business us.;~ in the Cc,mmtr\,ial
Arca, lhc Residential Asrociation shall provide thr Commercial Owner with a, least thirty (30)
d.1y;, bt.km. i1l•Y "ud lJwll'llent and -~h.ill consuh w11h the ( ummeic1a· Ownt>r regimhnE
scheduling thereof and methods of conducting such fumigation efforts in a manner that
minimizes any adverse affec1 on the business uses in lhe Commercial Area.
15 Cooprnhon ·, hi- C:nmmercial Owner wd the R~s1den1tal As~oc-,~tion

shall cooperate with one another in good faith in the perfonnance of their obligations Wlder this
Section 3.
4, Sb.-red Expenses/Examination of Records.
4.1 . Shared Expenses. N o later than October l of each calendar year. the
.i{esiJeolla. Assoc1at1on shall prepare and deliver to tbe CommeTC1al Owner, for its reVJew.
approval or disapproval (which approval ,hall not be unr~onably withheld) a budget showmg
the expenses necessary to perfonn the anticipated Shared Maintenance Obligations ( ..SJ,ared
Exp~nsnj !or the !ollowmg calendar ye~. Upon approval of' the budget for each calendar year.
the Commercial OwneT shall reimburse the Re!'.idential A$<;0Ciation for the Commercial Owner'~
port101. 01 tlH:; ~hi.tl'co ~xpcnses ( ·Commerc,al Ow11er ·, Proportionate Share ) tn twelve ( 12)
equal monthly payments. begmrung on January 1"' of each year. The Commercial Owner's
Proportionate Share is calculated pursuant to Exhibit G attached hereto. lf the Residential
Assocta110n at any nmc. because of unant1C1pated expenses, reasonably determines that the
hudgetcd expenses set forth man approved budget will nN t,,- •<lequ~te to pay the l'!ctu:il Sh'U'C<l
Expenses for a calendar year, the Residential Association will deliver a revised budget to the
Comm~ial Own~r fo, .-.. further revi, w clflll dp[)r-,val ,11 <lis ..pproval md the revised budget.
afler approval ~Y the r.ommm:ial Own~r (which approval shall not be unreasonably withheld),
,hall be the basis tor th~ payments 10 be m:½de by the Commercial Owner for the remwnder of
the calendar year. On or before the end of each calendar year, the Residential Associahon '!hall
mo.kc an accounting of the Shared Expenses actually and reasonably incurred for the previous
calendar year and shall refund to the Commercial Owner any payments delivered by the
,::, Commerc1al Owner pu~t to Uu<: s~10n 4.1 ir. excess of the Commercial OwnCl':.
,-..,
proportionate share of the Shared Expenses actually and reasonably incurred by the Residential
,--,
Association. Aily chspute relating to the budget or the amotmt of Shared Expenses actually
-Q-
7t6/06
06 1756879
08/08/06
incurred by the Cor-Mercial Q,,,.11e sha1l t,t. rl'.'S(llve 1 pursuan to l} e dispute resolu1ion
procedure sel forth m St:cl.Jon 9 of tJus Agreemem. lf the Commerc1al Owner fails to pay any
Installment of the Commerc1aJ 01,1,11er's Proportionate Share when and as due under
Sewon l I . 1(o), 111c Comm~ ial Ownci shall b1. in default and the A5;,ociation ma)' bring a legal
action under Section 14.16 to e nfoice that payment obligation.
4.2. El.':aminatioo of Records. The Commercial Owner may, from time to

lime, examme and make cop1es of records o f the Res1den1ial Assoc1allon pertaining 10 the Shared
Expenses for a pan·cuhr cakn(lar year da i ng hack not more than three {J) years, which rights of
exammallon shall be the ~rune as Jiose hdd by an owner of a Rcsidcnlial Condomm1~ as set
forth m the Res1dennaJ Declaration or as otherwise provided by applicabie law. T his nght of
exammauon must be a.:r.. i:.t:d dunng 1easonable b usiness hours at I.he pn nc1pal records office of
the Residential Assoc,auon and on reasonable prior nol1ce 10 the Residential Association. If the
audit discloses any overcharge m the Shared Expenses, the Residemiai Association shall
promptly r:!1mburse (wnhm thinv (JO) days) t~ CommC"rcial °'vni.-r for his sh are for any
overcharge· and if the overcharee exceeds th.rec percent (3%) of the actual Shared Expenses, the
Residen1ial Assoc1at1on shall n:11nbu.rse the. Commerc.ial Owner for 1hc reasonable. t.0s1s 01 the
examination oflhe records of the Shared Expenses.
5. Bulld10g and Garage Structural Repair1o and Expenses. lf either the

Commercrnl Owner or the R~idemial Associauon determines that the structlll'31 elements of the
Building and Garage a1Iecting any portion of the Commercial Area or Residenual Arca require
repair or rdnforcement that will affect the other Party's property, the Party m aking such a
determination shall notify 1he other Party in writing of its determination and the Parties shall
thereafter within tlmty (30) day~, Joint y aaopt a plan for the invesligauon of the need for such
structural repair or reinforcement and, ifnecessmy. the design and implementation of the repairs
or reinforcement. If the Parties are not able to agree on such a plan or the need or e:xleot of any
such repairs or restoration, the matter shall be detenruned as provided in Section 9 of this
.Agreement.
6. Ea.senwots.
o. l. Easemenu for tbt; Bent.fit or the Commer cial Area. The Commercial
Owner and the Commercial Pcnnitees shall benefit from. and there are hereby estabhshed and
granted for the benefit of the Commercial Owner and the Commercial Permi1ees, the following
easements appurtenant to the Commercial Acea:
(a) Commercial Maisteosni:e ObUeation Easements. Nonexclusive

easements under, lhroug.h and across those pomons of the Residenb al Association Property
rea.c;onably necessary for the purpose of per forming the Commercia1 Maintenance Obligations.
subJect lo reasonable and nond1scnmmatory rules and regulations imposed on the Residential
Association Property by the Residential Association and further subJect to the nghls of the
0 Residenbal Association to operate, maintain and repair the Residential Association Property and
00
the rights of the Owners of the Residential Condommmms to use and enJoy the RCSJdenual
-1- -4934-31690\AGRMT' ltl&444 8

1/6/0(,
06 1756879
08/08/06
,,:1:1:·.~ Ea-.,,., t,t·, "' · cxc u .1. ;..i:.,emen ... lf,Je:·, .hro,:1,,1 ;,::a
across those poruons of the Residc:11t1dl A~oc1dt1on P1oµc::1ty for ace~:. purpose~ m the area
approx1ma1cly shown on Exhibit JJ anached hereto, which include, but are not hm1ted lo, those
illi-i.w bLtv,u:n thL G.:ir.igc vr R.;si.ie111ial As.,,,>C;dl,un P1vpt:rty and lhe Conu11erc1al Area as
reasonably necessarv for the purpose of ingress to and egress from the Commercial Area.
(c) Utillt) EaSemeots. Nonexclusivt easements over. under, through_

and acro~s the Res1den11al AliS0<:1at1on Property for access, ingress and egress, mstallat1on.
·, ·1.u, ., ,.,~:w •~ .. _ni. T.:.:,, ". 1; · .,1,1 J:cin:.g._ .,i,lt:r-, m .;tructure:;, \.,c1ter mam:),
sew1::1:., firt: :.pnn~lt::r :.y:.lt:m lm~. telephones, electncal and communiCBlions conduits or
systems, gas mains and olher ullht1es and services, for lhe installation. maintenance, removal and
r\;pJciCcmcnt of heating. v1::nt1lut1on and 11.11 con<lttionmg systems, ano vents and shafu mstalled to
contain one or more of lht.: foregoing, for the modlficauon or upgrading of any of the foregoing,
and for the mstallatton ot any new utiht1es equipment or savices required by any Pennittee of
tht> Cmnmcr-cial Area (collcct1vely the "'Uri/itiu"). All Ut1hti.:s required to be located within the
RCSJdential Assoc1at1on Property shall he l~ted either entirdy with.in the walls, vents or shafts
ol th1.. Buuc:.mg,. w11h,n ducts or ~ondu:ts WS'l,mar,lv ··,rov1oed ti,r s111:n Utilmes, or
undcrgrowid.ed outside the Building walls, except (I) the heating, air conditioning and
ventilation units and water boiler may be located on the roof of the Building, and (2) utilities
may be installed in condwts located on the ce1hng of the Garage, but only to the extent that such
utilit1~ are tnstaJled in a manner that complies wuh all 'lpplirable law<: and do not otherwise
materially interfere with use of the Garage by the Residential Association or its Pennittees. 1f
th<.. C'.,ornmt rdt!l 0\vner mus 1 caus~ 1_hc: m~t:Jl1:11io1 or ar:y Litilitie:-: across the !{es1aenoal
.A.ssociation Prooerty, (1) such Utilities shall be located in a manner that minimi;,,es any adverse
affect on use of the Hesidenti'"1 Association Property, (2) the affected portion of the Rcsider.tial
Association Property must be replaced or rep11ircd to i1s original condition after the installation of
-me Ulllities and (3) the Commercial Owner musl P1'Y for all r.o,;ls associated with such WOTk
(d) .Easements for Porkiug. Nonc:xclusivt. t:aSemcnts for par.lung

purposes in the portions of the Garage approximately shown on Exhibit I attached hereto.
Neither the Commercial Owner nor 1hc Cornmcrc1al Perm11tce<'. ar~ permitted access to or a11y
p:irl:ing privileges in any portion of lhe portion of \he Garage behind 1}~ residential parkiug
a~e~s gate.
(e) UnimJ)ffled Access Over the Residential As.,odation Property

F.xcepl llS may be reasonably and temporarily necessary in connection with such constnict1on,
maintenanre. or r::pair work as. may be und.naken 2-:\d pcr:ormai in ~,)rdanc, with thi~
Agreement. no walls. fences. or bamers of any sort or lcind shall be constructed or maintained on
any port1ons or tnc Re::.ctcntial A!,_-;ocnt~ri f'ropc"ty 5UbJCCt to the toregomg cdsenienb that
would prevent or impair the use or exercise of any of !he easements gr.mted herein.
Notwithstanding the torcgomg. the Res1dcntbl Association may irn.tall security gates or other
limited access measures restricting access by the general public to the Residential Association
Property provided that the Rc-;.<ridential A-;c;oriarion q1pplies the Commm:ial 0.vner with i;uc.11
access keys, codes, passes or other devices or infonnation as may be reasonably necessary to
-=·
r.-, perm.it the Commercial Ov.'11a aJ.ld its 'PCJmittc~ 10 use or exercise of any of_ the easemc!llts
granted herein.
06 1756879
493'-)i65/l,IAGRM1\ } ........ Ii>
7/6/06
08/08/06
i, ·•• 1< -iserr ent~ for tbe lkoef1 "' tt. Resideutial \rea Ille (' ~1de"lt ~,1
Assoc1a11on and the Rcs1dent1al Perrmtees shall bene.it from, and there are oercby established
and rcscrvetl for lhc bcm:fi1 of the Residential AS);{)\..1alion am] th1.: Rcsidt.:ntial Perrnitet:S, Lhc
following t.3"'ernenb .1ppU.'1t1;.u-11 ;o th.: R.;_,iJt.,1:a1 ,\..;;<1.
(a) H.esideoual Maintenance ObHgalions. Nooexclus1ve e~emcnts

under. through and across the Commercial Arc:a as reasonably necessary for the purpose of
perfonmng the Residential Mamten.ance Obhgauons (but 1101 within the Comrncrc1al
C\, ~or,,n,1.,; •s', 1l;c• 1 :~ ,n 'k a.:d .," ad·s '1-i'nato; JI"· '1d s-i;ulatio1is 1111::...:a >1
tl1e Commerc1ai Arca by Ille Commercial Ow11e1 and to the nghts of the Commerc,al Owner to
operate, maintain and repair the Cornmerc1al Area. Res1dcnllal Association's rights under this
ca.,,cmcnl o.r... subJ.;.;t lo th.: '1bligation 001 to unrca.;onably imc1 ferc with 1hc use or operation of
businesses m the Commercial Area.
(b) Shared Maintenance Obligations. Nonexclusive casements for

ingress and egress 1n, 1hrough, on and over (I} those poruons of the Commerc,al Area as
1.., .! . "" .,, ., r · 11 prlTJ>oi n - ·. I. : , ,1 'e 1'1-io i ''Tl listed H the Sh::i1 J
Mamtenance Obhgauons, and (2) the Commercial C...ondonuruums to the extent reasonably
necessary 10 maint8.lo the Bwlding systems and structural elements of the Bllllding~ provided
however. that, e..;cept in emergency ciJcu.,,stances, such ri 6ht 10 emer rnto any Commercial
Condominium may only he exercised upon three (3) bt.siness days prior notice to the occupant
thereof. Without limning the foregoing, the Residential Association's use of any of the
foregoing acct''-:; c:iu,ements shall remain l:lt all times subject lo such reasonable and
nondiscnmmatory rules and regulanons unposcd on the Commercial Area by the Commcrc1al
Owner and lo me nlj,Jlt. 01 tht Commerc1a, Ov. ncr to operate, maintain and repair tht.
Commercial Arca. Res1dcnt1al Assoc1anon's nghts under this easement are fur1ber subject to the
obligation not 10 unreasonably mtcrfere with the use or operation of businesses m the
Commercial Are.a.
lC) Utility Easements. Nonexclusive easements under, over, across

and through the Commercial Area for the installation, maintenance, removal, and replacement of
water draina~e systems or so-uctures, water mains, sewers. water sprinkler system lines,
tdc:phon(;:;, _,kcmc.al ann -.ommumcal1ons c;o,,dwts or systems. ga.. mams and other uulJues and
sel'Vlccs and for the msl81lat1on, mamtenance, removal and replacement of hcaung, ventilation
and au conditiomng systems (collectively the "Uti/itiesj. lf the Residential Association musl
cause the mstallauon of a Ut1hty across lhe Commcrc,al Area, (l) such Uubnes shall be located
in e manner so as to mmumze any adverse affect on use of the Commercial Area (2) the affected
portion of the Commercial Area must be replaced or repaired to its original condition following
the 1nstallat1on of the Utthtles and (3) the Residential A~ociation mui,;t pay for all costs
associated with such work
td) Unimpeded Access Over the Commerdal Are2. Except as may

be n::asonably and temporarily necessary in coMection with such construction. maintenance. or
1epau work as may be undertaken and performed m accordance with Lrus Agreement, no wans,
,_,
fcnc:.cs. or barriers of any son or kind shall be constructed or maintained on the Commercial
Ar~ which shall prevent or unreasonably 1mpau the use or exercise of any of the casements
reserved herein.
06 1756879
-9·
08/08/06
6.3. Limitations fhe ng.ht:- o, the Commercial Ownrr, the Residential

As:;oc-iation or the Pc..111111.e~ over the Property shall be subJect to I.he Residential Declaration and
all other covenants, condltlons, restnct1ons, easements, reservauons, nghts aod nghts-of-way,
rcconJe<.I now or m the lulure dgainsl me Propt:ny; providcJ, however, that no i.t.X:h documents
shall wu-easonahly impalf the e~ement nghts of the;; Parties w-.dcr this Section 6.
7 Insurance.
., I ,, opt rt_ Clbualt\ losur·~oce T" c Rt.~11.knt1al -\;,WL . dl!Cltl shall
purchase and mamtam nre and casualty 1ns~rar.ce as proY1ded m Art1c le 8 of the Res1dent1:u
Declaration. The cosu; of this property casualty insur.mce shall be a Shared Expense (defined in
Section 4.1 ). Nol.\\ iJistanding, the foregoing, the Commercial Ownt.r and/or its Pcrn1inees sh:tll
be solely responsible for obta:ining insurance coverage for the replacement and/or repair of
improvements. trade fix lures and perronal property Iocaleo in lhe Commercial Condominiums.
7.2. Property Liability Insurance. The Residential Assoc1alton shall

purchase and rr ain1ai I public liab;r y nsurance as pro· ided in Anicle 8 of •rie Residential
Declaral1on. Thi:: Commc1c1al Ov.ner. the Residential Association, therr Pennnees and any of
their lcndcn; or property managers shall be named as additional insureds m this policy, insuring
c1gains1 any liability ansing out of lhe maiotenan.:-e. use or oc.::upancy of the Propcn:,. The cosb
of th1s property liability insurance shall be a Shared Expense (defined in Section 4.1}. The
Commercial Owner and/or 1-'erm,nee of any Commercial Condominium shall have the nght to
o btain and maintain nich ::idd itioMl property liability insurance as such pany may deem
advisable but the maintenance of such addnional property llabilitv insurance shall not release the
Commercial Owner trom paying 1ls prop-0I110natt share of lhe cost of the property liab1liry
msurance maintamed by the Residential AssoctallOD as a Shared Expense.
7.3. Waiver·i> of Subrogation; Ci:rtifica1ei,; Nu Cancellation or Reduction

Without Notice. The Residential Association and the Commercial Owner, on their behalf and
on behalf of their Pemntees, waive, 10 the extent of such inSllDUlce proceeds as. each may
actually recei\'e, all rights of recovery as !hey might have agains1 each other and their rcspccnve
Permitees and ins~ concerning all perils covered by whatever casualty insurance is in effect
trom umc to umc. All insurance policies lo be mamtaincd for any portion of the Res1denual
Area or Commercial Area. whether pursuant to this Agreement or otherwise, shall provide for
waiver of rights of subrogation to the extent available on commercially reasonable terms. AH
msurance policies to be mamtamed under tlus Agreement shall further proVlde. that the insurance
provided thereby will not be canceled or the coverage reduced below the amount stated therein
without at least sixty (60) days' notice to the Commen:ial Owner. The Residential Association
shall provide to the Commercial Owner proper certificates evidencing the coverages required
under this Section 7
&. Damage and Restoration. In the event of damage to or destruction of the

Commercial Area. or to portions of the Residential Association Property over which the
Commercial Owner and Commercial Penmn.ees have any easement nghts, the following
provisions shall apply-
06 1756879
-HJ- 4934-31690\AGRMT\ 588#1 8
7/6/06
-
08/08/06
8.1 Obligation of Residential Association. Subject LO ~ect1on 8.J below,

upon Uie occurrence of any damage to or destruction of the Project. the Residenual Assoc1at1on
shall restore damaged or destroyed areas in 1he Pro1ect to al least as good a cond11ion as such
areas were m muned,ately before such damage or de~truc11on as soon as reasonably prac11cable
following such damage or destruction. AH work required in connection w11h such repair and
restoration (the "Restoration Work'') shall be performed in a good and workmanlike manner and
shall conform to and comply with the all applicable governmental requirements and the
provisions of the Design Guidelines The Commercial Owner shall have the right to review and
approve the plans and spec1fica11ons for \ht' Restoration Wnrk affechng the Commercial Area or
the portion of the Project in which the Commercial Area or any ponion thereof may be located;
_provided, however, that such approval may not be unreasonably wi~ld to lbe extent that such.
plans and specifications substantially conform to the onginal plans and specifications for
consrrucflon of the core and shell or the Commercial Area or to tl:e extent of any
nonconfonnance wilh such original plans and specifications. otherwise complv with applicable
law and the Design Guidelines aml do not materially adversely change the use, occupancy and
va1uc of the Commercial Area over the condition thereof existing before the date of such damage
or desnuc-oon fhe Commcrc1al Owner shall pay the Commercial Owner's Proportionate Share
of any deductible payable by the Residential Association in connection with the coSl of such
Restoration Work- provided however. that the Commercial Owner shall have no obligation to
pay any portion of the cost of such Restoration Work for which insurance proceeds are not
available due to a breach of Res.iden\ial Assoc1at1on's insurance obl1gauons hereunder.
8.2. Obligations of Commerci-al Owner. In lht: ..-:vent of damage to or

destruction of any portion of the Building in which the Commerciai Area is located which
renders any of the. Commercial Condominiums pcrm:mently uninhabitable. bul subject to !l1G
terms of Section 8.4 below, the Commercial Owner shall reimburse 1he Residential Association
for the Commercial Ov-mer's Proportionate Share of the cost to comply the required Restoration
Worlc to the applicable Building (the "Rtstoration OJsts"). Except as set forth herein, the
Commercial Owner sh.all have no obligation to pay any porbon of the Rc:storalmn Costs mcum:d
by the Residen!ial Association lo restore or repair damage to the Residc:ntial Area or any portion
thereof unless such damage is caused by negligence or mtenttonal misconduct of lhe Commercial
Owner or its Pem11lees, and lhrn only to lh,• CJ(lenl of <my portion of such repai ~osts which arc.:
not covered by the insurance to be maintamcd by the RestdentJal Association pursuant to this
Agreement.
8.3 Abaodooment of the Project. lf after damage to or destruction of the

'Property, the Residential J\ssocia\ion (or mcmbcn oflhc Rcsidenna\ Association, as applicable)
elect to abandon the Project and to sell the Project by partiuon pursuant to California Civil Code
Section 1359 and the tenns of the Residential DeclaraLJon, lhen subject to the cenns of thjs-
Section 81 the Residential Association shall have no obligation to restort or n:pair any damage
to lhe Commercial Area and the Commercial Ov,mer' s sole remedy shall be to receive ( 1) ils
proportionate share of any insurance proceeds or any other damages recovered from third parties,
co to the extent actually recovered by the Resident~ Association in connection such damage or
.... destruction. plus (2) its prnportionate share of !he proceeds frorn the sale of the Property
(collccuvely, the "Partirion Proceeds"). Notwithstanding I.he foregoing. for the ~le pwpose of
0 California Civil Code Section I 359 which requires the approval of "owners of separat~ interest.<:.
Q• holding in aggregate more than a 5.0% mteresl in the c.oromon area" for a partition of the
CMi 1756879 4934-37690\AGRMT\ .S88444.I

7Jol06
08/08/06
Property, Lhe Commercial (Avner s.iall be deemed to hold :in \nterest in the Residential
AssociatH)n Property equal to tht: pwport1on which the aggregatr square foota~e of the
Commercial Condominiums~ to the total square foo1ag1: of all Residential Condominiums in
the Project For purposes of this Section 8 1 the Commercial O\vner'c; proportionate share of the
Partition Proceeds shall ~ determined based upon the ratio between rhe fair market value of the
Commercial A.rt.a before th<:. damage .ind desm1C\1<:m and ;he lot.1I aggregate fa11 maike1 value of
the Project before such destruction (collectively, the "Pre-De~lruction Valuer"}, as determined
by mutual agrcc:rne;;nl of the Rcs1dtmt1al Assoc1a;1on and the Commercial Owner. If the parties
c.mnor agree on ~uch Prc-Dcsrructio:-: Values, the panics shall each •mpcint an appraiser who
shall mutually aplX)mt a thJ.rti appraiser a11d Ll-ie three 3ppraisers shall determine the Pre-
Destruction Values of the Project and the Commercial Area for purposes of de1ermining tlie
Cor:i:nercial Owner' s proportionate share of the Partition Proceeds. Without limiting the
foregoing, the Commercial Owner shall have the right of firsl offer 10 purchase the Property
upon any parul!on sale thereof, which nght shall be exercised w11hm s1x1y (60) days after -wnnen
notice by the Residential Association of the intended partition sale of lhe Project, and shall be
enlltled to credit the Commercial Owner s proportJonate share of the Partition Proceeds against
th purch,,s,· n , beJ-a·• ') J:,e'Pesident: l ~s.n~.iati.,nf, h ~ 'ltt rlheProjec'.
8.4. Uoiosured Losli. If, aficr damage lo or destruction of the Property for
which suffo..;cnt insurance proceeds are not avaibbk ,o fund the required Restorahon Work, the
Residential Association (or members of the Residcnlial Association, as applicable) elect
nonetheless to impose a Reconstruction Assessment and rebmld lhe Project, the Commercta1
Owner shall have no <.1hligation to pay any po,tion of such uninsured costs for the Restoration
Work and may abandon the Commercial Area by dchvenng a quitclaim deed to the Residcntlal
Asso,;;1at~,m. In wch event, i:hc Commerc1a1 0-:vner shdl have no funher nght to any
consideration for abandomnent of the Commcrcia1 Area or to collect damages or other
compensation from third parties for any damage thereto (other lhan the payment of msurance
proceoos Wlder insurance cove1age mamtamed by the Commere1al Owner), and shall assign to
the Residenttal Association all right, tit.le and mleresl in and to any such damages or other
compensauon.
8.5. Residential DecJaration Controls. Article 9 of the Residenual

Declaration sn11t or, ·c.,. ""'d prv,ra1l o· r ,his S ...tton d .o the ex ten I of any mwns1stency.
9. Approvals and Dispute R~oluuon. Except as otherwise provided herem, 1f any

Pany having a right of approv.11 hcrc.:unJ~ foils to give ;,uch appro·,1al or i.-pt.cific grounds for
disapproval within thirty (30) days after receipt of the request therefor (which shall include such
background data as may be ne«:ssary to make an infonned decision on the request), that Party
shall be deemed lo have vven it" approval Except :i« otherwi~e provided herein, no such
approval sh.aU be unreasonably withheld or delayed. If the Parties are not able to agree on any
tMtt-:r duct1 1::. to bt. approvt:.0 b 1 c.:tthtr or both Parties pursuant to trus Agre;ement~ lht. matter
shall, upon demand of either Party, be determined by binding arbitration as set forth m
.--~. Secuon 14.16 below.
<"•'
06 1756879
-12- ◄9J.4-.1U,WV,Gk.M1' \jll4« a
7/6'06
08/08/06
IO Indemnity.
10. I. Indtmoity SubJect to Section 10.2 below, Commemal Owner shall

prvtL~I, indemnify, defend, a.nd hold lh c. Rc:.1J t:n11.a1 ASSO\.tal toll h armless fJom and dg;t.1/l:.l all
claims. expenses, liabilities, loss. damage, and costs, mcludmg without hm1tatton any actions or
proceedings m connection therewith and reasonable attorneys' fees, incurred m connccuon with,
aric;ing from. due to or '.lS a result oi the death of or a.'1}' accident, in1ury, loss. or damage.
howsoever caused. to any person or loss or damage ansing as a result of activitie s conducted in
the Conuncn..,al Alc:.ii. Subject 10 ti1L provision., of Secllon I 0-' btaow. Residential Assoc1auon
shall protect, mdemm fy, defend, and hold the Commercial Owner harmless from and against all
claims, expenses, habih tics, loss, damage, and costs, including without limitat:Jon any acuons or
proceedings m connccuon therewith and reasonable a11omeys' fees, incurred in connection with.
arising from, due o or -=s ~ ~uh of the deatt, of or my acc1Mnt. tnJt.ry, loss, or damage,
howsoever caused. to WlY person or loss or damage arising as a resull of activities conducted in
lhe Residential Area
, iJ L (,eneral Provisions Norw1ths1an<.hng anyihmg to the 1.:ontrary in this

Section 10 (a) neither Pan y shall be enlitled to indemnification for any damage caused by or
arising from its gross negligen~ o r willful misconduct or the gross negligence or w illful
misconduct of its Pcrm1tees, and (b) each Party waives any right of recovery against the other
Party and its PermJtees for any loss. damage. or injury to the extent the same is actually cm ered
by insurance. For purposes of this Agreement, "gross neghgence" means the breach of a duty or
standard of care thar cvtcl":nces neglectful c;ondu~t exceeding ordinary ncghgcnce so as to
demon..c;tratc a wanton and reckless disregard of a known duty in consciolls disregard of
foreseeable ru.iV<..'TSe conscq~cnccs ar.d damage.
l I. Enforcemeut aod Remedies.
I I .!. .Nonpayment of Shared Expenses by Commercial Owner.
(a) Persoual Obligation of Commercial Owner. The Commercial

Owner agrees to pay Commercial Owner' s Pro-portionate Share. All of the Commerc ial Owner' s
Proport1onatt- ~hare. togetller with mterest, cost,;, ,md re11sooable !!llomeys fees tor the
collection thereof, shall be (1) a continuing lien on the Commercial Area and (2) the personal
obligation of the Commercial Owner .
(h) Nonpayment ot Commerrial Ownu's Share. Any mstalhn~t

of Commercial Owner' s Proportionate Share (an " Jnsta/JmenJ") shall be delinquent if not paid
wilhm tw~nty-one (2 I) days after ,he due dah.: e--u:1blished by thh Agreement. If ru1y Installment
is not paid within twenty-one (21) days after the due date, such lnst.allmcnt plus all rc3.sonablc
costs 01 collectJon (mcludmg attorneys fees) and la1e charges, shall bear inreresr at the rate of up
to the maximum B.mount allowed by CalifomJa CiVll Code Se<:tion 1366, beginning twenty-one
(21 ) days after the due date until paid. The Residential Association may also require
Commercial Owner to pay a late charge in accordance with California Civil Code Section
1366(c)(2). The Association may pursue any r!'fflcdy avrulable in law or equity agamst the
.. Commercial Owner to collect any delinquent installment and associated interest costs and
attorneys fees.
OS 1756879
-13- 49)4-37690\ACillMT\ su«4.8
J/{:,/06
08/08/ 06
11.: Other Dcfau1~. if .;Jly LU1y ai:rnu,t:; m tli<.: pc::nonn.mce of an,

obligation wtder this Agreement, and if such default remains uncured thiny (30) days after
wnnen nonce from the other Party (the ''Nondefau/Jing Party'1, stating w,th particulanty the
naturt and extent of Lht: default, then the Nonoefaulhng Party shall have the nglll to taJ pertonn
such obligation on behalf of such <lt:fault ng Pa1ty <tml (b) ht. rc.;imblHscd hy the defaultmg Party
within thirty (30) days of wrinen demand, for the cost thereof together with interest at the rate of
ten percent (10%) per ann·.1m The Nondefoultng Party's failure to insi;;t 1n any one or mon.
cases, upon the stric t performanre of any provision ofthic: Agreement shall not he construeo ac: a
wa1\ler o! the Julure brea..;h of such provision or an~ other provision of th,s Agreement
12. Mongagee Rights.
11.1 MortJ?a2e Protectiou Notwuhslanding any other provision hereof no

breach of tlns Agreement, nor the enforcement of any provision hereof sh.all defeat or render
•nval1d the rights of a Mortgagee or benefic1arv { "Mortgagu ") under any recorded mortgage or
deed of trust on the Commercial Are:\ or the R~idential Association Property or any pan
thc.:n.."Of, m;idt rn good fail.I, and for value; provided that atte, such Moniagee ol>tams uth: lhereto
by j udicial foreclosure or by means of the powers set forth in such mortgage, or deed of trust, or
by deed in lieu of foreclosure, such property shall remam subject to this AgJ"eement.
12 2 Unpilid Propon iooaf~ Share Paymt'nl.', Tf the .firs1 Mongagec of "

Commerc1al Condominium obtains fee title to that Commercial Condominium either by
foreclosure or any other remedy prov1<l1..J under the Mo, tgag.;., the Mortgagt:t shall 1akt. title to
the Commercial Condomuuwn free of any claim for unpaid Proportionate Share Payments
agamst such Commcrc,al Con<lom11uwn lo l<'C Cll'lenl such payments accrued before the dale on
which the Mortgagee acquired title to the Commercial Condominium.
ll.J. Mortgagee Notification. Upon wntten reques~ any Mortgagee shall be

entitled to (a) rea.son:ihly prompt "'Tlltcn not1ct> of any default under Hus Aweement by thr
Residential Association or Commercial Owner, (b) examine the boolcs and records of the
Residentit1I Asso..iation rtli:ili 1g r..., 1!.XpenSc:s which cire 10 be oaid by tht: Commercial Owner,
during nonnal busin~!s hours, (c) ten (1 0) d 3 VS prior written notice o f any proposed, material
amemtment of this Agrcerm..111, an,! (d) wnttcn nol1cc of any material damage to or t'lkmg of the
Property.
12.4. Mortgagee Approval. Notwithstanding any other provision herein to the

rontrary to be cffec11ve, any amendment of this Agreement t.~at (a) would alter the Commerci:1I
Owner's Proportionate Share or (b) affects or p\UJ)Orts to affect the validity or priority of a
MoJ1gagc:. or the rights or proleclions granted m this Agreement to a Mortgagee or any
te:mination of trus Agreement, or (c) modifies or terminates any case ment in favor of 1hc
Commerc1al Owner created by 1he Agreement, must be approved m wrihni; by a maJOnty ol the
Mortgagees of the Party whose obligations are lo be altered at the time of t--Uch proposed
termination or ameodrnenl If the Mortgagee of any Residential Condominium receives ~ written
request to approve tennination of this Agreement or a proposed amendment of this Agreement,
but dn.es not deliv.--r an approval or stat" 9"1ecific grounds for disapproval within thirty (JO) days
after ~ Mortgagee's receipt of such request, such Mortgagee shall be deemed to have approved
the proposed tennination or amendment O6 175 6 87 9
-14- 4\ll4-J7Cl9UV.t,J<.Ml\Sli444 I
7/6,06
, \ I \
08/08/06
13. Rea P-roprrt} Ta-ices and A. t>ssmnb E~• n Part)' shall pay, or cau~e to be
paid, •.vhen due, aH real esLate truces and assessmems that may be levied, a~seu, or charged by
any public authority against such Party's property, the improvements thereon, or any other pan
thereof, including any portion thereof Lf not separatel) assessed in lhe same proportion as their
relative share of tl1t: Sha.red Expenses.
l 4. Miscellaneous.
14 I No Uabilil)' to Residential Unit Owners ~ o owner d Residential

Condominium who has purchased a Unit pursuant to a Fmal SubdlvlSlon Public Report issued by
the California Department of Real Estate {a ''Final Public Report') shall have any personal
liability under this Agreement.
l 4.2. Davi.s-f)hrliog. The Pa:rtaes intend that lht: Cahfomia Davis-Stirling

Common lntereSl Development Act (California C1vil Code§§ 1350, et seq.) not be applicable this
Agr~mt:nt or t11e relationship between the Res1de11ual Assoc1atJon and the Commercial Owner.
14.J. Notices. Except as otherwise proV1dcd hcrcm, notice iO be gwen to a

Party or Mortgag~e must be m writing and may be delivered to the Party or Mortgagee, as
applicable, pmonally or by any system or tc:chnology designed to record and communicate
messages, facsimile, elecm;mic mail, or other electronic mean.,;. Delivery of such notice to one or
more co-owners of a Condomu11um to any gt:neral partner of a partnership or to a member of a
limited liability company, constitutes delivery to all co-owners, the partnership or the limited
hab1ilty company. Altemauvdy, notice may be delivered by regular United States mail, postage
prepaid. actdres:.etl to the Party or Mortgagee al Ihe most recent address fumfahed by such Party
or Mvngagee lo the olht:r Party. If a Party does not furnish an address, notice may be sent to the
street address of a Party's Condommium. Such nonce is deemed delivered three (3) business
days after the lime of such mailing.
14.4. Interpretation. This Agreement is not intended to create, nor sball it be

construed 10 create. a joint venture, a partnmhip, or any other similar relationship among any of
the Parties. The captions of the various prov1sions of this Agreement are for convenience and
identification only and shall not be deemed to !,mil or define the contents thereof. This
Agreem....nt shall be construed in accordance with California law. Time 1s of the essence in this
AgreemcnL lf there 1s any UlCOnsistency or conilict between the Declaration and this
Agn:emcnt, the prov1:;1ons of the Dedarauon shall prevail; however, the conf11cnng documents
shall be construed to be cons1S1em with each other to the extent possible.
l '1.5. Entire Agreement. This Agreement supersedes all prior written or verbal
representations or declarations of the Parties concermng the subJect matter hereof.
14.6. Reme:dit:S Cumulau\'c:. All re.neches pro.,ded in this Agrt:emcnt are

r:, cumulative. Therefore, notwithstanding the exercise by a Party of sny remedy hereunder, such
c,... Party shall have recourse to all other remedies as may be available at law or in equity. The
failw-e of a Party to insist t.-pon strict performance of any provision of this Agreement shall not
be deemed a waiver of any nghts or remedies that such Party may have and shall not be deemed
06 1756879
· 15- 49l4-.31t>90\I\Gt<M I \ ~ ~ lS
7/6/06
II '
08/08/06
~ivcr of any subsequent breach or default of any prov1~ion hereof by the same or any other
Party.
14.7. Co-.u.1an~ Ruoniug Wilil Lanu. "I lie covenants m 1h1s Agreement
constitute covenant" n.nning v.ith Ju; lanJ ue bmdm? upo:1 and inure to the henefit of thtc'
Commercial Area, the x.es1dcntial Area. the Property, and any portion thereof or interest therein;
and are binding upon, and inure to the benefit of the Commercial Ow11er, the Rt:.idenhal
Assoc1atton and any person having or acquiring any interest therein end their successive owners
and ass16i 1.., r, ,n 1cta.., 1owc. Ll. tae o"'ners 01 the Res1deoual ~.ondom,mums who have
purchased their Umts pursuant to a Fmal Public Report will have no personal liability under this
Agreement and no hens shall anach to such Units for a Vlolation of this Agreement. The
Commercial Owner shall be relieved of its respons1b1ht1es under this Agreement and shall have
rrJ further hab1h1y her~under upon IP'" f"lrniat·ri•, Qf the Commercial A:!:OC.IJtton and the
execution of a written assignment of such responsibilities to the Commercial Association under
this .\grccment.
:4.8. kccordaoon Tt11,; Ai::n·cmcnt shall be recorded in the Oific1al Records

and shall be elTective upon such recordation.
14.9. £stopper Certificate. t.ach Party shall, within ten (10} days after the
wriilen rtXIUCst of any other P'lrt_:. 1s.s;11(' to the r..q11estmg Ptry. or to any prospectr:e 'Mortg:..gu.
or purchaser of such requesting Party's parcel, an cstoppel certificate stating (a) whether the
Partv to whom tl1e rcq1..c,, h1ts l-wc::n dire•-·ted kriows of any default under thi~ Agreement and, 1 f
th ere are known defaults, specifying the nat:Jre thereof, (b) whether, to the best knowledge of
such Prut, tius Agreement has bt>m modified or ~ended 1:1 any respect and, if lh~n; art known
amendments, specifymg the nanrre thereof, and (c) whether. to !he best knowledge of such Party
this Agreement is, at that time, in full force and effect.
Id 1C' l\1echanic,;' f .ien~ 1 f ~ P?r:; to !hi.:; Agrceme:1: (lhc ''Respomibl,
Partyj pemnts any mechanics' liens 10 be filed against another Party's parcel {an "Affected
Party'1 :he F 1:spc,nsihlr- Party shall t>ither pJy the $am~ and have it d1schar~cd of n:c.ord
p rQmptly. or take such :ic:inn as may be required 10 reasonably and legally object lo such lien
and ,~ placmg of same against such Affected P:i..-ty's Parcel. In all events, the Responsible!
Party shall cause the hen to be dischargoo before the entry of j udgment for foreclosure of such
lien. Upon request of an Affected Partv, the Responsible Party ,;hall firrn ish ~uch security, bond
or indemnity to and for the benefit of suc h Affected Party as may be required to permit a title
~ndc•l""'""'ilr.nt or titl1.. p.J!ic:, tL Le is.s.,1ul rdatin& t.::, such Aff\:•;ti:.J ht.i:Ly's P.lUcel Wlthout ~owing
the eff~t of such lien thereon_
14.11. .Dur-atioo. Thi.:. Agrc.cnicnt will remain in effect for a term of ninety-nine
(99) years, begmnin~ on the elute this Agreement is recorded and '-"lll automatically be renewed
for successive ten ( JO) year pen ods thereafter Notwithstanding the foregoing. but subject to
Section 12.4 above. this Agreement may be terminated at any time by recordin.e 1' declaration of
termination executed by both the Commercial Owner and the Residential Assoc1ation.
Tcnrurulnon of this Agrc..:merit :.haJl not di.:.c~rgc or excuse any w1pa.lll obhg.at1cn, and the
rights and remedies for collection of such ob\i~ion ~hall ,;urvivc the Agreement's termination..
"'Jlltwithstandmg :iny ~lect,on by the Parties :0 temnnate tl 1s 8tt 7'Sh6B'79ents created
-16-
I- I
08/08/06
hereby wluch benefit any prucel &hall be deemed lo ex1sl m perpetuity unless they are
quitclaimed, or olherw,se term.mated and extmgwshed by the owner of ~ch benefited parcel.
14.12. ~everability. lf any clau se;, sl!ntrmce, or other portion 01 lhrs Agreement
becomes 11legal.. null, or void for any reason or is held bv any court of competent junsdiction 10
be so, the remainmg.pomons thereof shall remain m full force and effecl .
14.13. Attorneys' Fees; Court Costs. lf any acuon or proceeding is instituted to

enforce or mterprct .my of :he provisions of tins Agreement or for damages because of the breach
of this Agreement, the prevailing Party in any such acuon or proceeding shall be entitled to
recover from the other Party its reawnable attorue::,s' fees and costs and expenses of litigation or
arbitration incurred m such acuon or proceedmg.
14. 14. Force Majeure. lf any Pany or any other person shall be delayed or
hindered in or preventetl from the performance of any act required to be performed by such
person under ttus Agreement by reason of acts of God, strikes. lockouts, unavailability of
maten.ils, .::ulure vf power, prohibir1s·e governmental laws or regulations, no1s, insurrecuons,
terrorist attacks, adverse weather condJlions preventing the perfonnance of work as certified 10
by the licensed architect., engmeer, or other individual overseeing the performance of the relevant
work, war or other reason beyond such Pany' s conuol, then the ume for performance of such act
shall be extended for a pc.nod equal to the period of such delay. Lack of adequate funds or
linanc1al inability to perform shall not be deemed to be a cause beyond the control of such Party.
14.1 .,. Effect of Agreemen~ Binding Covenants; Equitable Servit\ldt$.

Except as otherwise expressly provided hcrem, no Tights or pnvilegcs conferred upon the Part1es
by this Agreement shall mUTC to the benefit of any Penntttee or other person or enttty other than
the Commercial Own er, the Residential Asrociation or their respective successors and assigns,
no r shall any i.ucb other Party be deemed to be a thud party beneficiary of any of the provisions
contained herein. The restrictions, covenants, and easements of this Agreement (a} constitute
equitable servitudes which shall apply to and be binding on the Parties hereto and each and all of
their respective successors. assigns, Mortgagees, and Pcmutees; and (b) are imposed pursuant to
a general plan for the improverrienl and 11se of the Property and are designed for the mutual
benefit of the Parties.
14.16. Dispute Resolution; E nforcement. Any disputes arismg under this

Agreement shall be rewlved by binding arb-ilral:lon conducted in the City pursuant to the
Commercial A.rb.itrat1on Rules of the American Arbitration Association; provided however, that
the use restncl.lons set forth in Sect.ton 2 above and the Commercial Owners obligation to pay
the monthly Installments of the Commercial Owner's Proportionate Share under Section 4.1
when and in the amount due, may be enforced by any pr~ng at law or in eqt ity against
(a) any perwn or cnl..lty violating or aucmpting to violate any of the covenants. conditmns and
-restrictions contained therein to prevent such person or enl'lty from so doing and to recover
damages for any violation under Section 2. and (b) by the Residential Association to enforce the
Commercial Owner's payment obligations under Secbons 4.1 and l L 1. 'fhe prevailing Party m
auy such action or ai-bttration, as determined by the court or aro1trator, shall be entitled to recover
from the other Party. its reasonable: attorney fees and expenses incurred in the action or
- i 7.
(
08/08/06
arbitrallon, mduding. but nol i1m1tet. to, i.:omullan1 and t)tpc:11 witness fees, photocopying and
telephone charges, depos1Uon costs, travel expenses and invest1gat1on expenses.
14. l / . P arcel lioundaries. 1n m1erprelmg deeds, subd1v1S1on maps, aedarauons

and plans, the existing physical boundaries of the Commercial Area. Residential Atea or the
Res1denual Assoc1at1on Property constructed or reconstructed in subs1amial accordance Wlth the
on ginal plans ther~of, 1f such plans are available, shall be conclus1vely presumed 10 be its
boundaries, rather than the description cxpressecl in the deed, subdivision rmp, condominium
plan or declaration, regardless of serthng or la1 ...·rnl movement of the bu!ld ing and regardless of
minor vanances between boundaries. as shown on a condominium plan, subdivision map or
defined in the deed or declaration, and the boundaries of a building as constructed or
reconstructed.
/SIGNATURES ON NEXT PAGE}
0
,,-. 06 1756879
-18- ~93'-J7<>90V.GAA11\ 583444 <I
7/6/06
08/08/06
SICNATURE PAGE TO AGREEMENT

BETWEEN OWNERS OF MIXED USE BUlLDING
(JO l MARKET)
Project Developer Address·
HAMJ\.1ER TRP l TI A <;SOCl.A TES, LLC. 12636 High Bluff Drive

Deb.ware limited liability company
il Suitt I10
By: HRV UTILE TOKYO, LLC, San Diego, CA 92130
a Delaware limned 11abihty company,
Member
"C!llifomja limited liability company,
its Manager
Sy:HAMMtR ~SJD~.-:.=--,~--s;.,-,
aDela~tetl
,,,,,.
By: lRP Lj:kME,MBER, LLC,
a Delaware limited 11abihty .;ompany,
its Mcm;f, .J:?:_
By: Es~ive Vic~:,
Residential Association Address;
Ltcle TokJo Loft:. Cv1Tu11..ruty As:;oc1at1on, l2t>36 .rhgh Bluff Drive

a California nonproQlll~titt1~~eflt~~· Suite 130
San Diego, CA 92130
By·
.....
06 1756870
-l 9- •9:14-37690V,G™1\ 5!84-4• 8
7/6I06
I
08/08/06
STATF OF CALIFORNIA
COUNTY OF._Ss,.--.)~1c;:f~
On wl.,.,..) 3, 11 ,ex£, . __. before m", U -1'51,.'>ci?t .:. r~J:L

(litre oscrt name md 1,11c n(
µd{A,2v
c r,fi.u:) r '
Af,/,·c_
personally appeared ::X>~ l-\A;MfM.e(L

perso~ly kno\l.'Il to me (or proved to me on the basis of satisfactory t:VIdcnce) to be the per:;on
~hose name is subscribed to the within instrument and a~knowledgcd to me the@~hc executed
Ult same 11~9:er authonzeJ capacity. anu th.it by@ier signature on the instru.-nent the
person, or the entity upon behalf of which the person acted, executed the instrument
WI lNI:.S:, my hand and oh1c1al scaL
tSEAL)
STA TF'. OF C Al lFORNIA

COUNTY Of ill$> J>cNbia..,~
On .\\)L.'\· \\ - . ~ bdon,m~.::;ziu \~ 'clyN\~ 1 N-0\~ f\Je..i....lC-
""'" mm, """1C and Mk of~ v!fic.<f)
personally appeared AA~ \. ~Ct>
personally known to me (or proved to me on the basis of satisfactorJ eV1dence) to be the person
whose name jc; subscribed lo 1he within instrument and acknowledged to me tha1 he~ executed
th1. samt. lll lusi~ authonzeJ capac.uy, and that b)' h t ~ signature on the instrument the
I (!>EAL)
-=· I
0
06 1756879
.20- 4~34-'.l7690\,\<iRM!\ ~88...44 I
1/o/Oo
I
08/08/06
ST ATE Of CAl.!FOR.l\: IA
COUNTY OF2X; ...;pe,o
l
On :JY-j 3(. "29)b , __, before me, G-,8-.!x:)lt d e1uZ'?.:ftf.' ...,,,,7,t,lL,Pvh/,c,
(in~ w,a- n>nie :,;ad DJlt bf U,,. off',cc,
personal! y eppeared <..,1,3,c; .J Js C4 ~~

pgroet,Ally lmown to me (or proved to me onebasis of sahsfactory evidence) lo be lhe person
whose name s subscnbed to 1-.e w,thir: inslrumcnl and acknowledged to me that be.@!yexe\:uted
the :,ame in h1~authonzcd capacity, and lhat by hi~ signature on 11ie in:,trument lhc
person, or the entity upon behalf of which lhe person acted, executed the instrument
Ciignature. Z (; :..k~ o ~~?£~(

/ (SEAL)
ST A.,.F OF C.t' LIFOlThlA

COUNTY OF _ _ _ _ __
On __________,__, before me, _ _ _ _ _ _ _ _ _ _ _ _ _ _ __
~ >Men n:a,.... wtd Dtle of t1,c omc.,,)
personally appeared _ __
personally lmo·wn to me (or proved to me on the basis of satisfactory evidence) to be the person
whose name is S\lhscn"bed 10 the within instrument and acknowledged lo me that he/she executed
the same in bis/her authori7.cd capacity, and that by l-Js/lw signature on tbe instrument the
Signature: _ _ _ _ _ _ _ _ _ _ _ _ _ __
(SEAL)
06 1756879
,21- 4q34.) lb'IOIAGR/'1n.S8844~ ~
7/t,IUb
:' (
08/08/06
SUUUR.DlNAJ'lO~
The undersigned, as Beneficiary of the beneficial intt:rt:sl in and under the Deed of lrustS
:;.monb Il.unma I.RP LTL Associa,cs, LLC, a Ddawai.! i1mi1cd liabil,ty cvmp<ill)', c1S Trus101,
First American Title Jn~unnc:. Compam "' l.ah 'o~i~ C0)1)0ra11on, as Trustee, (;orus Baro: N A .
a national banking associat1on, as Beneficiary ( ..lender''), recorded on July 28, 2005, as
Jnsirum,.nt No 05 171!854Q_ in tht" Offic1:il ReC(mis of Los Angeles County, C:ahfom1a (I.he
"Dud of Trust"), hereby expressly subordma1e.c; such Deed of Trust and the beneficial interests
of lh, _;..no~r thar c:1..nc..c ,, 111-. Jor.. gomf. Jl-1UIUJI I.k;1t:J1I 1\)?rtt..mcnl b1..1wcco Ownc~ of M1xc:<l
Use ProJect (the MAgrument") By execuung this Subordma11on, the undersigned agrees that if
the undersigned acqu1rcs 111 le 10 all or any poTtlon of the ProJect by foreclosure (whether judicial
or nonJudtc1al), <1eed-m-lieu of foreclosure or any other remedy in or relating to the Deed of
i,.
Trus; tilt' tJ'ldcrs1gn rl ,viii acqu:n· t•t subjee· lo tbe provision.< C>f the Agrerment, which shal'
remain in fuJl force and effect (subject lo the tenns of Section 14 of the Agreement). The
fon .:oing pruvisio1 s of tbs Sebo! d nomm s'ull n(,1 bf kerned ~ waiver 01 any of thi: ngh~ of
Bendiciary as a Mortgag::c pursuant to t}ic De::!tlI:ltion or a waiver of any rights or remedies of
rleneficiary under 1i1e Deeo ofTrusr
_ _ , 200.4L Corus Bank N.A.,

, r:anonal ban.l!.mr, association
ILJ.J JJ Op
STATE OF eAI EEO!UflA
COUNTY OF e_ooJc_
On~\~ ~ I . ~eforeme,
...
__?.~s~ <ft&SJ.Jaa
,,,= lll>Gt rwrcmd lllk ofl),e olf:ca)
personally appeared - ¼l-r<is / ~ L P '31Jl'l . JA'ct;
PLPS/115UL
pcrsonallv known 10 me (or proved to me on the basis of s:nfsfoctory evidehce} to be the pcr<:on
whose name is subscnbed to the within instrument and acknowledged to me that he/she executed
U1e same ii. ~-"''\1,,; ,wll".. ri·,:ed c<1pa~, y, and :.1--w: b; ;.,is,'her ~ignatu.I\. vn lh..:. in~trum1:.m Ui~
person. or the entity upon behalf of which the person acted, ~xernted the instrument
WITNESSmv_hand.:u~/ offici;i.l ,eal "OrFlClAt SEA I"

,,
r - - _/·---
Si~rure: ~ - - ~
~ . ,,
-~--------
ROSI=
ooTP.RYptJ8UC"''
op_,c,.~~00
OF \LL\N0\5
es03112J2010
t,t com~
(SEAL)
,::,
••~ 1 06 1756879
-21- 49,-.-.n~GRl•fl\>81-444 •
116,~
KeaJl,)uesu.:om Q!1 - Report Page l of l
Legal & Vesti;19 Report Cor .... ~ t

For Prop~rty LOCdlt,O l"'\l ...Jr's:") I JI li'~t
420 S SAN PEDRO ST 611, LOS ANGELES CA 90013-1887

LEGAL
In the County of Los Angeles 51ate of Gallfomia
Assossed Ownar· JONATHAN M HAMMER

SINGLE MAN
Legal Description· A PARCEL OF LAND LOCATED IN THE STATE OF CALIFORNIA, COUNTY OF

LOS ANGELES. WITH A SITUS ADDRESS OF 420 S SAN PEDRO ST 611 L.O5
ANGELES CA 90013-1887 CURRENTLY OWNED BY HAMMER JONATHAN M
HAVING A TAX ASSESSOR NUMBER OF 5147-005-180 ANO BEING THE
SAME PROPERTY MORE FULLY DESCRIBED AS TR-=53922 LOT 1 CONDO
UNIT 611 (AIRSPACE ANO 1/161 INT IN COMMON AREA) ANO DESCRIBED IN
DOCUMENT NUMBER 7241 DATED 12/28/2009 AND RECORDED 01/05/2010
Subdl\.1SI0n: Legal Block/Bldg

1...f'gal Bool<JPage. :...egal Lot/Unit. 1
Assessor's Parcel #: 5147-005 -1 80
PROPERTY ADDRESS MAILING ADDRESS
420 S SAN PEDRO ST 611 7171 ALVARADO RD #204

1.-OS ANGELE;:,,..,~ 90013 LA MESA 1.,,:. 91342~974 C.068
TAX INFORMATION
Tax Year- 2009 Property Tax: $4,272.68
Assessed Year· 2010 Total Value· S330,000
Tax Rate Area. 13259 L.an:1 Value $66,000
Delinquent Tax Year· Improvement Value: $264,000
Exemption % •mpro;.ed 80%
mANSACTION HISTORY
History Record -q
Sale:
Sale Recording Date· 01/05/2010 Sale Price:
Sale Date 12/28/2009 Sale Price Type FULi..
Rec. Document # 724'1 Multl/Splrt Sale
Document Type· GRANT DEED Other Document #:
· itlf' -::ompan}
Buyer· HAMMER JONATHAN M
Selle, HALIFAX INVESTMENTS LLC
History Record#. 2
Sale·
Sale Recording Date· 02/06/2008 Sale Price : $424,000
Sate Date 01/31/2008 Sale Pnce voe FUll
Rec. Document#: 120160 Muttl/Splrt Sale.
Document Type GRANT DEED Other Document #·
Titlt: Company !'=IOELITY M TIONAL TITLE
Buver· HALIFAX INVESTMENTS LLC
5elii::r HAMMER IRP L TL ASSOCIATES LLC
Finance:
Mtg Recording Date: 02/06/2008 Mtg Loan Type, CONV
Mtg Document # 2?0161 Mtg Rate Type · ADJ
Document Type· DEED OF IBUST
ender MELLON TR/NEW ENGLAND NA ~Atg Term 10 YF.ARS
Loan Amount: $415,000 Mtg Rate: 5.125
Bo,rower 1 HAUFAX INVESTMENTS LLC Borrower VP'iling I/CO
Borrower 2.
Borrower 3.
Borrower 4
http·//98 138 82 17lus.tl 105 mail.yahoo.com/ya/securedownload?clean==()&fid=lnbox&m... 10/13/2010

EXHIBIT "C"
DECLARATION OF GRANT BEUCHEL
I, Grant Beuchel, declare as follows:
Prior to the in6titl!Jtion, of these proceedings, I did comply w ith CMI Code Sectlor,i 5935, by
participating in "mediation" on October 17, 2018, as was the pr,ocedure chosen by the
Association Defendant and further did attempt to engage 1n informal reso·l ution procedures
pursuant to Civi1 Code Section 5910 of that same code prior to the mediation date. The
Association failed to engage in informal resolution procedures in good faith as is further detailed
in the First Cause of Action herein, and specifically did not comply with Civil Code Sections
5905(a) & 5910(f).
S►nce appmxfmate~ 2012 thrnvgh the present, I atso engaged ITT many other ad!vities to
avoid this formal litigation including, but not limited to, addressing the board in executive
sessions; speaking to board members informally "one on one"; writing to the board making
complaints and suggestions to resolve those disputes; and attempting to work with the
Association's various "community managers" all which were with some limited success, but in
the end, not sufficient success to avoid these legal proceedings.
Alternative dispute resolution pursuant with Civil Code Section 5935 did not occur within
90 because the parties stlpvl-ated to a l·ol')ger time period through ~heir respective attorneys of
record.
I have read this complaint, and all causes of action herein, and declare that all of the
allegations made are true, except that some of the allegations are made on information and
belief, and as to those allegations I declare that I believe them to be true .

Executed in Los Angeles, California on December 18, 2018
~
EXHIBIT "D"
----------
J. ..
"
,(
,· ~
.r·:,r_ . ~
·/•
, .. '
.. ~~--,.-~·:..I
., > ,., ..
k~
i-
f
RULES AND-RE-GULATIONI-
,- , .l
l .·FOR
I
., ·I
I
I
~ ~- i ·;,
'j
.~-.- 1:- ..... ·;···
II ' .. : ◄
'. ;•:.
.,
~
t
rI,
,,.
' ..
,i . :;•_; ,. ;•,
.· ;. . .·..·.:· ..
i
. .';~ :.
·D.raj;ted':. Jihw:-s.~ y,;..Ap.1J1.-'27,,f-006.

·• 1-.
, '
,I
·'
,:
I·
I
L , '
· ~ :,,-::t,;rfr~~~~~t}I
'
J ... •' . •....,.~: ': :,T•.
r··L =~- • - -=--~•:/;:::.· _. .... !•· ~,·-. l .-:, ~ ,. ,.- -.
__ _._ ~~- -.- -. -~------ -- -- - - -·--- - -- - - - - - - - - - -·-
Table of Contents
fntroduction Page5
Tile Board,ofDlrectors P~ge-5
The. Ma11agemeot Cornpany "El!g!) s
Genet;i1 lnformation Page..S
Emergency Calls P~.6
Associati1)Jl Eoforce,meo! ofDec;farati.on 'S{:ctiou J P.~ge6
A:-socialion Violation £ofoccecnent Proc~ure .Section2 Page-6
Association ViolatioJ1 .Fiue Schecil.lle Scction.3 . Page 7
Associ:mou procedure for ResideotiaJ-Owner -Henrings Section 4 Page&
Association Genera I Rules and Re,gnlations S~ctlon5 Page 8
Common Areas Section 6 Page:&
Distntbances / Nuisances Section 7 .Page 10
Elevator., Sectiou 8 P.age to
Parking Section 9 -P,age ,l 0
Pets Section LO P.ogc JI
Rental of Residential CondominilllllS St:cti.on l·J Pa,ge 12
8.esaJc, RlJles Jmd:~lat}.oru;, Secti9n-l2 Page l3.
Services, Tqldes people, 9°'110,:;rctprs,ru_id Subcp~troc;;io.rs Seyv.ou 13 P~el~
Sofo:i1ing Scctio11 14 Page l6
SwimmingPool and Spa Section 15 -Page 16.
Trasll Di~posal Section 16 Pal,(e 1-3
Window Coveiings Section .17 l?age 19
Holiday Decorations Section I 8· P.age 19-

Se.cuthy :Section I 9 J?agd-9
Commercial Use Restriclitins Section 20 PageZO
Late Fees Sectio11 21 Page22
About the HOA Board. ofDirectors Page23
Board of Director ApQlication JJ~g; 24

Committee Formation -~~e~
Auto Draft' Form. ,.e--age27

. '
Emerg~nc..y Informatl()l1'Sheet .P'a&~~8.
Rules Jor \T.otin~ br- Secret Ballot "Pa.ge 29
---- - -·--- -·---···• ·······---··~. --•,--·•

•·
.., f .. ·r • • ·, •-:- ~: ... • :=-:--:..!":O· •.: •
lntroduotion
The Rules & .R~gu1ations contained in llii.s booklet .are adopted puJ'~ruant to, the '.Qeclaratjo:Q of
Covenants, Conditions and .Restrictions for the Homeowne.rs Associatio.n ("CC&R's'') ]ly :the.
Board of Directors ("Boord") of the Association anct shall s.upplement tl\e CC&'.R's. Rules &
~u.lations mfty be roo<lifkd •from time to time in .response to community needs; howevei:; fu~y
may not be used in any way 10 supersede I.he CC&R's. Any· sih.1tttion uot specifically addreii:sed
OY outlined h.erein will become a matter of .r.eascmable discretion on the part oftbe Board . .Iri tb~
event ofa cent1ict between the Rul~ & R~gulatiot\S and the CC&R's, tl,e CC&R' s -sb1illcon1to1.
Nothing herein shall limit-or mod.ii'y the CC&R 's.
It fa the obligatinn Cif all memheni .Of the Community to abide by tbe Rules .& :Regu1a.t.fons•.
governj.ng the Ass_ocia{im1. This: wilJ. creaje {\ pleasant .an9 barl}lmuo.us· -e~:-,i-)to,nmeJ;ll. for
Owners. · · ·
an.
To ensure a uniform lhtei:;pr.et.af:io1w(the nee.d for c.oo,peration, coUrtesy..and co1;1siac;t.!lf:ioi1,.
certain Rule$. &:Regu.lnti◊ns ]Jave.ft> 'b~ published mll;D.ofllcial ntanlipt, ~Ii:ltCDt.is; tl~Hho
Community gover.p.ed-b y these Rul~s & Regolii.'ti.ons will' ensm:e.-me r~allza.tion of;th~ hasfo
. ' objective of optimum good and satisfuµtion for each Owner. 1t is also tfie obligation-and .
responsibility ofea<;b Owne,rit9 report.R-0le Violators and van~lism immediate1y m.ordar to
protect values. and to- keep expendill.lres of your .Association as low as possible.
Board of Din.-ctors
Tht Board of Directo(S has an administrative respons:ibility to re'lfow the activjt~ of fu:e qnit
ovme.rs, renters, gueStS anii the profe~sional miwagement company. The Bol!ffi. oi; B.i.r~~m~s-w.iU
ruoke decisiom,tha1 \.Vtll nruntni.n the properly and the-quiet calm of\he-community.
Geuei;ruly a five. per.sot1 Boar<!,·-these unpm,"d w;ut owners are responsible ,for_ iDS.U(ing tba~ the
CC&R's a:nd.llules and R~gulations ofthc.Assooiati.on.are being followed.
Their decisions are mad~ known to the, umt owners through the ,B9ard ef Dire.ctor.s m~eti.ng,,
.Durip.g these me~ings, own~r-sai:e i64i1~s1.ed to a~nd:·and ~e any. ~ssues thatsfue:y want: t)ie
Board to review :µ-id considet; . · ·
The l\l!an!lgemcot CompEUty

The· Man11gernent Company ls engaged in lhe busin~s of managing the Associ'ati.Qn. 1:'heir
v~ious duties include: Handling emei:g1mcy servi~e calls, 1·eceiving and adrrfinislering,.dues ·and
assessments, mailing o.1onthly smtemems, .eo.ntacling vendors, assisting the Board of D"itcctors,
advising the Board and owners ot CC&R regulations m1d various other _State or Felietal uiws
governing Condomirrium Assoeiati0ns, fo.rwa1:ding to, the Bo.ru-d all of the ownecs tetten. and
information gained ftom tel-ephon1c com1 ei;-satiom, from owners and offering supJ?Ol:t and
assistance to the entire Association.
The Homeowners Association manager can be contaGted b.y calling (8°18) 98-1-18.02, the mnnag~r
will assist you with yom Association needs and any issues that you may have.
-+- -•- •· -- -
- - -- ...,_
General Information
l. Please report anythitJ.g unusual, broken or- dan:i.aged.to the J>rqpe.ny Manag~o;i..~t .
Company immlldiately. lfihis occurs:a:ftcrnarrnal business hours, the Cqmpany operator
will -advise you of an ,emer-gMCY number.that yon should call.
2. Be considerate ofyour1ieighbors. Disturbing an owneris right ro ihequi.et e;11joy~nt of

their unit will'rcsult iu a flue-
3. The Homeowners Assoc.iation,a.,;sumes no responsibility for lost, stolen or damaged items

left in the common area including garages or .guest parking areas.
4. To have your name added to the security system at- the main entrance, pJease contact LB
Property Management.
5. Littering is ~ubject to a fine.
6. .,, Arlowue.i:s receive a cqpy ofthe CC&R's,.Rules aud.Jlegwations.ao.d B.yl,a.\v:9, P4:1r.1~

read tne$e cru:efuily $0·1.1')aty.ou.can beeo~..fotniliar \\(ithithe J\;$So.cisi&m.arul it$
governing regu1atiom;.
EmeFgency Calli.
All .boliqay, weeke_nu and after-hours EMERGENCY ONLY calls should be di.reefed ro (-81,8)
832--02.0L Llsten.carcfully to the instructions-provided filld this w11l put you.m..conmct witaour'
maintenance departmcmi;. Pleas()·do not leav~.a me&sage of an emergent nature for your
supervisor. For Fire or Police Emergency, call 911 .
. {, •.. .. 6
.,.
• t·
.,
Rules and. Rcgu.lntions
Section 1. Association Eufor..ceme-nt <1fl).ed~ll'·atton
l.l. A:U Owners.1 .Resi.qents anti . Gu.es~ ctr~- :requr.n:id to aoid~ hy a&i! ·Rq_les .:~~'
RegulatiQRB. · ·· ·
".1.2. Any Owner may n~port viol~i01is--to the _property.Managerne~r- CQD;1.:pMy,. '1;!6l\.rd,
or nppropri!lie -committees. ·
Section 2. Assooin#on. Vt,dJation Enfor.c:en;i~t'P-rocedttr.e

.2.1.. Jn .thG eve.tit-a me~nber:ofWam~1' __Ce..nter ~o.nd:ominiums (',.i}~0.0latio~')'. or tlie-
Ass0e:iaLion's :Board of .Diredors fi'les a v.'iolation re-_p.ort, the:- I{oa-r:4 ·w.i-U. -ait_t\S.
follo~:
a) Send a letter to the -Owner/resident stating the. violation ai1d date needed to
c.ure s~id vi.ol.atio.u.
b) Upon. ex;pir:at10n oftlte cure,d:ate~ ifth~ vio-Jation still e.~ists, -a.-sebend:-l:~-

will· be sent sta-tin-g. tbaf llie fail1.ne to ~bj-d.e by ihe Goven}ing.;DoQ\J:Jl\cnts
has reqm:red the Board t-0' CQllSider laking .fiiru1er e.ction U1 .regard to ilie
violation, and the Q\vner will l;,e itwjted to at.tend a hearing withtbe B0ard
of Dir.ec:ro-rs on the matter. ·
,C) The Own.~i: \v~ll. b~ l1lel't,if.l~~-i-p. '~nD.& -llS ·to· '.t l~deel~on;Fe~~~i:~~,l:,_y,1fiti·
B.9.ltt.d .~ ~ re~J,tll ¢."(tb:e. g~t.!g'.' tf ai tli_e ·ti~g: ~ ~~er(t~~~fit-·~
fouq~ w j,¢- in vfoJ~g.i_LQ;f4b,e. ~sjo.ci~~s Goy~,-~9G~tl,~.-1,ge.
Board -wil:.l -~ither: •a:} seek r-emtdy-by l:lSfl>f:altematt~;_d~p~~..r~c>fnta.ons
such as. .mediati~n or -atbitra,lfun; b) levy and add mone:t_a ry fh1e,s 'to· th.e·
Owner's assessi:ricmt billing; c) choose to (:Otr<,>,ct ( OT cause to .b~ -oor,r~e~).
the vfolation a.11d assess:the Owner for rei:mbursemeni of costs;._ 0r (d)-'take
other ~pprap:rlttte action.
d) Nothing, cootained hctein shall be il:lterpreted to limit or-elimW,ate..c~e-hy-
c!lSe ctlsc1:etion on the pavt of the Board of Directors wi.th respec:.t 10
imposition of discipHnazy action. so long as the a~tion (or macuon). i.s. n:.ot
disci-ilni.natory, arbitrary or ~pr.icious w.h~n applied to the citc'.Ull\S.tcmces,
is reasonable, and me de~jsiou is rendered io -g-0otl faith.
S.cction 3. A~socia.tion V.iolation Fine-S¢)le1hde
1.1. first Occlln'.ence: A Notlce. of Vfola:tion with a: .reqµest ,to. correct ·o.i::=repak the.
de:fic-iem:y.
3 .2. Second Occurrenpe: A ;leiter with a..$50:0Q fine, .pl us reque.s t to--co:rrect/r.epair-and
possible suspension ofpriv.ileges.
.-: Jr.. ..,...

~~
-- -- - - -- - ·- -·-·-- -- - - -- ··- - -- ~ ··- -. - ---.:-::--;. ··--·- ••-::-=-- - -
3.3. 171:ird Occun:ence: A letter with n .fihe of $100.00. request to correct/repair and
actual st1spension of pr.ivileges. May be referred to the .Association's attorney.
3.4. Note: Fines wi ll contmu~ to double with each repetition of the offense.
3 S. Note: "fhe Board of Directors . ,,..;u d~cermine the time for cul'it1g ofv1olations for
each owner consisLl!l'lt with prc,·iously repmted similar violations as applicable.
3.6. 'Note: Should a violation occur which iiuposes financial obligations on the
Assoc.iatio11; \he .rcsponsiple pany for said vio1~lou shaU reimburse, by way ,of
special assessment, the Associatlo.n :wr .fhis financial obligati.ob·. Examp!e:
damage to walls, car.pet and{or any other Cc>inmon .e.roperty; repair ~d
replacement cost will be charged to the r~onslble party. S.11~h costs.Jl\P.Y nJso
in.ctude reasonable attorney's fees where necessary. · ··
Section 4. Association P.rocednre for Resideotinl Ownernearin_gs
4 .1. If you h ave bee.n invited to attend a h',!aring for an. alleged violation of .-tl:i.e
A ssociation's Governing 'Doettments, th~ following procedure will fullowed ~ o~
a) The uciing chairperson w ill summarize the reason for yo~ invitation to
the hearing.
b) You may present written or oral evidence to state your pos-ition.
c) The requirements of the Association's Govemiug Documents will be

reviewed for clarification of issues.
d) The Board may ask you questions Wld you ma}' ask the Boa.rd questions
and make a ·fina] statemenf,
e) The Board arw1:ec~ate~ rour.-pal$icipai,i.on. in. Che·fo.l~going. The.aonr<h¥i.l!

deliberate- ahd vo1e1u,closed session.
,f) You will be notified of the Board's decision, in writing, within: ten El-0)
b'USDlCSS days .
.,
.I
Section 5. Association G~11eral Rul'?S .an~ .luigulations
5.1. No Owner. resi4ent or gu_est shaJl cotu.mPrticate-.rudely -Ol,'' disrespectfully w.i:th·llit·

Board, staff,.secQ.r.ity or 'ilendo1;s in the aot of-p.erfonning their dµtfts mlre.balf'of
the Association, The piopex .re~'Ponsi!Jili'ty ror directi01:i and dis~iRline Di fuicib.
staff and vendors resides solely with tl1e Board. Complaints are ouly invfu.d w be
a<;i.dressed to the Boru:d. UnauthOT.ized behavior of I.his nature shall be grounds for
immediat~ disciplinary action anti will carry a .fine.
Section 6. Common Areas
6.1. Parents or guardians are responsiole for the conduct of thefr minor.children.and.
grandchildren. Because of the Association's co11cem for th~ir safety and fo
ensure-t11e comfort and privacy of otl;ler rt:Sidenis, children underthe _a,ge·of 14 are
not allowed in the elevators, passageways. recreation areas, lobbies or cofumon
area:s unless accompanied by au adult.
6.2. No loo.d. !al.kin~, uu11ecessacy .n9ise or boisterm.,s~conduct is p~teQ ~ •tllly.tfuie,
Tbis includes, but 1s nQt Hnti.ted to, t~l~,dsio.ns. radios.end/orcotll~r:sollrld-~itth)g
devices.
6.3. .Owners at:c n:sponsible for and will bear all costs of repairs and/or re-pla~;µent
for any damage to the building,.. reci:eatlonal facilities, -eqtt.iplnent, or any othet-
common orea pr.operty, if it is determined that tba damage ;vas caused by the
resid.ent or such resident's lessees, _gu.ests, employees o•. contrt1;ctors,
6.4. ·Obstruction of the corridors, lobbies, hallways, stairrways, or. cntrni:lceways

throughout the properly is not ~rmilted.
6.5. No resident shall store or place anything in or upou the comm.on m:eas, ·lQbbies,
hallways. stairways, or public areas. This includes, but is no1Jim.ited to; ·floor or
door ma.ts at door entries, potted plan.ts, signage, pictures, paintings, items fJf
furniture~ etc.
6.6. .N o signs, symbols, door knoc)cers or simUaJ teatures and equi~nt ·shill~ ·b_e,
lnmg, inst1lliec:i1 .or attached ta the· door -ot entry .at'ea to fue .re.si'denaai U1)jj, which
~an be,seeli frem the couun.~m .!11'-e!L cor.ridc;,r ~nd h.allwar,
6.1. Dustillg, br.cUshing or .cleaning pei·sonal belongings in any common are~ is ~ot
allowed.
6.8. The lobbies or community rnom ai:.eas ma.y not be used for napping .or sleei>ingi_.
TI1ese areas are stcicrly fer the meeting. ao.d eutertaimnent of residents and ·guests.
6.9. Residents must not prop open any common area or residence doors or perimeter
gates ur elC'valors n.t anytime.
.• I
•). : .9 ·-....
.:
,:• ••I t
•· ... r ·· -2~~-·~}\i:i ~ili:1~1ii fi~{i)~
-
6.10. The roof area and related 01echa1rical rooms ore off limits except in an emergency
situation.
6.11. Skateboards, scooters, bicycles or rollerblades are not allowed in any -eonu:tion
areas.
6.12. S1uoking is not allowed. in, any interior common areas, includirig-but not Hmi-ted1o
building corridors and ehwators. Cigarette and cigar butts must be Rlilced in
proper receptacles in all other common arca.c:.
6.13. Should an emergency situat1on oc.cur, the.buHding.personnel o.nd aU-0tber lj'pes of
emergency personnel are nuthorized to enter yo1.1r residence and shall use- forcibJe
entry if necessary. If such emergency entry is not the result of a resident-
tnarntcna.oce item oI action, the Association ,vi.11 be responsible for damages
re:mlting from accessing your tmit.
6. l4. No exterior clotheslint) shall be erected or maintained or hung on balconies or

railings wubm the Project aue:I there shall be no drying 0r laun,dttfog of clo1'1-es.or
any o.fuer items ou any Common Area or .Associatkm Property.
6 15. No Residents shall modify Association Propfm)' or Common .Arei+, ~~pt .as
otherv.'i.se specifically provided in the CC&Rs, no Resident shall hcrve the! tightto
alter, paiut, decQMte, remodel, tandscape or adorn any pru.1 ..of the Association
Property or Comm~n Acea w.ithoot the wt:itten.consent oftbe B.oaro.
Section 7. D.isturbnn~ / Nuisances
7. I. Residents are responsible at all time:; for the r.ea!iOllllble conduct of fueri)selves,
their occupants, t~ants and guests. Loud .or boisterous conduct.anywhere q_nihe
property, including yoll!' residence> wbicll dfstnrbs the comfort .and ql:iie~
enjoy.ineni o.f o.tlJers, is prohibited.
7.2. No pen.on shall dischar_ge into ta.e project's sewer system or stonn drain.any toxic
or noxious or pollutant mauer in such concenuatioos as to b.e 4etri.m,en~l to or
enchmger the public health, safety, welfare, violate- any law~ subje-0t any Owoer·tn
liability under state and federal law for any clean-up or cause injury or damage to
common areas, neighborl11g property or bosine;is elsewhere on or-adjacent to .the
Project.
7.3. The volume of radio.stereo sets, t~levision, andmusicru.instru~ents shall be.held

to a reasonable level at all tim~s so other residents·ar.e not \.lllIC&Som1bly disturbed..
After 10:00 p.m. the volume must be ~gnificanlly red.uced so as n.ot to .disttit'b
other residents. The limitation.after 10:00 p..m. shall be strictly construed.
l. JO
..
'/
9 .11 . Parking i's at the risk of the vehide owner or person driving- the vehicle. The
Associ~tiQn, its q.gentsi Bqll!'d ofDin;ctors, insuranee company, or m~a.nl~t,J.s
held .ha:rmless-.a:ud not liable for a,iy damages and/oi losses whatsoever.. ·
9, 12. All signage and dire."ti.onal ):>a.venien:t markcm must be.followed.

Section 1 O. Pets
10.l. Ali dogs kept within the complex sha-11 have a current license and ruunc t~.
J0.2. Dogs are not allowed ia the common areas unless on a leash -and attended by a
qualified .-residenL
10.3·. No exottc pets, livestock, reptiles, -inscct:S or poultry shall be kept i:n.. any ho.me.
Usual and ordinary domestlc pets. includi.ng dogs. cats, fish, and birds inside
cages may b~ kept as household pet<; with.in any: home provided they are not k~
bred or raised for commercial pw:peses.
lO _4_ Any dog or breed.Qf dog wni.ch. thi: J)oard r~soii{lbly tle.:t~mi)le& io :be a "fim:1':t::to-
the safety of the QG-cupauto o! t]\e project-sh~ ;noJ b~·-a:II<;r~~cU;n the projeci
10.5. No resident or tenant_may maintain any aquBiiwu Ql'. other container that~'tains
or is capable of holding more Ulan l S gallons of water.
lD.6. The Board ha~ the power !O prohibit the keeping or maintenance of any .animal~
which,~ in the -opi'(liun of the Board, e.fte.J' notice nnd healing. is deem-ed: b,y the
Boatd'to constitt.ite a nuisance to an..y "other resident.
l 0. 7. Each perspn bringing or keeJ)ing an animal within the project sha:11 be absolutel..J
liable to other residents and their invh:ees for -any damage te JJersons OI p.,ropeit-y
caused by that animal. It shall be the duty and responsibility of eacll suclt ·re.sidenf
lo clean up after such animals that have deposited. droppings or othe.r:wi3o used
any portion of the projector public streetnbutting or visible frnm tbcnneper;ty,
10.R. Uncontr-01lcd animals in the eo.mn1011.area are subject to,•frnmediate '!=OStraint-a:nd

wi.lJ be tu.med over t6 the.llllnime ..Soci~t)', andl.-or the owner of-the -pet will'~
~ubjec~ to the-violatio:ri,pi:ocess-,oftb.e Association.
10.9. All pet owners shall be r-e!)ponsible for-their petJs nqis-ance and noise -disturbance,
Dogs arc not to bark unnecessarily o.r incessantly.
10.1-0.No pets are allowed in the pool.and :sp~ ar.ea, or community. area.
•··
1r
• . ~ . l __ ._
,,
•• J
12_
: ••1-
·: ../ ,.:~J.1,,-:
.
....._-.._.·=_\.:.!1:· ~~ ~·1· .;~:{' )~ii;t:·:~!~(;:~~f~
- ••·•--••••·• - -••-.. ---••-•-- - - --•••--•--M•..-·""•-·•~- ••••-•~- .. ,..,..,, •••
----- --- - -- - - - -- --
Sccfio·n 8. Elevators
8.1. If a spill occurs (for example,. plant soil, food, etc~) it is eas;h ~r~on'•s
responsibility to clean the spill immediately.
8.2. No open beverage or food conuiiners are allowed in the elevators at any:func.
Section 9. Parking
9.1. Any vehicle that is parked.so as. to impede th(¾ normal fl.ow of ·tralu<;., block.access
of other resid~ts' par.king, or obstruct .acpe.s~ 1:>y. Fke D~po..rto;i.¢t'it .ctn o.theli
emergency v.ehicle~ -shall be tQW~d. .immediat.eiy ap.d without notlce ~.t ihe
violator's e~pense. ·
9.2. All vehicles i11 use of n ·parking space must be epei:~uonal aJ.1tl, ~xh:Ibit current
I.ic-ens~ registration rags.
9.3. Any itehiqle wrongfully parked in-any hgmcowo.e.r•s assigned ptf+kjµg ~paceirwill
b~ towed aLi:lie-violator's expense.
9.4. Excessive oil leaks and stains ca\l,.;;ed by a resident's vehlde will be subject :to
fo1es andfor the cost of clean up and repairs.
9.5. Vehicles thm set off car alarms when driven in the garage n;1ay not be ®"en or
parked in the parking area Should a car alann continue to go off, th.e Association
may, at the resident's '4.l)<mSe, hire a lack.smith fil1.d tak,e whatev.er ac:tmn
necessacy to stop the noi&e. Vehicle alarms that.do 11.ot a1.1tom1ltiually·ga ¢1" 11>ftet
a .short interval ru·e 11ot allowed.
9.6. Oversized vehieles s\'lch as limousines.; extra .1.ar:ge v.ehi.cle6, etc-. which do not fit
in your spare must be·parked off the premises.
9. 7. No working on vehicles fa penn.itted in the pa:ddng·-ru:ea. Tiunenn "W!)~ ol}."

mcludes, but .is not limited to, wnshing, Wft.Xlng,,. .changiag, oil, .'lightmai~ten~e,
etc.
9.8. Please take care when opening your oar doors so you do not chjp the paint off or
dent yoor neighbor's cm'. ·
9.<>. Boats, jet skis, tr.a.Hers, campei-s or unregistued vehicles, etc.,. are t.tbt pennitted
within. the project at any time.
9.10. Bicycles must be stored ·w1thin the owner's unit or parl<..ed in. the aroa-designatl;d
for parking of bicycles, if any. Assigned parking space's and other-areas may net
be used·fot storing bicycles.
---
. - ~ ~·~ - - - - -
-
➔
Section 11. Rental of Rcsiden ti.a1 Condominiums
11.1. An Owner shall b.c entitled to r~nt ihe Owner's residential :Unit s_upjeet to 'tbe
folio.wing g1l.idQ!ines.
l 1.2. All O\lll1ers Who ,rent thefr Units shall submit the names ai1d -contact numbers for ·
their tenants to tbe management company for th·e project.
11.3. Any rental or lease agreement shult be in writing, shall provi:de that the l~ase .or
n:ntal is .subject to the governing documents and shall provide 'that any..fatlu.re"tO
comply wilh any provition of the .governing documents shall 'be ·a dcfa'cilt Under
the terms of tbe lease agreement. ·
1.1.4. A copy o.fthe gov.erning dQc\lments, in.eluding the Rules and Regulations, shall oe
provided by the Owner to each tenant or Jessee. Written proof th.8..t such. jtems ·
wei:e provided and signed for by the tenant sllaU be delivered to the building
manageJUJ!nt.
11.5. The-Ow11er shall forward an executed cqpy of a lease to the buil_q.ing management
with th.e. telepllone number and meet address of the resident Owner.
11 .6. Ow11er shall be liable for violations ofthe Rulas and Regulations by sucb OWJ1Ct1s.
tenant.
I 1.7. T.be Owners sha1l, at all 'limes~ b~ ·res.ponsible for 1heir tenant's or -lessteis_and ·
their guests' cc.rnpJian.c-~ with a1J of the pr-ovisfons of the Declaratiou. and ·'d)e,
Rules and Regi.#atio1;1s-.
11.8. Lessees.have novoting rights infae-Association.
1L9. No Owner may lease a Condominium situated thereonforhote~ motel or transient

purposes. No condominium shaU be leased for a tenn less than. thirty diys.
11.10. The Boaiu tnl'\.Y require a tenant t0 deliver tn the A,ssociation a sec~ty deposit, in
an amount established by the Board, .fh:lln time to time, .as security for the.-09s-tof
ckaoiug or repairjng damage to the common area.
1 J.1 l. Use privileges for amenities and common area ttansfe:r -to the lessee _o r. ~ .
Owner shall have no -peL-s.onal use privile.ges 1.1pon: leasing out lhe Unit unless
physically res-icling therein -as their primacy residence.
11.12. No more:then 6:units in the building may he leased at one time.
-: 11 .,·:., "# .. "'
. •:,
-
Section 12. Resale Rule:s and Regulari.ons
12.1. Owners of residential units must notify building management that tbe residence
has been listed for ,sale.
12.2. Seller shall provrde buHding man8.brement with the name and telephomrnumber(;)f
listing agent and company. and the listing expiration date.
12.3. All real estak agents shall check in with a management representative and loc;k
boxes wiU be located in desigaated areas-~.nly.
l 2.4. Seller .1s cesponsihle for provid~ the listing a_,gcnt. with a copy of these Rules and
Regulati.ous.
12.S. BuiJd111g management and· staff are prohibited fro.m sho'-\ring aoy home avatlaole
for resale to mquiries or prospective p_urobascrs.
12.6. Homeowner or broker/agent. shall not give keys to future owners until the close. of
esCTOW,
12.7. Prospective buyers must be esco.cted by the Owner or such Ow.aer's :ag:en! at all
times while such prospe1.,-tive buyers are on the common areas or in the Unit.
Section 13. Services, Trades People, Contractors and Subcontractors
l.3 .1. Owner& or tenants who expem service, trades people, COJ;l.tractors -0r-
subcontractors (i.e .. work persens) .to WPtlc in tlleir unit s-boold .notify buikling
u1auagemcmt iJ1 advance.
13.2 . AU work peISons must register wfth bu.ildi:ng management upon arrival ca$
mom.i.Bg and must sign out-each night.
13;3. Material .dellve,ries inusl be scheduled furo~ building. .managemerlt There ar.e
no unloading zones inside ilie building.
13 .4. Any damage caused by work persons to collllllon areas or other mtlts is the hiring
Owner's responsibilit) 1
- The Association will make the repairs to the commoll'
areai; and charge the owner. lt ml! be the owner's responsibility to s-eek re<=ourse
against their contractor to recoup cosls. The O~11or wiU be held liable for the
actions of his/her work persons.
13.5. All common area floors are to be protected. The protective coverings must be
removed and the floor cleaned by 5 :00 P .M. e11ch day. lf this is not done; the
O\vner is subject to the violation process, plus the cost of cleaning.
13.6. Coustrnction debns is aot pennitted in trash chutes, residential ttash room:s..
common areas, halhvays, or .stairwelJs. Work persons tnust carry all trash and
. l~
- • - •· - - •• - h_,,••--~- •••••-•._ ___ - .... • -- - - .... • lt- - ...- •,.

debris off-site on a daily basis. All violations of this rule will resu:lt iii. th!:
violation process and the owner wJH be billedfor any ~loan -up.and d~ges, ·
13.7. Working hours are 1im.ited to Monday through Friday, 8;00 a.m. t6 5;.00·.p.m.
There will be a $J 00.00 fine charged against the unit Owner if wor-k CQntlnues
past 5:00 P.M or on unapproved day..s.
13 S. Work persons mny use the resident's assigned parking space or must park
vehicles on the surrounding streets. No dm1ble µ:irking or obstructing driveways
or waUcways is aUowed ..
13.9. All conlrnctors nnd subcontractors BTe required to provide proof of insurance fo
the .:'\ssociation for property, liability and workers compensation, via 1\- eernfioa~-
of insurance which name the Assoe-iation as an jl,ddirionaj insured. '(Note that tni.,;, ·
requirement may pose a problem, as most insurers will not ex.tend cov~,;age to an
association except for e.."<.tremely h.igb premiums thar may make most minor.
remodel mg cost prohibitive).
13. l 0. Ml applicable pern:rits are to,be pG>sted,on site.

I3.l J. Workers are not aJlow<1d to l;>ring·th,eir-pets-On;{lfte aud ,wl bc_den"ied:enijyjf tl~r
ha·ve a pet with them. Workers are also prohibited from crea_ti{}g ·nuisance noise
unrelated to the coostructiou work. Wa.rk.ers arc also probiliire.d frhm eating
meals or taking breaks on the grounds in the common areas.
13.12. AU contractors must be licensed in the State of ~lifornia.
13.13. The Association 1llls the right to :.top any work that is 111 vfolation of these
regulations, creates a fire or safety hazard or inte1fercs with activities ·ih commQn
areas.
13.14. Work persons must use their own equipment. No equipment or tools, which are
the property of the Association, are to·be used at any time.
13.15.All gales and doors are to remain closed ,andlock.ed when not.in dire<,t :use.
13.16. Toe .front door of lhe unit mu~~ j:,e k.L.-,it closed dµring ~nstnlctio-p to w,oro.~
contain dusti dirt1 n(?isc1 paint fuµlcs, etc. O,vo.er is Tcsponsible to .cov:er :and
protect any affected -smoke detectors.
13.17. Work persons are restricted to the units in which they ar.e working. If work
persons are found in an unauthorized area, they will be removed from the prop.erty
forthwith by security.
13.18. There is no avallabHity for ex-elusive use oftbe clevntor.
13.19.No work person moy use power (ekctr.iciry) from the common area for separate
interest purposes.
. . ~ •,
'.a:
.
-t;
..
••
ti.
. -• '
- •. "' _l;S. .•
.. -
._.' ! •·1. µ. ~ ~\--r~ r~,. i~-h~
•. ' ': >
I •
13.20. Space is not available in [lJly common area or interior parking facility for the
purpose of cutting tile, catpeting, carpet _pads, woqden tloori11g, wall cov.ering$,
n1ixing paint, ~i:c.
13 .21. lf the Owner fails to "Comply with .ru1y aonititions and .requit~ments of approval,
the Association is author.ized to take whatever" a.ctto•n;is.necessru;y or::rcas0'na.ble to
correctly complete or r.cstore the Unit o;- affected common area. fu this
circumstance, all costs incurred by the Assocration,, plus a mol\wu:y fu~e, \~ ~
nsse.-sscd agafast the Owner's uo.i;t. Such. cost may include but are.4mt lim1ted to:·
a} Reconstruction ancd/-0r ,:epair of the unit_and...th~ r-elated cos1s~
b) Reconstruction and/or repair of the common area and/or .restricted

common area and the related costs;
c) Reasonable attomey's tees and court costs.
13.22. Applicant will infom1 all othe.r Owners w;bo may be llffeeted by such ·alreratiotl:
work of the :natt.u:e of the work and Jhe .e>.1ent nncl duration· to :v-(hlch·they :m_a.y·
reasonably expect to be affected·.
13.23.lmp.act devices, such as jackhammers, chipp-ing guns, drilJs, pov-(~r-o)jerated

hammers and simila:r <levicos-, ·will net be permitted unlcs~ there is no othe.r
metbod available. If such devices ru;e to be use<!, written penuissio11 bas w be
obtained3 with the .regu~t m ~ e. tbe, ..date, time, pJ:U:pose and cir.lJ:atiQli of .use.
Natfc~ oj such woi,1k. is to b!! qistri~ulcaj. ta· th~ OCQ~pant..,.,o'fihe Uni\!¼ f o ~ f y
to the sue.This. wilt give your neighbors. ample ~Uling coliceJ!n.i.qg noise,to be
generated.by the ~oi;k. A w.tltten req_uest:for such watk shall be sub.iruttt!d.oo less
than one we8k i.n. advance. The Association sh.an tbl!?l provide written per,qi1ssion·
to the Applicant. N~gb:boring Units s't.,all be notified at least 4-S hour-s in i\dv.artce.
lmpact devices. can be used. with approv~l. between the hours of 10:00 IUll. to 4~00
pm Monday through Friday only.
13.24. Once the architectural modification b.a..s been completed. the mod.ifi.catio.n:must be
inspected by the Assocfotfon in order to ascertain if all common systems -an~
clements have been prot:ec(,ed in accordance with the.design or as a -tel.ult ofthe
.approved modi.ficati.on. Inspection and approval by the Association dQes not
warranty or gwu·antee the structural con:rponenl or design inte.gdty of the Uni~
Owner's modification. Association accepts no responsibility nor agrees to ru.~'UID.e
any Uabilft.y in conjunction whh !lllY ~nspec.Hon.
13.25. The Unit Owner and su.ch O,'iDer's befrs, ~uccessors and assigps ~reby
indemnify and hold harn11es:s the As:Saciation from all defects in produc~~
workmanship or design arising from or out of the al(el.'ation~s) ..oi.: modifi:catio11(s}
performed by 1h~ 0',1,'ner -or the O.wner's agents.
1.6
.. t;
Section 14. Soliciting
14.l. Soliciting of any nn1ure is absolutely forbidden on. any part of the pi:operty,
premises or common areas.
14.2. All rnailroom solicitations need 1o be reviewed and approved b-y the buildi;ig
management prior to being placed in themaill'Oom. All unappto.v ed s.olieitariens
wiU be removed iromedratcly.
14.3. Neither .residents n,or their nunilicsi employees, agent,S, v.isiters., :liq~e~s npr
.senrants shall distribute 01· cause to be disuiibuted any:advertisfu_g,,,pam.plilet,:free
newspapel' or any .other .printed matt.er on or in any parti.on of the: pfo.[)Crt¥ of
resident cars. 'this ln~luaes door-to-door s<;>J\citation,.electione:ering, ~c..
Section 15. SWimJni.ng P<iol and $_pa
15.l. 'Pool and.Spa hours.:

Sunday thxough Thursday 6 :00-A.M. TO 10:00J>.M.
Frid~y through Saturday 6:00- A;M. TO 12:00 A.M.
15.2. Please note t4at quiet ho'lu·s wiH be observed at times other lban those listed
above. This means that qmet enjoyment of the -pool and spa is pennitted,.,l\owever
any activity outside of the hours above will be closely monitored.
15.3. Unoccupied poolside; chairs and loung~s may nol Qe reser.v~d by Qr for any.qne
ou1.S1de Ille pool ar-ea. Towe:ls, .clothlni:an.d other .items $0uld be taken; with ~e
ownar whet1·deJ!.artingthc pqq). ru1ctspa area.
1:5:4. Persans ;u sing ~mitnn lotiQ.n m.ay not enter ihe pool or spa unl!'!SS they. w.ipe. oif'1
excess=lotion. Users of ml .or lotion must proteot tbe chair or' lounge with;actow~l.
15.5, AosoitJtely no .(oreigp iiUbstances s.ur:h •as bU.bble :bMh, soap, beer, etc. iuay be
added to the pools or spa. Perso)ls observed. ~oing so wW.be asse.sse.d th:e..cosvof
drain iog, clean.in.g, refilling aud -ether-co~~ tnourr~d ·due t,;r pool o-,: SQa ~ ¢ .
15.6. %rowing non-floating items: such as rocks, t;narb.les> coinnmd:the.Hke into,_p<fols,

or spa is prohibited. .No bobby pins, hairpins, etc. are to be w.om in tw two.J.
Metal objects cause serious da.magc to the filtering system.
15.7. The "buddy" system is recommended for aU swimmers at all times.
15.&. The use•of the pool is cxpre!i'Sly limited to residentiaLresidents and tbeiI: invJted
guests. Each unit is limited to fow· g_uests' toTI!1, at any given time. At .no: tim,e
shall n11y group monopolize the facilities.
15.9. Guests o.n an extended stay (over 2 weeks) are col;l.Sidered m~mbers of I.be
household and 1n11y u.se the facili.ties·unacco.mpanied. Ex:tended-stay guests must
·"' , -~
.• ·~ ·•c:. /~:·":;t•-/1: ;.~-.; ~ , J ,.1 ··Wt~:;??=i::.rv:_);-_:t··~i::.i½1}!}=r;.•=?ft i ;~i:~: : l:~~f~~-

- ----- ►
--
register with the .Management. Other guests may use the facilities en1y when
accompaQJed ·bytl1e hm,i.
15. I 0. Absolut~ly no running, poshing, or horseplay arou~d or in the po_o l area. will be
pennittea.
15 .11. At no time shall there be any loud noise, disturbance or other aotiv-ity tha.t .creates
a nuisance to residents. Unit residents and guests are expected to maintain a
conversational voice level and refrain from using obsc.eoe langoag~ and
aggressive behavior.
15.12. No infant~ young child or person su~ject to in.voJuntar:y natural bodily ftmctions is
permitted to -use the pool or ~pa wttho.ut proper and effective diape.t;·prolectiqn.
15. 13. Intlaiable items, si.m~mals, surtboa.r,ds. Styrofoam ~Qats or other large nbjeot$_of
this nature will not be permitted. Only flotation devices for sniall children (i.e.
waler wing-s) shall be permitted.
15.1-4.NO GLASSWARE OF ANY KIND rs ALLOWED lN T.ffE 'P.001.. AREk,

.Co:n_tainer-s -of~ unbr-eak~e11atl]!C will be :al.lowed _Qrov.ide_Q t~,y-a-re~i~po~ed~f-
in the proper manner. Liite.rin_gin the·peol and.pool ar-ea is not allowed. ·
t5.15.No bar-becuc, hiba.clJj or other cooking apparatus shall be nse.d Wjthin the pool
area.
1 S, 16. No pets are allowed in the poolJspa ar~a. at: any time.
15.17. Bicycles, skateboards, scooters. roller-skates. ro1ler-blades, toys. or oihe:r wheeled

vehicles or sho~ are not.allowed in th.e pool area at any ti.me.
l 5.18. Only persons dressed In standard swimwear are allowed in yie pool or spa,
Nudity or nude sunbathing in these areas is not tolerated.
1 SJ 9.Climbing oy_e r the ~ates and·fences· in the pool.area is-.prohibited...
15 20~Persons with -~kin diso.rdei:s., colds, coughs Ql' cammunicabl,c dx~~ses ~ ask~d ,t;G·
refrain from p.ool and spa use due10 the .obvious :rlsk: of health pr.qblem.s to .other
individuals,
15 .21. Immoral. lewd or jndecent conduct is prob.ibited in the pool, spa, and·alJ other
common a1:eas including exclusive use common.are.as.
15.22.Porta:blc TWs and·radios.,.are.not perntltt:ed unless used with.headphones,
15 .23. Chi1di:en 14 yea.l's and younger must be accompanied a, all times by a ,r.esponsible
adult. No child under the age of 14 years shall be allowed in the jacuzzi or pool
tmless accompanied by a µareut or legal guardian. Ii is recommended l:ha.'t
' . to .,:·
' '
·.• . '
.
::.
1'8.
.. -·-··- _ _ _ _ ..,. ____ .. - - - - - - - ~ - - +•- -- "' . .,,.._ - ----'."'~•.,-•:

pregnant w.omen, _persom with heart 1,roblems, high blood pressure .or diabetes
rcfruin from \U.ing !he spa for heallh reaso1'lS.
15.24. The Association is not liable, and d~ not as:n.µne any liability wli\ltsoey.e~ for
injury. property damage or any kind of loss arising in connection vri'th the use.of
the pool. spa, or sinlna. Jhe pool, spa and recreation. ffeas have no liftgtUird
on dutv.
15.25. The Board of Directors reserves the right 10 deuy use of the pool, pool area and
spa. to anyone at any time.
Section 16. Trash Disposal
16.1. Cooking scraps and wet garbage (except bones, pasta. rice. and fibrous
vegetables) should be disposed of by usi11g the disposal in Lhe kitchen sink. All
other disposable garbage is to be securely wrapped into a compact bundle 3lld
placed in the trash chutes or dumpsters.
162. Open cont.aiuers such as paper sacks, boxes, unsecured plasik- bags sha)J not be
-used. Unsecured trash se~ off tire alarms, for whioh the Association is fined by
the fire Dcpartlll.ent.
16.3. B-1.J.Odles and items that are larg~r ~ ttash.-cbure size shall bc·dc.P()sited d.irtQtly
into the troshd1,UDJ,>S.tets .nuit..are not attached to a compactor.
16.4. AU ~atdboard boxes for disposal ate to be broken do\¥-n and tak.eu ito the :abov-e-
menti.on~d trash roo,ms.
J6.5. Please notify tbe building_ manager of any uversi.7..ed articles requiring tem.Elval.
16.6. Construction debrii; produced by Owner (i.e., not produced by outside workers)
must be carried 10 the trash room(s) and placed in the dl.lJllpster that. is not
atJache<l. to rhc comp,actcr. Such debris must never be,_placcd i.n the tr&sh chute Qr
any place other than
the trash room(s). Owners will be assessed the .actµ,al cost
for any clean-up services if construction materials are impropedy disposed of
16. 7. Dedicaled containers for recyclables are avaifable on the pro,perty.
Section 17. Windo,v Coverings
l7 .1 . To enhance the appearance of the building; curtains, drapes, shutters. l:ilinds, and'
other window materials subject to view from the exterior -s hall be restricted as 'to,
the color of the side exposed to the exterior. 01l1y window coverings and
materials, which have a white, off-white .or neutral color are allowed ~ .
approved. Owners shall arrange for window coverings within 30 days after close
of escrow for windows that are visible from any-publ.ia or private street.
,.'.c
,.
• • I•
••,t
19 ............
'
17.2. No cxterfor screens are pem1ittcd except for sliding glass doors with approved
screen doors subject to the a-pp.roval of the Architectural Control Committee.
17.3. The unh owner js responsible for the care and mainte11anct> of theBe wiado.w
coverings. Drapes, curtains., shL1tte~. blinds and other window mater1als mu& Qe
kept in good condition. The Association can compel the unit owner tO'J'CJ)lace
shabby and tom materials exposed lo-th.e exterior.
17.4. Wi1ldows shall not be .coveted in whole or in. -parl w:ithal:umix~m foil,. pe~papey,
paint~ window tinti:ng, or any other material deemed inappropria~ by-'tb.e ACC. ·
Section 18. Holiday Decoration Regulations
18.L Non-lighting an.cl noNnoise- generating dee.orations o.r wreaths, ean be placed on
the e,"{terior of the entry door(s') to your home. ~-Iowever, these mll$t .be ~
with a device s.uch as a suction style hanging device that does no~ _pen~ate,
dam.age, or leave residue 011 the door.
1s·.2. Lights aud decorations inside your home must not ,create o. nuisance· \Q Qther
residents. Please respect your neighbor's right to quiet enjoyment by tu.ming off.
those dacorations Which may creiue a noise or 1igbt nuisance a~ 1Opm weekdays·
and miduight on weekends nnd holidays.
18.3. Only fire retardam ornamental trees are perrrutted as requested by the Fire
Department. The building management can oe contacted to a~s.ist in hnngmg ttie
tree tip to the entrance of your home- and in the ·removal of yeµr tre~ atter- tll,b
holiday se/).SOD, if nec,es.s~ry.
18A. Ornrunentnl trees heing.removed;sha11 have covering; to pre~!: debris fuiling.iq

tbe. common areas. Owners are .responsible for a:ny .da.n,ag!'! done.,or tlean: up. of
the Association contmon axeas.
18.5. Ho lida,y decorations which are visi!)ie ,frogi the- c9nun9.n. areas., ll:lcl~ ip.terfor
holiday ·l ights, ,;ust beromovedbr January 6ih. · ·.
Section 19. Security
19.1. You must close all e'/(tector doors completely and insur,:: t11at they retrtai11)ocked
at a!J times. Do not prop-them open or leave them unsupervised.
19.2. Owners shall not allow entry to the property to any 1.hirGi party ·t batis not known:
to them.
Do not asswne that "someone ets.e11 will confrQ11t a ~tranger:. CQn:frou.tatfon 'ts
sometimei unpleasmi but necesStll)'. lt is your home. lf y-0u, were liv-ing in ft..
private home and saw someone wandering around your property you would talce.
action or contact the 'Police Department. We ask that you please do tlte ·~a.rp,.e
here.
.. ,., . .. .·
.
·'
. . 2Q
. ,.·:.' ;..' >, ·,. ·..//:.:~~;~:·,·>;•~'.,ff::~..•:•'.::::=;·.-i{S.-<~.
. r·
19.4. Never let anyone jnto the building for a neighbor unles~ you .have ·positivcl.y
identified him/hei:. Many times-, clever individuals are. ~ow® into th~ buil~
pretending to be "UPS D1ivers11 er ''Rorist Delivecy Peo,p}el' and want to be .let in.
Don't.. let th.em in.
19.5. lf you see a person that bas entered the building and begins hanging doorknob
advertisements. please nsk them to leave after yoo ndvise them that we do not
permit peopl~ into th.e builcliog unless they are owners or visiting a particular
0Vv11CC.
Section 20. Commercial Use Resfrictions
20.1 . Comme1·cial writs may not be u~ed for busiaess practices that are consj~i;d
h112ardous or twsa.fe· by the board of directors.
20.2. Any noise that is too loud and/or considered disturbing is not permitted
20.3. Hazar_qous, tQ)tic, fl3mmable-or e,1<_plosiye mat,er,ial;j are-nat-pc-;tmitte<J
20.4. The following bµs:in~ses are -probibitcd:

a) Distilleries, tcyincries, and microbreweries
b) Motocized vehicle repair shops
o) Grunt: arcades, pool halls, _gambling facilities, or places of puhUc assembly
d) Pornographic related or illegal drug paraphernalia.related sales or-services
e} Gymnasiums or martial ans studios

f) Tattoo parlors or body piercing facilities
g) Thrift, second hand, surplµs or bankrupl.Oy·stoi:es-or s~e.s
h) Religious places of worship
i) Laundromat or dry cleaning facili.1.ies
j) Business which maiotains .. keeps, or si:lls an.imals
k) food servlce shop including restaurants and coffee shops
Ir.
,- ~
,. •
- ..
.. , ,
t
' ,
... 'wr ..
20.5. Except with the p-rior written -consent of Associa.tion Board of Directors, no .sign,
-picture, na..rn~ .a dvertisement or notice visible from ibe eXLerior qf ¢~ premis.~s,
sha1l be inscribed, painted, affixed -011 otherwise displayed on· buuding, ·oth.erinan
reLail signa~e. Si@S and sjgnage :are .subject to. the t).ppr.Qval -e-f £lie rioard :e'f
-directoi-s ~n.dl.n.r the a:r.chiteoti:iral-con.tx~l·?.Pm.mitt~.
20,6. Ow.ners. of com.me~ial patkingspa~es are t~:Ponsib~e·fo_r tq.e n)ainte~ct re,Pair.
and cleaQ:)iness. oft{ioir respectiv.e par.}cing spot(s).
20. 7.. Hours·M o.per-athm far commereiP.l unit a.re limited to &-:0Oam to. 7:00pm Mo.nday-·
S-fltUJ:d<1-y and "§1?0011.111- 6:00pm Sunday.
20:8. Any changes in use of commerciAl unit shal'l be subject to pdor written approval
20.9. No o,\ll1er of or .invitee of any c:orru.u.ercial unit shall have che right to use-any of
the roof lll)1eJ1ities or other shared amenities.
20.10.Each business must be operate.d ·C:Qmple~ly wJtQin.tbe conunerc:ial Ulutanct llPl'P.tn..
any of the. assc;io'.iation p.c.ope,ny. <?:r adjacent si4ewalk.s,
Sectio:o 21. Late Fccs-
21.l. Many times 0wner.s will call LB Property Management re~s:rdmi late fee
pol~cies. Plea.se ~erstaIJd tl:µrt ew Association esta.blishe$tlr~ Rules ang· capnot
be byp~sed b)'LB,Pt<;>p~ny·M~n;ien:t (unt~ss,if-is an,aOOQ'\liittiig:~:a-9r).·
2i.:i. Yo.iir a!isoclatie.n dues p.aynieut i-s due even if y.oi1 do · uoL r.eeei.v.e. a ,;15.ill'm:~, '·
·smteme11-r.
2.1.3. If yQu feel you should have your 1~ fee waived, re~uest ? '1Laie- :;fee Wafver
Request Form" from LB Property Management and mail it .baek te them 1.ipou.
completion.
22 - •·.•·•. .
. ..
., . •,•~.:..• r"·.~·: . ·- :' ..
. .. ~ ..
The Little Tokyo Lofts Community Association
About the HOA Board of Directors
President The president shall be the chief executive officer of lhe Association and shall', subject
to the control of the Board of Directors~ have general supervision, direction. and contro1 of the
business and officers of the Association. The presi~e.nt shall preside ~ .all m~tings .of U1e
Members and, at au meetings of the :8onrd af Dir~tors. The president shall be ex ofijruo a
member of all the standing-committees, if mi.y, ~d shall have· the general powers :and duties -of
mapagement usuallyvestecl.i.p, the ofticer of president of a .corporation, aud shill have su~fr 0th.er
powers and dutic;s as may be prescribe~ by the Board ofDirectors Qr·the Bylaws.
Vice-President In the absence or disability of the president. the vice-president designated~ the
Bourd ofDiTecrors, sha.U pe1iom1 all the duties of the pre,sident, and wneo so acting.shall have all
the powers of, and be subject to oil the restrictions upon. the president. T.Ji.e vice-ptesident aball
have such other powet'S and perfoun such-other duties m; from time to time may be prescribed by
the Board of Directors or the Bylaws.
Secretarv The secretary shall record or cause to be recorded. and shall keep or cause to be.kept,
at tbe ptlncipaJ executive office and such other place as the Board of Directors may order, a
Book of \.1inutcs of actions taken at all 01ectings of cfucctors and members with the time ·and
place of holding, whether xeguiar or:special, and, if s_pecial, how authorized, tho.notice thereof
give,n, the names of those presenl a:t directors' meetings, .the µumber of memb~ pp~~ni. or.
represented at member.s' meetings. rutd l.h.e proc-eedi11gs thereof.
Treasurer TJ1e trea.sure:r sl:Utll be the c.Jiief.fi1J,m.oia.l officer of the Association 'cUJ.d shall· oversee
that there are apeq_uate and -correct accounts of the -propeity mi_d bQSiness tr~sactiQ!}S of the
Association, including accounts of its assets, liabilities, receipts, disbursements, gains, losses,
capital and surplus. ~A.Dy surplus, including earned sw.-plus, paid-in surpl~ and suq,lUS' atising
from .a reduction of stated capital,, sbnll be classi:fi~ accqrd1ng to sow:ce. ~d sl:).9-wn .in a separate
account. Tbc books of accoun1 shall at all reasonable- times be open. to inspection. by any
.
diiecfor. i·'
•:···
.
. (\ - . .. .
I ~~ •
'-
23
, '
·.. ....
' .
~
The'. Little T <Jkyo Lt>Its Commu~ity AsS'ocia:fi.;qn
B.O.ARD-:0J?J»RECT-0RS APPLICATION
Name: _ _ _ _ _ _ _ _ _ __ Date~_ _ _ _ _ _ _ _ __
Address: _ _ _ _ _ _ _ _ _ __ Day Phone: _ _ _ _ _ _ __
Evening Phone: _ _ _ _ __
e-mail address:-------------------------,----
!?lease pro,v.ide a brief explanation. of wlly you woul<l like 10. setve as a memtier of the.B0ard-of
.Directors:
Pleas2 brie'ily desc~ibe yo~i:r Qackgm\lnd 8.lld state if you ~ve ever 5e.rv~d ns a BG~r4 m.embcr.
Note any-current v.oh,mteer wor.k or-hobbies:
.·-1: '· ,.• •.,
• '.• rf ·.7- ... ·:. ; •
. --_______
i, __,,.
·-. -·- ·-· -· ........ ·--··-···--·--·--·~-., -~-- ------..-- ---.-
Th~ Little T0kyo Lofts C-ommu.nity Association
COlVIM.I.TTEE FO:RMATION
BEHIND EVERY Vv'ELL-RUN CO:MMUNI1Y STANDS A GROUP OF DEDICATED-

VOLUNTEERS. AS A VOLUNTEb"'R Cillv1M1TTEE :K:-IBMBER YOU WU,L PERFORM."A
VlTAL FUNCTION TO THE SUCCESS OF YOUR COMMUNITY. THE V ARIBP S.KlLLS
AND AREAS OF EXPERTlSE THA.T A LARGE GROUP OF VOLUNTEERS lt~SEN'I:
WILL PROVE INVALUABLE IN nm EARLY YEARS OF YOUR COMMl:JNiTY
ASSOCIATION.
COMMITTEES ARE ASS[GNED SPECIFIC TASKS BY THE BOARD OF DIRECTORS

AND ARE ENCOURAGED TO TAKE MINUTES. OF TI-fElR ?vfEETINOS. REPORTS
SHOULD BF. SUBMITTED TO MANA.OEMENT ON A MONTRLY f3ASfS, A IvUNIMUM
OF ONE WTIEK BE.FORE THE BOAFJ) MEETING. THIS WJLL GIVE THE BOARD
AMPLE TIME TO CONSIDER YOUR.SUGGESTIONS AND ACT UPON TIIEMAT 1:HEIR.
UPCOMING MEETING.
THE ATTACHED ARE 'BRIEF OUTLLNES OP DrPFER'BNT TY.PBS O.F -C.OMMITIIBE-8 ?

AND UIBIR FUNCTIONS TO '.HELP. YOU BETTER tJNDER.SlAND THE :0UTIB$'BA-CH ¾
ONE WIT.L ENTAlL. PLEA~E .KEEP 1N MIND 11-ffiSJiA.RE .ONLY "GOIDEL.INES..,; .
DUTIES C.ili.BE CHANGED TC BETIER-SUJ.1; THE ·coMMUNJ.tr.sNBEDS•.AS
APP-'E.OVED BY TI:IE-BO~RD QF D!llECTQR'S.
AND QUESTIONS YOU MAY,HAVE~PLEASE DIRECT TO YOUR MANAGEMEN!r

R.P.,PRESENTATJVE AT {818) 981--IS02.
25 : ,.,
I•
The Little Tokyo Lofts Co1n111unity Association
COMMITTEE VOLUNTEER INTEREST FORM
Your name
Daytime Phone_ _ _ _ _ _ _ _ _ _ _ _ _ _ _ __
Ev.ening Phone_ _ _ _ _ _ _ _ _ _ _ _ _ _~ _
Date: _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ __
Contact Hours: A,M. ____ P.. M.
AvailahleWeekdays? Y N
Co1um[ttee Overyiew:-Please oho.cl( to tbe left of each Cfltegor-y aYJ:rvie.w-which -committ"Cc you ate
interc~led j!l volunteering for. Management will oontaci y01r wi:thru two weeks of receipt of yout'lll"re·rest
form with 01ore information. Thank.you fo;: your participation!
Newsletter Committee:
_ _ Lf you· have a CO(!lpurcr -or typewriter nt home and Hice ro write, this is .the c9mm,itte~ fQr yout
The newsletter keeps homeowncr"s abreu..-;t or
bQard dealsions and commllJlity e~ts. The.
newsletter Sh0uld also include service days of alt vendors, rules and regulations re_mincters ~<l
anything Lhat may be entertaining Lo the members. This could include recipes~ jokes,
roainteuance rips, etc. lf ll1ere is a community bulleti11 .boru-d, th.is committee would also typica.Llv
make s\lr.e the: board ii; updated iu conjunction with tbe Social Committee.
Rule11 & R.egulation.s Co.n uuittee:

_ _ The "Use Restrictious" contained in the CC&R's are- the original "Roles" for tJie
homeowm:r's as.1;ociation. Ho\vi:ver., lhcz typically do not address every situation-the "board.must ~
handle. The respoos-Jbility ofthls comnuttee is to. identify problems that the.y would like the board-.io·
coosider11ddressing in tb,e foc,m of.a rule. M ,ex-a□lple of.this would be ~tablishtnet\t o.f pqol
operation ltonrs,Ju,w many jtuests will be ailo..we:d.in the pool~, -par-Icing 0011tro'.\$., ete..
Social Committee:
_ _ This cominitter:. pn.-sents ideas to th~ board to encourage cemmunij:y interaction; Easter L
egg huntS, Christmas caroling,_ Hallow.een parties. commu:nicy barbec~es. etc. J:he bqardJnay, irthe
b4~ will allow, allo~te some fllJlAs,to·varions·fuoctio,ns·Qene.fit:ing the community. l~caslbou1d be
submitted t.o .the board -via.the Management Compauy ooo week.prior wtbeir rne·eting. YbJrr.i~e~sbotild,
be committed.to ·paper with the costs clearly stated.to enable. the board to decide if1hey ~n. fund.tpe ~ven.t
or nor.
Opcnltions Committee:
This Committee lakes cnrc of emergencies as they arise. £xrunples nre shutting off the irrigatiotr
- - waler should a main line break, in case of a power omage, check tlle entry system, reporting
problems with any of the pool or spa eqnlpmellt to ruo.1\.3.gemeQt aod so forth . This is the least
time consuming-committee but ooe of the mosl important.
If you have uny .qu-:stion~ regarding .conuninee participution, please. do not hesitate. to .conwn yplir
ManageJUent Representativ.e.at LB Property Management. We are happy to help.
:i
1
26 ..,
~-
~
'f1f_ LB PROPERTY MANAGEMENT AUT-OMAT:IC ,DR.AFTlNG
J.or your con'9enience-and savings, you-may elect to pay your asses:.ments by u:;ing our bank debit program. Tbis
program allows us to moke monthly deductions from your account. To talce advantage of01is.pros,am,jusl fill out,
sign ond return this fomi along with your current payruont due, nnd asetup fee o'.fSS.00 attention "Accounts
Receivable", Each ruontb n draft. will l>c produced on the 10th and wiU show on your 11ext mon!h.'s sbllement. Non-
recurriog.amounl~. such a.~ lai.e charges or lines, ch,1rged to your a.ccounL cannot be drafted IU\i!· m11s1 bc_paid"by
check. 1.beainouut oflhe dra.ft wm increase or clecreasebased on.A!Soolntiou fee ~linttges. You wil.1 r~ccjve11 ·
monthly statemont in order to keep you updared on your account stntus. lfyour association has a !!Peeia!-os;.ei:slnel)t
billed on a_ny givct\ month. th~ drall:\vill include tha.t amowit.
A volded ch1:ck must be. s.ta'lll«I to. tb,c cnrollmontform and- enclos~ whit your currcnt"(lll-Ylllent. Th~
enrollm1<ot ronn·mus-t be 1:ccc.tvccl by rm>n.th end lo be sure. tl1c 11oto-n111.tlc deduction is in.l]ll!,Cefonfex.t
montl\1 sbillini,
Requests to chnngc banks or to disconti11ue dtairing must he received by the last ilay 01'. tho month. Esero¼"closings.
aulQmatfcally cone.el drafting, p~Qvided tbe-m<1oascment comptmy is advised ,of.theaesCl'..ow-closi~g; A maj_orio/ s,f.
local .b..i1iks .1111ve.hono.red ourdrafu!; howex.er- there are 11 fow. tliat•wH! ~quire u le~ruf11,ufup(frntion-scrit:-n:om ~u
dinctly to the- bank. We will advise you ifwe r.un into this situMion.
~ d!:aft dishonored by,your bmik will.automatically canci:l drafl:ing on..you:r accou,nt. R.eq_uesis..to·re-stll{t drafting
after oancellation will be subjecuo 11.$10;00.reinstntcmenefee.
~~-l)Q set up foe is to be included with yow: applicafa1n. Please make the check pay.able le
M.P.S (Do notsend cash)
STAPLE A VO.ID CHECK.HERE

We. must ltove 11 void clzeckfrom your accottut b1 order to s1.,>t up tlie-a11tomati,e dr_,ifti,,g
_ _ _8430_ _ _ _ _ __
AsJJilcintion account# Elonie.ownlll" U:UUl! Pb#
t,irtJc·-rortyo Lotti Cornmunttv A:uor,fation .Ji& l'ro)>crty Mj!mf.

Strcef acldress/unit number Assoc,otibn.:nall'i_c · · · 'Mluiageme)lt-Ci>;
Amount.of monthly deduction

1'Lt:ASEADVlS,t YU Ult BANK:fJIAT yovwra JU..Vi: YOUR,\CCOUNT DRAFTED. A DR,w,rWJJ.,"L·HAVE TUE
FOL.LQ\\IJN'G-PRINTF,D IN TJlli StGNATUR'E n1:..oo~
t'Rf.•Atl'rCf01U7..ED O'RAI-1
SlONATUJIE NOI ll.EQunu;:D
Sirrm1ture lhtc
s:11d tft;s form tlJ: LB Property Man.agement Att.11: Nasir
4730 Wo~dma1t Ave. Ste 2(}() Sherman Oaks, CA 91423
.......: 21·
EMERGENCY INFORMATION SHEET
BJdg. Refer-ence # 8430 Unit#------------

Dear Homeowner;
Please complete the infonnation listed below and r~tum at yoa:r ew:lkst convenience?
·················*··**••~*••·~·••*••*••·······~~•-·~·
(Please type or print)
OWNER lNFORlvfATION
Owner's Name: _ __ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ __
Unit/Address: _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ __
Mailing Address (If differem from a b o v e ) : - - - - - - - - - - - - - - - - - - ' ' - - - -
Buss. Pho11e: ____________ Home 'Phone: _ _ _ _ _ _ _ _ _ __
E-mo.iJ Address _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ __
TENANT INFORMATION
Tenant's Name (lf applicable): _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ __
Buss. Phone: _ _ _ _ _ _ _ _ _ _ __ Home Phone: ___________
EMERGENCY CONT ACT / Owrler & Tet1an1
Name: _______________ Home Phone: _ _ _ _ _ _ _ _ __
Address: - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -
Name: _ _ _ _ _ _ _ _ _ _ _ _ _ __ Horne Phone: _ _ _ _ _ _ _ _ _ __
28 ~.. .. .. ,~- ... :;

7 :? ....· :..,: ~
HOMEOWNERS ASSOCIATION
Rules for V-oting by Secret Batlot
Pur-suant.to Calffornia Civil Code Section 1363.03, th~ following rules·and procedur~ shall-apply
for th's.Electlon of Directors, Voting regardJng Assessments, Governln_g Ooc1.iments &the Granting of -the
Exclusive Right to Use Common Area:
1. Meeting atWhlch Secrat Ballots Shall Be Tabulated.

1.1 Th.e Inspectors of election shall fabulat.e the ,ballots for the.. electiorr of-cire.Qlors at
the annu~I mealing of the o.:,vners or, if ,no quorum is preseq,t, at a spetjal -~~ting of th~· ~1~:J'of.
0Jrec\ors .duly noticed .for the san:'e date, tlr(le· and pl~ca-, -as·the .an!JUBI meeting eaned !or tbe;pu:rpose:m
coun1i11g ball9ts.. the Board -of Director~-shall determine Ifie. da,te. 'time :and place o/:s~d ~nn\:li:IH'h~!!ti!'i9-
of the owner.s and the concurrent special meellng. of the Boercl in accotdance with the. ·Assoctati<ln"s-
Byfaws .
2 Nomination of Candidates.•
2, 1 At least ~ixty (60) days before l,h~ elate of lh~ meEtling at-which the ballots (or the
.election .of dlrectors are to be counted, the AssociatioA shall mail to each owner a Candidate No1;mnatlon
Form.
2.2 Owners may nom[0ate themselves or another person; provided, l:lcwev_er, all
candidates must meet the qualifications sat fol'th ,n Section 2.2.
2.3 Any candidate nominated by anoth~r person Will be conteoted to conflrm ·U,at
such candidate consents lo having his or her name placed ln nomination for elaotlon to !be Board.
2.4- All canolctates who- meet tne ~ualiflcatlon~ to seNe -on· the l;>oa~ if any_ and 1f
appropriate, have. confirm-&d -the\r Willingness to tun for relectlof\•to .the.. Board, s'hall ~ listed -on .tne ~(I{
~~ .
. 2,5 "fhe ,canaidate Norofnation form must .1:/e reti.:tmed to tne As~o.s:iatiOfl ~! th~
address'provided on, and by the,'de_adllne stated.or\ s1Jch form, which deadli.ne must 'be at·leasl'fo.rty'~fiie
(45) days before the .date the ballots toribe,ele1;tl9n of alreclors are ~cheduled tote counted.
•only for Election of Directors
3. Inspectors of Electton.
3-. t The Board shall :appoint three Independent 1hlrd. parties as inspecter~ c;,f electlo[1 after·
ttTe close of candidate nomir1atrons, but before the s-ectet ballots are malled to. all of the owners. .AA
independent third party Includes, but Is not limited to:
3.1.1 a volunteer poll-worker with the coumy registrar of'voters;
3. i .2 a Ileen see of lhe Califomra Board of Ac;countancy;
3 ..1.3 a notary public
3.1 A a member of the Assoc1atlon provided such m~mber,Is not a memb~r•-o.f ~

the Board of Directors or a candidate-for the Board of Directors or relateo ·.to a member:of"the Board of·
29 .' - F
Directors or a candidate for the 'Board of Directors; :and,
3 .1 .5 a person who is currenUy employed-or- undet contract to the .A$sooiauon

for any compensable services.
3.2 Prior to the secret ballots being mailed to all of the ownElrs, ihe inspectors of
election shall meet to determine to whom the secret ballots shall be returned (the vBallo t Collector"),
which may be the Association's property manager, if any.
3.3 The inspectors-of election shall also do all of the following:
3 .3.1 d!;!le.rmlne .the number of membersl:i.ips entitled to 1/ete and the votin-g
power of each.
3,3.2 determine the authenticity, validity, and effecf of ,proxies, if any~
3.3.3 receive ballots;
3..3.4 hear and determlne ..all chpllenges..and questions tn apy w~ -ari~JIJg pµt
of or ln connection wiUnhe right to vote:
3.3.5 cou'flt and 1abulate-all votes;
3.3.6 determine when the polls-shall close1
3. 3.7 dete,m\ne the .re~ult' of the electloo;
3.3.8 perform any act5 as may be proper to conduct the erection With fairness.
to all members in aceordance with this. section and all applicable rules of .the Ass0Ciation reg_ardiRg the-
conduct of the electiol'.! th~t ~e npt in e0nflict with ttiis ~lion.
3.4 /!.n Jrtspector of .electloo sha!Lp_

erfonn hl$ or h~r-du{les ·rmpartlally, m.good faith,
to. th~ oest-0f l:)ls pr hat ability,.aJi_p -as expediUQusly,asJs·pr.actl~t. The decJston·or·sct of a maJor1ty sltall
be effective in all respects as the decision or .rot of all.
3.5 Any report rnade by tire inspector or Inspectors of election Is· prtma facle
evidence of the. facts stated in the report.
3.6 The Boaro may remove and replace any inspector of election prior: tQ .th~
tabulatron of Qallots if an inspecl'or·-of election r<:!signs or if the Board reasonably det~rmfnes thaf an
inspe.c tor of e1ection will.not be ab!~ to pert-0rtn his or her .dulies- ll'tlpartiaUy and in goi:,d·ralth.
4. Secret BaUot Procedure; Rec.ortl Date.

4. 1 Ballots and two pre-addressed envelopes with Instructions on how ballots shall
.30-
J~'- I -
'
..
be maned by first-class mall or delivered by the A,ssociation to every member not less than 30 days priGr
to the deadline for voting. ·
4.2 Ballots rnus1 -ensure the confideoliality of the -voters.
4.2. 1 A voter may not be ldentnlep by nam.e, ad.dress, or li;?t, par.eel; :oi- umt
number on the ballot;
4..2.2 T-he ballet may not require the signature of the ·voter;
4.2.3 The ballot itself is inserted Into an.enverope that is sealed. This envelope
is inserted i_nto a sec~nd envelope that Js sealed. In the upper left hand cor.ner of the. second envel.OPe-,
the voter prints and signs hrs or her name, ac!Glres.s, and lot, or parcef, ·or unit number lhat:.entltles film Qr
t,er to vote. The s~ond envelope is addressed to the insp~ctors of eleGtio1:i, who· '-!Jlll"be tallying tne-s:iotes.
Failure to do so will invalidate the ballot and ·m ember's vote.
4.3 Owners may return therr secret ballot by malt, h»nd dellver 'i t 10-.the meeting .Qr
complete the ballot at the meeting; provided, only those ballots which are delivered to the lnsp?cfuts 6f
election prior to 1he polls closing shall be counted.
4.4 A member may request a receipt for delivery.
4.5 The record date for purposes of voting. shall b.e th~ date the b:;alloti. .ira. m.i11Qd ,to
all of the owners.
5. Campaigning.
5.1 All cand1daw,s or membe_ r s advoea!ing. a point of vie~ during .~ .9:Sm.paigb,.

Including those not enders~ by ltje .B.oard, sh.all be- provided equal -access io Association, mectla;
newslettecs, or lntemet,Web siles- (If ~oy} for pu~~s Ula,t -a~ r~~SO!Jably rajat~d 'fo.,the etec.UQp. T¥,
Asso.ciation m,ay not edit or redact.any content trom lt:iese commumcalions1 bul.m~y lnclu~.a ~f.i~rneot
.specifying that the candidE1te ormemoer, and nOt the Ass<>olation; is resµeMlqie fo,r1hale'ontent';
5.2 ~t qal:\dldates., includTng those w.110 are not ineurnbents, and -all m.e.mbffl
advocating a point of view, includJng those not endorsed by fhe Board.. tor i;1tJTPO~ r~asonably related-t~
the electron. shall be provided equal access to any common area meeting space, lf any e,tts1s, d1,1Fih'9. a
campaign at. no cost.
6. Handling of Ballots.
6.1 As secret ballots are returned to. the Ballot Collector, the Ballot Col[eotor,s.~11
. .
check off on a sign-in sheet that a ballot has been received (Qr such a resident rtJe flrs_t se-cret 'ballot
received for any residence shall .be the ballot Which is counted. Any subseqeent ballots for the .same
residence whrch are received shall be deemed invalid and shall-be discarded.
6.2 The sealed ballots at all times shall be in the cus.tody oJ the. inspector$ of
eJection or al·a locatiol') de~lgnated by-the-lnspecl!)(S unUI delivered to the tnaj:>ectots artli~ meeting·for
the opening of 'the ballots and th'e tabulatlon of the vote·, After the . counting ot: ·the ballots and fhe
certification of the election results by theJnspectors of ele9tion, the ballots .sh-.111 l:>e trpnslentld. ~o' Ille
Association.
6.3 No person, Including a member of .the Association or an employee of the

management company, shall open or otherwise (eview ·any baUot prior to the time and place. at which the
ballots are counted and tabulated.
3.1 ,! •
..
---
6.4 After tabulation, election ballots shall be stored by the Ass.oclatlon in a .secur.e
place for no less 1han one year after the date of !he eleolion. In the event of a recount or other challenge
to the election process, the Association shall, upon written request, make the ballots available- for
inspection -and revlew by members or their authonzed representatives. Any recount shall be conducted ln
a manner that shall -preserve the confidentiality of the vote.
7 Tabulation of Votes; Quorum Requirement.
7.1 All votes shall be CO\lnted al")9 tabulated by the- lhsp.ectors of• election in public,at
a properly noticed open meeting of the members or of the ,Board, al which a quorum :0f memberscor a
quorum of Board members, as the case may be, mustb-e-present,
7.2 The inspector.s of election shall confirm that r.io more than one bailC! was
returned for each residence.
7.3 Any candidate or other member of the Association may witness the countin~ -and·
tabulation of the votes.
7.4 In order for the vote for the election or directors to be valid. ballots must be
returned by at least a qk!orum of the owners.
8. Announcement of Results..
8.1 The r~aults of 1he election sba.11 be pro('(lgtly rep.o.rtecl tp -the 8J:Ja~t Ou:~.
and shall be recor.d ed in fbe minutes of tbe. next-meeORg of the Board, of: Directors. and· Shall be ali!all~l:ile
for raview by membets oftheA'SSocfation. · ·· ·
8.2 U.pon .c ertifitation .of the-,elecliofl results by the Inspectors of•election, th& A8Wly
elected Board members shali be deemed to have taken offic-e. ·
8.3 WHhin 15 days or the election, the Board shall publlc~e the results of U,e
election in a communication directed to all members.
9. OtherVotlng/Campalgn Issues.
9.1 The total number of memberships entitled" lo VQle et;il!als the total number of
residences in the Associaflon. However, owners whose vciting righ.ts have been sw;pend~ in
accordance with the Association's governing documen[S after notice and hearing shall not be-enlltfed 10
vole
9.2 Cumula1ive voting ls permiUeo if allowed by the Association's Bylaws.
9.3 Association funds may nolbe. used for "campaign purposes" ln connection wnt,
any .boa.rd election. Jhe term "campaign purposes" Is ~fined to include, without ~im}taUon, (1) "e)(pressly
advpca1mg the efecl1on or defeat'' of any candidate that 1s on the baOot; or (2} "lncludmg -t he photogr,ap.lt.or
prominently featuring the !'lame -of a candidate on a eomrnunlCcttion~ from the a-~ociaftdn {exce}ltthe-
pallo1 and voting materials and equa.l -access cornmu.nlcatibps ~nt pursuant to the Seqtion, ~ve.
entitled " Campal{:lning'').
9.4 The Board .of Dtreciors may enact and implement a "Meeting Code of Conducf
to govern the conduct of member5 at meetings
.. 32
1..lITLE TOKYO LOFTS COMMlJNJT\' OWNERS AS60CJATJON
.ARCJJlTEC1'lJRAL REVI£W APPLICATION
~
Own01· NllmC: Btdg/Unit#:

Bullding Address: Daytime Phone:
Pi·oposed Stott Date: Proposed Completion O;itc:
:-.CITE: 11 I, rc,-.unm~ndcd that your npplic.,uon 1u Uw Mbitcctaral Con1r11I 0.llluntnec be ~conrpushc.d al lc;isl forty-live (4.S) day& prior Ill
scheduliug your construclion. Quc,;rions should b.l dircct,xl 10 llll: m:inngpnem company at (818) 981-1802.
The fonowlng in:ms are 10 be included in your acchitcctunll opplic_atioo submittal pocket:
-
,_ _ Tw,) C2) sets of plnrui no less man 8 1/2 x. ll in size

__ Two (2) sets ot:this application form .
__ Conlmctor l11form11tion {lf the work is being completed by an outside contractor, plen.so,flll out.tbe'.oreo
below)
a. Nan10:
b. Phone: Othc-r ,Phone: .
c. Lice~'#:
cl. fl'rfPORTA..~T! PLEASE PROVmE-CONTR,\.CTc»l'S M-OS'l'RECENT.CERTili'ICATE OF .
CNSURA.NCE
NUTE: No COnSllllctinn of 11rty kmd is permitted Ultlil \~T1lll:n 11p_p1oval from me ,\RCFOTcCTURAL COl\t!MfTTE.E is
reccin:d.
WNUERS ,AND AND A GRl~E THAT, oo won.. on lltis. req11cst shnll 1X>tume11cc uuhl w1,rtan. .ippro\'lll lll!S bcen•gnintcd
by the ARC Comn,iuec. r 11srec to complete nlf !mprovcme~111Jq n111inmh1 DIY w1it i.11 11C¢lrdaacec w1U1 my apPrOvw..
1>lons ond the Declnrution fbr the A.SSOclniion. I undcrsUUld can.muclioo of npprove<f lmprovcments sluilf be completed no
more lh1111 one hundred ,~Yenty (120) drrysuf\cr receipt of,qiproY~ from tl1e Ail.C.
Owner Signulurc Owner SignallJre
Date Dace
- I
I
Appro\'ed • Approved with Cood.i.tions (CIRCLE ONE)
Incomplete, Furtherlnfom1otion Required, Lelter Attached. (CIRCLE ONE:.)
Disap.pr.oved, Proposed Improvement. Violates Declnratio11. (Cl.RCLE ONE)
Other;
TlllS application was r~vicwl!d this _____ doy of_ _ _ _ _~ 200_ by:
Name!S,in~Nr~
.. et~.~tnjtiaJ.~;;d,~_;,i l.- •·'.

. ,. ·:: •'!"it, .. ,:-.:.·
•• ,,.--:; ••
'.
+
Little Tok.yo Building HOA
Construction Gu,ideiines-and :A_g;re.ernent
1.1. Owners or tenants who expect se1vice, 'ti:aaes peo_p1e, conb:acto;r.s or
subcontractors (i.e., work,.pexsons) to work .in their unit sh.oulchnotlfy building
management in advance.
1-2. All work-per-sons must. register with buihling management upon am.val each
morning aud must sign out each night.
1.3. Mate.ti al deliveries must be scheduled through building management. There are
no unloacEng wnes inside the building.
1.4. Any damage caused by wo.rk-persoos to common areas or other units is the
hiring Ownor's responsibility. 1.)e Association will make the r.epairs to the
common areas and charge the owner. It will be the owner.,s ~sibility-to s~,
recourse against their ~utractor to recoup- costg_ The Owner will be bcld liable
for the actions ofbis/her work-per!:lous.
l .5. AU common area floors are fa be protected. Tile protective coverin~ must be.
removed and the floor clea1wd by 5:00 P.M. each _day. If this is not iione. th~
ownt:r is subject to me
violation process, plus the cost 0f•~➔~anirlg.
1.6. Constr.uction debds,. is not -pefll,l:iUed. iu trash ch~tes, residential 'tnlsb r-ooms,.
common-areas, haflways1 or· stakwells. W-0tkpersons llll!S"t -carry ali trm;fi 11D.d.
debris off~site Oll a daily bash. All violations of. this rufo will result in tho
violation process and the owner will bo bil]ed for an3/ clean up·and .daipages.
1.7. Working hours are limited to Monday tllraugh Friday, 8:00 a.ru.. to 5:00 pm.
There wi.LI be a $.I 00.00 fine charged against the unit Owner if w-0r.k continues
past s~oo P ,M. or on unapproved dnys.
1.8. Work persons may use the tesid~nt'.s :assigned parking space or must gark
:vehi.c-les on the sm,ounding-stt:eets. N07double=parking or obstructing dti!vewa.'ys
or walkways is allowed..
J .9 . All contractors and ·subcontractors are requjred to -pro¥ide pr-oof of insu,ance .to
the Associa1ion for prQptn;y, liability and workers compensationt v.ia- a
certificates ·ot" insutancc ,vhich name tbe Association as an..adcliti0nal insured.
(Note that this r.eqµirement m.aY pose .a g;roble.m, -as;JD.ost insure.ts will:p._ot:e?cten.d'
coverage to an associa:tlon ,exoept for ex.treme1y lligp. premiums ~hat nia:f.make
most minor 'remoae.ling cost prohibitive).
1. 10. All applicable permits are to be posted on site.
. .
. .' : ~
Ple~se1:4,JiiuiJ<~ -:..__ }17-,i-)r!,~.~'~{

- .., ~
...... . ----- .... - - -~- - - --·- - ---------· ~--- ~,. . - --···-····-· ......-- ........ --•
1.11. Workers are not allowed lo bring their pets on site and will be denied .entry if
they have a pet \.\ith them. Workers ate also prohibited from creating.nuisanc.e
noise unrelated to th.e constru.cti0n worlc. Wo-rkers are a.I.so proliibtted fro11i
eating .meals. or taking breaks-on the g:r:oun.ds iJl the common areas-.
·l . 12. All contractors tnu.st be.licensed in the State of California.
l.13. TJ1e Association has the right to stop .any work th.at is in viol~tio.n of the&e
re.gulat,ions, cre~tes a foe or sa·fety hazard or interferes wi1h aciiv.lties jn,comJ]lQlT
areas.
1.14. Work persons must use. theii· .own equipment, No eq~y,ru.ent or t<i>ols. whi-ch.ar&
th~ propeey ofih,e.A,c;sociation,.a.re, .tQ b~ used ~t ~y time,
1.15. All gaces an.d doors are to remain c;losed and locked when not in dire~t "QSe.
l.16. The front door of the unit must be kept closed during construction .i.o or,der to
contain dust, ditt, noise, _paint 'firrp.es, etc. Owner is .:responsible to cover and
protect any affected smoke detectors.
U 7. Work persons nre restricted to the units in which they are worki.ns. lf woJ:k.
persons ai:e found in an unauthorized area, they will be removed .from th.e
property forthwith by security.
1.18. All workpers.ons must wc.ar shoes, pan.ts or shorts and shirts in·the building at a1t
times.
L 19- There·.is.no availabilily:fm- exclusive 1:1se Qffhe.devator.
1.20. No work.. person may us_e ·po"Y'c:r (electricrity)'ftqm. the c;QJ;nm,oo. -at'ea for s~_parate
interest purposes.
12'L Space is nol av.ai!abl!! in any common area. orm.terior par-king. f~cilicy fo.r the
purpose of .outting tile, carpeting, carpet pads, l.'fooden fleQ'ting, wall r~ov.errnm;,
1nbdng•paint~ etc.
1.22. If the 0-w.ner :tails to comp!)! with auy conditions nn.d requirements of apwoval,
the Association. is authorized to take w:bntever action Is necessary or reaspnabl~
to correctly complete or restore the Unit or affected common area. In this
circumstance, all costs mcucred by the Association, plus a monetnry .fine, will be
assessed against the Owner's ,mit Such cost.may incJtide but are not.limited·to:
a} Reconstruction,and/or I-epair of:the up.it and the re{med cq~ts;
b) J{eoens-trUc°ttQn and/or r~pajJ: oftjle ~on,mon .area and/or ~strlcted

common area and the-re1atedcosts;
.. ........
~
.· :-.~J~f~ti~I . .';: .'_ \:;"::,.,il,,-,}/
. ,,. • ··.·:· · ,. ' !'
-T.HE··1~XJ]J;..E-BUI-LDlNG HOMl;O~A:SSOClA\l'ION
DESC:R-01TIO.N.0F'INT.ERI.0ltIMPRO~NT(S) .
Please provllie -a uetailed di:;scr-iptlou.for,aJlpf~posedimpr0vemeu"Q; befow. P.Le_as.e•foO'lu9e·.d~W.ls•of
wbarconstruction or alterat/a)Us will 'ta.kc- pfa.ce in order u:r,ac-com;i,:>lish the cicsir.e~ <!l,urpget•to·Y.q'Ut
unit If you would like, you may draw. out a plot plan showing wbere ,the alwrai'i~ns- or
.improvements will .take place. FcJ/!ase be sure toJist-all runterials and C<?lors that may po!(Sibiy b~
used. Please a1so note the .dimensions (he.igbt,. lengtil, aud widtb.,-set'back fr.om wa:11 -or pr~perty Ji11~)
of any Pr-OJ:>osed hardscape 'instlt'.llatiou as \'le1L
lnstill:uiotvltnpnwomc11t Ill .
11-----------------------,----,----,--,-------~.,-'-,,-',f . .
lns1nlla1wnllmpn1,crucnt #2·
P-lense Initial-
- ~ +
---·--·•-·----- •--- ---- ...

EXHIBIT "E"
RULES AND REGULATIONS
For
Little Tokyo Lofts Community Association
Tract No. 53922
City of Los Angeles, County of Los Angeles

Table of Contents
Section Page
Introduction
The Board of Directors
The Management Company
General Information
Emergency Calls
Association Enforcement of Declaration 1
Violation Enforcement Procedure 2
Fine Schedule 3
Disciplinary Hearings 4
General Rules and Regulations 5
Common Areas 6
Disturbances/Nuisances 7
Elevators 8
Move-In/Move-out Procedures 9
Parking 10
Pets 11
Rental of Residential Condominiums 12
Resale Rules & Regulations 13
Services, Trades People, Contractors & Sub Contractors 14
Soliciting 15
Swimming Pool & Spa 16
Trash Disposal 17
Window Coverings 18
Holiday Decorations 19
Security 20
Emergency Information Sheet

Election Rules
Owner Move-In/Move-Out Agreement
Memo to Moving Company Personnel
Moving Company Move-In/Move Out Procedures Acknowledgment Form
Insurance Requirements
Introduction
The Rules & Regulations contained in this booklet are adopted pursuant to Section 4.2.8 of the
Declaration of Covenants, Conditions, Restrictions and Reservation of Easements for Little Tokyo
Lofts (hereinafter "CC&Rs") by the Board of Directors of the Association and shall supplement
the CC&R's. Rules & Regulations may be modified from time to time in response to community
needs; however, they may not be used in any way to supersede the CC&Rs. Any situation not
specifically addressed or outlined herein will become a matter of reasonable discretion on the
part of the Board. In the event of a conflict between the Rules & Regulations and the CC&Rs, the
CC&R's shall control. Nothing herein shall limit or modify the CC&Rs.
It is the obligation of all members of the community to abide by the Rules & Regulations
governing the Association. This will create a pleasant, harmonious environment for all owners
and residents. For the purpose of this document, the definition of "Owner" shall be as defined
in the CC&Rs as follows: "Owner means the Person or Persons, including Declarant, holding fee
simple interest to a Condominium . Each Owner has a Membership in the Association. The term
'Owner' includes sellers under executory contracts of sale but excludes Mortgagees. The term
'Owner' may be expanded in a Supplemental Declaration to include other Persons."
To ensure a uniform interpretation of the need for cooperation, courtesy and consideration,
certain Rules & Regulations have to be published in an official manner. The intent is that the
Community governed by these Rules & Regulations will ensure the realization of the basic
objective of optimum good and satisfaction for each Owner. It is also the obligation and
responsibility of each Owner to report Rule Violators and vandalism immediately in order to
protect values and to keep expenditures of your Association as low as possible.
Board of Directors
The Board of Directors has an administrative responsibility to review activities of the unit owners,
renters, guests and the professional management company. The Board of Directors will make
decisions that will maintain the property and the quiet calm of the community.
The Board of Directors consists of five (5) elected unit Owners, who volunteer their time in order
to manage the affairs of the Association and make decisions for the general welfare of the
community.
With few exceptions, the decisions of the Board of Directors are made at monthly Board
meetings. Owners are requested to attend the open portion of Board meetings to obtain
awareness of Association business and to raise any issues that they want the Board to review and
consider. However, the Board may only act on matters that are set forth on the published agenda
for the meeting, except in emergencies. Owners desiring that action be taken on a particular
matter should put the request in writing to the management company for inclusion in an
upcoming meeting agenda .
The Management Company
The Management Company, Action Property Management, is engaged in the business of

managing the Association. Various management duties include handling emergency service calls,
receiving and administering dues and assessments, mailing monthly statements, contacting
vendors, assisting the Board of Directors, advising the Board and Owners of CC&R regulations
and various other State or Federal laws governing condominium associations, forwarding to the
Board all of the Owners' letters and information gained from telephonic conversations from
Owners and offering support and assistance to the entire Association. The Homeowners
Association manager can be contacted by calling (800) 400-2248. The manager will assist you
with your association needs and any issues that you may have.
General Information
1. Report anything unusual, broken or damaged to Action Property Management

immediately by calling {800) 400-2284, or in a non-emergency, place your issue on Vivo
Portal (www.vivoportal.com). If this occurs after normal business hours, the company
operator will advise you of an emergency number that you should call.
2. Be considerate of your neighbors; disturbing a resident's right to the quiet enjoyment of

their unit may result in a fine.
3. The Homeowners Association assumes no responsibility for lost, stolen or damaged items
left in the common area including garages or guest parking areas.
4. To have your name and phone number added to the security system at the main entrance
please contact Action Property Management.
5. Littering is subject to a fine.
6. All Owners receive a copy of the CC&Rs, Rules & Regulations and Bylaws. Please read
these carefully so that you can become familiar with the Association and its governing
regulations.
7. Property management will issue up to 4 key fobs and 1 parking card per deeded space at
a cost of $50.00 per card or fob.
Emergency Calls
All holiday, weekend and after-hours EMERGENCY ONLY calls should be directed to Action
Property Management at (800) 400-2284. Listen carefully to the instructions provided and this
will put you in contact with their emergency response team. Please do not email concerns of an
urgent nature. For fire, police or life threatening emergencies, call 911.
Section 1 Association Enforcement of Declaration
1.1 All Owners and residents, as well as their family, invitee and guests are required to
abide by all Rules & Regulations.
1.2 Any resident may report violations to the Property Management Company
Section 2 Violation Enforcement Procedure
2.1 In the event that the Association's Board of Directors becomes aware of a possible
violation, the following procedures will normally be followed :
a) Send a letter to the Owner and/ or resident setting forth the alleged violation
and date (if applicable) of the violation.
b) Upon expiration of the cure date, if the violation still exists, a second letter will
be sent to the owner stating that the failure to abide by the Governing Documents has
required the Board to consider taking further action in regard to the violation, and the
Owner will be requested to attend a disciplinary hearing with the Board of Directors on
the matter. The letter will state the date, time and location ofthe hearing. The Owner will
have the opportunity to provide any relevant information to the Board of Directors at the
hearing. The hearing may result in loss of privileges, such as voting and use of amenities
and/or fines.
c) The Owner will be notified in writing as to the decision rendered by the Board
within 10 days of the hearing., if at the hearing the Owner/resident is found to be in
violation of the Association's Governing Documents, the Board will either: (a) seek
remedy by use of alternative dispute resolutions such as mediation or arbitration; (b) levy
and add monetary fines to the Owner's assessment billing; (c) choose to correct (or cause
to be corrected) the violation and assess the Owner for reimbursement of costs; or (d)
take other appropriate action.
d) Nothing contained herein shall be interpreted to limit or eliminate case-by-case

discretion on the part of the Board of Directors with respect to imposition of disciplinary
action, so long as the action (or inaction) is not discriminatory, arbitrary or capricious
when applied to the circumstances, is reasonable and the decision is rendered in good
faith .
e) At any time, the Board may determine to turn the enforcement of the
Governing Documents over to the Association's legal counsel for appropriate legal action.
Section 3 Fine Schedule
3.1 The Board shall have the discretion to levy a fine of up to $500 per infraction. In
determining the amount of a fine, the Board shall consider the following:
a) The number of infractions by the Owner or resident within the last calendar
year.
b) The number of infractions by the Owner or resident as to this particular type
of violation.
c) The severity of the violation.
3.2 In the event that the Owner does not cure an on-going violation, the Board shall have the
discretion to fine the Owner every thirty (30) days, but only after having provided
opportunity for the Owner to be heard at a noticed disciplinary hearing for that purpose.
3.3 Should a violation occur which imposes financial obligations on the Association or should
an Owner or resident, or their family, guests or invitees cause damage to the common
area or association property, the Owner shall reimburse the Association, by way of special
assessment, the actual costs incurred. Example: damage to walks, carpet and/or any other
Common Property; repair and replacement cost will be charged to the responsible party.
The Owner shall be entitled to a noticed hearing for the purpose of presenting any
information or evidence relative to the imposition of the proposed special assessment.
Such costs may also include reasonable attorney's fees where necessary.
Section 4 Disciplinary Hearings
4.1 The following procedure is an example of the disciplinary hearing process :
a) The acting chairperson will summarize the reason for the hearing.
b) The Owner may present written or oral evidence relative to the alleged violation
or imposition of discipline (i.e., fines, special assessments, suspension or privileges).
c) The requirements of the Association's Governing Documents will be reviewed

for clarification of issues
d) The Board may ask questions of those in attendance and may request
statements from the Owner.
e) The Board will deliberate and vote in closed session.

f) The Owner will be notified of the Board's decision, in writing, within fifteen (15)
business days.
Section 5. General Rules & Regulations
5.1 No Owner, resident or guest shall communicate rudely or disrespectfully with the Board,
staff (including but not limited to security, porters, concierge, etc.), or vendors in the act
of performing their duties on behalf of the Association . Responsibility for direction and
discipline of such staff and vendors resides solely with the Board. Complaints should be
addressed to the Board. Unauthorized behavior of this nature shall be grounds for
disciplinary action and may carry a fine.
Section 6. Common Areas
6.1 Parents or guardians are responsible for the conduct of their minor children and
grandchildren . Because of the Association's concern for their safety children under the
age of 14 are not allowed in the gym, pool or other recreational facilities unless
accompanied by a responsible adult.
6.2 Boisterous conduct in the common area is not permitted at any t ime. Special care should
be taken in the evening and nighttime. This includes but is not limited to, televisions,
radios and/or other sound emitting devices.
6.3 Owners are responsible for and will bear all costs of repairs and/or replacement for any
damage to the building, recreational facilities, equipment or any other common area
property, if it is determined that the damage was causes by the resident or such resident's
lessees, guests, employees or contractors.
6.4 Obstruction of the corridors, lobbies, hallways, stairways or entranceways throughout the
property is not permitted.
6.5 No resident shall store or place anything in or upon the common areas, lobbies, hallways,
stairways, or public areas. This includes, but is not limited to, floor or door mats at door
entries, potted plants, signage, pictures, paintings, items of furniture, etc.
6.6 No door knockers or similar alterations or additions shall be hung, installed or attached
to the door or entry area to the residential unit, which can be seen from the common
area corridor and hallway. An exception is made for holiday decor, as described in Section
19 herein.
6.7 No planters or plants shall be allowed to drain onto or otherwise affect neighboring units
or cause structural damage.
6.8 Dusting, brushing, washing, repairing, or cleaning of personal belongings in any common
area is not allowed .
6.9 The lobbies or community room areas may not be used for napping or sleeping. These
areas are strictly for meetings and entertainment of residents and their guests.
6.10. Residents must not prop open any common area or residence doors or perimeter gates
or elevators at any time.
6.11. The roof area and related mechanical rooms are off limits except in an emergency
situation .
6.12. Skateboards, scooters, bicycles or rollerblades may not be used in any common areas.
6.13. Smoking of any kind is not allowed in any interior common areas, including but not limited
to building corridors, elevators, stairwells, lobby, courtyard, gym, or pool area . Smoking
is permitted in individual units, the community garden and garage. Cigarette and cigar
butts must be placed in proper receptacles.
6.14. Pursuant to Section 6.3.1 of the CC&Rs, the Association has a right of entry into the units
and exclusive use common areas, such as patios. Three days' notice shall be given except
in the case of an emergency. Should an emergency situation occur, the building personnel
and all other types of emergency personnel are authorized to enter your residence and
shall use forcible entry when necessary.
6.15. No exterior clothesline shall be erected or maintained or hung on balconies or railing

within the Project and there shall be no drying or laundering of clothes or any other items
on any Common Area or Association Property.
6.16. No resident shall modify Association Property or Common Area. Except as otherwise
specifically provided in the CC&R's, no resident shall have the right to alter, paint,
decorate, remodel, landscape or adorn any part of the Association Property or Common
Area without the written consent of the Board.
Section 7. Disturbances/Nuisances
7.1 Residents are responsible at all times for the reasonable conduct of themselves, their
occupants, tenants, guests, and vendors. Loud or boisterous conduct anywhere on the
-
property, including your residence, which disturbs the comfort and quiet enjoyment of
others, is prohibited .
7.2 No living or sleeping on patios or balconies is allowed .
7.3 No person shall discharge into the project' s sewer system or storm drain any toxic or
noxious or pollutant matter in such concentrations as to be detrimental to or endanger
the public health, safety, welfare, violate any law, subject any Owner to liability under
state and federal law for any clean-up or cause injury or damage to common areas,
neighboring property or business elsewhere on or adjacent to the Project.
7.4 The volume of radio, stereo sets, television, musical instruments, and other noises shall
be held to a reasonable level at all times so other residents are not unreasonably
disturbed . After 10:00 p.m . the volume must be significantly reduced so as not to disturb
other residents.
7.5 Any activity which increases the rate of the association' s insurance is prohibited {See
CC&Rs Section 2.62).
Section 8. Elevators
8.1 See Move -in/Move-out and Delivery policies (attached).
8.2 No open beverage or food containers are allowed in the elevators at any time, excluding
drinking water.
Section 9. Move-In/Move-out Procedures
9.1 Prior to Your Move - Scheduling
TO ENSURE PROPER SCHEDULING AND AVAILABILITY OF THE MOVE-IN/MOVEOUT FREIGHT

ELEVATOR DESIGNATED FOR YOUR MOVE, EACH OWNER MUST CONTACT MANAGEMENT AND
SCHEDULE HIS OR HER MOVE AT LEAST SEVEN (7) BUSINESS DAYS IN ADVANCE OF THE MOVE.
Unscheduled moves will not be allowed . You should review any questions that you might have
regarding these Move-In/Move-Out procedures. At the time you schedule your move, you must
sign the Move-In/Move-Out Agreement (attached).
If you need to cancel or reschedule your move, please contact Management at least one (1)
business day in advance. A cancellation fee may be charged if you fail to provide this advance
notice. In addition, completing or attempting a move that is not scheduled may result in a fine
being assessed to your account.
9.2 Moving Deposit and Fees
A refundable deposit of $250.00 will be required in the form of a check or money order made out
to Little Tokyo Lofts HOA. The deposit may be used to cover damage to Common Area property.
Should no damage occur, the deposit will be refunded . The $250.00 deposit is applicable to all
damage, repair, cleaning, losses or other liabilities and charges incurred as a result of the move.
Additionally, the Owner accepts total responsibility for the cost of any damage, repair, cleaning,
losses or other liabilities that may exceed the amount of the deposit.
9.3 Times You May Move
Move-in/Move-outs may be conducted between 8:00 a.m. and 5:00 p.m., Monday through
Saturday, except for the following Holidays: New Year's Day, Memorial Day, 4 th of July, Labor Day,
Thanksgiving, and Christmas Day. There are to be no moves scheduled for Sunday unless pre-
approved by the Board of Directors.
Move t imes are reserved in four (4) hour increments from 8:00 a.m . to 12:00 p.m. and from 1:00
p.m . to 5:00 p.m. You may be charged additional fees if your move exceeds your reserved four
(4) hour time block.
9.4 Parking
If you are using a professional moving company, be sure to inform them that it will be necessary
to park large moving trucks on Winston without blocking the flow of traffic. As certain areas must
be kept free of parked vehicles it is essential that the arrival time of moving vans be confirmed
with Management. If you have any questions or concerns about the size of the vehicle you intend
to use, please discuss this matter with Management PRIOR to the day of your move-In . The size
of the moving truck or total wheel base (cab included) should not exceed 24 ft.
9.5 Your Moving Company
Please choose your moving company carefully! Unit Owners are fully responsible for any damage
done to the Common Area or Association Property during moves and their tenant's moves as
well. Because of this liability, it is important that the moving company carry its own insurance for
such damage.
If you plan to move from out-of-state, please either use a destination (local) agent for the
company or instruct the driver to call Management a minimum of seven (7) business days in
advance to coordinate the time of arrival and to ensure availability of the designated freight
elevator.
Owners who wish to move-i n or move-out without using a professional moving company may do
so providing they meet all the requirements of the moving companies, i.e., scheduling the freight
elevator a minimum of seven (7) business days in advance of the move and accompanying the
Association's representative on walk-th roughs before and after the move.
OWNERS MUST ENSURE THAT THE MOVING COMPANY PROVIDE PROTECTIVE COVERING FOR
THE ELEVATOR CAB WALLS DURING THE MOVING PROCESS AND TO ENSURE THAT THESE ARE
IN PLACE PRIOR TO BEGINNING THE MOVE. IN THE ABSENCE OF PROTECTIVE COVERINGS, ALL
ITEMS MUST BE WRAPPED IN MOVING BLANKETS. NO MOVES Will BE PERMITTED IF THE
PROTECTIVE COVERINGS ARE NOT FULLY IN PLACE. THE OWNER IS RESPONSIBLE FOR ALL COSTS
FOR REPAIRS NECESSITATED BY THE MOVE.
Please provide the moving company with a copy of the Memo to Moving Company Personnel
(attached), which may be obtained from the management office, so that they have a clear
understanding of the Little Tokyo Lofts moving requirements.
9.6 Suggestions for Moving Preparation
MAKE A PLAN
You will save time and money if you plan the location of your furniture in your new home before
it is delivered by the moving company.
BE SURE YOU KNOW:
The San Pedro Elevator is not to be used for moves. All moves must be completed using the
freight elevator. Please note that residents may not be denied use of the freight elevator as a
passenger during your time slot.
Your Unit number.
The day, date and the block of time you are assigned for the Move-In/Move-Out and have verified
this with your moving company.
The HOA cannot be responsible for any unforeseen issues with the designated elevator (freight
elevator) causing it to be inoperable prior to or on the day of your delivery. The HOA will not be
responsible for the cost incurred for rescheduling the move-in/move-out.
The size of the designated moving elevator and hallways (elevator padding will be provided for
the move). THE FINISH ON THE ELEVATOR AND HALLWAY WALLS IS EASILY DAMAGED AND
EXPENSIVE TO REPAIR. Measure your large items to be sure they fit through the standard door
openings and elevator.
9.7 After Moving In
BOXES AND PACKING MATERIALS

At the end of the move, the hallways and fre ight elevator and all Common Areas must be cleared
of all debris.
All trash and debris must be carried off-site on a daily basis by your moving company. The trash
dumpsters inside the building may not be used for disposing of debris. Please contact
Management for further details.
Any Owner who disregards this regulation by leaving packing materials and boxes in the
hallways or other Common Areas will be required to cover the cost of the Association having
to remove these items, which may constitute a nuisance and/or fire hazard.
In the event that you find it necessary to have items delivered that require two (2) or more
persons to transport, you must file the Move-In/Move-Out Agreement with the Association prior
to such a delivery and schedule the delivery with the Property Management Company no less
than two (2) business days in advance. Deliveries may be conducted Monday - Saturday 8:00
a.m. - 5:00 p.m. except the following holidays: New Year's Day, Memorial Day, 4th of July, Labor
Day, Thanksgiving, and Christmas Day. A walk-through before and after the delivery will be
conducted with the individual or individuals making the move or delivery.
Please remember the intent of these guidelines is to assure the enjoyment of all and to
minimize damage to Common Areas. Thank you for your efforts and consideration.
Section 10. Parking Services
10.1 Any vehicle that is parked so as to impede the normal flow of traffic, block access of other
residents' parking, or obstruct access by the Fire Department or other emergency vehicles
shall be towed immediately without notice at the violator's expense.
10.2 All vehicles utilizing an Association parking space must be operational and exhibit current
registration tags.
10.3 Any vehicle wrongfully parked in any homeowners assigned parking spaces will be towed
at the violator's expense.
10.4 Excessive oil leaks and stains caused by a resident' s vehicle will be subject to fines and/or
the cost of clean-up and repairs.
10.5 Vehicles that set off car alarms when driven in the garage may not be driven or parked in
the parking area. Should a car alarm continue to sound for more than 60 minutes, the
Association may, at the unit Owner' s expense, hire a locksmith and take whatever action
necessary to disable the alarm . Vehicle alarms that do not automatically go off after a
short interval are not allowed.
10.6 Oversized vehicles such as limousines, extra-large vehicles, etc. which do not fit in your
space must be parked off the premises {See CC&Rs Section 2.8)
10.7 Washing, waxing, changing oil, repair, maintenance, etc. of vehicles is not permitted in
the parking area .
10.8 Use care when opening your car doors so as not to chip the paint off or dent your
neighbor's car.
10.9 Boats, jet skis, trailers, campers or unregistered vehicles, etc., are not permitted within
10.10. Bicycles can be stored within the Owner's unit or housed in the area designated for
storage of bicycles. Assigned parking spaces and other areas may not be used for storing
bicycles, nor any other object.
10.11. There may be only one automobile per space; there may be up to two motorcycles per
designated space. No automobile and motorcycle/scooter combinations are allowed.
Storage is not permitted in the space in front of the parking stall or to the sides of each
lined space. Vehicles must be parked within painted lines.
10.12. Parking is at the risk of the vehicle owner or person driving the vehicle. The Association,
its agents, Board of Directors, insurance company, or management is not liable for any
damages or loss whatsoever.
10.13. All signage and directional pavement markers must be followed.
Section 11. Pets
11.1 All dogs kept within the complex shall have a current license and name tag.
11.2 Dogs are not allowed in the common areas unless on a leash and attended by a qualified
resident and are not permitted in the pool area/mailboxes at any time.
11.3 No exotic pets, livestock, reptiles, insects or poultry shall be kept in any unit. Usual and
ordinary domestic pets, including dogs, cats, fish and birds inside cages may be kept as
household pets within any home provided they are not kept, bred or raised for
commercial purposes and do not cause undue disturbance to other residents.
11.4 Any dog which the Board reasonably determines to be a threat to the safety of the
occupants on the project shall not be allowed on the grounds.
11.5 No resident or tenant may maintain any tank or aquarium that contains or is capable of
holding more than 15 gallons of water.
11.6 The Board has the power to prohibit the keeping or maintenance of any animal, which, in
the opinion of the Board, after notice and hearing, is deemed by the Board to constitute
a nuisance to any other resident.
11.7 Each person bringing or keeping an animal within the Association shall be absolutely liable
to other residents and their guests and invitees for any damage to persons or property
caused by that animal. It shall be the duty and responsibility of each such resident to clean
up after such animals that have deposited droppings, urination or otherwise used any
portion of the common areas, garage or public street abutting or visible from the
property. Each occurrence may result in a fine to the responsible unit owner.
11.8 Uncontrolled animals in the common area are subject to immediate restrain and will be
turned over to the Humane Society, and/or the owner of the pet will be subject to the
violation process of the Association.
11.9 All pet owners shall be responsible for their pet's nuisance and noise disturbance. Dogs
are not to bark unnecessarily or incessantly. Strictly enforced after 10:00 p.m.
11.10. Not more than one dog or cat, or other common domestic pets may be kept in each unit.
Small household pets such as fish and caged birds may be kept in reasonable numbers so
long as there is no external evidence of their presence in the Community (See CC&Rs
Section 2.9).
Section 12. Rental of Residential Lofts
12.1 All Owners who rent their Units shall submit the names and contact information for their
tenants to the management company.
12.2 An Owner must present to the property manager a copy of any rental or lease agreement
(subject to the governing documents) in writing not less than five (5) business days prior
to the lessee's move in date. Any failure to comply with any provision of the governing
documents shall be a default under the terms of the lease agreement.
12.3 A copy of the governing documents, including the Rules & Regulations, shall be provided
by the Owner to each tenant or lessee. Written proof that such items were provided and
signed for by the tenant shall be delivered to the property manager prior to the lessee' s
move-in date.
12.4 The Owner shall provide an executed copy of the lease to the property manager by the
lessee's move-in date. The Owner shall also provide the property manager with all
requested contact information of the prospective lessee.
12.5 Owner shall be liable for violations of the Rules & Regulations committed by such Owner's
tenant, guests.
12.6 The Owners shall, at all times, be responsible for their tenant's or lessee's and their
guests' compliance with all of the provisions of the Declaration and the Rules &
Regulations and subject to any levied fines .
12.7 Lessees have no voting rights in the Association .
12.8 No Owner may lease a Unit situated thereon for hotel, motel or transient purposes. No
unit shall be leased for a term less than thirty days {See CC&Rs Section 2.51).
12.9 The Board may require a tenant to deliver to the Association a security deposit, in an
amount established by the Board, from t ime to time, as security for the cost of cleaning
or repairing damage to the common area.
12.10. Use privileges for amenities and common areas transfer to the lessee or tenant. Owner
shall have no personal use privileges upon leasing out the unit unless physically residing
therein as their primary residence .
12.11. Any subletting is absolutely forbidden . Owners will be subject to fines for renters that
sublet units.
12.12. No unit or any part of the property may be used for commercial filming.
Section 13. Resale Rules & Regulations
13.1 Owners of units must provide written notification to building management within five
business days when the residence is listed for sale.
13.2 Seller shall provide building management with the name and telephone number of listing
agent.
13.3 All real estate agents shall check in with a management representative . Lock boxes will
be located in designated areas only.
13.4 Seller is responsible for providing the listing agent with a copy of these Rules &
Regulations.
13.5 Building management and staff are prohibited from showing any home available for
resale to inquiries or prospective purchasers.
13.6 Homeowner or broker/agent shall not give access fob, keys or AV sticker (for access to
visitor parking) to future residents until the close of escrow.
13. 7 Prospective buyers must be escorted by the Owner or such Owner's agent at all times
while such prospective buyers are on the common areas or in the unit.
Section 14. Services, Trades People, Contractors and Subcontractors
14.1 Pursuant to the CC&Rs, "no owner may construct, install or alter any Improvements in
a Condominium which affects the structural integrity of the walls, floors and ceilings of
the Condominium or any structural or ornamental component of any Building without
prior approval of the Design Review Committee." Prior to construction in any unit, the
Owner must submit the architectural application and receive the written approval of
the Design Review Committee. Owners or tenants who expect service, trades people,
contractors or subcontractors (i.e. work persons) to work in their unit should notify
building management in advance.
14.2 All work persons must register with building management upon arrival each morning
and must sign out each night.
14.3 Material deliveries must be scheduled through building management. There are no
unloading zones inside the building. Materials may not be left with security.
14.4 Any damage caused by work persons to common areas or other units is the hiring
Owner's responsibility. The Association will make the repairs to the common areas and
charge the Owner. It will be the Owner's responsibility to seek recourse against his or
her contractor to recoup costs. The Owner will be held liable for the actions of his/her
work persons.
14.5 All common area floors are to be protected . The protective coverings must be removed
and the floor cleaned by 5:00 p.m. each day. If this is not done, the Owner is subject to
discipline, including fines, plus the cost of cleaning.
14.6 Construction debris is not permitted in trash chutes, residential trash rooms, common
areas, hallways, or stairwells. Work persons must carry all trash and debris off-site on a
daily basis. All violations of this rule will result in discipline, including fines, and the
Owner will be billed for any clean up and damages.
14.7 Working hours are limited to Monday through Friday, 8:00 a.m. to 5:00 p.m .; Saturdays,
10:00 a.m. to 6:00 p.m. There may be no work on holidays or Sundays. For each offense,
a $500.00 fine will be charged against the unit Owner if work continues past the
approved times or on unapproved days. Emergency repairs are excluded.
14.8 Work persons may use the resident' s assigned parking space, in visitor parking or if
unavailable, must park vehicles on the surrounding streets. No double parking or
obstructing driveways or walkways is allowed.
14.9 All owners are responsible
14.10. All applicable permits are to be posted on site.
14.11. Workers are not allowed to bring their pets on site and will be denied entry if they have
a pet with them. Workers are also prohibited from creating nuisance noise unrelated
to the construction work. Workers are also prohibited from eating meals or taking
break on the grounds in the common areas.
14.12. All contractors must be licensed in the State of California, as applicable.
14.13. The Association has the right to stop any work that is in violation of these regulations,
creates a fire or safety hazard, excessive noise, or interferes with activities in the
common areas.
14.14. Work persons must use their own equipment. No equipment or tools, which are the
property of the Association, are to be used at any time. No work person may use power
(electricity) from the common area for separate interest purposes.
14.15. All gates and doors are to remain closed and locked when not in direct use.
14.16. The front door of the unit must be kept closed during construction in order to contain
dust, dirt, noise, paint fumes, etc. Owner is responsible to cover and protect any
affected smoke detectors.
14.17. Work persons are restricted to the units in which they are working. If work persons are
found in an unauthorized area, they will be removed from the property by security.
14.18. There elevator may not be reserved for the exclusive use of any individual or unit.
14.19. Units must use ventless dryers only.
14.20. Space in any common area or interior parking facility may not be used for construction
activity, including, but not limited to cutting tile, carpeting, carpet pads, wooden
flooring, wall covering, mixing paint, etc.
14.21. If the Owner fails to comply with any conditions and requirements of approval, the
Association is authorized to take whatever action is necessary or reasonable to
correctly complete or restore the affected common area . In this circumstance, all costs
incurred by the Association, plus a monetary fine, will be assessed against the Owner' s
unit. Such cost may include but are not limited to:
a) Reconstruction and/or repair of the common area .

b) Reasonable attorney' s fees and court costs.
14.22. Applicant will inform all other Residents who may be affected by such alteration work
of the nature of the work and the extent and the duration to which they may
reasonably expect to be affected . Applicant must post notice on neighboring unit doors
which includes all contact information (the standard form can be obtained from the
community manager).
14.23. Impact devices, such as jackhammers, chipping guns, drills, power-operated hammers
and similar devices, will not be permitted unless there is no other method available. If
such devices are to be used, written permission has to be obtained, with the request
to state the date, time, purpose and duration of use. Notice of such work is to be
distributed to the occupants of the Units in proximity to the site. This will give your
neighbors ample warning concerning noise to be generated by the work. A written
request for such work shall be submitted no less than one week in advance. The
Association shall then provide written permission to the Applicant. Neighboring Units
shall be notified at least 48 hours in advance. Impact devices can be used with
approval, between the hours of 10:00 am to 4:00 pm Monday through Friday only,
excluding holidays.
14.24. Once the architectural modification has been completed, the modification must be
inspected by the association in order to ascertain if all common systems and elements
have been protected in accordance with the design or as a result of the approved
modification. Inspection and approval by the Association does not warranty or
guarantee the structural component or design integrity of the Unit Owner's
modification. Association accepts no responsibility nor agrees to assume any liability
in conjunction with any inspection.
14.25. The Unit Owner and such Owner' s heirs, successors and assigns hereby indemnify and
hold harmless the Association from all defects in workmanship or design arising from
or out of the alteration(s) or modification(s) performed by the Owner or the Owner's
agents.
14.26. Water shut off requests must be no later than 48 hours prior to the shut off date and
must take place Monday through Friday between 10:00 am-3:00 pm, excepting
holidays.
Section 15. Soliciting
15.1 Soliciting of any nature is absolutely forbidden on any part of the property, premises or
common areas.
15.2 Neither residents, nor their families, employees, agents or visitors, shall distribute on
any advertising, pamphlet, free newspaper or any other printed matter on or in any
portion of the property or resident cars. This includes door-to-door solicitations
electioneering, etc.
Section 16. Swimming Pool and Spa
16.1 Hours of Operations:
Pool and Spa hours: Every day: 6:00 a.m. to 10:00 pm.
Courtyard : Every day: 9:00 a.m. to 10:00 pm.
Gym : Every day: 24 hours
Community garden: Every day: 24 hours
16.2 Please note that quiet hours will be observed at t imes other than those listed above this
means that quiet enjoyment of the pool and spa is permitted, and activity outside of the
hours above will be closely monitored.
16.3 Unoccupied poolside chairs and lounges may not be reserved by or for anyone outside
the pool area. Towels, clothing and other items should be taken with the Owner when
departing the pool and spa area .
16.4 Persons using suntan lotion may not enter the pool or spa unless they wipe off excess
lotion. Users of oil or lotion must protect chairs and lounges with a towel.
16.5 Absolutely no foreign substances such as bubble bath, soap, beer, etc. may be added to
the pools or spa. I would like to see cleanup related to broken glass added here. Persons
observed doing so will be assessed the cost of draining, cleaning, refilling and other costs
incurred due to pool or spa damage.
16.6 Throwing non-floating items, such as rocks, marbles, coins and the like into pools or spa
is prohibited . No bobby pins, hairpins, etc. are to be worn in the pool. Metal objects may
cause serious damage to the filtering system .
16.7 The " buddy" system is recommended for all swimmers at all times.
16.8 The use of the pool is expressly limited to residential residents and their invited guests.
Each unit is limited to four guests total at any given time: HOA-sponsored events are
exempt. No group shall monopolize the pool.
16.9 Absolutely no running, pushing, or horseplay around or in the pool area will be permitted.
16.10. At no time shall there be any loud noise, disturbance or other activity that creates a
nuisance to residents. Residents and guests are expected to maintain a conversational
voice level and refrain from using obscene language and aggressive behavior.
16.11. No infant, young child or person subject to involuntary natural bodily functions is
permitted to use the pool or spa without proper and effective diaper protection .
16.12. Inflatable items, sun-mats, surfboards, floats or other large objects of this nature will not
be permitted . Only flotation devices for persons otherwise not physically capable of
swimming (i.e. water wings) shall be permitted .
16.13. Containers of an unbreakable nature will be allowed provided they are disposed of in the
proper manner. Glass is not permitted . Littering in the pool and pool area is not allowed.
16.14. No personal barbeque, hibachi or other cooking apparatus may be used in any unit's
balcony or patio. Only the communal barbeque may be used.
16.15. No pets are allowed in the pool/spa area at any time .
16.16. Bicycles, skateboards, scooters, roller-skates, roller-blades, toys or other wheeled

vehicles or shoes are not allowed in the pool area at any time.
16.17. Only persons dressed in standard swim wear are allowed in the pool or spa . Nudity or
nude sunbathing in these areas is prohibited .
16.18. Climbing over gates and fences in the pool area is prohibited .
16.19. Persons with skin disorders, colds, coughs or other communicable diseases are asked to
refrain from pool and spa use due to the obvious risk of health problems to other
individuals.
16.20. Immoral, lewd or indecent conduct is prohibited in the pool, spa, and all other common
areas including exclusive use common areas.
16.21. Amplified speaking/music is only allowed at an HOA-sponsored activity. Portable TV's and
radios are not permitted in any common space unless used with headphones.
16.22. Children 14 years and younger must be accompanied by a legal adult. It is recommended
that pregnant women, persons with heart problems, high blood pressure or diabetes
refrain from using the spa for health reasons.
16.23. The Association is not liable, and does not assume any liability whatsoever, for injury,
property damage or any kind of loss arising in connection with the use of the pool or spa .
The pool and spa areas have no lifeguard on duty.
16.24. The Board of Directors reserves the right to deny use of the pool, pool area and spa to
anyone at any time.
Section 17. Trash Disposal
17.1 All other disposable garbage is to be securely wrapped into a compact bundle and
placed in the trash chutes or dumpsters.
17.2 Open containers, boxes, or unsecured plastic bags shall not be placed in the trash chute.
Unsecured trash sets off fire alarms, for which the Association is fined by the Fire
Department.
17.3 Bundles and items that are larger than trash -chute size shall be deposited directly into
the trash dumpsters that are not attached to a compactor. They are not to be placed in
the trash chute. Recycling items are not to be left in the trash rooms. Please take them
down to the blue recycling bins on the loading dock.
17.4 All cardboard boxes for disposal are to be broken down and taken to the recycling
receptacle at the loading dock.
17.5 Please notify the building manager of any oversized articles requiring removal.
17.6 Construction debris produced by Owner (i.e . not produced by outside workers) must be
carried to the loading dock and placed in the dumpster that is not attached to the
compactor. Such debris must never be placed in the trash chute. Owners will be
assessed the actual cost for any clean-up and equipment repair services if construction
materials are improperly disposed of.
Section 18. Window Coverings
18.1 To enhance the appearance of the building, curtains, drapes, shutters, blinds, and other
window materials subject to view from the exterior shall be restricted as to the co lor of
the side exposed to the exterior. Only window coverings and materials, which have a
white or off-white color are allowed .
18.2 No exterior screens are permitted except for sliding glass doors with approved screen
doors subject to the approval of the Architectural Comm ittee.
18.3 The unit Owner is responsible for the care and maintenance of these window coverings.
Drapes, curtains, shutters, blinds and other window materials must be kept in good
condition. The Association can compel the unit Owner to replace shabby and torn
materials exposed to the exterior.
18.4 Windows shall not be covered in whole or in part with aluminum foil, newspaper, paint,
window tinting, window frosting, mural and decals or any other material deemed
inappropriate by the Association .
Section 19. Holiday Decoration Regulations
19.1 Non-lighting and non-noise generating decorations or wreaths can be placed on the
exterior of the entry door(s) to your unit. However, the must be installed with a device
such as a suction style hanging device that does not penetrate, damage or leave residue
on the door.
19.2 Lights and decorations inside your home must not create a nuisance to other residents.
Please respect your neighbor's right to quiet enjoyment by turning off those
decorations which may create a noise or light nuisance at 10 p.m . weekdays.
19.3 Only fire retardant ornamental trees are permitted as requested by the Fire
Department.
19.4 Ornamental trees being removed shall have covering to prevent debris falling in the
common areas. All trees are to be placed in the loading dock dumpster. Owners are
responsible for any damage done or clean-up of the Association common areas.
19.5 Winter holiday decor is permitted from the day after Thanksgiving until January 6th .
Section 20. Security
20.1 You must close all exterior doors completely and ensure that they remain locked at all
times. Do not prop them open or leave them unsupervised.
20.2 Residents shall not allow entry to the property to any unknown persons.
20.3 Do not assume that "someone else" will confront a stranger. Confrontation is
sometimes unpleasant but necessary. Contact security if you see someone suspicious.
20.4 Never let anyone into the building for a neighbor unless you have positively identified
him/her. Many times, clever individuals are allowed into the building pretending to be
"UPS drivers" or "Florist Delivery People" and want to be let in. Don't let them in.
20.5 If you see a person that has entered the building and begins hanging doorknob
advertisements, please ask them to leave and contact security.
20.6 Commercial delivery services are not leave packages in the main lobby area or with
security.
Emergency Information Sheet
Unit# _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ __
Dear Homeowner:
Please complete the information listed below and return at your earliest convenience:
****** *** *** ** ******* ********* *** ** ******** ****** ** ***
(Please print or type)
Owner Information
Owner' s Name:
-------------------------------
Unit/Address:
--------------------------------
Mai Ii n g Address (if different from above):
---------------------
8 uss. Phone:
-------------- Home Phone: --------------
Email Address:
--------------------------------
Tenant Information
Tenant's Name (if applicable) : _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ __
Buss. Phone :
-------------- Home Phone: --------------
Emergency Contact
Owner
Name:
- - - - - - - - - - - - - - - - Home Phone: --------------
Address:
----------------------------------
Tenant
Name:
- - - - - - - - - - - - - - - - Home Phone: - - - - - - - - - - - - -
Address:
----------------------------------
Election Rules
Campaigning
If any candidate or member advocating a point of view is provided access to Association media,
newsletters, or websites during a campaign, for purposes that are reasonably related to that
election, all candidates and members advocating a point of view will be provided equal access.
Any views, comments or opinions set forth in any communication from a candidate or member
are those solely of the candidate or member, and the Association is not responsible or liable for
such content. The candidate or member, and not the Association, is solely responsible for the
content of all materials and/or communications presented by the candidate or member.
Access to the common area meeting space will be provided during a campaign, at no cost, to all
candidates and to all members advocating a point of view for purposes reasonably related to the
election.
Association funds will not be used for campaign purposes in connection with any Association
Board election . Funds of the Association shall not be used for campaign purposes in connection
with any other Association election except to the extent necessary to comply with duties of the
Association imposed by law. For the purposes of this section "campaign purposes" include, but
are not limited to, the following:
(1) Expressly advocating the election or defeat of any candidate that is on the
Association election ballot.
(2) Including the photograph or prominently featuring the name of any candidate on a
communication from the Association or the Board, excepting the ballot and ballot
materials, within thirty (30) days of election, provided that this is not a campaign
purpose if the communication is one for which the law requires that equal access
be provided to another candidate or advocate.
Board Member Qualifications
Directors must be an Owner of a Unit within the Association. Additionally, Directors must meet
the following qualifications:
1. The Owner must be in compliance with the Governing Documents for the three (3)
months immediately preceding the date of the election at which the Owner is being
considered for election to the Board of Directors. To be in compliance, the Owner must
correct, within five (5) days after receipt of notice, any violation of the Governing
Documents for which the Owner has been determined to be responsible pursuant to
applicable due process requirements.
2. The Owner must be current in the payment of all Assessments for the three (3) months
immediately preceding the date of the election at which the Owner is being considered
for election to the Board of Directors.
3. The Owner must not be related by blood or marriage or reside in the same household as
any other Board member.
To remain qualified to continuing serving on the Board, Directors must meet the following
qualifications:
1. Not be absent from more than three (3) consecutive regularly scheduled meetings of the
Board.
2. Attend at least seventy-five percent (75%) of the board meetings held during the year and
attend the entire meeting each time.
3. Comply with every duly approved action of the Board.
4. Comply with the Governing Documents and correct, within five )5) days after receipt of
notice, any violation of the Governing Documents for which that Director has been
determined to be responsible pursuant to applicable due process requirements.
5. Not be more than three (3) months in arrears in the payment of any Assessment.
6. Exhibit respect, professionalism and courteous behavior to Owners, committee members,

vendors, the Manager and its staff, and any other Persons associated with or retained by
the Association .
7. Refuse any type of gain such as money, services, products gifts or gratuities of a significant
value, as determined by a majority vote of the Directors who meet all of the required
qualifications to serve as such, which gain is offered in relation to the Owner's service as
a Director. If addition, the Owner must disclose such offers at an open meeting of the
Board . Compensation for services duly approved by the Board and unrelated to duties as
a Director or Officer of the Association, and reimbursement of expenses associated with
services to the Association, do not constitute prohibited gain within the meaning of this
subsection.
8. Not act in a manner determined by a majority vote of the Directors to grossly detrimental
to the general safety, health or welfare of the Association and its members.
Voting Qualifications
Each member of record whose voting rights have not been suspended by the Board of Directors
is entitled to vote. Members shall be entitled to cast one (1) ballot for each Unit owned . In any
election of the Board in which more than two (2) positions on the Board are to be filled, every
member entitled to vote shall have the right to accumulate his/her votes and give one candidate,
or divide among any number of candidates, a number of votes equal to the number of Directors
to be elected provided that no member shall be entitled to cumulate votes for a candidate or
candidates unless the candidate's name or candidates' names have been placed in nomination
prior to the voting and the member has given notice at the meeting prior to the voting of the
member's intention to cumulate votes. If any one member has given this notice, all members
may cumulate their votes for candidates in nomination.
If a record date for voting is not fixed by the Board of Directors, those who are members on the
day of the meeting who are otherwise eligible to vote are entitled to vote at the meeting of the
Association .
Joint Owner Disputes
When more than one (1) person holds interest in any Condominium ("Co-Owners"), all such Co-
Owners are entitled to exercise the vote to which the Condominium is entitled. Co-Owners
owning the majority interests in a Condominium shall from time to time designate in writing one
(1) of their number to vote. Fractional voting shall not be allowed, and the vote for each
Condominium must be cast as a unit. Where no voting Co-Owner is designated or if the
designation has been revoked, the vote for that Condominium shall be exercised as the co-
owners owning a majority interest in the Condominium mutually agree. Unless the Board
receives a written objection in advance from a Co-Owner, it shall be conclusively presumed that
the corresponding voting Co-Owner is acting with the consent of the Co-Owners. No vote shall
be cast for any Condominium if the Co-Owners present in person or by proxy cannot agree to
said vote or other action.
Nomination Procedures
People may become candidates by either informing the management company in writing of their
intention to become a candidate or by being nominated from the floor at the Annual Meeting.
Self-nominations are permitted.
Voting Procedures
The By-laws authorize the use of secret ballots and proxies. Secret ballots will be provided to all
members for their use.
Elections will be conducted in accordance with the following procedures:
..
1. Ballots and two pre-addressed envelopes (with instructions) shall be delivered or
mailed by first-class mail to every member not less than thirty (30) days prior to the
deadline for voting;
2. Ballots are not to be signed by the voter and a member that places any identifying
marks or signature on his or her ballot will waive his or her right to secrecy;
3. Completed ballots must be placed into an inner envelope that has no identifying
information on it (e.g., no member name, no property address, no signature, etc.),
and the inner envelope is then sealed by the member;
4. The inner envelope is then inserted into the outer envelope that is pre-addressed to
the lnspector(s) of Election and then sealed by the member;
5. In the upper left hand corner of the outer envelope, the member must indicate his
name and the address of the property within the Association and then the member
must sign his or her name in the upper left hand corner of the outer envelope. Ballots
received in improperly completed envelopes (e.g., not signed or without identifying
information) may not be counted by the Inspector;
6. The envelope may be mailed or delivered by hand to the management office, unless
another place is designated by the lnspector(s). The Member may request a receipt
for delivery;
7. Once a ballot is received by the Association, in the place designated by the

lnspector(s), it is deemed irrevocable, even if it is unopened;
8. The sealed ballots shall be in the custody of the lnspector(s) of Election or in the place
designated by the lnspector(s) at all times;
9. No person may open or otherwise review any ballot prior to the time and place at
which the ballots are counted and tabulated; and
10. The voting period for member meetings shall commence when the first ballot is
mailed or delivered to a member of the Association, and shall end at such time as the
lnspector(s) of Election determine the polls close.
Use of Proxies
Every Member entitled to vote or execute consents shall have the right to do so either in person
or by proxy. All proxies must be in writing and filed with the Secretary prior to the
commencement of the meeting at which the proxy is to be exercised .
Any form of proxy that is distributed to the membership by any person must afford the
opportunity to specify a choice between approval or disapproval of each matter or group of
matters to be acted upon, except that is not mandatory that a candidate for election to the Board
be named in the proxy. The proxy must provide that where the Member specified a choice, the
vote will be cast in accordance with that choice.
A proxy must (A) identify a proxyholder (who must physically attend the meeting for which the
proxy is being exercised), (B) contain voting instructions, and (C) be signed by the Member giving
the proxy. Any instruction given in a proxy issued for an election that directs the manner in which
the proxyholder is to cast the vote must be set forth on a separate page of the proxy that can be
detached and given to the proxyholder to retain . The proxyholder must cast the Member' s vote
by secret ballot. A proxy that does not satisfy these requirements may not be counted .
Inspectors of Election
lnspector(s) of Election will be appointed by the Board of Directors at a board meeting held prior
to the election and will serve as Inspectors until such time that their successors are appointed by
the Board of Directors. There shall be one (1) or three (3) Inspectors of Election for the
Association . If there are three (3) Inspectors of Election, the decision or act of a majority shall be
effective in all respects as the decision or act of all. lnspector(s) may be a member of the
Association, but may not be a member of the Board, a candidate for the Board, or related to a
member of the Board or candidate for the Board. An Inspector may be a person who is currently
employed or under contract to the Association for any compensable services.
Role of Inspectors of Elections
lnspector(s) will determine the number of memberships entitled to vote and the voting power of
each in accordance with the Association 's governing documents. lnspector(s) will determine the
authenticity, validity, and effect of proxies, if any. lnspector(s) will hear and determine all
challenges and questions in any way arising out of or in connection with the right to vote. Ballots
will be returned to the Association' s managing office, unless another location is designated by
the Inspectors. lnspector(s) will determ ine when the polls shall close . lnspector(s) will
determine and announce the tabulated results of the election .
The lnspector(s) may appoint and oversee additional persons to verify signatures and to count
and tabulate votes as the lnspector(s) deem appropriate, provided that the persons are
independent third parties.
lnspector(s) may also perform any acts as may be proper to conduct the election with fairness to
all Members in accordance with the lnspector(s) of Election rules and all applicable rules of the
Association regarding the conduct of the election that are not in conflict with the lnspector(s) of
Election rules. lnspector(s) must perform all duties impartially, in good faith, to the best of his or
her ability, and as expeditiously as is practical.
Tabulation of Votes
lnspector(s) count and tabulate all votes. All votes shall be counted and tabulated by the
lnspector(s) at a duly noticed board or membership. Any candidate or other member of the
Association may witness the counting and tabulation of the votes. Members who are not
Inspectors or being overseen by an Inspector must remain at least five feet away from the
counting area. Members who are not Inspectors may not participate in the counting or tabulation
process or any discussions that may arise among the Inspectors or their designated assistants.
Every lnspector(s) of Election must sign the ballot tally sheet for the Association's corporate
records. After the final tabulation of the votes, custody of all election materials will be transferred
to the custody of the Association . After tabulation, the Association shall store ballots in a secure
place for no less than one (1) year after the date of the election .
Recording and Announcing Election Results
lnspector(s) must report the results of the election promptly to the Board of Directors and the
results will be recorded in the next regular session board meeting minutes. In addition to
recording the election results in the next regular session board meeting minutes, the Association
shall keep Annual Meeting Minutes that reflect the results of the election .
The Board of Directors will publicize the results of the election in a communication directed to all
members within fifteen (15) days of a successful (quorum achieved) election.
Owner Move-In/Move-Out Agreement
Please read, sign and return this Move-In/Move-Out Agreement to the Property Management
Company PRIOR to beginning any move.
As an Owner in the Little Tokyo Lofts HOA, I have read the Move-In/Move-Out Procedures for
Little Tokyo Lofts HOA. I understand that a deposit of $250 should be paid in the form of a check
or money order made out to Little Tokyo Lofts HOA. The deposit is applicable to all damage,
repair, cleaning, losses or other liabilities and charges incurred as a result of the move.
Additionally, the Owner accepts total responsibility for the cost of any damage, repair, cleaning,
losses or other liabilities that may exceed the amount of the deposit. Any unused portion of the
deposit will be returned to the Owner after the move.
I further understand and agree that if my Move-In/Move-Out requires more than the allotted
time that it may be interrupted to allow other scheduled moves. In addition, I may be charged a
fee for exceeding my allotted time .
I understand that if for any reason, I need to cancel or reschedule my move, I must inform
Management at least one (1) business days in advance. At the discretion of the Boar, failure to
do so may result in a fine assessed to my account after notice and hearing.
I understand and agree to all terms as described in the Move-in/Move-out Procedures.
Name Date
Signature Unit Number
Please send your completed form to:
Professionally Managed by Action Property Management, Inc.

600 Wilshire Blvd., Suite 1660 • Los Angeles, CA 90017
P: {800} 400-2284 • F: {949} 450-0303
www.littletokyoloftsdowntown .com
Memo to Moving Company Personnel
TO: MOVING COMPANY PERSONNEL

FROM: Little Tokyo Lofts Community Association
DATE:
SUBJECT: MOVE-IN POLICIES OF LITTLE TOKYO LOFTS
These policies should be reviewed by the Moving Company Supervisor prior to the move. Little
Tokyo Lofts will only allow moving companies on the property who will cooperate in keeping the
building secure and the property damage-free.
In order to make the move go smoothly for you, your customer and Little Tokyo Lofts HOA, please
make note of the following policies. If you have any questions about these policies, please contact
Management prior to the move.
1. Prior to any Move-In, the moving company must supply the Association with a current
Certificate of General Liability and Workers' Compensation Insurance before the move
may start. The certificate(s) must name the Association as an additional insured. Please
mail the certificate to:

c/o Action Property Management, Inc.
600 Wilshire Blvd., Suite 1660
P: (800) 400-2284 • F: (949) 450-0303
www.littletokyoloftsdowntown.com
2. A representative of the Association may walk with the moving company supervisor from
the point of entry to the building, to the elevator and to the Owners condominium . During
this initial walkthrough, any existing damage may be noted on a checklist and signed by
the moving company representative and the Association's representative.
3. NO FURNITURE, BOXES, ETC., ARE TO BE LEFT IN THE COMMON AREAS OR ASSOCIATION

PROPERTY.
4. Ceilings may not be removed from the elevator.
5. It is the responsibility of the mover to check the actual dimensions of the elevator cabs
prior to loading large items into the elevator to prevent damage to the elevator cab finish .
6. IT IS THE RESPONSIBILITY OF THE MOVING COMPANY TO INSURE THAT PROTECTIVE

COVERINGS HAVE BEEN INSTALLED IN THE ELEVATOR PRIOR TO THE MOVE. IN THE
ABSENCE OF PROTECTIVE COVERINGS ALL ITEMS MUST BE WRAPPED IN MOVING
BLANKETS.
IT IS ALSO THE RESPONSIBILITY OF THE MOVER TO PROVIDE FLOOR COVERINGS TO

PROTECT THE FLOORING BETWEEN THE ELEVATOR AND THE UNIT DURING THE MOVING
PROCESS. NO MOVE CAN BEGIN UNTIL THESE PROTECTIVE COVERINGS ARE IN PLACE.
7. UNDER NO CIRCUMSTANCES MAY FURNITURE OR OTHER BELONGINGS BE DRAGGED

ACROSS THE HALLWAYS OR OTHER ENTRY AREA FLOORS. Dollies or handtrucks must be
used at all times. The Association's equipment (dollies, handtrucks and vacuums) will not
be provided by the Association.
8. Moves are scheduled from 8:00 a.m. to 5:00 p.m., Monday through Saturday ONLY. No
moves are allowed on Sundays and certain holidays.
9. When the move is completed, the walk-through inspection may be repeated and any new
damage noted at that time and acknowledged by the signature of the moving company
supervisor, if designated by the Owner, and the Association's representative. Refusal of
the moving company to sign the walk-through inspection does not relieve the moving
company of responsibility for any damage incurred.
10. Should a moving company disregard any of the above policies, his/her moving company
will not be allowed future access to the community .
..
Moving Company Move-In/Move-Out Procedures Acknowledgment
Form
I have read, understand and agreed to fully comply with the Move-In/Move-Out Policies of Little
Tokyo Lofts Community Association. Without limiting the foregoing, I agree that the
company specified below will (a) be required to register with Management and provide
certificates of insurance prior to any Move-In or Move-Out, (b) park in the designated
parking area, (c) be required to return any keys provided by Management or homeowner,
and (d) be responsible for any damage caused to the Project as a result of the move. I further
acknowledge that Management may (but should have no obligation to) take photographs
before and after the move to document the property condition before and after the move.
This form is to be signed by the supervisor assigned to the move by the Moving Company
and returned to the Management prior to any move-in or move-out.
Signature of Moving Company Supervisor Date
Moving Company Name
Resident's Name Unit Number
Please send your completed form to:

600 Wilshire Blvd, Suite 1660 • Los Angeles, CA
90017 P: (800) 400-2284 • F: {949} 450-0303
Insurance Requirements
The Little Tokyo Lofts Community Association, hereinafter collectively referred

to "Association" both require that a certificate of insurance and endorsement be submitted,
at least forty-eight (48) prior to each move, to the Manager of the Association. The Manager
for Little Tokyo Lofts Community Association can be reached via phone: (800) 400-2284, e-
mail: ltlmanager@actionlife.com.
The endorsement must include all of the following:
• Prior to any move-in, the moving company must supply the Association with a
current Certificate of General Liability and Workers' Compensation Insurance
before any move may start.
• The Certificate(s) must name the Association ("Little Tokyo Lofts Community
Association") with the address: 420 S. San Pedro Blvd., Los Angeles, CA 90013
as an additional insured in the Certificate Holder box at the bottom of the
insurance form .

600 Wilshire Blvd., Suite 1660 • Los Angeles, CA
90013 P: (800} 400-2284 • F: (949} 450-0303
EXHIBIT "F"
YEAR 2009 - 2012
References are to the original rules & regulations as these violations did occur prior to the
purported revised rules & regulations being enacted
Vehicle Repair
Gasoline can containing gasoline in a cardboard box

Excessive oil leaks and stains
..
Vehicles parked in non parking space leaking oil
CCR 2.8.2
..
>
~I
- --
•
lln n
I - t
,
t-
--~
·.~ . ~ ·-
}
\
.
\
J_
•
•
: l .2 ,•\ll U\~1w,,. ,,,,r.,1 r.:n: thc,r Ur.it, ~>.~l c:di.nit the :i"ru~·:. ~~id ~ontact ;,1.orubc-r:s fo:
!he11 l1.::i:I!'lt!i" Iv 1:c 1:1.,n!lf;Cll1~:1t Cct:'lp;1ny fo: lh..: pt •;i.:~t
, , ., ,\ny n:ntl'! c: !~:?:;~ :ib ... .:r.1..:n: :,h..1:io:i.a \\: it int, ~:1,:ll p:u\ id•: th.:.t tre k.t: e t•:
r: n:.. i :, ,u··Je~~ :c ·h..: ,o•,c~::1.; docu:1~cn:~ :in-.! s:".311 p:o..-:dc tha.t .my fa:i1Jre to
:t•::~;,l) w ith .i~:.- p:<.J\l :c:1 <•f :h.: :_:.>\c:mr.~ ctoc:.:.n1c11; ~h:'111 ~ .1 dcht:I; under
: 1c :li!:r:,.., \•[Uic !c·-• ~ ~. rc- .. :nc:1t
I! ,\ co..-,) ,.,(11:: g,,vc:n:q; dnd1;r,c:n:·,. rr.clu.':11~ tr.·: Rule\ :l.1hi Rcg:.i:l't or,s. s:1.l!l !>.:
;·:o . iJ•:d by :h.: o,,~1~r to c.:, !l :;:1 a: c: .c,.-::~ \\'n~tr.: n pn:ol ·h.,t i.m:h stem~
,~-:ri: :11,,•: .J.:.; .·11J 1r:1,;J !' r oy 1: c ::r..:1r,• :,l,a l b~ Jc:: •:c:.:d :o :h..: h.:H:t:i:
: l.~ . ·1 ;,c o,~nc: :-.di :'0; ·,•.·:,rd :.!1 C:\.CC'.!td :or~ <>I~ ,e.1~c ll' t:-.c liullilini n,anegc:ni::nt
\,Jth th: :i!lcp:1..):i~ :!11:nbcr :,d ~ll~c! :i .. JtcSi Nth.: r;:.s.; lc=it Owner.
:I i r:.c 0,,.1.: ~ ,lull, ,1: .ill 1imt'~, be re.<-po:-sib:c for thC'ir t~ll.l.O!:; ur lc,s-:c·s a:1.!
:heir .,.:~.,ts i:ompl:.u:~c "ith ~II oi' :b:: p;c,, 1~io:1s of ti:c Dc:cl~a,1on ind t,l)~
.{uks .u: ... Rcsa!~~:o~.:..
: ~~~
I
I~
I ~,,,,..
I
I
I
I
I
EXHIBIT "G"
Grant E. Beuchel
420 S. San Pedro Street #311
Los Angeles, California 90013
(661) 428-7365
August 14, 2012
Beaumont, Gitlin & Tashjian

21650 Oxnard Street #1620
Woodland Hills, California 91367
Attention: Lisa Tashjian
Dear Ms. Tashjian,
I am in receipt of your letter of August 10, 2012 which I received on August 13, 2012 and
thank you for the same.
In your letter you suggested that the photographs I submitted to Donna Barrett were
"false and misleading", yet you cited no particular reason why this is the case, so I have
to assume that this abstruse lawyer speak is without any merit at all. While words alone
may be deceiving, it is said that a "picture paints a thousand words" meaning that a
visualization is generally more accurate than a verbal description.
Ms. Barrett complemented me stating that she does not usually find an owner willing to
take the time and effort to point out conditions that could be remedied in order to avoid a
potential insurance claim. I believe the two different views regarding my conduct speak
volumes about the opinor. (i.e., board vs. insurance agent) I think what really happened
is that the board got their feelings hurt because although they are under an affirmative
duty to inspect and remove dangerous conditions, in fact, a nudge was required by an
owner to get them to do their job.
Further, since my actions, the board has remedied many of the conditions I described; the
common area garage is looking a lot better as a result; and I have received several
compliments from other owners for my efforts. Your suggestion that I was motivated by
"good intentions" is not exactly accurate. I was motivated by self-preservation as I have
invested in the LTL community.
You also suggested that I take up these matters through '·proper venues", but the truth is
that I have spent the past 2 years pursuing those venues regarding the failure of our board
to enforce the governing doc' s (i.e., CCR's, Rules & Regs, etc) all to no avail. I have
written letters, sent emails, engaged in phone calls, and have sat down with 4 different
board members "one-on-one", but none of that seems to work. The board just doesn' t
seem to understand that they are personally responsible for damages to an owner caused
by their failure to enforce the governing docs. It is not my place to provide any sort of
legal advice, but gosh, somebody ought to. If you really want to do the board a favor you
might suggest to them (as I have done) that they take some sort of class that explains to
them their obligations to me and every other owner here at LTL, and the ramifications of
their failure to meet those obligations.
In any event, a couple of months ago, I took it upon myself to document by way of
photographs all of the violations here at the Little Tokyo Lofts and am in the process of
writing yet another letter to the board. The photographs I sent to Ms. Barrett are a very
small subset of the photographs I have compiled. If I took the time to point out all of the
violations I would never have the time to finish this letter to you, but I feel I should take a
moment to point out just a few.
This is just one of many example of owners and/or

tenants parking a vehicle someplace that is not
designated as an authorized parking spot. The relevant
violations are footnoted. 1 My question to you Ms.
Tashjian, is if the HOA were to suffer an insured peril,
would not the owner of this vehicle be making a claim for damages to his vehicle that
should have not been in the garage in the first place? The fact is, without my agreement,
and contrary to the governing doc's, I and every other owner at LTL are insuring those
vehicles, and although I cannot speak for every other owner, as to myself, I do not
appreciate taking on a risk that I never agreed to accept.
1
28.4 Parking Restrictions.
(a) Parking. All vehicles owned or operated by or under
the control of an Owner or a resident of an Owner's
Condominium and kept in the Community must be
parked in the Owner's assi ned arking s ac in the
Parking Garage.
Rules & Regs 9.1. Any Vehicle that is parked so as. to impede the- normal flow of traffic, block, access
of other residents'- parking, or obstruct access by. Fire Department or other emergency vehicles shall be
towed, immediately and without notice at: the violator's expense.
-
Similarly, here (above) I am talcing on the risk of insuring 2 vehicles when the agreement
(according to the governing doc' s) is that I pay my share to insure I vehicle per
authorized parking spot. We have a few of these instances also.
159 owners are complying with the rule that states that window treatments must be color
white2 ( or thereabouts) but for the last 2 years that I have been at LTL, 2 owners feel
there is no need to comply with this regulation, and the board has not done their job in
enforcing this and many other rules. I ask you Ms. Tashjian, isn' t it obvious that in
regards to this violation that the whole building - every owner and every unit - suffers a
loss of value as a result of these 2 violations?
Owners are not permitted to mount anything on the exterior of their unit3, yet this owner
mounted a camera outside their unit down by the pool area. I cannot imagine the impact
2 ;Section 17. Window Coverings

. I-7 .. 1. To enhance the appearance. of the building, curtains, drapes, shutters, blinds, and
other window materials subject to view from the exterior shall be restricted as to
the color of the side exposed to the exterior. Only window coverings and
materials, which have a white; off-white: -.or neutral color are Allowed and
approved.
3
CC&R 1. 1.45
Grant E. Beuchel
(661) 428-7365
August 31, 2012

Dear Ms. Tashjian,
Two things ..... .
First, when the board does not enforce the rules, things have a tendency to escalate and
this is what you get.
Second, I contacted the State Bar ethics hotline and asked if an attorney representing a
corporate defendant was ethically required to forward information to a different attorney
representing the same client in a different civil matter if the information had a tendency
to exculpate, exonerate or raise defenses in that other case. According to the State Bar,
the attorney's duty of loyalty to the client requires that the information be forwarded, and
to the extent that the attorney is forbidden for any reason from forwarding the
information, then the attorney' s only option is to withdraw.
The State Bar referenced 3 rules of professional conduct, 3 court cases, and one state bar
opinion and one code section as follows:
Rules of Professional Conduct 3-500, 3-700, 3-110
Business & Professions Code Section 6068(m)
La Jolla vs. Cove Motel, 121 Cal App 4th 773 (2004
Forreth vs. Baeza 58 Cal Ap 4th 65 (1997)
Jacuzzi vs. Jacob Bros 218 Cal App 2 nd 24 (1963)
State Bar Ethics Opinion 2003-163
Govern yourself accordingly.
Sincerely,
Grant Beuchel
Owner of unit #3 11
Cc: Richard Monsoon

Condo Properties
this camera, at the pool area no less, has on new or existing sale prices of units at the
LIL.
In defense of the board, they did talk to this owner who essentially stated that he was not
going to remove the camera, and time will tell if the board members will actually do their
job and fine this individual 4 or take other appropriate action, or if they will simply ignore
the violation as they do so many other violations.
This is the last example I will show you of violations, but

there are many, many more. My question to you Ms. Tashjian is who is going to pay the
damages if somebody slips or trips over one of these doormats and injures themselves?
Me? All the owners? Further, doesn't every owner suffer from a loss of value to their
unit and respective share of LTL when somebody puts a nameplate on their door in
violation of the governing doc's or violates governing docs generally? Heck, the whole
purpose of the board is to have a governing body responsible for enforcing the governing
docs, but it seems to me that these very nice people have somehow invented their own
job description which provides that the governing docs are somehow suggestive and not
mandatory.
These violations have been going on during the 2 years I have lived at the LT lofts and no
matter what letters I write or who I call or who I email or who I talk to, these violations
continue and I along with every other owner is accepting risk(s) that we never agreed to
accept when we signed our purchase agreements.
Now I hope I am not boring you, but I am leading up to a point. I am just not sure how
best to lead into it. For the past 2 years I have been saying (letters, emails, etc.) that the
4
The board has the authority to fine owners who fail to comply with the governing documents. Civil Code
Section 1363(g)
board needs to start enforcing the governing doc's "before something happens·', but the
problem is that it is to late to say that now because something has happened.
I, and every other owner, find themselves involved with a case 5 that is pending in a court
of unlimited jurisdiction, with a liability insurance policy limited to 1 million dollars.
Now, you can tell me until you are blue in the face that (a) it is a no liability case or (b)
that damages will never exceed 1 million dollars or (c) make up an attorney speak excuse
of your own, but the fact remains that it can go over 1 million dollars and it happens all
the time. I myself was hit with "my share" of 6.2 million dollars6 within the last 6
months - a case that could have been settled for 375k but wasn't- my share being about
$650 since we have 9500 members, but in the LTL situation it will be my share of 1 in
161. Further, even ifl can pay my LTL share exceeding 1 million dollars, if that were to
occur, many owners will not be able to pay their share and that is just as bad for me for
reasons I am sure you understand.
So here is the problem. We have 2 governing doc violations that appear to have
contributed to the occurrence of the Wiseman case.
First is the boards failure to enforce the 1 dog or 1 cat rule7. The claimant had 2 dogs and
the claim involves injuries involving one of those 2 dogs. I don't need to ever ask the
question if the dog involved was the "first" dog vs. the "second" dog, because the fact is
that by allowing 2 dogs, the board doubled my chances of this type of claim occurring.
In aggravation, 2 board members have violated this rule themselves by having 2 dogs. I
have nothing against dogs. I have a dog myself and would like a second dog, but I did
not get a second dog because I try to follow the rules whether the board enforces them or
not.
Second, is the boards failure to enforce the various subsections Section 11 8 of the rules
and regs which I have set forth below for your ease of reference. Considering all the
problems the board has had with tenants, you would think they would want to enforce
these Section 11 rules if for no other reason to make their jobs easier, but as to so many
rules, the board ignores enforcement. For example, I just noticed when looking at
Section 11 while writing this letter to you that no more than 6 units may be rented at a
time, yet I personally know of at least 9 units being rented, and I know very few people in
the community.
My opinion, and I think any reasonable person would agree, is that the failure to enforce
these rules in section 11 also contributed to the Wiseman occurrence. I want you to know
that as individuals I like the board members very much. They are good neighbors and
s Wiseman vs. Little Tokyo, LASC Case No. BC485658

6
http://business-bankruptcies.com/cases/intemational-union-of-operating-engineers-local
7 CC&R's Section 29 Animal Regulations
88 I am not going to take the time to discuss each subsection; how the section was violated; and how that
violation contributed to the causation of Wiseman. You are an attorney and should be able to do that
analysis yourself.
good people, but as a governing body I find their acts and omissions to act as placing me
and every other owner at unnecessary risk - - a risk that has come to fruition in Wiseman.
, u."tion 1 t. Rental of Rc.sidtntial Condominiurns
I : .1. An O\vner sh.all ~ t;:'1lillcd to rc.f)t the Owner's residential Uuit subject to tb.e
foltowmg _guidelines.
11.2. AJ Own~~ Who ten~ their Units sb.1U rubmit the nat.Ue-s ...nd contact nurubus for
tht:ir tenants to the m1-mug '1tem company for lhc project.
l 1.3. Any rcn1al or lease agrecm.:.:n shall ti;; .in writing. :')tlal.l prov.td~ Jial the, l~a~ or
a;ntai JS subject ro the governing docwne-m.s and shall provide that any fail~ to
~ompl) with uny pro'"~sion of the gO'-'tming d<><;wncnts shall be a dcfautt untlet
!he term.s of tile lcs~ agreement. ·
1 l.4 . A copy of d1t governing <:l~roent$, indu£ng the Rules aud Regulations, !.hall he
pro\·idcd by the Owner to eac.:h te'lont or .esscc. Written proof that ~uch, rtcms
werl.! pnwide.cl and si~11ed for by tltc: !~r.ant sbull be deliv~t¢d o the building
managcinenL
11.5. T'::ie O\.l;nt:r :ib,ul fonvard a.ti executed CQP~' of a leat.c tu the b4ihlit_\g manu.gemtn1
Wllh the tclcphout nu;.nber and :;,11~et itdtfress of the Jesickot Owner.
·l 1.6. Owr.cr sna'l bo Hable for violruiOtls of the Rules nnd Regulations by uch Owner's
tcnam.
l 1.7. 1 le Owne.:s sha:ll. at all tiint£-, be respor.sible for their te.Tinnt's or lessee's au.d
thoi1 gues+.s compliunce with all of tbt p:oyision of the D~lararioo and the-
• ules .l.lld Rc:s~il.:tiou.-...
l 1.8. Lessees hove no votitl.£ ri bts in he Assocwtion.

11 .9. No O'i ruer mn, lea;.~ a Condominium i.ituntcd thereon for t.otel. motel or 1ransi~nr
?·;rposes. No cnodornirium shr-J.I be leased fo: n term l~ss we. tinny days.
11.1 o. The Bomd JUay requite a tenant to deJ5ver 10 the As:i-ociatfon a security depo:;it, iu :
~n nmouut :stablish.eel by the Boatd, fr.om tir.-:e to- tinie. as scei;rity !or the cost of
cldaning vr rcpclring d.iwage h.1 tho common t1rea. ·
11 11. UsJ prj-\.il~gi:'.s for ameuities auc common area tia.usfcr to the lessee .or. te~~-
Owr:c:r shall bavc nu p,ccson:;I us;,, pri.vileges upon !easing om lhe Unit unless
pnysically rcsu:tiug therein as thetr priniury ~idcnct.
1 ! .12. No more thl!ll 6 w•its in th~ building may be l~cd at one time.
l l.13 No 1m1t m3y be teased during the fust y.c:ar tollowu1g purchase by original O\\"nCF.
So here is the ethical dilemma for you Ms. Tashjian. On the one hand your client is the
HOA as a corporate entity. I am one owner that makes up 11161th of that entity. You do
not represent the board per se, but you may feel a loyalty to them since, after all, it is
through their good graces that your firm receives legal work and gets paid for it. Now
consider California Civil Code Section § 1365.7 which holds board members personally
responsible to owners for damages caused by their failure 9 to enforce the governing docs.
We have 2 sections of the governing docs that were not enforced and appear to have
contributed to the Wiseman occurrence 1°. If the board members are in the case as cross-
defendants, then the HOA would have insurance not just from their liability carrier
(Landmark) but would have additional coverage from the boards E&O policy (Travelers)
- - essentially doubling the policy limits from one million dollars to two million dollars.
Plus the owner of the unit (I believe #215) who rented to the claimant/Plaintiff did not
follow various subsections of section 11 of the rules & regs; appears to also be a
contributing factor in causation; and may also have additional coverage as well -
although I personally doubt it.
Isn't it your duty to protect the HOA as a corporate entity and not the board members as
individuals? I believe you are ethically charged to forward the information provided to
you in this letter' 1 to the attorney handling the Wiseman liability case and allow that
attorney the ability to decide how he or she wants to handle the case. If you are reading
this letter it is because somebody in your firm signed for its receipt, so "charged with the
knowledge" you are.
In closing, let me say that the board is comprised of individuals who "come and go" as
their terms renew or expire or they move on for personal reasons. As individuals, the
various board are comprised of very nice people, but if ever there was a group that was
"well intentioned" but whose actions can and have led to troubles it is the board and not
myself as you have suggested in your letter. You have suggested that I am not the
insured, but in fact, I am one of 161 owners that is insured by the Landmark policy and I
am 1 of 161 owners who will pay out of my pocket for damages exceeding policy limits,
so to say that I have no interest in the policy is, frankly, ridiculous. At the very least I
should be considered a "third-party beneficiary" of the policy which makes me an
interested party.
If you really want to do the board members a favor, you will emphasize their potential
liability for failing to do their job, albeit for free, and suggest to them (as I have done)
that they take some sort of class or seminar that teaches them their obligations to me and
9
(I) The act or omission was performed within the scope of the officer's or director's association duties ; (2) The
act or omission was performed in good faith; (3) The act or omission was not willful, wanton, or grossly
negligent.
10 You and the board can try to disagree with this statement, and no doubt you will try, but it is not your
decision. It is the decision of the attorney assigned by Landmark to defend the HOA in the Wiseman
liability case.
11
Not information regarding policy limits, but everything else.
every other owner of a unit at LTL. I am sure you know more about condo law than I
will ever know, but from my research I can only find 2 things that the board is really
required to do. First, enforce the governing docs. Second, make decisions that are in the
best interest of all owners as a whole. To the extent that the board feels that certain rules
are unwelcome, there is a process where they can take steps to change the rule, but until
that is done they must enforce the rules currently in effect. I really don' t have the history
here at LTL to understand how things got so out of hand, but your intervention might be
of help, and frankly your efforts in this regard would probably have a better impact than
sending me pointless and futile threatening letters.
Sincerely,
Grant Beuchel
Owner of unit #311
Cc: Richard Monsoon

Condo Properties
EXHIBIT "H"
DATE: FEBRUARY 2016
TO: HOMEOWNERS
FROM: TIFFANY MCCALL, COMMUNITY MANAGER
RE: CHANGE TO ASSOClATION RULES AND REGULATIONS
Pursuant 10 Civil Code §4360, the Board of Directors will be considering the proposed operating rule changes at the Board
of Directors meeting to be held at the 420 S. San Pedro Street, Los Angeles, CA on March 24, 2016 at 8:30 p.m. lfyou
wish to make any written comments on the proposed operating rule changes, please indicate your comments in the space
designated below and return it to management's office so it can be deliver«! to the Board prior lo the Board Meeting.
AJtematively, if you can attend the Board Meeting, your constructive comments will be considered by the Board of
Directors prior to its making a decision on the proposed rule change. Any and all comments made at the Board Meeting
will be subject to the standing rules of the Board related to member comments at Board mee1ings.
❖ The proposed rule changes are enclosed for your review.
❖ The purpose and effect of the rule change: Complete restatement to provide homeowners with a better
understanding and remove any ambiguity.
❖ Member Comments: If you wish to provide written comment, please indicate your comments in the ~pace
designated below and return this fonn to Little Tokyo Lofts, c/o Action Property Management, 600 Wilshire
Blvd. Suite 1660, Los Angeles, CA 90017. Please date, identify your property address, print your name and sign
this fonn. Anonymous/unsigned comments will not be considered.
1/We comment on the proposed operating rule change as follows: S~ f. l- z. T"f7 t'l ftr,'Ac,1-1-$ ·,)
:;: tv Co fl. f'o J'L ~ D
Date: :1. - J_ B - / ~ Property Address I Unit:_ _ _ 3_/_/_______
Owner Printed Name
Owner Printed Name Signature
Professionally Managed By Action Property Management, Inc.

600 lt"ilshire Blvd, Suite 1660, Los Angeles, CA 9001 7
(800) 400 - 2284 (949) 450- 0103 fax
www.LIUleTokyoLoftsDowntown.com
Grant Beuchel
(661) 428-7365
February 28, 2016
little Tokyo Lofts
c/o Action Property Management
600 Wilshire Blvd, Suite 1660
Los Angeles, California
GENERAL OBJECTION TO NOTICE OF PROPOSED RULE CHANGES
That portion of the California Civil Code relating to Common Interest Developments gives the
owners thirty (30) days to object, comment or otherwise respond to proposed rule changes
made pursuant to Section 4360(a). The notice of proposed rule changes is dated "FEBRUARY
2016" so there Is no way for an owner to calculate when the 30 day period begins and ends
with accuracy and thus puts the owner in an onerous position of hastily responding to the
notice of proposed rule changes for fear his responses will be untimely. I object to what is
essentially an undated notice in whole and assert that no adequate notice was given and is thus
void. Without waiving said objections, Grant Beuchel as the owner of unit #311 responds,
comments and objects to the proposed rule changes as follows:
THE MANAGEMENT COMPANY
Amended rules should refer generically to the "designated management company" and give
instructions to the reader as to how to identify and contact that management company. It ls a
mistake to identify any particular management company because if this board or a future board
decides to use a different company then the rules become inaccurate and are difficult, time-
consuming and costly to amend again . Likewise, a specific phone number should not be used
as it may change in the future and, as the board is probably now very aware, modifying the
rules is an arduous and time consuming task. Thus, it behooves the board to create rules that
will "stand the test of time". Management companies often suggest such additions so as to
secure their future role as the property management team. Further, a good management
company would almost immediately secure from every owner/occupant a signed form
acknowledging their understanding as to who is managing the property and who to contact in
an emergency situation and the procedure therefore.
GENERAL INFORMATION
As stated above, the rules should generically refer to a designated management company and
give instructions to the reader as to how to identify and contact that management company,
their phone number, etc., such that if the management company changes that the rules need
not be modified to bring them up to date.
Also, under #4 please be advised that some owners who rent to semi-transient occupants
(occupants of a couple of weeks or a couple of months) use a cell phone and transfer it from
one occupant to the next to avoid the need for an FOB.
Also, under #7 I suggest you not specify a $50 fee as that fee may increase in the future. If you
really want a specific amount in the rules I suggest that it read "a minimum cost of $50".
EMERGENCY CALLS
Again, I suggest that you not specify a number th t may change in the future. Also, the board
should not be relying solely on the rules and regs o inform owners what number to call in an
emergency. A good management team would ha e already taken steps to secure in writing,
signed by the owner, proof that they were inform d who to call in an emergency and that they
had instructions on how to contact our 24 hour sl urity team.
I have no objection to the attorney fee clause in proposed rule 3.3, but bring to the boards
attention that California Civil Code Section 1717 makes such provisions reciprocal1 and thus the
board may one day find itself on the wrong end of such a provision .
I suggest that you add a rule either to 5.1 or as a new 5.2 that requires every owner, or an
owners tenant, or any guest thereof, to identify themselves and their unit number to our
security team when asked to do so. I believe that a failure to identify yourself to security often
creates an inordinate amount of work on board members, security and the management team
to make such an identification when it becomes necessary.
Good rule and hopefully will begin to be enforced . I suggest that the board recognize that
anything seen outside the unit in a common area is not permitted and note that some
occupants are putting some sort of cloth border under their door which can be seen from the
common corridor. I don' t know if this is to prevent bugs or air from entering under the door,
but in either case this can be accomplished from inside the unit without the need for it being
seen from a common area corridor.
Modern rules now include the term " Hover board" .
Since liability carriers generally do not permit smoking In garage areas, prudence demands that
the board :
1
Section 1717(a) states In any action on a contract, where the contract specifically provides that
attorney's fees and costs, which are incurred to enforce that contract, shall be awarded either to one of
t he parties or to the prevailing party, then the party who is determined to be the party prevailing on the
contract, whether he or she is the party specified In the contract or not, shall be entitled to reasonable
attorney's fees in addit ion to other costs. ·
a) Obtain from our current liability carrier (the actual company not the company's agent) a
letter stating that they have no objection to this rule change and that it will not result in
any increase of premium; and
b) Obtain from our insurance agent a letter stating that in the event we lose coverage with
our current liability carrier that a substantial market exists with other companies to
obtain similar and adequate cov~rage.
Also, smoking should not be permitted inside the dog run because damage could occur to the
artificial grass.
An owner may have exclusive use of a balcony but it is still a "common area" and t he board has
more authority than it is giving itself under th is this proposed rule. I suggest you add language
that gives the board authority to order other things removed from a balcony that are
dangerous, abusive, abhorrent, repugnant or otherwise have a tendency to lower the value of
the property and/or affect the peaceful enjoyment of the property by others.
7.4
I suggest that you remove the " lOpm" reference because you infer that an owner can be a
nuisance to his neighbors before that time. Generally speaking, if something can be heard
outside of an owners unit it is not reasonable regardless of whether it is before or after 10pm.
The 10pm rule is used by the police for apartment houses and the general public because they
do not have any enforceable rules regarding noise. We are not an apartment house. We are a
"common interest development" and hold ourselves to a higher standard. The board is going in
the direction or creating an owner defense that his conduct was not unreasonable because the
alleged undesirable conduct occurred before 10pm.
Again, I suggest not referring to a specific amount. Instead refer to minimum amounts so that
the management team can adjust the fee as is necessary.
The plans for the parking garage filed with the City of Los Angeles on 10/8/2000 allows for 302
single vehicle parking spaces 2 but no tandem spaces which makes sense since none of the
parking spaces in the garage are accessible from more than 1 side and we do not have a 24
hour parking attendant. Thus, since the parking garage was neither designed nor approved for
multi-vehicle parking in the same space, amending the rules to allow for it would be contrary to
law and subject the HOA to yet more fines and lawsuits. Further, CCR 2.8.2 defines an
''authorized vehicle" as a single vehicle 3 using the preposition "a" to announce a singularity and
specifying the type of vehicle that is allowed. Finally, at least arguably, such a proposed rule
change would be contrary to the purpose set forth in our articles of incorporation since such a
change has the effect of decreasing property values.
I suggest that you add that a vehicle cannot cover or conceal any marker which solves 2
problems. First, vehicles that cover the number marker and second vehicles that are longer
than the lines of their parking spaces. As a quick aside, the length and width of a standard and
compact parking space varies from state to state and from country to country, but the specific
width and length of our parking spaces are set forth in the plans on file with the city. I am
simply assuming that the lines painted on the garage floor are consistent with those
measurements, but they may not be.
Accessible Standard Compact Total

5th Floor 1 36 22 59
4 th Floor 1 36 25 62
3rd Floor 1 36 25 62
2nd Floor 1 36 25 62
Ground Floor 3 30 24 57
3
2.8.2 Authorized Vehicle.
An "Authorized Vehicle" is an automobile, a passenger van designed to
accommodate ten (10) or fewer people, a motorcycle, or a pickup truck
having a manufacturer's rating or payload capacity of one (1) ton or less.
(Emphasis Added)
I.
11.8
I suggest that you remove the term "Humane Society" because you are limiting yourself to a.
specific organization who will probably not t~ke the animal from you anyway. Instead use "City
of Los Angeles Department of Animal Services" or if you like a more generic term such as
"appropriate governmental agency".
11.9
I suggest that you remove the reference to 10pm for the reasons set forth previously.
You are not being clear as to whether you are requiring a clause to this effect to be in the lease.
12.2
I understand your meaning but the rule is not clear. You must state that the lease must contain
a clause such that any vlolatlon of the governrng documents is "a material breach of the lease
agreement" and if you really want to get tough add that such a breach constitutes a "recession"
of the lease agreement.
I suggest that you add that the management team has the right to cut-off or otherwise remove
unauthorized lock boxes without prior notice to the listing agent.
I suggest that you be more clear that the parking spots are to be used for parking and not as a
staging area (notwithstanding 14.2) for work tb be performed. Likewise, the loading dock may
not be used as a staging area for work.4
4
This prevents claims that the HOA provided an "unsa~e working environment".
Also, I suggest that you add a new rule (somewhere) that states that nobody can block the
loading dock with an unattended vehicle unless they have previously reserved the spot for that
date/time with the management team.
Incomplete sentence.
When I see things like this; the failure to date the notice of proposed rule changes so as to start
the thirty (30) day clock to object; and suggesting rule changes that clearly conflict with the
CCR' s, I really start to question the competency of the people who are attempting to effectuate
these rule changes.
Good. I think it is important to note that our property is zoned light industrial and
residentlal/business (floors 2-6) and commercial (ground floor) use is permitted pursuant to an
AdaptiYe Reuse Ordinance so long as certain conditions continue to be met. 5 One condition is
that the loading dock and freight elevator be maintained in working order and made reasonably
available to all occupants. It has always been my opinion that the current policy allowing a
single occupant to monopolize the freight elevator for hours on end, especially on a Saturday
when most occupants have free time available, constituted a "denial of service", and although I
myself found that policy inconvenient, I made no official complaint. I am pleased to see this
change in policy put into the new rules.
17.1
The term "all other" is vague.
17.5
I suggest that you add that oversized trash (couch, furniture) maybe subject to an additional fee
for disposal and our management team should be notified in advance of any such disposal.
s For example, the minimum square footage of a unit is at least 450 sq ft so long as the average unit size is 750sq ft
or more. For example, so long as at least 30% of the square footage of a unit is used for residential purposes, up to
100% of t he remaining 70% maybe used for business purposes, etc.
I suggest that you add that such debris maybe subject to an additional fee for disposal and our
management team should be notified in advance of any such disposal.
18.l
I suggest you specifically add "window tinting" .
FORMS ATTACHED TO THE END OF THE PROPOSED RULES & REGS
Forms should be identified by name and use, but not attached to the rules and regs unless they
can be made to not include information that may change in the future such as the name of the
current management company, phone numbers, etc.
Respectfully submitted on February 28, 2016
7 ~
Grant Beuchel
USPS FIRST CLASS MAIL®
Grant Beuchet
420 S. San Pedro Street Apl 311
0005
Los Angeles CA 90013
I C031
SHIP Little Tokyo Lofts
TO:
600 WIishire Blvd, Suite 1660
Los Angeles CA 90017-3228
Il,l,, II,,, II,,,,,, 111,,, I,, II,,, I, I,, 1,11, ,I, ,,,llll,,, I,,, II
USPS TRA KING #
1111 1111 I I 111

9400 1169 0113 836 5473 73
EXHIBIT "I"
Grant E. Beuchel
420 S. San Pedro Street #3 l l
(661) 428-7365
September 13, 2012
Beaumont, G1tlrn & Tash_pan

21650 Oxnard Street ii 1620
Dear Ms. Tashjian,
I am in receipt of vour letter of this date which 1 received by email.
I thought I made it clear in my letter of August 31, 2012 that tbe obligation to disclose
Ii<.;~ with you and not the board. J 1.,ited in that lener the following:
Rules of Professional Conduct 3-500, 3-700, 3-1 l 0

Business & ProfessJons Code Section 6068(m)
la Jolla vs Cove MoteL 1~1 Cal App 4th 773 (2004
Forreth vs Baeza 58 Cctl Ap 4tJi 65 ( 1997)
Jacuzzi vs. Jacob Bros 218 Cal App 2nd 24 ( 1963)
Sincerely,
..,.//
.;:_ .,.
7'-· ¥-
,. · c-- -. --._ -
··Crant Beuchel
Owner of umt #3 11
EXHIBIT ''J''
Grant E. Beuchel
Los Angeles. California 90013
(661) 428-7365
September 14, 2012
Kolesky Mancici Feldman & Morrow

Central Plaza
3460 Wilshire Blvd 8FL
Attention: Karen Cox
Dear Ms. Cox.
This letter will confirm our telephone conversation of a week ago wherein I suggested
that you \Hite a letter to Lisa Tashjian of the law firm of Beaumont, Gitlin & Tashjian
21650 Oxnard Street # 1620 Woodland Hills, California 91367 and ask Ms. Tashjian if
she was in possession of:
I. Any information that would exculpate or exonerate the Linle Tokyo Loft
Community Association in the Wiseman case; and/or
2 . Any information that would tend to raise defenses on behalf of the association in
that case.
I also suggested that ""hatever answer Ms. Tashian gave you, that you make certain it was
in writing such that nobody can later claim anything to the contrary.
I also told you in our telephone conversation that I had contacted the State Bar ethics
hotline and explained a situation and that they gave me some citations that I forwarded to
Ms. Tashjian. These citations are as follows:

La Jolla vs. Cove MoteL 121 Cal App 4th 773 (2004
Forreth vs. Baeza 58 Cal Ap 4 th 65 (1997)
Ms. Tashjian contacted me yesterday by email and stated ··I assure you that I am
following all of my ethical duties and obligations" and I ta.kc her at her word.
To be honest, I [eel that I should not be obligated to insert myself into this situation, but
until I contacted you, all of the parties (the HOA board, Ms. Tashjian, etc.) appear to be
putting their own interests first and the entity that they supposedly represent (U1e IIOA)
second, and I want the HOA to be covered in the event that the Wiseman case exceeds
policy limits. I believe I have done all I can do in this regard because if the case does
exceed policy limits I believe that the IIOA is covered by:
1. Civil Code 1365 .7(4)(b) and/or

2. The law firm of Beaumont, Gitlin & Tashjian and/or
3. The lavv firm of Kolesky Mancici Feldman & Morrow
Finally, I hope you understand that if the Wiseman case were to go to trial and, for
example. a judgment of 3 million dollars were to be awarded, I would be financially
ruined and so would many other owners at the Little Tokyo Lofts. I have done all I can
do and you will not hear from me again in this regard.
Sincerely.
Grant Beuchel
Owner of unit #311
Cc: Lisa Tashjian

EXHIBIT "K"
Grant E. Beuchel
(661) 428-7365
August 3, 2013
TO: Home Owners Association: Little Tokyo Lofts and to each member individually:
Pursuant to Civil Code Section 1363(e). I hereby demand to review and inspect the
following records:
1) Any minutes from a general board meeting that discusses in whole or in part the
matter of Wiseman vs. Little Tokyo, LASC Case No. BC485658 (hereinafter
referred to as "the Wiseman case.";
2) Any settlement agreements and/or releases prepared in the Wiseman case;
3) Any interrogatories and/or responses thereto prepared in connection to the
Wiseman case;
4) Any deposition transcripts prepared in connection with the Wiseman case;
5) Any medical records proffered in the Wiseman case relating to either of the
claimant/plaintiffs.
Alternatively, you may forward the records to me in a PDF file or on a CD (as is the case
with deposition transcripts) if it is easier for you to do so. Otherwise, just follow the
code.
Sincerely,
Grant Beuchel
Owner Unit #311
Little Tokyo Lofts
EXHIBIT "L"
HICKEY & PETCHUL, LLl'
Dl\id E, 111<1.n
Dirk E Ptttbal
ATTOR'-EYS AT L ~"" "~" HPlall . Dtt
Dtaln D. l&<r 114 PACIFICA. Sl. ITE 340

DI\ Id A . l\' anl.rl
IRYl"E• CALIFORNIA 92618
Cbr1Stopbcr J. Bonl.owsl.1
J ■ soa M . Fadrlni TELEPH01'E (949) 727-1 777
\\ llliilru P. Rlt~t1 • FACSIMILE (949) 727-1797
•of C'ouaul
~o,·ember 21. 2013
Grant E. Beuchel VIA CERTIFIED MAIL

420 South San Pedro Street. #311 RETURN RECEIPT REOVESTED
Los Angeles, CA 90013 AND U.S. MAIL
Re: Little Tok) o Lofts Community Association
Subject: Alternative Dispute Resolution

Response to Correspondence of No\'ember 11, 2013
Dear !v1r. Beuchel:
As you know, this firm 1s legal counsel for the Little Tokyo Lofts Community
Association ("Association"). At the direction of the Association·s Board of Directors, I am
responding to your letter of ~o\.'ember 11. 2013.
Your letter states that you suggest that mediation is premature. However, the title of
your October 4, 2013 correspondence is "Request for Alternative Dispute Resolution:·
Although you do not specifically cite the relevant statutes, requests for Alternative Dispute
Resolution ("ADR") with associations are governed by Civil Code § 1369.5 I 0. et seq. In that
regard. the Association accepted your request. AdditionaUy. as the method of ADR is to be
approved b) both parties. the Association elects to participate m mediation but not arbitration.
Thus. my pnor correspondence indicated that mediation through Judicate West was to be
coordinated.
Your letter of No\'ember 11, 2013 suggests that mediation is premature. By this
statement. the Association requests that you either confirm your request for ADR or withdraw
your prior request. 1 Your specific allegations were not addressed in my response to your
request for ADR as you indicated that you desired to resolve the disputes through ADR. not
1
The procedure you describe wherein two tndividuals meet to discuss the issues IS referred to as Informal (or
lnternal) Dispute Resolution ("'IDR"). If you are requesting this procedure rather than ADR under the Civil
Code. please notify this office at your earliest convenience.
LmleTokyoLofi:,;,'Bew:h.,VADRClarifica11ou 112113
Mr. Beuchel
November 21, 2013
Pae 2
through vnitten communications. Therefore, if AD R remains your preferTed method of

dispute resolution, the specific issues described in your October 4. 2013 letter will be
discussed and resolved at that mediation hearing. If you prefer to utilize some other
procedure, please withdraw your request for ADR in \\Titing and clearly explain the procedure
you desire to use for discussion and resolution. The Association will consider your preferred
procedure.
As you likely know. as a result of the Association's acceptance of your Request for
Resolution. pursuant to Civil Code §1369.540, the mediation must be completed on or before
February 3, 2014. Until we are notified in writing otherwise, the Association will proceed
with the selection and scheduling of a neutral to conduct the mediation. Therefore, your
attention to this matter is appreciated.
If you have any questions or comments regarding the contents of this correspondence,
they may be addressed to this office.
Very truly yours,
DAW:sk
cc: Board of Directors
LtttleTokyoLofts·13eucheL ADRC"lanficat,on'l 12113

EXHIBIT "F"
YEAR 2009 - 2012
References are to the original rules & regulations as these violations did occur prior to the
purported revised rules & regulations being enacted
Vehicle Repair
Gasoline can containing gasoline in a cardboard box

Excessive oil leaks and stains
..
Vehicles parked in non parking space leaking oil
CCR 2.8.2
..
>
~I
- --
•
lln n
I - t
,
t-
--~
·.~ . ~ ·-
}
\
.
\
J_
•
•
: l .2 ,•\ll U\~1w,,. ,,,,r.,1 r.:n: thc,r Ur.it, ~>.~l c:di.nit the :i"ru~·:. ~~id ~ontact ;,1.orubc-r:s fo:
!he11 l1.::i:I!'lt!i" Iv 1:c 1:1.,n!lf;Cll1~:1t Cct:'lp;1ny fo: lh..: pt •;i.:~t
, , ., ,\ny n:ntl'! c: !~:?:;~ :ib ... .:r.1..:n: :,h..1:io:i.a \\: it int, ~:1,:ll p:u\ id•: th.:.t tre k.t: e t•:
r: n:.. i :, ,u··Je~~ :c ·h..: ,o•,c~::1.; docu:1~cn:~ :in-.! s:".311 p:o..-:dc tha.t .my fa:i1Jre to
:t•::~;,l) w ith .i~:.- p:<.J\l :c:1 <•f :h.: :_:.>\c:mr.~ ctoc:.:.n1c11; ~h:'111 ~ .1 dcht:I; under
: 1c :li!:r:,.., \•[Uic !c·-• ~ ~. rc- .. :nc:1t
I! ,\ co..-,) ,.,(11:: g,,vc:n:q; dnd1;r,c:n:·,. rr.clu.':11~ tr.·: Rule\ :l.1hi Rcg:.i:l't or,s. s:1.l!l !>.:
;·:o . iJ•:d by :h.: o,,~1~r to c.:, !l :;:1 a: c: .c,.-::~ \\'n~tr.: n pn:ol ·h.,t i.m:h stem~
,~-:ri: :11,,•: .J.:.; .·11J 1r:1,;J !' r oy 1: c ::r..:1r,• :,l,a l b~ Jc:: •:c:.:d :o :h..: h.:H:t:i:
: l.~ . ·1 ;,c o,~nc: :-.di :'0; ·,•.·:,rd :.!1 C:\.CC'.!td :or~ <>I~ ,e.1~c ll' t:-.c liullilini n,anegc:ni::nt
\,Jth th: :i!lcp:1..):i~ :!11:nbcr :,d ~ll~c! :i .. JtcSi Nth.: r;:.s.; lc=it Owner.
:I i r:.c 0,,.1.: ~ ,lull, ,1: .ill 1imt'~, be re.<-po:-sib:c for thC'ir t~ll.l.O!:; ur lc,s-:c·s a:1.!
:heir .,.:~.,ts i:ompl:.u:~c "ith ~II oi' :b:: p;c,, 1~io:1s of ti:c Dc:cl~a,1on ind t,l)~
.{uks .u: ... Rcsa!~~:o~.:..
: ~~~
I
I~
I ~,,,,..
I
I
I
I
I
EXHIBIT "G"
Grant E. Beuchel
(661) 428-7365
August 14, 2012

Dear Ms. Tashjian,
I am in receipt of your letter of August 10, 2012 which I received on August 13, 2012 and
thank you for the same.
In your letter you suggested that the photographs I submitted to Donna Barrett were
"false and misleading", yet you cited no particular reason why this is the case, so I have
to assume that this abstruse lawyer speak is without any merit at all. While words alone
may be deceiving, it is said that a "picture paints a thousand words" meaning that a
visualization is generally more accurate than a verbal description.
Ms. Barrett complemented me stating that she does not usually find an owner willing to
take the time and effort to point out conditions that could be remedied in order to avoid a
potential insurance claim. I believe the two different views regarding my conduct speak
volumes about the opinor. (i.e., board vs. insurance agent) I think what really happened
is that the board got their feelings hurt because although they are under an affirmative
duty to inspect and remove dangerous conditions, in fact, a nudge was required by an
owner to get them to do their job.
Further, since my actions, the board has remedied many of the conditions I described; the
common area garage is looking a lot better as a result; and I have received several
compliments from other owners for my efforts. Your suggestion that I was motivated by
"good intentions" is not exactly accurate. I was motivated by self-preservation as I have
invested in the LTL community.
You also suggested that I take up these matters through '·proper venues", but the truth is
that I have spent the past 2 years pursuing those venues regarding the failure of our board
to enforce the governing doc' s (i.e., CCR's, Rules & Regs, etc) all to no avail. I have
written letters, sent emails, engaged in phone calls, and have sat down with 4 different
board members "one-on-one", but none of that seems to work. The board just doesn' t
seem to understand that they are personally responsible for damages to an owner caused
by their failure to enforce the governing docs. It is not my place to provide any sort of
legal advice, but gosh, somebody ought to. If you really want to do the board a favor you
might suggest to them (as I have done) that they take some sort of class that explains to
them their obligations to me and every other owner here at LTL, and the ramifications of
their failure to meet those obligations.
In any event, a couple of months ago, I took it upon myself to document by way of
photographs all of the violations here at the Little Tokyo Lofts and am in the process of
writing yet another letter to the board. The photographs I sent to Ms. Barrett are a very
small subset of the photographs I have compiled. If I took the time to point out all of the
violations I would never have the time to finish this letter to you, but I feel I should take a
moment to point out just a few.
This is just one of many example of owners and/or

tenants parking a vehicle someplace that is not
designated as an authorized parking spot. The relevant
violations are footnoted. 1 My question to you Ms.
Tashjian, is if the HOA were to suffer an insured peril,
would not the owner of this vehicle be making a claim for damages to his vehicle that
should have not been in the garage in the first place? The fact is, without my agreement,
and contrary to the governing doc's, I and every other owner at LTL are insuring those
vehicles, and although I cannot speak for every other owner, as to myself, I do not
appreciate taking on a risk that I never agreed to accept.
1
28.4 Parking Restrictions.
(a) Parking. All vehicles owned or operated by or under
the control of an Owner or a resident of an Owner's
Condominium and kept in the Community must be
parked in the Owner's assi ned arking s ac in the
Parking Garage.
Rules & Regs 9.1. Any Vehicle that is parked so as. to impede the- normal flow of traffic, block, access
of other residents'- parking, or obstruct access by. Fire Department or other emergency vehicles shall be
towed, immediately and without notice at: the violator's expense.
-
Similarly, here (above) I am talcing on the risk of insuring 2 vehicles when the agreement
(according to the governing doc' s) is that I pay my share to insure I vehicle per
authorized parking spot. We have a few of these instances also.
159 owners are complying with the rule that states that window treatments must be color
white2 ( or thereabouts) but for the last 2 years that I have been at LTL, 2 owners feel
there is no need to comply with this regulation, and the board has not done their job in
enforcing this and many other rules. I ask you Ms. Tashjian, isn' t it obvious that in
regards to this violation that the whole building - every owner and every unit - suffers a
loss of value as a result of these 2 violations?
Owners are not permitted to mount anything on the exterior of their unit3, yet this owner
mounted a camera outside their unit down by the pool area. I cannot imagine the impact
2 ;Section 17. Window Coverings

. I-7 .. 1. To enhance the appearance. of the building, curtains, drapes, shutters, blinds, and
other window materials subject to view from the exterior shall be restricted as to
the color of the side exposed to the exterior. Only window coverings and
materials, which have a white; off-white: -.or neutral color are Allowed and
approved.
3
CC&R 1. 1.45
Grant E. Beuchel
(661) 428-7365
August 31, 2012

Dear Ms. Tashjian,
Two things ..... .
First, when the board does not enforce the rules, things have a tendency to escalate and
this is what you get.
Second, I contacted the State Bar ethics hotline and asked if an attorney representing a
corporate defendant was ethically required to forward information to a different attorney
representing the same client in a different civil matter if the information had a tendency
to exculpate, exonerate or raise defenses in that other case. According to the State Bar,
the attorney's duty of loyalty to the client requires that the information be forwarded, and
to the extent that the attorney is forbidden for any reason from forwarding the
information, then the attorney' s only option is to withdraw.
The State Bar referenced 3 rules of professional conduct, 3 court cases, and one state bar
opinion and one code section as follows:
La Jolla vs. Cove Motel, 121 Cal App 4th 773 (2004
Forreth vs. Baeza 58 Cal Ap 4th 65 (1997)
Govern yourself accordingly.
Sincerely,
Grant Beuchel
Owner of unit #3 11
Cc: Richard Monsoon

Condo Properties
this camera, at the pool area no less, has on new or existing sale prices of units at the
LIL.
In defense of the board, they did talk to this owner who essentially stated that he was not
going to remove the camera, and time will tell if the board members will actually do their
job and fine this individual 4 or take other appropriate action, or if they will simply ignore
the violation as they do so many other violations.
This is the last example I will show you of violations, but

there are many, many more. My question to you Ms. Tashjian is who is going to pay the
damages if somebody slips or trips over one of these doormats and injures themselves?
Me? All the owners? Further, doesn't every owner suffer from a loss of value to their
unit and respective share of LTL when somebody puts a nameplate on their door in
violation of the governing doc's or violates governing docs generally? Heck, the whole
purpose of the board is to have a governing body responsible for enforcing the governing
docs, but it seems to me that these very nice people have somehow invented their own
job description which provides that the governing docs are somehow suggestive and not
mandatory.
These violations have been going on during the 2 years I have lived at the LT lofts and no
matter what letters I write or who I call or who I email or who I talk to, these violations
continue and I along with every other owner is accepting risk(s) that we never agreed to
accept when we signed our purchase agreements.
Now I hope I am not boring you, but I am leading up to a point. I am just not sure how
best to lead into it. For the past 2 years I have been saying (letters, emails, etc.) that the
4
The board has the authority to fine owners who fail to comply with the governing documents. Civil Code
Section 1363(g)
board needs to start enforcing the governing doc's "before something happens·', but the
problem is that it is to late to say that now because something has happened.
I, and every other owner, find themselves involved with a case 5 that is pending in a court
of unlimited jurisdiction, with a liability insurance policy limited to 1 million dollars.
Now, you can tell me until you are blue in the face that (a) it is a no liability case or (b)
that damages will never exceed 1 million dollars or (c) make up an attorney speak excuse
of your own, but the fact remains that it can go over 1 million dollars and it happens all
the time. I myself was hit with "my share" of 6.2 million dollars6 within the last 6
months - a case that could have been settled for 375k but wasn't- my share being about
$650 since we have 9500 members, but in the LTL situation it will be my share of 1 in
161. Further, even ifl can pay my LTL share exceeding 1 million dollars, if that were to
occur, many owners will not be able to pay their share and that is just as bad for me for
reasons I am sure you understand.
So here is the problem. We have 2 governing doc violations that appear to have
contributed to the occurrence of the Wiseman case.
First is the boards failure to enforce the 1 dog or 1 cat rule7. The claimant had 2 dogs and
the claim involves injuries involving one of those 2 dogs. I don't need to ever ask the
question if the dog involved was the "first" dog vs. the "second" dog, because the fact is
that by allowing 2 dogs, the board doubled my chances of this type of claim occurring.
In aggravation, 2 board members have violated this rule themselves by having 2 dogs. I
have nothing against dogs. I have a dog myself and would like a second dog, but I did
not get a second dog because I try to follow the rules whether the board enforces them or
not.
Second, is the boards failure to enforce the various subsections Section 11 8 of the rules
and regs which I have set forth below for your ease of reference. Considering all the
problems the board has had with tenants, you would think they would want to enforce
these Section 11 rules if for no other reason to make their jobs easier, but as to so many
rules, the board ignores enforcement. For example, I just noticed when looking at
Section 11 while writing this letter to you that no more than 6 units may be rented at a
time, yet I personally know of at least 9 units being rented, and I know very few people in
the community.
My opinion, and I think any reasonable person would agree, is that the failure to enforce
these rules in section 11 also contributed to the Wiseman occurrence. I want you to know
that as individuals I like the board members very much. They are good neighbors and
s Wiseman vs. Little Tokyo, LASC Case No. BC485658

6
http://business-bankruptcies.com/cases/intemational-union-of-operating-engineers-local
7 CC&R's Section 29 Animal Regulations
88 I am not going to take the time to discuss each subsection; how the section was violated; and how that
violation contributed to the causation of Wiseman. You are an attorney and should be able to do that
analysis yourself.
good people, but as a governing body I find their acts and omissions to act as placing me
and every other owner at unnecessary risk - - a risk that has come to fruition in Wiseman.
, u."tion 1 t. Rental of Rc.sidtntial Condominiurns
I : .1. An O\vner sh.all ~ t;:'1lillcd to rc.f)t the Owner's residential Uuit subject to tb.e
foltowmg _guidelines.
11.2. AJ Own~~ Who ten~ their Units sb.1U rubmit the nat.Ue-s ...nd contact nurubus for
tht:ir tenants to the m1-mug '1tem company for lhc project.
l 1.3. Any rcn1al or lease agrecm.:.:n shall ti;; .in writing. :')tlal.l prov.td~ Jial the, l~a~ or
a;ntai JS subject ro the governing docwne-m.s and shall provide that any fail~ to
~ompl) with uny pro'"~sion of the gO'-'tming d<><;wncnts shall be a dcfautt untlet
!he term.s of tile lcs~ agreement. ·
1 l.4 . A copy of d1t governing <:l~roent$, indu£ng the Rules aud Regulations, !.hall he
pro\·idcd by the Owner to eac.:h te'lont or .esscc. Written proof that ~uch, rtcms
werl.! pnwide.cl and si~11ed for by tltc: !~r.ant sbull be deliv~t¢d o the building
managcinenL
11.5. T'::ie O\.l;nt:r :ib,ul fonvard a.ti executed CQP~' of a leat.c tu the b4ihlit_\g manu.gemtn1
Wllh the tclcphout nu;.nber and :;,11~et itdtfress of the Jesickot Owner.
·l 1.6. Owr.cr sna'l bo Hable for violruiOtls of the Rules nnd Regulations by uch Owner's
tcnam.
l 1.7. 1 le Owne.:s sha:ll. at all tiint£-, be respor.sible for their te.Tinnt's or lessee's au.d
thoi1 gues+.s compliunce with all of tbt p:oyision of the D~lararioo and the-
• ules .l.lld Rc:s~il.:tiou.-...
l 1.8. Lessees hove no votitl.£ ri bts in he Assocwtion.

11 .9. No O'i ruer mn, lea;.~ a Condominium i.ituntcd thereon for t.otel. motel or 1ransi~nr
?·;rposes. No cnodornirium shr-J.I be leased fo: n term l~ss we. tinny days.
11.1 o. The Bomd JUay requite a tenant to deJ5ver 10 the As:i-ociatfon a security depo:;it, iu :
~n nmouut :stablish.eel by the Boatd, fr.om tir.-:e to- tinie. as scei;rity !or the cost of
cldaning vr rcpclring d.iwage h.1 tho common t1rea. ·
11 11. UsJ prj-\.il~gi:'.s for ameuities auc common area tia.usfcr to the lessee .or. te~~-
Owr:c:r shall bavc nu p,ccson:;I us;,, pri.vileges upon !easing om lhe Unit unless
pnysically rcsu:tiug therein as thetr priniury ~idcnct.
1 ! .12. No more thl!ll 6 w•its in th~ building may be l~cd at one time.
l l.13 No 1m1t m3y be teased during the fust y.c:ar tollowu1g purchase by original O\\"nCF.
So here is the ethical dilemma for you Ms. Tashjian. On the one hand your client is the
HOA as a corporate entity. I am one owner that makes up 11161th of that entity. You do
not represent the board per se, but you may feel a loyalty to them since, after all, it is
through their good graces that your firm receives legal work and gets paid for it. Now
consider California Civil Code Section § 1365.7 which holds board members personally
responsible to owners for damages caused by their failure 9 to enforce the governing docs.
We have 2 sections of the governing docs that were not enforced and appear to have
contributed to the Wiseman occurrence 1°. If the board members are in the case as cross-
defendants, then the HOA would have insurance not just from their liability carrier
(Landmark) but would have additional coverage from the boards E&O policy (Travelers)
- - essentially doubling the policy limits from one million dollars to two million dollars.
Plus the owner of the unit (I believe #215) who rented to the claimant/Plaintiff did not
follow various subsections of section 11 of the rules & regs; appears to also be a
contributing factor in causation; and may also have additional coverage as well -
although I personally doubt it.
Isn't it your duty to protect the HOA as a corporate entity and not the board members as
individuals? I believe you are ethically charged to forward the information provided to
you in this letter' 1 to the attorney handling the Wiseman liability case and allow that
attorney the ability to decide how he or she wants to handle the case. If you are reading
this letter it is because somebody in your firm signed for its receipt, so "charged with the
knowledge" you are.
In closing, let me say that the board is comprised of individuals who "come and go" as
their terms renew or expire or they move on for personal reasons. As individuals, the
various board are comprised of very nice people, but if ever there was a group that was
"well intentioned" but whose actions can and have led to troubles it is the board and not
myself as you have suggested in your letter. You have suggested that I am not the
insured, but in fact, I am one of 161 owners that is insured by the Landmark policy and I
am 1 of 161 owners who will pay out of my pocket for damages exceeding policy limits,
so to say that I have no interest in the policy is, frankly, ridiculous. At the very least I
should be considered a "third-party beneficiary" of the policy which makes me an
interested party.
If you really want to do the board members a favor, you will emphasize their potential
liability for failing to do their job, albeit for free, and suggest to them (as I have done)
that they take some sort of class or seminar that teaches them their obligations to me and
9
(I) The act or omission was performed within the scope of the officer's or director's association duties ; (2) The
act or omission was performed in good faith; (3) The act or omission was not willful, wanton, or grossly
negligent.
10 You and the board can try to disagree with this statement, and no doubt you will try, but it is not your
decision. It is the decision of the attorney assigned by Landmark to defend the HOA in the Wiseman
liability case.
11
Not information regarding policy limits, but everything else.
every other owner of a unit at LTL. I am sure you know more about condo law than I
will ever know, but from my research I can only find 2 things that the board is really
required to do. First, enforce the governing docs. Second, make decisions that are in the
best interest of all owners as a whole. To the extent that the board feels that certain rules
are unwelcome, there is a process where they can take steps to change the rule, but until
that is done they must enforce the rules currently in effect. I really don' t have the history
here at LTL to understand how things got so out of hand, but your intervention might be
of help, and frankly your efforts in this regard would probably have a better impact than
sending me pointless and futile threatening letters.
Sincerely,
Grant Beuchel
Owner of unit #311
Cc: Richard Monsoon

Condo Properties
EXHIBIT "H"
DATE: FEBRUARY 2016
TO: HOMEOWNERS
FROM: TIFFANY MCCALL, COMMUNITY MANAGER
RE: CHANGE TO ASSOClATION RULES AND REGULATIONS
Pursuant 10 Civil Code §4360, the Board of Directors will be considering the proposed operating rule changes at the Board
of Directors meeting to be held at the 420 S. San Pedro Street, Los Angeles, CA on March 24, 2016 at 8:30 p.m. lfyou
wish to make any written comments on the proposed operating rule changes, please indicate your comments in the space
designated below and return it to management's office so it can be deliver«! to the Board prior lo the Board Meeting.
AJtematively, if you can attend the Board Meeting, your constructive comments will be considered by the Board of
Directors prior to its making a decision on the proposed rule change. Any and all comments made at the Board Meeting
will be subject to the standing rules of the Board related to member comments at Board mee1ings.
❖ The proposed rule changes are enclosed for your review.
❖ The purpose and effect of the rule change: Complete restatement to provide homeowners with a better
understanding and remove any ambiguity.
❖ Member Comments: If you wish to provide written comment, please indicate your comments in the ~pace
designated below and return this fonn to Little Tokyo Lofts, c/o Action Property Management, 600 Wilshire
Blvd. Suite 1660, Los Angeles, CA 90017. Please date, identify your property address, print your name and sign
this fonn. Anonymous/unsigned comments will not be considered.
1/We comment on the proposed operating rule change as follows: S~ f. l- z. T"f7 t'l ftr,'Ac,1-1-$ ·,)
:;: tv Co fl. f'o J'L ~ D
Date: :1. - J_ B - / ~ Property Address I Unit:_ _ _ 3_/_/_______
Owner Printed Name
Owner Printed Name Signature
Professionally Managed By Action Property Management, Inc.

600 lt"ilshire Blvd, Suite 1660, Los Angeles, CA 9001 7
(800) 400 - 2284 (949) 450- 0103 fax
www.LIUleTokyoLoftsDowntown.com
Grant Beuchel
(661) 428-7365
February 28, 2016
little Tokyo Lofts
600 Wilshire Blvd, Suite 1660
Los Angeles, California
GENERAL OBJECTION TO NOTICE OF PROPOSED RULE CHANGES
That portion of the California Civil Code relating to Common Interest Developments gives the
owners thirty (30) days to object, comment or otherwise respond to proposed rule changes
made pursuant to Section 4360(a). The notice of proposed rule changes is dated "FEBRUARY
2016" so there Is no way for an owner to calculate when the 30 day period begins and ends
with accuracy and thus puts the owner in an onerous position of hastily responding to the
notice of proposed rule changes for fear his responses will be untimely. I object to what is
essentially an undated notice in whole and assert that no adequate notice was given and is thus
void. Without waiving said objections, Grant Beuchel as the owner of unit #311 responds,
comments and objects to the proposed rule changes as follows:
THE MANAGEMENT COMPANY
Amended rules should refer generically to the "designated management company" and give
instructions to the reader as to how to identify and contact that management company. It ls a
mistake to identify any particular management company because if this board or a future board
decides to use a different company then the rules become inaccurate and are difficult, time-
consuming and costly to amend again . Likewise, a specific phone number should not be used
as it may change in the future and, as the board is probably now very aware, modifying the
rules is an arduous and time consuming task. Thus, it behooves the board to create rules that
will "stand the test of time". Management companies often suggest such additions so as to
secure their future role as the property management team. Further, a good management
company would almost immediately secure from every owner/occupant a signed form
acknowledging their understanding as to who is managing the property and who to contact in
an emergency situation and the procedure therefore.
GENERAL INFORMATION
As stated above, the rules should generically refer to a designated management company and
give instructions to the reader as to how to identify and contact that management company,
their phone number, etc., such that if the management company changes that the rules need
not be modified to bring them up to date.
Also, under #4 please be advised that some owners who rent to semi-transient occupants
(occupants of a couple of weeks or a couple of months) use a cell phone and transfer it from
one occupant to the next to avoid the need for an FOB.
Also, under #7 I suggest you not specify a $50 fee as that fee may increase in the future. If you
really want a specific amount in the rules I suggest that it read "a minimum cost of $50".
EMERGENCY CALLS
Again, I suggest that you not specify a number th t may change in the future. Also, the board
should not be relying solely on the rules and regs o inform owners what number to call in an
emergency. A good management team would ha e already taken steps to secure in writing,
signed by the owner, proof that they were inform d who to call in an emergency and that they
had instructions on how to contact our 24 hour sl urity team.
I have no objection to the attorney fee clause in proposed rule 3.3, but bring to the boards
attention that California Civil Code Section 1717 makes such provisions reciprocal1 and thus the
board may one day find itself on the wrong end of such a provision .
I suggest that you add a rule either to 5.1 or as a new 5.2 that requires every owner, or an
owners tenant, or any guest thereof, to identify themselves and their unit number to our
security team when asked to do so. I believe that a failure to identify yourself to security often
creates an inordinate amount of work on board members, security and the management team
to make such an identification when it becomes necessary.
Good rule and hopefully will begin to be enforced . I suggest that the board recognize that
anything seen outside the unit in a common area is not permitted and note that some
occupants are putting some sort of cloth border under their door which can be seen from the
common corridor. I don' t know if this is to prevent bugs or air from entering under the door,
but in either case this can be accomplished from inside the unit without the need for it being
seen from a common area corridor.
Modern rules now include the term " Hover board" .
Since liability carriers generally do not permit smoking In garage areas, prudence demands that
the board :
1
Section 1717(a) states In any action on a contract, where the contract specifically provides that
attorney's fees and costs, which are incurred to enforce that contract, shall be awarded either to one of
t he parties or to the prevailing party, then the party who is determined to be the party prevailing on the
contract, whether he or she is the party specified In the contract or not, shall be entitled to reasonable
attorney's fees in addit ion to other costs. ·
a) Obtain from our current liability carrier (the actual company not the company's agent) a
letter stating that they have no objection to this rule change and that it will not result in
any increase of premium; and
b) Obtain from our insurance agent a letter stating that in the event we lose coverage with
our current liability carrier that a substantial market exists with other companies to
obtain similar and adequate cov~rage.
Also, smoking should not be permitted inside the dog run because damage could occur to the
artificial grass.
An owner may have exclusive use of a balcony but it is still a "common area" and t he board has
more authority than it is giving itself under th is this proposed rule. I suggest you add language
that gives the board authority to order other things removed from a balcony that are
dangerous, abusive, abhorrent, repugnant or otherwise have a tendency to lower the value of
the property and/or affect the peaceful enjoyment of the property by others.
7.4
I suggest that you remove the " lOpm" reference because you infer that an owner can be a
nuisance to his neighbors before that time. Generally speaking, if something can be heard
outside of an owners unit it is not reasonable regardless of whether it is before or after 10pm.
The 10pm rule is used by the police for apartment houses and the general public because they
do not have any enforceable rules regarding noise. We are not an apartment house. We are a
"common interest development" and hold ourselves to a higher standard. The board is going in
the direction or creating an owner defense that his conduct was not unreasonable because the
alleged undesirable conduct occurred before 10pm.
Again, I suggest not referring to a specific amount. Instead refer to minimum amounts so that
the management team can adjust the fee as is necessary.
The plans for the parking garage filed with the City of Los Angeles on 10/8/2000 allows for 302
single vehicle parking spaces 2 but no tandem spaces which makes sense since none of the
parking spaces in the garage are accessible from more than 1 side and we do not have a 24
hour parking attendant. Thus, since the parking garage was neither designed nor approved for
multi-vehicle parking in the same space, amending the rules to allow for it would be contrary to
law and subject the HOA to yet more fines and lawsuits. Further, CCR 2.8.2 defines an
''authorized vehicle" as a single vehicle 3 using the preposition "a" to announce a singularity and
specifying the type of vehicle that is allowed. Finally, at least arguably, such a proposed rule
change would be contrary to the purpose set forth in our articles of incorporation since such a
change has the effect of decreasing property values.
I suggest that you add that a vehicle cannot cover or conceal any marker which solves 2
problems. First, vehicles that cover the number marker and second vehicles that are longer
than the lines of their parking spaces. As a quick aside, the length and width of a standard and
compact parking space varies from state to state and from country to country, but the specific
width and length of our parking spaces are set forth in the plans on file with the city. I am
simply assuming that the lines painted on the garage floor are consistent with those
measurements, but they may not be.
Accessible Standard Compact Total

5th Floor 1 36 22 59
4 th Floor 1 36 25 62
3rd Floor 1 36 25 62
2nd Floor 1 36 25 62
Ground Floor 3 30 24 57
3
2.8.2 Authorized Vehicle.
An "Authorized Vehicle" is an automobile, a passenger van designed to
accommodate ten (10) or fewer people, a motorcycle, or a pickup truck
having a manufacturer's rating or payload capacity of one (1) ton or less.
(Emphasis Added)
I.
11.8
I suggest that you remove the term "Humane Society" because you are limiting yourself to a.
specific organization who will probably not t~ke the animal from you anyway. Instead use "City
of Los Angeles Department of Animal Services" or if you like a more generic term such as
"appropriate governmental agency".
11.9
I suggest that you remove the reference to 10pm for the reasons set forth previously.
You are not being clear as to whether you are requiring a clause to this effect to be in the lease.
12.2
I understand your meaning but the rule is not clear. You must state that the lease must contain
a clause such that any vlolatlon of the governrng documents is "a material breach of the lease
agreement" and if you really want to get tough add that such a breach constitutes a "recession"
of the lease agreement.
I suggest that you add that the management team has the right to cut-off or otherwise remove
unauthorized lock boxes without prior notice to the listing agent.
I suggest that you be more clear that the parking spots are to be used for parking and not as a
staging area (notwithstanding 14.2) for work tb be performed. Likewise, the loading dock may
not be used as a staging area for work.4
4
This prevents claims that the HOA provided an "unsa~e working environment".
Also, I suggest that you add a new rule (somewhere) that states that nobody can block the
loading dock with an unattended vehicle unless they have previously reserved the spot for that
date/time with the management team.
Incomplete sentence.
When I see things like this; the failure to date the notice of proposed rule changes so as to start
the thirty (30) day clock to object; and suggesting rule changes that clearly conflict with the
CCR' s, I really start to question the competency of the people who are attempting to effectuate
these rule changes.
Good. I think it is important to note that our property is zoned light industrial and
residentlal/business (floors 2-6) and commercial (ground floor) use is permitted pursuant to an
AdaptiYe Reuse Ordinance so long as certain conditions continue to be met. 5 One condition is
that the loading dock and freight elevator be maintained in working order and made reasonably
available to all occupants. It has always been my opinion that the current policy allowing a
single occupant to monopolize the freight elevator for hours on end, especially on a Saturday
when most occupants have free time available, constituted a "denial of service", and although I
myself found that policy inconvenient, I made no official complaint. I am pleased to see this
change in policy put into the new rules.
17.1
The term "all other" is vague.
17.5
I suggest that you add that oversized trash (couch, furniture) maybe subject to an additional fee
for disposal and our management team should be notified in advance of any such disposal.
s For example, the minimum square footage of a unit is at least 450 sq ft so long as the average unit size is 750sq ft
or more. For example, so long as at least 30% of the square footage of a unit is used for residential purposes, up to
100% of t he remaining 70% maybe used for business purposes, etc.
I suggest that you add that such debris maybe subject to an additional fee for disposal and our
management team should be notified in advance of any such disposal.
18.l
I suggest you specifically add "window tinting" .
FORMS ATTACHED TO THE END OF THE PROPOSED RULES & REGS
Forms should be identified by name and use, but not attached to the rules and regs unless they
can be made to not include information that may change in the future such as the name of the
current management company, phone numbers, etc.
Respectfully submitted on February 28, 2016
7 ~
Grant Beuchel
USPS FIRST CLASS MAIL®
Grant Beuchet
420 S. San Pedro Street Apl 311
0005
Los Angeles CA 90013
I C031
SHIP Little Tokyo Lofts
TO:
600 WIishire Blvd, Suite 1660
Los Angeles CA 90017-3228
Il,l,, II,,, II,,,,,, 111,,, I,, II,,, I, I,, 1,11, ,I, ,,,llll,,, I,,, II
USPS TRA KING #
1111 1111 I I 111

9400 1169 0113 836 5473 73
EXHIBIT "I"
Grant E. Beuchel
420 S. San Pedro Street #3 l l
(661) 428-7365
September 13, 2012
Beaumont, G1tlrn & Tash_pan

21650 Oxnard Street ii 1620
Dear Ms. Tashjian,
I am in receipt of vour letter of this date which 1 received by email.
I thought I made it clear in my letter of August 31, 2012 that tbe obligation to disclose
Ii<.;~ with you and not the board. J 1.,ited in that lener the following:
Rules of Professional Conduct 3-500, 3-700, 3-1 l 0

Business & ProfessJons Code Section 6068(m)
la Jolla vs Cove MoteL 1~1 Cal App 4th 773 (2004
Forreth vs Baeza 58 Cctl Ap 4tJi 65 ( 1997)
Jacuzzi vs. Jacob Bros 218 Cal App 2nd 24 ( 1963)
Sincerely,
..,.//
.;:_ .,.
7'-· ¥-
,. · c-- -. --._ -
··Crant Beuchel
Owner of umt #3 11
EXHIBIT ''J''
Grant E. Beuchel
Los Angeles. California 90013
(661) 428-7365
September 14, 2012
Kolesky Mancici Feldman & Morrow

Central Plaza
3460 Wilshire Blvd 8FL
Attention: Karen Cox
Dear Ms. Cox.
This letter will confirm our telephone conversation of a week ago wherein I suggested
that you \Hite a letter to Lisa Tashjian of the law firm of Beaumont, Gitlin & Tashjian
21650 Oxnard Street # 1620 Woodland Hills, California 91367 and ask Ms. Tashjian if
she was in possession of:
I. Any information that would exculpate or exonerate the Linle Tokyo Loft
Community Association in the Wiseman case; and/or
2 . Any information that would tend to raise defenses on behalf of the association in
that case.
I also suggested that ""hatever answer Ms. Tashian gave you, that you make certain it was
in writing such that nobody can later claim anything to the contrary.
I also told you in our telephone conversation that I had contacted the State Bar ethics
hotline and explained a situation and that they gave me some citations that I forwarded to
Ms. Tashjian. These citations are as follows:

La Jolla vs. Cove MoteL 121 Cal App 4th 773 (2004
Forreth vs. Baeza 58 Cal Ap 4 th 65 (1997)
Ms. Tashjian contacted me yesterday by email and stated ··I assure you that I am
following all of my ethical duties and obligations" and I ta.kc her at her word.
To be honest, I [eel that I should not be obligated to insert myself into this situation, but
until I contacted you, all of the parties (the HOA board, Ms. Tashjian, etc.) appear to be
putting their own interests first and the entity that they supposedly represent (U1e IIOA)
second, and I want the HOA to be covered in the event that the Wiseman case exceeds
policy limits. I believe I have done all I can do in this regard because if the case does
exceed policy limits I believe that the IIOA is covered by:
1. Civil Code 1365 .7(4)(b) and/or

2. The law firm of Beaumont, Gitlin & Tashjian and/or
3. The lavv firm of Kolesky Mancici Feldman & Morrow
Finally, I hope you understand that if the Wiseman case were to go to trial and, for
example. a judgment of 3 million dollars were to be awarded, I would be financially
ruined and so would many other owners at the Little Tokyo Lofts. I have done all I can
do and you will not hear from me again in this regard.
Sincerely.
Grant Beuchel
Owner of unit #311
Cc: Lisa Tashjian

EXHIBIT "K"
Grant E. Beuchel
(661) 428-7365
August 3, 2013
TO: Home Owners Association: Little Tokyo Lofts and to each member individually:
Pursuant to Civil Code Section 1363(e). I hereby demand to review and inspect the
following records:
1) Any minutes from a general board meeting that discusses in whole or in part the
matter of Wiseman vs. Little Tokyo, LASC Case No. BC485658 (hereinafter
referred to as "the Wiseman case.";
2) Any settlement agreements and/or releases prepared in the Wiseman case;
3) Any interrogatories and/or responses thereto prepared in connection to the
Wiseman case;
4) Any deposition transcripts prepared in connection with the Wiseman case;
5) Any medical records proffered in the Wiseman case relating to either of the
claimant/plaintiffs.
Alternatively, you may forward the records to me in a PDF file or on a CD (as is the case
with deposition transcripts) if it is easier for you to do so. Otherwise, just follow the
code.
Sincerely,
Grant Beuchel
Owner Unit #311
Little Tokyo Lofts
EXHIBIT "L"
HICKEY & PETCHUL, LLl'
Dl\id E, 111<1.n
Dirk E Ptttbal
ATTOR'-EYS AT L ~"" "~" HPlall . Dtt
Dtaln D. l&<r 114 PACIFICA. Sl. ITE 340

DI\ Id A . l\' anl.rl
IRYl"E• CALIFORNIA 92618
Cbr1Stopbcr J. Bonl.owsl.1
J ■ soa M . Fadrlni TELEPH01'E (949) 727-1 777
\\ llliilru P. Rlt~t1 • FACSIMILE (949) 727-1797
•of C'ouaul
~o,·ember 21. 2013
Grant E. Beuchel VIA CERTIFIED MAIL

420 South San Pedro Street. #311 RETURN RECEIPT REOVESTED
Los Angeles, CA 90013 AND U.S. MAIL
Re: Little Tok) o Lofts Community Association
Subject: Alternative Dispute Resolution

Response to Correspondence of No\'ember 11, 2013
Dear !v1r. Beuchel:
As you know, this firm 1s legal counsel for the Little Tokyo Lofts Community
Association ("Association"). At the direction of the Association·s Board of Directors, I am
responding to your letter of ~o\.'ember 11. 2013.
Your letter states that you suggest that mediation is premature. However, the title of
your October 4, 2013 correspondence is "Request for Alternative Dispute Resolution:·
Although you do not specifically cite the relevant statutes, requests for Alternative Dispute
Resolution ("ADR") with associations are governed by Civil Code § 1369.5 I 0. et seq. In that
regard. the Association accepted your request. AdditionaUy. as the method of ADR is to be
approved b) both parties. the Association elects to participate m mediation but not arbitration.
Thus. my pnor correspondence indicated that mediation through Judicate West was to be
coordinated.
Your letter of No\'ember 11, 2013 suggests that mediation is premature. By this
statement. the Association requests that you either confirm your request for ADR or withdraw
your prior request. 1 Your specific allegations were not addressed in my response to your
request for ADR as you indicated that you desired to resolve the disputes through ADR. not
1
The procedure you describe wherein two tndividuals meet to discuss the issues IS referred to as Informal (or
lnternal) Dispute Resolution ("'IDR"). If you are requesting this procedure rather than ADR under the Civil
Code. please notify this office at your earliest convenience.
LmleTokyoLofi:,;,'Bew:h.,VADRClarifica11ou 112113
Mr. Beuchel
November 21, 2013
Pae 2
through vnitten communications. Therefore, if AD R remains your preferTed method of

dispute resolution, the specific issues described in your October 4. 2013 letter will be
discussed and resolved at that mediation hearing. If you prefer to utilize some other
procedure, please withdraw your request for ADR in \\Titing and clearly explain the procedure
you desire to use for discussion and resolution. The Association will consider your preferred
procedure.
As you likely know. as a result of the Association's acceptance of your Request for
Resolution. pursuant to Civil Code §1369.540, the mediation must be completed on or before
February 3, 2014. Until we are notified in writing otherwise, the Association will proceed
with the selection and scheduling of a neutral to conduct the mediation. Therefore, your
attention to this matter is appreciated.
If you have any questions or comments regarding the contents of this correspondence,
they may be addressed to this office.
Very truly yours,
DAW:sk
cc: Board of Directors
LtttleTokyoLofts·13eucheL ADRC"lanficat,on'l 12113

EXHIBIT "M"
Financial Statements
For the Year Ended December 31, 2017
newman
A N D A S S O C I A T E S, I N C
an accountancy corporation
Little Tokyo Lofts Community Associa •..m
Financial Statements
TABLE OF CONTENTS
Independent Auditor's Report .......................................................................................................................3
Balance Sheet ................................................................. ...... ...................... ...... ................................... ........... 4
Statement of Revenues and Expenses and Changes in Fund Balances ............ ...... .............. .... .................. ...5
Statement of Cash Flows .. ............................................................................................ ................... .............. 6
Notes to Financial Statements.................................................. ..... ......... .. .. .... ............................................ 7-8
Supplementary lnformation ... ................................. ......................................................................................9
t.
'
3141 Tiger Run Court, Suite 102, Carlsbad, CA 92010
newman 7545 Irvine Center Drive, Suite 200, Irvine, CA 92618

7 W. Figueroa Street. Suite 200, Santa Barbara, CA 93101
A N D A S S O C I A T E S, I N C 71 Stevenson Street. Suite 400, San Francisco, CA 94105
an accountancy corporation
Independent Auditor's Report
To the Board of Directors of Little Tokyo Lofts Community Association
We have audited the accompanying financial statements of Little Tokyo Lofts Community Association (the "Association") which comprise the balance
sheet as of December 31, 2017, and the related statements of revenues, expenses, and changes in fund balance and cash flows for the year then ended,
and the related notes to the financial statements.
Management's Responslbl/Jty for the Financial Statements

Management is responsible for the preparation and fair presentation of these financial statements in a rdance with accounting principles generally
accepted in the United States of America; this includes the de.sign, implementation, and maintenan ntemal control relevant to the preparation
and fair presentation of financial statements that are free from material misstatement, whether du ud or error.
Auditor's Responsibility
Our responsibility is to express an opinion on these financial statements based on our a ed our audit in accordance with auditing
standards generally accepted in the United States of America. Those standards requ· rforrn the audit to obtain reasonable
assurance about whether the financial statements are free from material misstateme
An audit Involves performing procedures to obtain audit evidence about the ures in the fin 1al statements. The procedures
selected depend on the auditor's judgment, including the assessment of the risks statement of the financial statements, whether due to
fraud or error. In making those risk assessments, the auditor considers internal con nt to the entity's preparation and fair presentation of the
financial statements in order to design audit procedures that are appr ·ate In the cir nces, but not for the purpose of expressing an opinion on
the effectiveness of the entity's internal control. Accordingly, we audit also Includes evaluating the appropriateness of
accounting policies used and the reasonableness of significant a management, as well as evaluating the overall
presentation of the financial statements.
We believe that the audit evidence we have obtained is 6 provide l"basis for our audit opinion.
Opinion
In our opinion, the financial statements referre rial respects, the financial position of Little Tokyo Lofts Community
Association as of December 31, 2017 , and results -----~.,r,.o ws for the year then ended in conformity with accounting principles
generally accepted in the United States~
Future Major Repairs and Rep/a

Our audit was made for the ion o basic financial statement, taken as a whole. We have not applied procedures to
determine whether the funds al,,, and replacements as discussed in Note 4 are adequate to meet such future costs, because
such determination Is outside the pinion is not modified with respect to this matter.
Disclaimer of Opinion of Required Supp/em rmation

Accounting principles generally accepted in th ed States of America require that Supplementary Information on Future Repairs and Replacements
be presented to supplement the basic financial statements. Such information, although not a part of the basic financial statements, is required by the
Financial Accounting Standards Board, who considers it to be an essential part of financial reporting for placing the basic financial statements in an
appropriate operational, economic or historical context. We applied certain limited procedures to the required supplementary information in
accordance with auditing standards generally accepted in the United States of America, which consisted of inquiries of management about the methods
of preparing the information and comparing the information for consistency with management's responses to our inquiries, the basic financial
statements, and other knowledge we obtained during our audit of the basic financial statements. We do not express an opinion or provide any
assurance on the information because the limited procedures do not provide us with sufficient evidence to express an opinion or provide any
assurance.
Newman and Associates, Inc.

An Accountancy Corporation
Carlsbad, California
March 26, 2018
Little Tokyo Lofts Community Associa •. Jn
Balance Sheet
December 31, 2017
Operating Replacement
Fund Fund Total
Assets
Cash and cash equivalents $ 326,526 $ 255,097 $ 581,623
Investments 600,000 600,000
Assessments receivable 33,438 33,438
Allowance for doubtful accounts (8,261) (8,261)
Prepaid insurance 19,975 19,975
Prepaid income taxes 616 616
Due from (to) fund (302) 302
Total assets $ 371,992 $ 855,399 $ 1,227,391
Liabilities
Accounts payable $ 72,220 $ $ 72,220
Prepaid assessments 12,127 12,127
Total liabilities 84,347 84,347
Fund balances 287,645 855,399 1,143,044
Total liabilities and fund balances $ 371,992 $ 855,399 $ 1,227,391
The accompanying notes are an integral part of the financial statements

(See Independent Auditor's Report)
6
Little Tokyo Lofts Community Assoc1 ..... on
Statement of Revenue and Expenses and Changes in Fund Balances
Fund Fund Total
Revenues
Owners assessments $ 781,079 $ 212,520 $ 993,599
Commercial assessments 100,440 100,440
Interest 4,075 4,075
Other member income 35,595 35,595
Total revenues 917,114 216,595 1,133,709
Expenses
Utilities
Electricity 129,125 129,125
Water 7,881 7,881
Trash removal 19,321 19,321
Telephone 26,427 26,427
Cable 49,589 49,589
232,343 232,343
Maintenance
Landscape and irrigation 4,505 4,505
Common area repairs and maintenance 37,889 21,598 59,487
Plumbing 9,966 8,400 18,366
Pool and spa 6,504 6,504
Janitorial 76,054 76,054
Patrol and security 7,611 7,611
Access gate 4,588 4,588
Fire prevention 6,628 6,628
Elevator 32,807 32,807
Roof repair and maintenance 17,109 17,109
Painting 84,726 84,726
Fitness facilities 1,385 1,385
Contingency 9,345 9,345
Settlement - assessment credit 20,000 20,000
225,046 124,069 349,115
Administrative
Insurance 117,187 117,187
Management 32,325 32,325
Administrative expense 22,906 22,906
Payroll and related expenses 264,492 264,492
Legal and professional 9,896 9,896
Collection costs 1,065 1,065
Licenses, permits and fees 1,902 1,902
Income tax expense 6,148 6,148
Bad debt expense (recoveries) 2,886 2,886
458,807 458,807
Total expenses 916,196 124,069 1,040,265
Excess (deficit) of revenues over (under) expenses 918 92,526 93,444
Beginning fund balances 286,727 762,873 1,049,600
Ending fund balances $ 287,645 $ 855,399 $ 1,143,044
The accompanying notes are an integral part of the financial statements
7
Little Tokyo Lofts Community Associa •• ~n
Statement of Cash Flows
Fund Total
Fund
Excess (deficit} of revenues over (under} expenses $ 918 $ 92,526 $ 93,444
Adjustments to reconcile excess (deficit) of revenues

over (under) expenses to net cash provided (used) by
operating activities
Decrease (Increase) in operating assets:
Accounts receivable (19,189) (19,189)
Interest receivable 1,310 1,310
Prepaid insurance 229 229
Prepaid income tax 1,212 1,212
Increase (decrease) in operating liabilities:
Accounts payable 52,672 (3,888} 48,784
Prepaid assessments (11,746) (11,746)
Income taxes payable (364) (364)
Total adjustments 20,668 (2,578) 18,090
Net cash provided (used) by operating activities 21,586 89,948 111,534
Cash provided (used) by investing activities

Change in investments, net (73,251) (73,251)
Net cash provided (used) by investing activities (73,251) (73,251)
Cash provided (used) by financing activities

lnterfund borrowings, net (703) 703
Net cash provided (used) by financing activities (703) 703
Net increase (decrease} in cash and cash equivalents 20,883 17,400 38,283
Beginning cash and cash equivalents 305,643 237,697 543,340
Ending cash and cash equivalents 326,526 $ 255,097 $ 581,623
SUPPLEMENTAL DISCLOSURE
Income taxes paid $ 5,300
Interest paid $
The accompanying notes are an Integral part of the financial statements

8
Little Tokyo Lofts Community Associat, ... 11
Notes to Financial Statements
1. Organization
Little Tokyo Lofts Community Association (the "Association") was incorporated on May 12, 2006 as a nonprofit mutual
benefit corporation under the laws of California, for the purposes of maintaining and preserving common property. The
Association consists of 161 residential homes and 1 commercial unit and is located in Los Angeles, California.
2. Summary of Significant Accounting Policies

Basis of Accounting
The Association maintains its financial records on the modified accrual basis of accounting, which recognizes revenues
when earned and expenses when paid. Adjustments at the end of the fiscal year result in these financial statements
being presented on the full accrual basis of accounting.
Use of Estimates
The preparation of financial statements in conformity with generally accepted accounting principles requires the board
of directors to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure
of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenues and
expenses during the reporting period. Actual results could differ significantly from those estimates.
Fund Accounting
The Association uses fund accounting, which requires that funds, such as operating funds and funds designated for
future major repairs and replacements, be classified separately for accounting and reporting purposes. Disbursements
from the operating fund are generally at the discretion of the board of directors and property manager. Disbursements
from the replacement fund generally may be made only for designated purposes.
Capital Assets and Depreciation Policy

The Association has not capitalized real and personal common area property contributed by the developer.
Replacements and improvements to real property are also not capitalized; rather, they are charged to the respective
fund in the period the cost is incurred. Significant personal property assets are capitalized and depreciated over their
estimated lives using straight-line depreciation.
Cash and Cash Equivalents

Cash and cash equivalents include the Association's cash, checking accounts, money market funds and investments in
certificates of deposit with original maturities of 90 days or less.
Investments
Investments consist of certificates of deposit and other securities and investment accounts with original maturities of
more than 90 days.
Subsequent Events
Subsequent events have been evaluated through March 26, 2018, which is the date the financial statements were
available to be issued.
9
Little Tokyo Lofts Community Associa •. ..,n
Notes to Financial Statements
Concentration of Credit Risk

The Association maintains bank accounts with balances that exceed FDIC federal insurance of $250,000. The financial
institution may carry private insurance, which may or may not be sufficient to reimburse for any losses.
3. Assessments and Assessments Receivable

Association members are subject to monthly assessments to provide funds for the Association's operating expenses,
future capital acquisitions, and major repairs and replacements. Assessments receivable represent fees due from
owners. The Association's governing documents provide for various collection remedies for delinquent assessments and
fees, including filing of liens on an owner's unit, foreclosing on a unit owner, and obtaining a legal judgment on an
owner's other assets. Any excess operating funds are retained at the end of the fiscal year for use in future periods.
After the Association has exhausted all efforts to collect delinquent accounts, the Board of Directors may elect to write
off uncollectible balances.
The Association records an allowance for doubtful accounts to reflect an estimate of accounts that may not be
collectible, which includes accounts receivable greater than 90 days old.
4. Future Major Repairs and Replacements

The Association's governing documents require funds to be accumulated for future major repairs and replacements.
Accumulated funds are held in separate bank accounts and are generally not available for expenditures for normal
operations.
The board of directors conducted a reserve study to estimate the remaining useful lives and the replacement costs of
the components of common property. The table included in the unaudited Supplementary Information on Future Major
Repairs and Replacements is based on this study.
The Association is funding such major repairs and replacements over the estimated useful lives of the components
based on the study's estimates of current replacement costs, considering amounts previously accumulated in the
replacement fund. Actual expenditures, however, may vary from estimated amounts and the variations may be
material. Therefore, amounts accumulated in the replacement fund may not be adequate to meet future needs. If
additional funds are needed, however, the Association has the right, subject to its governing documents, to increase
regular assessments or to levy special assessments, or it may delay major repairs and replacements until funds are
available.
5. Income Taxes
The Association elected to file its Federal income tax returns as a homeowners association under Internal Revenue Code
Section 528. For its California income tax return, the Association qualifies for tax exempt status as a homeowners'
association under California Revenue and Taxation code section 23701(t). For both Federal and California returns, the
Association is generally taxed on income not related to membership dues and assessments, such as interest income and
non-member income. The Internal Revenue Service and the California Franchise Tax Board can examine the
Association's income tax returns generally up to three years and four years, respectively.
10
Supplementary Information on Future Major Repairs and Replacements
December 31, 2017
(Unaudited)
The Association 's board of directors, in conjunction with a reserve study expert, conducted a reserve
study dated July 30, 2017 to estimate the remaining useful lives and the replacement costs
of the components of common property. Replacement costs were based on the estimated costs to
repair or replace the common property components on the date of the study.
The following information is based on the study and presents significant information about the
components of common property.
Study
Estimated Study
Estimated current recommended
Study Component remaining recommended fund
replacement cost s annual funding
useful lives balance
requirement
General common area 0-13 $ 1,265,550 $ 127,800 $ 740,392
Mechanical 0-27 1,172,950 70,140 655,404
Pool/spa area 0-3 32,600 4,380 29,224
Interior common area 0-12 135,450 10,200 79,970
$ 2,606,550 $ 212,520 $ 1,504,990
Replacement fund balance at December 31, 2017 $ 855,399
Other Assumptions:
Interest rate 1.00%
Inflation rate 3.00%
See the Balance Sheet for replacement fund cash, cash equivalents and investments balances at December 31, 2017.
The accompanying notes are an integral part of the financia l statements

11
Member:
INOUYE American Institute
of Certified Public
SHIVELY Accountants
&KLATT Member:
California Society
of Certified Public
Accountants
23041 Avenida de la Carlota, Suite 310 Phone: (949) 586-6640

Laguna Hills, CA 92653 Fax: (949) 586-6137
To the Board of Directors and Members of

INDEPENDENT AUDITOR'S REPORT
Report on the Financial Statements

We have audited the accompanying financial statements of Little Tokyo Lofts Community Association,
which comprise the balance sheet as of December 31 , 2016, and the related statements of revenues,
expenses, and changes in fund balance, and cash flows for the year then ended , and the related notes to
the financial statements.
Management's Responsibility for the Financial Statements

Management is responsible for the preparation and fair presentation of these financial statements in
accordance with accounting principles generally accepted in the United States of America; this includes
the design, implementation, and maintenance of internal control relevant to the preparation and fair
presentation of financial statements that are free from material misstatement, whether due to fraud or
error.
Our responsibility is to express an opinion on these financial statements based on our audit. We
conducted our audit in accordance with auditing standards generally accepted in the United States of
America. Those standards require that we plan and perform the audit to obtain reasonable assurance
about whether the financial statements are free from material misstatement.
An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in
the financial statements. The procedures selected depend on the auditor's judgment, including the
assessment of the risks of material misstatement of the financial statements, whether due to fraud or
error. In making those risk assessments, the auditor considers internal control relevant to the entity's
preparation and fair presentation of the financial statements in order to design audit procedures that are
appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of
the entity's internal control. Accordingly, we express no such opinion . An audit also includes evaluating
the appropriateness of accounting policies used and the reasonableness of significant accounting
estimates made by management, as well as evaluating the overall presentation of the financial
statements.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for
our audit opinion .
Opinion
In our opinion , the financial statements referred to above present fairly, in all material respects, the
financial position of Little Tokyo Lofts Community Association as of December 31 , 2016, and the results
of its operations and its cash flows for the year then ended in conformity with accounting principles
generally accepted in the United States of America.
Board of Directors and Members
Emphasis of Matter on Future Major Repairs and Replacements

Our audit was made for the purpose of forming an opinion on the basic financial statements taken as a
whole. We have not applied procedures to determine whether the funds designated for future major
repairs and replacements as discussed in Note 3 are adequate to meet such future costs because that
determination is outside the scope of our audit. Our opinion is not modified with respect to this matter.
Disclaimer of Opinion on Required Supplementary Information

Accounting principles generally accepted in the United States of America require that the supplementary
information on future major repairs and replacements on page 9 be presented to supplement the basic
financial statements. Such information, although not part of the basic financial statements, is required by
the Financial Accounting Standards Board , who considers it to be an essential part of financial reporting
for placing the basic financial statements in an appropriate operational, economic, or historical context.
We have applied certain limited procedures to the required supplementary information in accordance
with auditing standards generally accepted in the United States of America, which consisted of inquiries
of management about methods of preparing the information and comparing the information for
consistency with management's responses to our inquiries, the basic financial statements, and other
knowledge we obtained during our audit of the basic financial statements. We do not express an opinion
or provide any assurance on the information because the limited procedures do not provide us with
sufficient evidence to express an opinion or provide any assurance.
Inouye, Shively & Klatt
Laguna Hills, CA
April 27, 2017
,,.-.
LITTLE TOKYO LOFTS COMMUNITY ASSOCIATION

BALANCE SHEET
AS OF DECEMBER 31, 2016
Fund Fund Total
Assets
Investments 526,749 526,749
Accrued interest receivable 1,310 1,310
Prepaid income taxes 1,828 1,828
lnterfund account (1,005} 1,005
Total assets 330,512 766,761 1,097,273
Liabilities
Accounts payable 19,548 3,888 23,436
Income taxes payable 364 364
43,785 3,888 47,673
Fund balances 286,727 762,873 1,049,600

See independent auditors' report and accompanying notes to financial statements.

3
LITTLE TOKYO LOFTS COMMUNITY ~SOCIATION
STATEMENT OF REVENUES, EXPENSES,
AND CHANGES IN FUND BALANCES
FOR THE YEAR ENDED DECEMBER 31, 2016
Fund Fund Total
Revenues
Member assessments $ 798,732 $ 167,988 $ 966,720
Interest income 1,334 1,334
Cell site 17,661 17,661
Rental home 2,972 2,972
Recovery of bad debt 13,897 13,897
Other income 14,587 14,587
Total revenues 948,673 169,322 1,117,995
Expenses
Landscape services 7,013 7,013
Pool/spa services 11 ,210 11,210
General maintenance and repairs 140,444 140,444
Security/patrol services 44,357 44,357
Pest control 1,305 1,305
Janitorial services 67,136 67,136
Elevator 15,707 15,707
Cable 43,1 17 43,117
Water 22,506 22,506
Gas 34,375 34,375
Telephone 21 ,223 21 ,223
Refuse 24,519 24,519
Management fees 25,956 25,956
Office supplies/printing/postage 9,429 9,429
Insurance 97,910 97,910
Legal and collection 69,1 03 69,103
Audit and tax preparation 1,525 1,525
Reserve study 1,400 1,400
Payroll 259,263 259,263
General and administrative 27,250 169 27,419
Audio equipment 5,460 5,460
Barbecue 2,596 2,596
Camera/CCTV system 1,116 1,1 16
Gate operators 799 799
Painting 2,750 2,750
Plumbing 2,250 2,250
Doors 1,638 1,638
Settlement - assessment credit 20,000 20,000
Income taxes 6,650 6,650
Total expenses 1,017,149 16,778 1,033,927
Excess (deficiency) of revenues over expenses (68,476) 152,544 84,068
Beginning fund balances 355,203 610,329 965,532
Ending fund balances $ 286,727 $ 762,873 $ 1,049,600

4
, ---
STATEMENT OF CASH FLOWS
Fund Fund Total
Cash flows from operating activities:
Excess (deficiency) of revenues over expenses $ (68,476) $ 152,544 $ 84,068
Adjustments to reconcile excess (deficiency) of

revenues over expenses to net cash provided by
(used in) operating activities
Decrease in net assessments receivable 34,109 34,109

Increase in accrued interest receivable (1,308) (1,308)
Increase in prepaid insurance (474) (474)
Decrease in prepaid taxes 4,965 4,965
Decrease in prepaid expenses 11,403 11,403
Increase (decrease) in accounts payable (71 ,585) 3,888 (67,697)
Decrease in prepaid assessments (2,953) (2,953)
Increase in income taxes payable 354 354
Total adjustments (24,181) 2,580 (21,601)
Net cash provided by (used in) operating activities (92,657) 155,124 62,467
Cash flows from investing activities:

Purchase of investments - net (526,749} (526,749}
Net cash used in investing activities (526,749) (526,749)
Cash flows from financing activities:

Change in interfund payable balances (8,011} 8,011
Net cash provided by (used in) financing activities (8,011) 8,011
Net decrease in cash and cash equivalents {100,668) (363,614) (464,282)
Cash and cash equivalents at beginning of year 406,311 601 ,311 1,007,622
Cash and cash equivalents at end of year $ 305,643 $ 237,697 $ 543,340
Supplemental disclosures
Income taxes paid $ 1,325 $ $ 1,325

5
L. . LE TOKYO LOFTS COMMUNITY AS~..,CIATION
NOTES TO FINANCIAL STATEMENTS
DECEMBER 31 , 2016
NOTE 1 - NATURE OF ORGANIZATION
Little Tokyo Lofts Community Association ("Association") is a nonprofit mutual benefit corporation
responsible for preserving and maintaining the common property within the development. The
Association consists of 161 residential units and 1 commercial unit occupying a site in Los
Angeles, California and was incorporated on May 12, 2006.
NOTE 2 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
(a) Basis of Accounting : Accounting records for the Association are maintained on a modified
accrual basis of accounting, which recognizes assessments when billed, but recognizes other
revenues when received and expenses when paid . For audit and tax purposes, adjustments
have been made to convert the Association's financial statements to the full accrual basis of
accounting , which recognizes revenues when earned and expenses when incurred.
(b) Fund Accounting: The Association uses fund accounting which requires that funds be
classified separately for accounting and reporting purposes. Financial resources are classified
in the following funds established according to their nature and purpose:
Operating Fund - Available for normal operating purposes. Disbursements are generally
at the discretion of the Board of Directors.
Replacement Fund - Available for major repairs and replacements of common area
components. Disbursements generally may be made only for their designated purpose.
(c) Capitalization and Depreciation Policy: Real property contributed by the developer as well as
replacements and improvements are not capitalized since the common areas are owned by
the individual unit owners and the Association's governing documents impose restrictions on
its disposition. Any significant personal property assets are capitalized at cost and
depreciated over its estimated useful life using the straight line method of depreciation.
(d) Cash Equivalents and Investments: Cash equivalents consist primarily of certificates of
deposit and other securities with original maturities of 90 days or less. Investments consist
primarily of certificates of deposit and other securities with original maturities over 90 days.
Investments are considered to be held to maturity which range from June 2017 to November
2018. Cash equivalents and investments are stated at cost.
(e) Investment Income: Investment income consists primarily of interest and dividends earned on
cash , cash equivalents and investment accounts, and is recorded as it is earned. Investment
income is generally accounted for in the fund in which it is earned .
(f) Estimates: Financial statements prepared in conformity with generally accepted accounting
principles require the use of estimates and assumptions that affect certain reported amounts
and disclosures. Accordingly, actual results could differ from those estimates.
(g) Subsequent Events: The Association has evaluated subsequent events and transactions for
potential recognition or disclosure in the financial statements through April 27, 2017, the date
the financial statements were available to be issued.
6
L. . LE TOKYO LOFTS COMMUNITY AS~...,CIATION
NOTES TO FINANCIAL STATEMENTS - CONTINUED
DECEMBER 31 , 2016
NOTE 3 - FUTURE MAJOR REPAIRS AND REPLACEMENTS
The Association is in compliance with its governing documents that requ ire funds be accumulated
for future major repairs and replacements of common property components. Substantially all
accumulated funds are held in separate accounts and are generally not available for normal
operating purposes.
The Association's reserve funding policy was based on a study conducted in July 2016, by an
independent analyst to estimate the remaining useful lives and costs of future major repairs and
replacements of common property components. The study recommends an annual member
contribution of $212,520. The Association's 2017 budget includes a reserve contribution of
$212,520. The study recommends a fully funded reserve balance of $1,442,046. As of December
31 , 2016, the actual available replacement fund balance was $761,868.
Funds are being accumulated in the replacement fund based on estimated future costs. Actual
expenditures may vary from the estimated amounts and the variations may be material.
Therefore, amounts accumulated in the replacement fund may not be adequate to meet all future
needs. If additional funds are needed, the Association has the right to increase assessments,
pass special assessments, or delay repairs and replacements until funds are available.
NOTE 4 - INCOME TAXES
For the year ended December 31 , 2016, the Association qualified as a tax-exempt homeowners
association under Internal Revenue Code Section 528 and California Revenue and Taxation
Code Section 23701t. Under these Sections the Association is not taxed on net income related to
its exempt purpose, which is the acquisition , construction, management, maintenance, and care
of Association property. Net nonexempt function income, which includes investment income and
revenues received from nonmembers, is taxed at 30% by the federal government and 8.84% by
the State of California.
The Association recognizes tax benefits only to the extent that it believes it is more likely than not
that its tax positions will be sustained upon examination by taxing authorities. The Association
believes that all of its tax positions will be sustained if examined by taxing authorities, therefore no
additional tax liabilities or related penalties and interest due to uncertain tax positions have been
recorded . The Association's tax returns are subject to examination by the Internal Revenue
Service for three years after they are filed , and by the California Franchise Tax Board for four
years after they are filed.
NOTE 5 - MEMBER ASSESSMENTS
Association members are subject to paying assessments to fund the Association 's operating
activities, capital acquisitions, and future major repairs and replacements. During the year ended
December 31 , 2016, the monthly assessment for the residential units ranged from $444.90 to
$757.80 and was $8,402.26 for the commercial unit. The 2017 monthly assessment is budgeted
to change to a range of $443.27 to $843.87 per unit for the residential units and $8,369.66 for the
commercial unit. The annual budget and member assessments are determined by the Board of
Directors. The Association retains excess funds at the end of the year, if any, for use in future
periods.
7
l rLE TOKYO LOFTS COMMUNITY AS .... ~CIATION
DECEMBER 31 , 2016
NOTE 6 -ASSESSMENTS RECEIVABLE
Assessments receivable represent assessments and other fees due from members. The
Association 's governing documents provide for various collection remedies for delinquent
assessments including the filing of liens, foreclosing on the unit owner, and obtaining judgment on
other assets of the unit owner.
The allowance for doubtful accounts represents an estimate of the amount of accounts receivable
that may eventually be uncollectible. The allowance was computed by adding all receivables older
than 90 days.
Receivable balances are written off once all collection alternatives have been exhausted and the
Board of Directors has deemed them uncollectible.
NOTE 7 - CONCENTRATION OF CREDIT RISK
The Federal Deposit Insurance Coverage (FDIC) standard amount is $250,000 per depositor, per
insured bank. As of December 31 , 2016, the Association had deposits with Sunwest Bank that
exceeded the FDIC coverage limit by approximately $46,000.
NOTE 8 - INTERFUND ACCOUNT
The interfund account represents the amount one fund owes another fund. Various scenarios
may cause this situation which include, but are not limited to, one fund paying the expenses of
another fund , one fund borrowing from another fund , or the operating fund not paying the full
annual budgeted contribution amount to the replacement fund . As of December 31 , 2016, the
operating fund owed the replacement fund $1 ,005.
NOTE 9 - LEGAL SETTLEMENT
Per the terms of the settlement agreement between the Association and the Commercial Owner,
the Commercial Owner shall receive a credit in the amount of $200,000 that shall be applied to the
Commercial Owner's portion of the shared expenses, at the rate of $1 ,666.67 per month for 120
months commencing January 2016.
This annual credit to the Commercial Owner of $20,000 has been recorded in these financial
statements as settlement - assessment credit.
8
L. ,·LE TOKYO LOFTS COMMUNITY AS~.JCIATION
SUPPLEMENTARY INFORMATION ON FUTURE MAJOR
REPAIRS AND REPLACEMENTS
AS OF DECEMBER 31 , 2016
(UNAUDITED)
A study was conducted in July 2016, by an independent analyst to estimate the remaining useful
lives and the repair and replacement costs of common property components. The study was
based on information provided by management, the Board of Directors, and Association vendors,
as well as the knowledge and experience of the analyst. The study preparer may also use
published manuals such as construction estimators, appraisal handbooks and valuation guides to
estimate costs and remaining useful lives. The estimated costs were based on current estimated
repair and replacement costs at the time of the study. Funding requirements consider an inflation
rate of 3%, and an investment rate of 1% on accumulated replacement funds. The study
recommends an annual member contribution of $212,520. The Association's 2017 budget
includes a reserve contribution of $212,520. The study recommends a fully funded reserve
balance of $1,442,046. As of December 31 , 2016, the actual available replacement fund balance
was $761 ,868.
The following table is based on the study and presents significant information about the
components of common property:
Estimated Estimated
Remaining Repair and
Common Property Useful Lives Replacement
Com~onents {Years} Costs
General common area 0-14 $ 1,143,850
Mechanical 0-28 1,181 ,050
Pool & spa 0-4 32,400
Interior common area 0-13 135,250
Total $ 2,492,550
9
Member:
of Certified Public
SHIVELY Accountants
LONGTIN Member:
& KLATT California Society
of Certified Public
Accountants



We have audited the accompanying financial statements of Little Tokyo Lofts Community Association,
expenses, and changes in fund balance, and cash flows for the year then ended , and the related notes to

error.
the entity's internal control. Accordingly, we express no such opinion. An audit also includes evaluating
statements.
our audit opinion.
Opinion
In our opinion, the financial statements referred to above present fairly , in all material respects, the
J:mphasis of Matter
determination is outside the scope of our audit. Our opinion on the financial statements is not modified
with respect to this matter.

Information on future major repairs and replacements on page 9 be presented to supplement the basic
the Financial Accounting Standards Board, who considers it to be an essential part of financial reporting
for placing the basic financial statements in an appropriate operational, economic, or historical context.
We have applied certain limited procedures to the required supplementary information in accordance with
auditing standards generally accepted in the United States of America, which consisted of inquiries of
rnanagement about methods of preparing the information and comparing the information for consistency
with management's responses to our inquiries, the basic financial statements, and other knowledge we
obtained during our audit of the basic financial statements. We do not express an opinion or provide any
assurance on the information because the limited procedures do not provide us with sufficient evidence
to express an opinion or provide any assurance.
Inouye, Shively, Longtin & Klatt
Laguna Hills, CA
March 26, 2015
BALANCE SHEET
AS OF DECEMBER 31, 2014
Fund Fund Total
Assets
Accrued interest receivable 28 28
Prepaid expenses 13,728 13,728
Total assets 196,558 814,049 1,010,607
Liabilities
Accounts payable 23,568 23,568
Refundable deposits 250 250
Other payables 100 100
Income taxes payable 5,593 5,593
51,536 51 ,536
Fund balances 145,022 814,049 959,071


3
Fund Fund Total
Revenues
Member assessments $ 788,604 $ $ 788,604
Insurance settlement 115,210 115,210
Interest income 603 603
Cell site 17,004 17,004
Other income 77,610 77,610
Total revenues 1,079,332 603 1,079,935
Expenses
Pool/spa services 6,569 6,569
Pest control 1,305 1,305
Elevator 11 ,220 11 ,220
Cable 42,985 42,985
Water 43,316 43,316
Electricity 102,848 102,84~
Gas 36,757 36,757
Telephone 13,413 13,413
Refuse 25,344 25,344
Insurance 87,055 87,055
Legal and collection 30,751 30,751
Reserve study 610 610
Payroll 145,804 145,804
General and administrative 6,238 6,238
Provision for doubtful accounts 99,431 99,431
Painting 150,000 150,000
Cooling tower 4 ,054 4,054
Elevator 46,126 46,126
Total expenses 995,326 200,180 1,195,506
Excess (deficiency) of revenues over expenses 84,006 (199,577) (115,571)
Beginning fund balances 61 ,016 1,013,626 1,074,642
Ending fund balances $ 145,022 $ 814,049 $ 959,071

4
FOR THE YEAR ENDED DECEMBER 31 , 2014
Fund Fund Total
Cash flows from operating activities :
Excess (deficiency) of revenues over expenses $ 84,006 $ (199,577) $ (11 5,571 )
Adjustments to reconcile excess (deficiency) of revenues

over expenses to net cash provided by (used in) operating
activities
Increase in net assessments receivable (986) (986)

Increase in accrued interest receivable (28) (28)
Decrease in utility deposits 9,241 9,241
Increase in prepaid insurance (6,329) (6,329)
Increase in prepaid expenses (12,628) (1 2,628)
Decrease in accounts payable (35,307) (35,307)
Decrease in prepaid assessments (9,998) (9,998)
Increase in refundable deposits 250 250
Increase in other payables 100 100
Increase in income taxes payable 4,793 4,793
Total adjustments (50,864) (28) (50,892)
Net cash provided by (used in) operating activities 33,142 (199,605) (1 66,463)
Net increase (decrease) in cash and cash equivalents 33,142 (199,605) (166,463)
Cash and cash equivalents at beginning of year 120,512 1,013,626 1,134,138
Cash and cash equivalents at end of year $ 153,654 $ 814,02 1 $ 967,675
Income taxes paid $ 800 $ $ 800

5
L LE TOKYO LOFTS COMMUNITY AS, ;1ATION
DECEMBER 31 , 2014
Angeles, California. The Association was incorporated on May 12, 2006.
accrual basis of accounting , which recognizes assessments when billed , but recognizes other
revenues when received and expenses when paid. For audit and tax purposes, adjustments
accounting, which recognizes revenues when earned and expenses when incurred.
Investments are considered to be held to maturity. Cash equivalents and investments are
stated at cost.
cash, cash equivalents and investment accounts, and is recorded as it is earned. Investment
income is generally accounted for in the fund in which it is earned.
potential recognition or disclosure in the financial statements through March 26, 2015, the
date the financial statements were available to be issued.
L -E TOKYO LOFTS COMMUNITY ASt ,IATION
DECEMBER 31 , 2014
NOTE 3 - FUTURE MAJOR REPAIRS ANO REPLACEMENTS
The Association is in compliance with its governing documents that require funds be accumulated
operating purposes.
The Association's reserve funding policy was based on a study conducted in June 2014, by an
contribution of $164,220. The Association 's 2015 budget includes a reserve contribution of
$87,672. The study recommends a fully funded reserve balance of $1 ,170,238. As of December
31 , 2014, the actual available replacement fund balance was $814,049.
The Association qualifies as a tax-exempt homeowners association under Internal Revenue Code
Section 528 for the year ended December 31 , 2014. Under that Section, the Association is not
taxed on income and expenses related to its exempt purpose, which is the acquisition,
construction, management, maintenance, and care of Association property. For the State of
California, the Association has applied for, but has not yet been granted exempt status. However,
the tax returns have been prepared with the assumption that the Association will have its exempt
status under Section 23701 t installed in a timely manner. Net nonexempt function income, which
includes earned interest and revenues received from nonmembers, is taxed at 30% by the federal
government and at 8.84% by the State of California.
recorded. The Association's tax returns are subject to examination by the Internal Revenue
Service for three years after they are filed , and by the California Franchise Tax Board for four
Association members are subject to paying assessments to fund the Association's operating
$571 .12 per unit and was $6,741 .87 for the commercial unit. The 2015 monthly assessment is
budgeted to increase to a range of $429.30 to $676.78 per unit for the residential units and
$8,884.73 for the commercial unit. The annual budget and member assessments are determined
by the Board of Directors. The Association retains excess funds at the end of the year, if any, for
use in future periods.
7
..
L LE TOKYO LOFTS COMMUNITY AS~ ;tATION
DECEMBER 31 , 2014
NOTE 6 - ASSESSMENTS RECEIVABLE
Associations governing documents provide for various collection remedies for delinquent
that may eventually be uncollectible. The allowance was computed by adding all receivables with
balances older than 90 days.
insured bank. As of December 31 , 2014, the Association had deposits with Sunwest Bank and
Pacific Western Bank that exceeded the FDIC coverage limit by approximately $405,000 and
$61 ,000 respectively.
NOTE 8 - LITIGATION
The owner of a commercial property located adjacent to the Association property has filed a
lawsuit against the Association alleging breach of contract in complying with terms of a Mutual
Benefit Agreement, as well as claims for water intrusion damages. The Association disputes and
denied the allegations of the complaint. The Association's insurance carrier has accepted the
defense of this lawsuit.
Plaintiff seeks an undisclosed amount of damages alleged to be in excess of $25,000. The parties
are currently engaged in discovery. The outcome of the litigation, along with any financial impact
to the Association, is uncertain at this time. The trial date has been set for July 29, 2015.
8
L. LE TOKYO LOFTS COMMUNITY AS~ .;1ATION
REPAIRS AND REPLACEMENT
(UNAUDITED)
A study was conducted in June 2014, by an independent analyst to estimate the remaining useful
repair and replacement costs at the time of the study. Funding requirements consider an annual
inflation rate of 3%, and interest at 1% on amounts funded for future major repairs and
replacements. The study recommends an annual member contribution of $164,220. The
Association's 2015 budget includes a reserve contribution of $87,672. The study recommends a
fully funded reserve balance of $1 ,170,238. As of December 31 , 2014, the actual available
replacement fund balance was $814,049.
Estimated Estimated
Comeonents {Years) Costs
General common area 0-13 $ 979,650
Mechanical 1-27 1,132,700
Pool & spa 0-6 33,300
Total $ 2,210,913
9
Member:
of Certified Public
SHIVELY Accountants
&KLATT Member:
California Society
of Certified Public
' I' I , 1 • Accountants



We have audited the accompanying financial statements of Little Tokyo Lofts Community Association ,
expenses, and changes in fund balance, and cash flows for the year then ended, and the related notes to

error.
the entity's internal control. Accordingly, we express no such opinion. An audit also includes evaluating
statements.
our audit opinion .
Opinion
In our opinion, the financial statements referred to above present fairly, in all material respects, the
Emphasis of Matter on Future Major Repairs and Replacements

determination is outside the scope of our audit. Our opinion is not modified with respect to this matter.

information on future major repairs and replacements on page 9 be presented to supplement the basic
the Financial Accounting Standards Board, who considers it to be an essential part of financial reporting
for placing the basic financial statements in an appropriate operational , economic, or historical context.
We have applied certain limited procedures to the required supplementary information in accordance
with auditing standards generally accepted in the United States of America, which consisted of inquiries
of management about methods of preparing the information and comparing the information for
consistency with management's responses to our inquiries, the basic financial statements, and other
knowledge we obtained during our audit of the basic financial statements. We do not express an opinion
or provide any assurance on the information because the limited procedures do not provide us with
sufficient evidence to express an opinion or provide any assurance.
Inouye, Shively & Klatt
Laguna Hills, CA
May 26, 2016
-----
BALANCE SHEET
Fund Fund Total
Assets
Cash and cash equivalents $ 406,311 $ 601 ,311 $ 1,007,622
Accrued interest receivable 2 2
Prepaid income taxes 6,793 6,793
Prepaid expenses 11,403 11,403
lnterfund account {9,016) 9,016
Total assets 473,172 610,329 1,083,501
Liabilities
Accounts payable 91 ,133 91 ,133
Income taxes payable 10 10
117,969 117,969
Fund balances 355,203 610,329 965,532


3
,.--.

Fund Fund Total
Cash flows from operating activities:
Excess (deficiency) of revenues over expenses $ 210,181 $ (203,720) $ 6,461
Adjustments to reconcile excess (deficiency) of revenues

over expenses to net cash provided by (used in) operating
activities
Increase in net assessments receivable (27,857) (27,857)

Decrease in accrued interest receivable 26 26
Increase in prepaid insurance (648) (648)
Increase in prepaid taxes (6,793) (6,793)
Decrease in prepaid expenses 2,325 2,325
Increase in accounts payable 67,565 67,565
Increase in prepaid assessments 4,801 4,801
Decrease in refundable deposits (250) (250)
Decrease in other payables (100) (100)
Decrease in income taxes payable (5,583) (5,583)
Total adjustments 33,460 26 33,486
Net cash provided by (used in) operating activities 243,641 (203,694) 39,947
Cash flows from financing activities:

Change in interfund payable balances 9,016 {9,016}
Net cash provided by (used in) financing activities 9,016 (9,016)
Net increase (decrease) in cash and cash equivalents 252,657 (212,710) 39,947
Cash and cash equivalents at beginning of year 153,654 814,021 967,675
Cash and cash equivalents at end of year $ 406,311 $ 601 ,311 $ 1,007,622
Income taxes paid $ 19,457 $ $ 19,457

5
--
FOR THE YEAR ENDED DECEMBER 31 , 2015
Fund Fund Total
Revenues
Member assessments $ 827,112 $ 87,672 $ 914,784
Interest income 424 424
Cell site 17,004 17,004
Recovery of bad debt 176,662 176,662
Other income 92,819 9,016 101,835
Total revenues 1,220,217 97,112 1,317,329
Expenses
Pool/spa services 6,071 6,071
Pest control 680 680
Elevator 14,251 14,251
Cable 49,190 49,190
Water 14,994 14,994
Gas 30,717 30,717
Telephone 16,368 16,368
Refuse 26,086 26,086
Insurance 109,384 109,384
Legal and collection 23,792 96,145 119,937
Reserve study 2,010 2,010
Payroll 157,394 157,394
General and administrative 28,514 36,868 65,382
Deck/fences/walls 2,741 2,741
Elevator 165,078 165,078
Total expenses 1,010,036 300,832 1,310,868
Excess (deficiency) of revenues over expenses 210,181 (203,720) 6,461
Beginning fund balances 145,022 814,049 959,071
Ending fund balances $ 355,203 $ 610,329 $ 965,532

4
L, ,._E TOKYO LOFTS COMMUNITY ASt AATION
-
DECEMBER 31 , 2015
Angeles, California and was incorporated on May 12, 2006.
accrual basis of accounting, which recognizes assessments when billed , but recognizes other
revenues when received and expenses when paid . For audit and tax purposes, adjustments
accounting , which recognizes revenues when earned and expenses when incurred.
Cash equivalents and investments are stated at cost.
cash, cash equivalents and investment accounts, and is recorded as it is earned. Investment
income is generally accounted for in the fund in which it is earned.
potential recognition or disclosure in the financial statements through May 26, 2016 the date
the financial statements were available to be issued.
6
L. ...E TOKYO LOFTS COMMUNITY ASt ,;IATION
DECEMBER 31 , 2015
NOTE 3 - FUTURE MAJOR REPAIRS AND REPLACEMENTS
The Association is in compliance with its governing documents that require funds be accumulated
operating purposes.
The Association 's reserve funding policy was based on a study conducted in May 2015, by an
contribution of $168,000. The Association's 2016 budget includes a reserve contribution of
$167,988. The study recommends a fully funded reserve balance of $1 ,279,626. As of December
31 , 2015, the actual available replacement fund balance was $601 ,313.
For the year ended December 31 , 2015, the Association qualified as a tax-exempt homeowners
association under Internal Revenue Code Section 528. Under that Section the Association is not
taxed on net income related to its exempt purpose, which is the acquisition, construction,
management, maintenance, and care of Association property. For the State of California, the
Association has not been granted exempt status. Net nonexempt function income, which includes
earned interest and revenues received from nonmembers, is taxed at 30% by the federal
government and at 8.84% by the State of California.
recorded . The Association's tax returns are subject to examination by the Internal Revenue
Service for three years after they are filed, and by the California Franchise Tax Board for four
Association members are subject to paying assessments to fund the Association's operating
$676.78 and was $8,884.73 for the commercial unit. The 2016 monthly assessment is budgeted
to change to a range of $444.90 to $757.80 per unit for the residential units and $8,402.26 for the
commercial unit. The annual budget and member assessments are determined by the Board of
Directors. The Association retains excess funds at the end of the year, if any, for use in future
periods.
7
L LE TOKYO LOFTS COMMUNITY AS-. ;1ATION
NOTES TO FINANCIAL STATEMENTS- CONTINUED
DECEMBER 31 , 2015
NOTE 6 - ASSESSMENTS RECEIVABLE
Association's governing documents provide for various collection remedies for delinquent
that may eventually be uncollectible. The allowance was computed by adding all receivable
balances older than 90 days.
insured bank. As of December 31 , 2015, the Association had deposits with Sunwest Bank that
exceeded the FDIC coverage limit by approximately $416,000.
NOTE 8 - INTERFUND ACCOUNT
The interfund account represents the amount one fund owes another fund . Various scenarios
may cause this situation which include, but are not limited to, one fund paying the expenses of
another fund , one fund borrowing from another fund, or the operating fund not paying the full
annual budgeted contribution amount to the replacement fund. As of December 31 , 2015, the
operating fund owed the replacement fund $9,016.
NOTE 9 - LAWSUIT
The owner of a commercial property located adjacent to the Association filed a lawsuit against the
Association alleging breach of contract in complying with terms of a Mutual Benefit Agreement, as
well as claims for water intrusion damages. The entire action has been settled to the mutual
satisfaction of the parties. The Association, through insurance proceeds and off-sets of
commercial owner assessments, has agreed to pay the Plaintiff the sum of $675,000. The
financial impact to the Association consists of expenses and attorney fees and offsets to
assessments in the amount of $237,500 over the course of the next ten years. The settlement
agreement resolves all issues and will result in a dismissal of the action .
8
L 1..E TOKYO LOFTS COMMUNITY ASt ...;IATION
REPAIRS AND REPLACEMENTS
(UNAUDITED)
A study was conducted in May 2015, by an independent analyst to estimate the remaining useful
repair and replacement costs at the time of the study. Funding requirements consider an inflation
rate of 3%, and an investment rate of 1% on accumulated replacement funds. The study
recommends an annual member contribution of $168,000. The Association's 2016 budget
includes a reserve contribution of $167,988. The study recommends a fully funded reserve
balance of $1 ,279,626. As of December 31 , 2015, the actual available replacement fund balance
was $601 ,313.
Estimated Estimated
Components (Years) Costs
General common area 0-15 $ 1,126,050
Mechanical 1-29 1,165,950
Pool & spa 0-5 32,100
Total $ 2,459,350
9
EXHIBIT "N"
~Beaumont Gitlin Tashjian
D:l:.J Turning Common Interests into Common Ground
File No. 4302

August 10, 2012
Via U.S. Mait &
!Email /qbeuchel@yahoo com;
(,rant E. Beuchel, Esq.

420 S. San Pedro St., #31 i
OS Angeles. CA 90013
RE: LITTLE TOKYO LOFTS COMMUNITY ASSOCIATION
Oear Mr. Beuchel:
As you are aware, this law firm serves as general legal counsel to Little Tokyo Lofts
Community Assoc1at1on ( "AssocIat1on ) . Please airect all future correspondence regaralng this matter
tb my attention at our Woodland Hills address
This letter shall serve to respond to your July 26, 2012 email to Donna Barrett, the
Association's insuranca agent, regarding various conditions on the Association's property Though
~our intent may be to assist the Association to resolve these violations the impact of your
unauthorized actions ic;. extremely harlT'ful to the Association and interfere~ with its contractual
relationship with the insurance company. The photos you have provided are misleading and could
lead th~ ln:.uranc.~ 1...omµa ny tc, <..anval C.01Jeragb, 1,-1hich only harm& 'dVeryone In the commur1\ty ,
ihcluding yourself.
Any and all violationc. vou witness shoulr1 be communicatc,d to rn~nagement fnr handling and
c;:orrection Your investigation can be helpful if channeled through the right venues. Property
management is available to address violations directly with owners to ensure that such matters are
rremedied and do not occur on a continuing basis. Providing such information to the Association's
earner impacts the carrier's evaluation of providing coverage and may result in the coverage being
~ncelled !imited or rriodifierl
You actions are clearly interfering with the Association 's business relations You are not the
insured and have no right to circumvent the Association and submit false and misleading information
to the carrie, . f he 80«:Srd ot Directors hereby demands that you cease and desist from such
~rohibited conduct.
Shoula you continue to contact the AssocIatIon s earner in tnis regard, tne Board will have no
choice but to pursue all legal remedies available to the Association In addition should your actions
result in a cancellation of the Association's policy, you will be held accountable for such damage to
the Association.
Please govern yourself c1cccraIng:y
Very truly yours,
/ <EA~T_Gl!LIN TASHJIAN
// ,,.. .,,.
- ... ; c:. .. _,,
I
LI\T. cb \
us~-p, TASHJIAN, ESQ'.-
f IWF\1- Lll.11118 Tokyo Lella Communlly Assn - #4302\2012 Corre1poodence\L-Beucoel re interference wlihAsso,ca11on lnaurance 120810.wpa
21650 O xnard
I
Street, Su ite 1620, Woodland Hills, CA 91367 .,. 866 788 9998 T 818 884 9998 F 818 884 1087 www.bgtlawyers.com
- ~
EXHIBIT "O"
Grant E. Beuchel
(661) 428-7365
January 7, 2018
TO: Little Tokyo Lofts Homeowners Association, A corporation; to each member

individually, and to their management company as follows:
PMP Management
27220 Turnberry Lane, Suite 150
Valencia, California 91355
As I will be unable to attend the general meeting set for January 9, 20181 am writing this
letter instead. Under the section "E2" the agenda uses the term "investments" which
caused me to be, perhaps for no reason, concerned.
I just want to put on record that if the board is holding owner monies in any manner in
which the principal could be lost (i .e .. not FDIC insured) T take the position that this
would constitute a breach of fiduciary duty. Further, if any principal monies did, in fact
become lost, I would take the position that this is the result of "gross negligence" and that
the board members are personally liable to the owners for any such loss.
Thank you in advance for your kind consideration.
Sine~/• _
<
------
-< ----
Gdnt Beuchel
Unit #311
EXHIBIT "P"
·:.:
\--,.----t-·
·-
•·
. - .,
'
....
. .
-:1 ~
·-.
r •:~ . .
-✓;.
I ·,,'
' ..
·.
t
.
·"-/
.if.
~! -~ .
·.{ ~~-
-:t ~ ,/'
'/
• v:,t ('
,,. . }'
"'!/ l,.
• ,i
··7··,
' .
/"
/
« . -~
·
. ..
> )'
:/
/ ·_ /.:(-.
,
',/ I
. -..
....._,,.,.~ /.
•• -✓
.,✓
./
I
I
♦
' '
' ,I
\ .. \'
' .
\,
,1\
'\ ~
..
,\
.\ '
\,1 '
,. ,, ' ' '.. -. \ '
' '
~ '! i
1· ·~ ~• ' I
I
\•
\
.''
' ,,
I
1\
\,
-'.l \ ' \
' '•
I
..I ~..
,v
,. l'
I
I
\1 I'
' ,l \
I\
l, \
' ,,
~
...
I
!
:lit, t
' ,. 'I I ._, \ 1
' '
'
L
' ...
I •
• ' :• ..
•" I. '• r
J,) ~,~
f ,I
.. ,. ..
-. - • f
,;
=
~ _..,..._...,__=-,,_,_.,....,..__,___.,....___
- -----~,...------
l
... .
-
,.
/
1
l
;
.._
l
.. ~-~-.·
. ' .. .'
~
,
. ' ' .. . . '
. . , ' .. ~ ' .
..
,I
EXHIBIT "Q"
------
Joseph Tuchmayer (SBN72974) fCHANGES NOT REVIEWED BY ATTORNEY)
Law Offices of Joseph D. Tuchmayer
2
888 S. Figueroa Street, Suite 620
3 Los Angeles, California 90017
(323) 806-2209
4
s LOS ANGELES JUDICIAL DISTRICT

6
COUNTY OF LOS ANGELES, STATE OF CALIFORNIA
7
GRANT BEUCHEL Case No.:
8
Plaintiff,
9
DRAFT COMPLAINT
JO vs.
11 LITTLE TOKYO LOFTS HOMEOWNERS

ASSOCIATION, A CORPORATION; AND
12
DOES 1 THROUGH 100
13
Defendant
14
15 COMES NOW PLAINTIFF, GRANT BEUCHEL, and alleges against
16 defendants, and each of them, as follows:

17
18
1. Defendant. LITTLE TOKYO LOFTS HOMEOWNERS ASSOCIATION. A
19
20
CORPORATION (hereinafter referred to as "the Association" or
21 "Association") is. and at all times mentioned was a non-profit mutual benefit
22 corporation organized and existing wider and by virtue of the laws of the
23
State of California and United States Code Title 26 Section 501(c), and is
24
composed of owners of semi-residential and semi-commercial units which
25
are located at 420 S. San Pedro Street. Los Angeles. California 90013. legally
26
27 described as:
28
DRAFT COMPLAINT
"lot I oJTract No. 53922. as shown on a suhdivision
2
map, filed July 18, 2006, in book 1319, pages 88 to 90,
3
inclusive, of maps, in official records "
4
2. The property, known as "Little Tokyo Lofts", is not in the section of Los Angeles
5
6 designated as -Little Tokyo," but rather, is actually in the district known as ·· kid
7 Row." The property was named by the developer, Hammer LLC.

8
3. The "Skid Row" district which is a historical neighborhood over 100 years old was
9
defined b~ Jones\. City of Los Angeles. as the area cast of Main StrceL South of
IO
fhird Street, West of Alameda Street, and North of 7lh Street. The Property located
11
12 at 420 S. San Pedro street does fall within these boundaries.
13
4. The Skid Row community is generally, a low-income community. of
14
approximately 15,000 residents, many of whom live in converted single room
15
occupancy hotels or "SRO's". At last count, the homeless population living on
16
the street in tents or otherwise was estimated at 4,633 - - - the largest homeless
17
population in the United States. A great percentage of the population suffer from
18
disabilities, both physical and mental, which, among other ways, express themselves
19
by the use of drugs like methamphetamine and a chemical concoction sold legally as
20
bath salts, but in reality, is smoked and referred to as "spice."
21
5. These unusual neighborhood conditions. including the homeless persons \vho
23 live on the streets just outside and around the Property, as well as other
24 circumstances not specifically alleged herein, create unique challenges for the
25 Association in terms of security of the Property, its owners and residents and
26 their respective guests. as well as other unique circumstances.
27
28
DRAFT COMPLAINT
6. In accordance with the "'Declarations of Covenants. Conditions & Restrictions (the
2
"CC&Rs") recorded with and on file with the Los Angeles County Recorder's
3
Office, and pursuant to Civil Code Section 4000 et. Seq., the Association has the
4
sole and exclusive right and duty to manage, operate and control the Property and
5
6 has all the power necessary to carry out its rights and obligations, including the righ
7 duty and power to contract for legal services to prosecute any action to enforce the
8
CCRs and/or other governing documents.
9
7. A true and correct copy of the CCRs is altached hereto as ··Exhibit "·A··. the contents of
10
which are incorporated herein, by this reference, as if set forth here, in full, verbatim.
11
12 8. The CCR's are enforceable equitable servitudes; are not unreasonable; and inure to the
13 bcncfi t of and bind all owners of separate interests in the Association.

14
9. The Property is subject to the ··Los Angeles Adaptive Reuse Ordinance" (hereinafter
15
"the Ordinance" or "Ordinance") originally enacted in 1999 and which has been
16
modified and extended since that time. Adaptive reuse refers to the process of reusing
17
18 an old or historical site for a purpose other than 'v\hich it was originally built or
19 designed for in an attempt to preserve historic buildings.

20
10. In the case of the Property, the Ordinance allows residential and some semi-
21
commercial uses which absent the ordinance would be contrary to Laning laws, and
allows those changes in use so long as certain conditions required by the Ordinance are
23
24 met, and continue to be met, and that the reuse will not adversely affect the special
25 character or special historical, architectural. archaeological. or cultural value of the

26
Property. The units within these buildings arc commonly referred to as ··artist lofts..
27
although they are not limited to semi-commercial uses by artists alone.
28
DRAFT COMPLAINT
11. The first noor of the property (excepting the lobby area and an adjacent storage
2
room being used illegally as an office) is permitted by the city to be used as fully
3
commercial and non-residential units and are owned by a commercial developer, and a
4
mutual benefit agreement exists between the owner of these first floor commercial unit
5
6 and the Association. A copy of thi mutual benefit agreement is attached hereto as
7 Exhibit "B" solely for its ease of reference.

8
12. Plaintiff alleges within the causes of action contained in this complaint that the
9
Association·s representatives. through their actions and inactions. created situations
10
wherein:
11
12 a. The property may not be meeting all of the required
13 conditions of the Ordinance;

14
b. The Association has consistently failed to enforce its
15
governing documents while being under a duty to do so;
16
c. The Association has consistently failed to disclose material
17
18 facts to the owners \\hen under a duty to do so:
19 d. The Association has engaged in violations of law;

20
e. The Associations' board of directors routinely engage in
21
serial communications;
f. The Association, through its representatives DOES I - 100

23
24 habitually ignore the law and do not respond effectively to
25 the government's attempts to enforce the law. and as such

26 I for all intents and purposes arc --scofflaw··
27
28
DRAFT COMPLAINT
g. The Association through their actions and inactions have
2
breached their obligation to act in good faith as well as their
3
fiduciary obligations to the Plaintiff and other owners
4
generally, and have also failed to deal fairly with them, and
5
6 among these failures is the Associations use of the law to
7 thwart attempts by the Plaintiff and other owners to enforce

8
their rights under the law and the Associations obligations
9
pursuant to the governing documents. Thus. the
10
Association is not acting in the best interests of the Plaintiff
11
12 or the other owners. (See Exhibits "N" and "G" the
13 contents of which arc incorporated herein by this

14
reference.)
15
16
13. Grant Beuchel (hereinafter '·the Plaintiff' or "Plaintiff') is an individual who owns
17
18 an undivided interest in common areas of the Propcrt) coupled with a separate
19 interest in space called a unit, over which he enjoys exclusive use, and as such is one
20
of 160 owners of the Property with standing to bring this action for an order to
21
enforce the governing documents: and an order mandating the disclosure of certain
material facts which, as of the time of the filing of this complaint, remain
23
24 undisclosed by the Association; and to cure various violations of law; and for further
25 relief as is prayed for herein.

26
14. None of the allegations made herein are for purely ordinary maintenance issues
27
which the Plaintiff concedes are issues entrusted to the discretion of the Association
28
DRAFT COMPLAINT
through its board of directors. Rather. the causes of action herein embody Oagrant
2
failures of the Association to reasonably discharge their obligations to the Plaintiff
3
and the other owners, including but not limited to, the failure to enforce CCR's,
4
Rules & Regulations, and other governing documents; to disclose material facts
5
6 known to the Association; and to comply with the law generally.
7 15. DOES I through 100 are natural persons designated or elected to act on behalf of the
8
corporate Association pursuant to Corporations Code Section 5047, and who have
9
sencd in that capacity during the relc\ant times complained of herein. The true
10
names of these natural persons is unknown to the Plaintiff who will amend this
11
12 complaint accordingly when the true names and relevant capacities are ascertained.
13 16. Plaintiff is not seeking money damages from the Associations or its board of
14
directors, neither past nor present, but is seeking declaratory relief and other relief as
15
is more fully set forth in this complaint, including but not limited to, the costs, fees
16
and other expenses associated with bringing this action.
17
18 17. All of the images collecti \'el) contained in Exhibit '"P" were taken between August.
19 1, 2018 and the time this complaint was filed, the contents of which are incorporated
20
herein by this reference.
21
18. FirstService Residential became the ··communit) management team·· for the
22
Property on August 1, 2018 and has remained so through the present.
23
24 19. Plaintiff brings this action on his own behalf, and in a representative capacity on
25 behalf of all other owners of the Property. past and present. who have a similar
26
interest in having the CCRs and other governing documents enforced. and other
27
declaratory relief prayed for herein.
28
DRAFT COMPLAINT
20. The Association has legal standing and a legal c.lut) Lo enforce the CCRs and other
2
goycrning documents, but upon any such failure by the Association. then any
3
member, including but not limited to the Plaintiff, has standing to litigate
4
enforcement of the same. Likewise, both the Association and an) member,
5
6 including but not limited to. the Plaintiff has qanc.ling to litigate to compel the
7 Association to obey all existing laws that apply to them, and disclose material facts
8
to all of the owners, which they have failed to disclose as of the filing of this
9
complaint and/or thereafter.
10
21. Prior to the institution of these proceedings, Plaintiff did comply with Civil Code
11
12 Section 5935, (See Declaration of Grant Beuchel attached to this complaint as Exhibit
13 --c--) and further did attempt to engage in informal resolution procedures pursuant to
14
Section 5910 of that same code, and thus Plaintiff has made a prima facia showing of
15
his good faith efforts to resolve the issues complained of herein without the need for
16
judicial intervention.
17
18 22. The Association failed to engage in resolution procedures in good faith as is
19 further detailed in the First Cause of Action herein, and more specifically did not
20
comply with Civil Code Sections 5905(a) & 5910(f).
21
23. Since approximately 2010 through the present, Plaintiff also engaged in many
22
other activities to avoid this formal litigation including, but not limited to, addressing
23
24 the Association's various board of directors in executive session; speaking to board
25 members informally "one on one": writing letters to the board and their attomies
26
making complaints and suggestions to resolve those disputes: writing to the
27
Associations liability carrier and providing to them pictures depicting issues of concern
28
DRAFT COMPLAINT
reporting the Association to vario us governmental agencies exposing issues that
2
represented violations of law; and attempting to work with the Associations various
3
"community managers" all which were with some limited success, but in the end, not
4
suffi cient success to avoid these legal proceedings.
5
6 24 . On Octo ber 17, 20 18, Plaintiff did engage in legally mandated dispute resolution.
7 As a result, Plaintiff agreed to give to the Association sixty (60) days to come into
8
compliance; the Association suggesting that it would do so; and Plaintiff skeptical if
9
this would actuall) occur. In an effort to support any Association efforts in this regard,
10
and to inform the other owners of Plaintiff's intended actions.
11
12 25. On October 22, 2018 at a regularly noticed general meeting of the board, Plantiff
13 did attend and did offer to email a draft version of this complai nt to the Associations
14
representatives who were present at the meeting. All of the Associations
15
representatives declined this offer. A copy of this draft complaint is attached hereto
16
and marked as Exhibit "Q", the contents of which are incorporated here by this
17
18 reference, as if set forth, in full, verbatim.
19 26. Alternative dispute resolution pursuant with Civil Code Section 5935 did not
20
occur within 90 because the parties stipulated to a longer time period.
21
21
FlRST CAUSE OF ACTION
23
24 (Violation of Civil Code Sections 5905(a) & 591 O(f)
25 27. Prior to engaging in the Civil Code's mandatory "Alternative Di spute Resolution"
26
by way of a med iation on October 17. 20 18. Plaintiff did demand an informal
27
resolution procedure pursuant to section 5910, in an attempt to avoid litigation.
28
DRAFT COMPLAINT
28. f n response to the request for an informal resolution procedure. an informal
2
meeting was scheduled for and did occur on February 22, 2017 in an area of the
3
Property used by the Board for various meetings, including executive sessions and
4
general meetings, and as an office generally, on the first floor of the Property adjacent
5
6 to the passenger elevator lobby. The term --office" is a misnomer in that this area is
7 actually a room for storage illegally built-out into an office without the required city
8
permits to do so. This storage/office area remains unpermitted as of the time of the
9
filing of this complaint.
10
29. During the section 5910 meeting, Plaintiff was represented by attorney Joseph
11
12 Tuchmayer, and the Association was represented by David A Wankel of the law firm o
13 Iger. Wankel Bonkowski.

14
30. When the meeting began, it was suggested by attorney Tuchmayer that Plaintiff
15
explain his position regarding various grievances, many of which form the basis for the
16
causes of action in this complaint, and upon speaking, after approximately 2 minutes.
17
18 counsel for the Association took the position that the Plaintiff was being "rude"' and
19 ended the meeting without giving the Plaintiff an opportunity to explain his positions in
20
violation of Civil Code Section 591 0(f).
21
31. In truth, the Plaintiff was merely just starting to point out the myriad of problems
the owners were facing as a result of the Associations failures, including but not limited
23
24 to the fact that the room used for the 5910 meeting was not a legally occupiable space;
25 the meeting itself was a serial communication since the owners were not notified in
26
advance of the meeting pursuant to Civil Code Sections 4920(b)(2) & 4930(a); and
27
other matters which adversely affect the owners.
28
DRAFT COMPLAINT
32. Three of the Associations board of directors were present at the meeting. the three
2
representing a quorum, and none of these representatives objected to the ending of that
3
informal meeting without giving the Plaintiff an opportunity to explain his positions;
4
the issues in dispute and any possible resolutions of the same, and in fact, those issues
5
6 remain in dispute as of the filing or this action, and many form the basis for this
7 complaint and its causes of action herein.

8
33. Plaintiff prays that this court make a finding that the Association's actions and
9
inactions were in" iolation or Civ ii Code Sections 5905(a) & 591 O(Q for reason that
10
the Association failed to give to the Plaintiff an opportunity to explain his position
II
12 regarding various issues, which may have negated the need to proceed to more formal
13 mediation proceedings and the filing of this legal action. Plain ti ff further prays that the
14
court make a finding that the Association failed to act in goof faith towards the plainti
15
in regards to dispute resolution, and other matters generally.
16
17
18 SECOND CAUSE OF ACTION
19 (Failure to enforce CCR's including Sections 2.8.2 & 2.8.4)

20
34. CCR 2.8.2 states an authorized vehicle is:
21
··an automobile. a passenger van designed to
accommodate ten (10) or fewer people, a motorcycle or a

23
24 pickup truck having a manufacturers rating or payload
25 capacity of one ton or less'' (Emphasis Added)

26
27 35. Filed almost simultaneous!) v.ith the CCR's, was the original set of "Rules and
28 Regulations" dated April 27, 2006. A true and correct copy of those Rules &
DRAFT COMPLAINT
Regulations is attached hereto as ··Exhibit ··o'·. the contents of which arc incorporated
2
herein, by this reference, as if set forth here, in full, verbatim.
3
36. Neither CCR 2.8.2 nor the original rules & regulations permitted the parking of
4
more than 1 vehicle in a parking space.
5
6 37. During the tirst 7 years Plaintiff was an owner, the Association took the position
7 that the governing documents did only permit a single vehicle in a parking space, but
8
through its various boards and board of directors, never consistently enforced this rule.
9
38. Also. the Association. through their actions and inaction. allov,ed the parking of
10
vehicles, such as motorcycles and mini-bikes, both registered and unregistered in
11
12 locations of the garage that were not designated as parking spaces in violation of CCR
13 2.8.4
14
39. In approximately February of 2016 the Association attempted to sanction these
15
CCR violations by purpotedly amending its Rules & Regulations to allow for the
16
parking of multiple vehicles in the same parking spot. However, the Association has
17
18 never enforced its purported ne\\ rules. the same as it never enforced the original rules
19 and the Property has many residents parking two or three motorcycles and/or an
20
automobile with a motorcycle in the same parking spot, or motorcycles, registered and
21
unregistered. in areas that are not designated parking spots.
22
40. These purportedly new and revised Rules & Regulations are attached hereto as
23
24 Exhibit "E" the contents of which are incorporated herein by this reference, as if set
25 forth. herein. verbatim.

26
41. rhese CCR violations complained of herein have the effect of lowering the value
27
of the Property; decrease the residents enjoyment of the property and more specifically
28
DRAFT COMPLAINT
rcsuft in less habitable common areas: result in an increased risk of harm to residents
2
and their guests; violate the terms and conditions of the Associations liability policy;
3
and otherwise violate the law and common practices in the industry.
4
42. The Associations failures complained of herein are in violation of the CCR's, and
5
6 more specifically ections 2.8.2 & 2.8.4; constitute violations of the Associations duty
7 to enforce the governing documents; are in conflict with their purportedly revised Rule
8
& Regulations; are contrary to the conditions required by the Ordinance; are contrary to
9
what the Associations liability carrier ""ill allO\\ to continue liability coverage: and are
JO
contrary to law and common standards in the industry, all of which results in damages
11
12 to the owners as well as an increase in potential liability to the Plaintiff and other
13 ov,ncrs of the Property.

14
43. The Association has failed lo inform its liability carrier of its purported new rules
15
& regulations even though the terms of their liability policy require the Association to
16
provide notice of such changes to the carrier if they occur, and these failures subjects
17
18 the ov,ners to the potential for a claim denial and/or a partial co\crage situation.
19 44. In aggregation and in aggravation with the Associations failure to enforce CCR
20
2.8.2 & 2 .8.4 the Association has also failed to enforce various other Rules &
21
Regulations regarding the parking of vehicles in parking spaces and/or in non-parking
:n
spaces and/or in-between parking spaces; and allowing storage of items or garbage
23
24 including petroleum based fuels and other hazardous materials.
25 45 . CCR Sections 2.8.2 & 2.8.4 are enforceable equitable servitudes and enforcement
26
of the same would not be --~hol 1: arbitrat"). "iolatc a fundamental public pol ic:, or
27
impose a burden on the use of affected land that far outweighs any benefit."
28
DRAFT COMPLAfNT
46. The failure to enforce the governing documents has resulted in actual damage to
2
the owners; has lowered the quality of life of the owners and residents; and results in
3
the diminution of the pecuniary and commercial value of the Property, its common
4
areas. and the individual units therein.
5
6 47. Plaintiff prays for declaratory finding that the board has failed to enforcing CCR
7 Section 2.8.2 & 2.8.4, and other sections of the governing documents to the detriment
8
of the owners, and further prays for an order requiring that the Association to enforce
9
the same. forth\.\.ith. and without hesitation. to minimi?c an:, future damages to the
10
Plaintiff and other owners.
11
12 TIDRD CAUSE OF ACTION
13 (Failure to Enforce Rules & Regulations - Original Version dated April 27, 2006)
14
48. The Association has consislenlly failed lo enforce the original version of the
15
Rules & Regulations dated August 27, 2006 and attached hereto as Exhibit "D"
16
49. The Association takes the position that these Rules & Regulations are no longer i
17
18 effect because thc1 were superseded by a new set of Rules & Regulations enacted on or
19 about April of 2016, whereas Plaintiff alleges that these revised and un-dated Rules &
20
Regulations are void for the Associations failure to follow the Civil Code when the
21
Association attempted to enact them. (See Fourth Cause of Action).
50. Thus, Plaintiff alleges that these original rules are still in full force & effect due to
23
24 the fact that the Association never legally enacted a revised set of Rules & Regulations.
25 51. Plaintiff became an owner, and thus a member of the Association in

26
approximately September. 2009. and since that time through the present the
27
28
DRAFT COMPLAINT
Association. has chronicall) failed to enforce various portions of the Exhibit ··E"' Rules
2
& Regulations, and continues to violate the law generally.
3
52. Some of the sections of Exhibit "E" that the Association has consistently failed to
4
enforce are:
5
6 (a) ection 6.5- Door Mats at door entry;
7 (b) Section 6.5 - Signage

8
(c) Section 6.6 - Signs, symbols or door knockers or similar features ...... which can be seen
9
from the common area corridor and hallv.·ay;
10
(d) 6.15 - Adornment
11
12 (e) 7.2 - Illegal discharge into storm drains
13 (I) 10.2 Dogs off of leash

14
(g) 10.10- Dogs in the pool area
15
(h) 9 .1 - Parking blocks access of other parking and/or parking outside of parking spaces
16
(i) 9.4 - Parking vehicles with excessive oil leaks causing staining
17
18 U) 9.6 - Oversized vehicles ...... \\hi.ch do not fit in a parking space
19 (k) 9. 7 - Working on vehicles in the performance of non-emergency repairs

20
(I) 9.9 - Unregistered vehicles
21
(m) Section 11 Generally - Failure to require that O\\ners notify the Association if a unit is
being rented; contact information for the renters; leases in writing requiring that the
23
24 tenants be required to adhere to the Rules & Regulations as part of the written lease
25 agreement and providing tenants with a copy of the Rules & Regulations:
26
(n) Section 12 Generally- Failure to require o~Tiers to notify the Association that a unit has
27
28
DRAFT COMPLArNT
boxes in designated areas onl): failure to provide the listing agent with a cop) of the
2
rules & Regulations; and most importantly, failing to escort prospective buyers through
3
the common areas and instead allowing the owner or listing agent to simply "buzz" non-
4
owner and non-residents into the building:
5
6 (o) Section 13 Generally-Allowing owners to use service and trade people without
7 notifying the Association in advance; allowing said persons onto the premises to do
8
work; allowing said contractors to use hallways and the loading dock as a staging area;
9
not limiting said ""ork to days and times speci ficd in the Rules & Regulations. including
10
but not limiting to, allowing the performance of said work on Sunday; allowing
II
12 exclusive use of elevators; allowing work by unlicensed and uninsured trades persons;
13 allowing the use of noisy equipment such as jackhammers without notifying neighbors i
14
advance of the proposed work;
15
(p) 15.6 -No pets allowed in the pool area;
16
(q) 16.5 - Disposal of oversized articles;
17
18 (r) 17.2 - Black drapes and ¼indow co,erings
19 (s) Section 18 Generally-Allowing holiday ornaments and lights all year round
20
(t) 19.2 & 19.4 Allowing residents to permit entry of third-parties not known to them
21
(u) 20.5 Signage
22
23
24 53. Images depicting some of these violations which did occur from 2009 through
25 2012 are collectively attached hereto as Exhibit "F" the contents of which are incorporated
26
herein by this reference, as if set forth. in full. verbatim. Further images contained in a
27
letter from the Plaintiff to the Associations then attorney Lisa Tashjian dated 8/14/2012
28
DRAFT COMPLAINT
and 8/31 /2012 arc attached hereto collectively as Exhibit ··G·· the contents of which arc
2
incorporated herein by this reference, further evidence these violations and failures of the
3
Association. (See also Exhibit N)
4
54. Plaintiff has been complaining to the Association, its attorneys of record, and its
5
6 liability carriers regarding the chronic failures of the Association to enforce the
7 governing documents, and demanded that the Association investigate those complaints,
8
but Association failed to investigate the Plaintiff's complaints, notwithstanding their
9
legal obligation to do so. primarily because the Association was av.arc that the
10
complaints were valid, but was not desirous to enforce all of the governing documents.
11
12 55. The failure to enforce the Rules & Regulations, and other governing documents
13 by the Association is and always has been chronic in nature. and has resulted in actual
14
damage to the owners; has lowered the quality of life of the owners and residents; and
15
results in the diminution of the pecuniary and commercial value of the Property, its
16
common areas. and the individual units therein.
17
18 56. Plaintiff seeks a finding b1 the court that the Association has not and is not
19 enforcing its governing documents, including its Rules & Regulations as is required by
20
law and prays for an order requiring said enforcement, without hesitation, to prevent
21
future damages. to the Plaintiff and other O½,ners.
23
24 FOURTH CAUSE OF ACTION
25 (Declaratorv Relief - Violation of Civil Code Section 4360)

26
27
28
DRAFT COMPLAINT
57. On or about April. 2016. the Association. according to them. amended the Rules
2
& Regulations, which arc attached to this complaint as Exhibit "D" (original rules date
3
4/27/06) and Exhibit "E" (purported new rules). Exhibit "E" is an undated document.
4
58. Plaintiff alleges that the Association did not give 30 days' notice of their propose
5
6 change in Rules & Regulations as is required by Civil Code Section 4360. Instead the
7 Association mailed to the Plaintiff, a "Memorandum" dated "February, 2016" in lieu of

8
actual proper dated notice. Plaintiff received this memorandum more than half way
9
through the month of Februar1 . 2016 and did not open the envelope until approximate!
10
the 27 th or 28 th of February.
11
12 59. It was not possible to calculate from the undated memorandum when Plaintiff's
13 last day to respond or otherwise object to the ··notice·· would be. but since the
14
memorandum was dated ··February, 2016"·, Plaintiff was forced to err on the side of
15
caution and respond by March 1, 2016 which gave the Plaintiff only a few days to
16
respond to the memorandum/notice.
17
18 60. As Plaintiff \Vas not given a full 30 days to respond, Plaintiff was stifled in
19 providing a better response for lack of time, and in fact, subsequently discovered facts
20
which would have resulted in a more complete response and/or objection had he been
21
given the full 30 days as is required by law.
61. Plaintiff provided an objection in his response dated February 28, 2016 and
23
24 mailed on March 1, 2016, a copy of which is attached hereto as Exhibit "H" the
25 contents of which are incorporated herein by this reference, as if set forth here, in full.
26
verbatim. rhc first page of Exhibit ··1r· is a true and correct copy of the essentially
27
undated notice (i.e., "February, 2016) which indicates that the Association would be
28
DRAFT COMPLAfNT
considering the proposed rule changes at a board of directors meeting scheduled for
2
March 24, 2016.
3
62. Plaintiff is alleging that a memorandum dated "February.2016" was received by
4
him more than half way through the month of February, 2016 and that the notice did
5
6 not indicate when the Plaintiffs la t date to respond would occur, and that therefore the
7 Plaintiff, de facto, did not receive the requisite 30 day notice as is required by the code.
8
63. Plaintiff also appeared at the March 24, 2016 scheduled general open meeting and
9
again voiced his objection to the Association· s purported notice. and asked that the
10
proposed rule change be re-noticed correctly, but notwithstanding the Plaintiffs written
11
12 and verbal objections, the Association, through its board of directors, voted to approve
13 the revised Rules & Regulations and claims now that they did in fact enact the new
14
revised set of Rules & Regulations.
15
64. Plaintiff alleges that these revised rules were not lawfully enacted for lack of
16
notice; conflict with the CCR's; are contrary to the conditions required by the Adaptive
17
18 Reuse Ordinance; arc contrary to standards in the industry; are not permissible by the
19 Associations liability carrier; result in actual damage to the owners; have lowered the
20
quality oflife of the owners and residents; and results in the diminution of the
21
pecuniary and commercial value of the Property. its common areas. and the individual
22
units therein. Notwithstanding, the Association has failed to enforce these purportedly
23
24 revised Rules & Regulations as is further alleged in the Fifth Cause of Action herein.
25 65. The Association has failed to disclose to its liability carrier that there was any
26
revision or attempted revision in its Rules & Regulations. and has failed to provide a
27
28
DRAFT COMPLAINT
copy of the purported revised Rules & Regulations as is required by the terms of its
2
liability policy.
3
66. Plaintiff seeks a finding by this court that the Association failed to comply with
4
Civil Code Section 4360(a) and that the "revised" Rules & Regulations are void and no
5
6 in effect because they never legally took effect, and therefore Lhe orjginal set of Rules
7 & Regulations dated April 27, 2006 are still in effect; and for an order to the
8
Association directing it to enforce said rules & regulations; and allowing the
9
Association another opportuni t)' to re\ ise the rules & regulations in a legal manner.
10
11
12 FIFTH CAUSE OF ACTION
13 (Declaratory Relief - Failure to enforce .. revised .. and un-datcd Rules & Regulations)
14
67. Notwithstanding the allegations made in the Fourth Cause of Action (above), the
15
Plaintiff alleges in the alternative, that even if the revised and un-dated Rules &
16
Regulations are found to be in full force and effect, the Association is not enforcing
17
18 these either.
19 68. Specifically, the Association is not enforcing:

20
a. Section 6.5- Door Mats at door entry;
21
b. Section 6.5 - Signage
c. Section 6.6 - Signs, symbols or door knockers or similar features ...... which can be seen
23
24 from the common area corridor and hallway;
25 d. 6.15 -Adornment
26
e. 7.5 - Increasing insurance rates
27
f. l 0.1 - Parking blocks access of other parking and/or parking outside of parking spaces
28
DRAFT COMPLAINT
g. 10.2 - Vehicles without registration or tags
2
h. I 0.4 - Parking vehicles with excessive oil leaks causing staining
3
1. 10.6 - Oversized vehicles .. .... which do not fit in a parking space
4
J. 10.7 - Working on vehicles
5
6 k.. 10.11 - More than 2 motorcycles; A utomobile/Motorcycle combination
7 l. 11 .1 - Dogs off of a leash

8
m. 11.2 - Dogs in the pool area
9
n. 11.7 - Dogs urinating an}w here not in the dog run or off the propcrt}.
10
o. 11.10 - More than l dog permanently (other than guest dog)
11
12 p. Section 12 Generally- Failure to require that owners notify the Association if a unit is
13 being rented; contact information for the renters; leases in writing requiring that the
14
tenants be required to adhere to the Rules & Regulations; and providing tenants with a
15
copy of the Rules & Regulations;
16
q. Section 13 Generally - Failure to require owners to notify the Association that a unit has
17
18 been listed for sale: providing the name, telephone number of the listing agents: lock
19 boxes in designated areas only; failure to provide the listing agent with a copy of the rule
20
& Regulations; and most importantly, failing to escourt prospective buyers through the
21
common areas and instead al lowing the owner or listing agent to simply "buu" non-
22
23
24 r. Section 14 Generally - Allowing owners to use service and trade people without
25 notify ing the Association in advance: allowing said persons onto the premises to do
26
work; allowing said contractors to use hallways and the loading dock as a staging area:
27
limiting said work to days and times specified in the Rules & Regulations, including but
28
DRAFT COMPLAINT
not limiting to. allo\ving the performance of said \>\Ork on Sunday: allowing exclusive use
2
of elevators; allowing work by unlicensed and uninsured trades persons; allowing the use
3
of noisy equipment such as jackhammers without notifying neighbors in advance of the
4
proposed work;
5
6 s. 16.5 - Dogs in the pool area
7 t. 17 .5 - Oversized trash
8
u. 18. l - Black Drapes and window coverings
9
\ . Section 19 - AllO\\ing decorative lights outside the units year round
10
w. 20.2 - Allowing non-residents access to the building
11
12 x. 20.6 - All packages are left with security who signs for them.
13
14
69. Prior to the claimed enactment of these new and undated rules, the Plaintiff objected t
15
some of the proposed new rules for merit based reasons. One of the suggestions was
16
to eliminate the name of the property management company by name and to eliminate
17
18 use of their phone number on the grounds that if the Association changed management
19 companies, the rules & regulations would be immediately outdated. The Association
20
decided to not make any such changes, and the Association has twice changed
21
management companies since it purportedly approved these new rules & regulations
and started haphazardly enforcing or not enforcing each of them on a seriatim case by
23
24 case basis and in an arbitrary and capricious manner. Hence, the phone numbers to
25 call in case of an emergency go to the wrong management company. Plaintiff alleges

26
that in the event of a serious emergency. the waste of time contacting the \Hong
27
company could result in monetary damages and possibly loss of life.
28
DRAFT COMPLAINT
70. Plaintiff alleges that these revised rules conflict with the CCR's: arc contrary to
2
the conditions required by the Adaptive Reuse Ordinance; arc contrary to standards in
3
the industry; are not permissible by the Associations liability carrier; result in actual
4
damage to the owners; have lowered the quality of life of the owners and residents; an
5
6 results in the diminution of the pecuniary and commercial value of the Property, its
7 common areas, and the individual units therein

8
71. The failure to enforce these Rules & Regulations, and other governing documents
9
by the Association is and always has been chronic in nature and has resulted in actual
10
damage to the owners; has lowered the quality of life of the owners and residents; and
11
12 results in the diminution of the pecuniary and commercial value of the Property. its
13 common areas. and the individual units therein.

14
72. In the alternative to the Fourth Cause of Action, Plaintiff seeks a finding by the
15
court that the Association has not and is not enforcing its governing documents,
16
including its Rules & Regulations as is required by law and prays for an order requiring
17
18 said enforcement, \\ ithout hesitation. to prevent future damages, to the Plaintiff and
19 other owners.
20
73. Photographs of some of the violations alleged are attached hereto collectively as
21
Exhibit ·•P", the contents of which are incorporated herein by this reference. All of
these images were taken from August 1, 2018 through the present, although Plaintiff is
23
24 in possession of additional images which will be provided upon request during the
25 discovery process. and these images pre-date August 1, 2018.

26
27
SIXTH CAUSE OF ACTION
28
DRAFT COMPLAINT
(Violation of Civil Code Section 4935(c) & accompanying failures to disclose)
2
74. Prior to May 30, 2012, Johnathan Wiseman and bis wife were renting a unit
3
within the Property and had been doing so for at least a couple of years.
4
75. The Wisemans' had 2 large dogs in violation of the CCR 's which only permit an
5
6 owner or resident to have one dog. The Weismans· frequently used a dog run located on
7 the Property.
8 76. Prior to May 30, 20 I 2 Johnathan Wiseman was in the dog run with his 2 dogs along
9
with another owner who had his one dog. One of the Wiseman dogs began fighting with
10
the other owners dog and Mr. Wiseman was unable to control both of his dogs, and as a
11
result Mr. Wiseman claimed to have sustained serious injuries. Some of the injuries that
12
13
Mr. Weisman was claiming was that he broke his leg in 3 places and was in a full leg cast
14 from his toe to his hip for approximately 1 year; had multiple surgeries; was out of work
IS for a year and had other injuries for which he and his wife sued both the owner of the
16 other dog and the Association.
17
77. Aside from his claim or ph) sical injuries, loss or income and pain in suffering, Mr.
18
Weisman was also claiming a loss of consortium with his wife since due to his injuries an
19
staying home all day and night he finally figured out she had been sleeping with other me
20
21 who were living on and off the property, but alleged that her sexual escapades was a result
of his injuries in that he was unable to perform sexual I) to satisfy her.
23 78. Mrs. Weisman also brought a claim for loss of consortium claiming that her sexual
24
escapades were the result of her husbands inability to perform for her sexually, and as a
25
result damaged her. but in fact she was engaging in said activities long before the incident
26
in which her husband alleged he had sustained injuries.
27
28
DRAFT COMPLAINT
79. The We isman case was fil ed at Stanley Mosk Los Angeles Superi or Court located at
2
111 N. Hill Street in Los Angeles, California and was assigned Case Number BC485658.
3
80. Plaintiff alleges that the owner of the one dog (hereinafter referred to as "Kraft"),
4
did not have any insurance that would have covered his liability for the claims made by
5
the Weismann·s. hence the on l) \ iable liabilil) pol ic) \\as the liabilit} polic) issued to the
6
7 Association.
8 81. Further, Kraft was woefully delinquent in his Association dues at the time of the
9 inc ident and the Association evcntuall) fi led for forec losure against him to collect said
10
dues. As a result of both his potential liability without homeowners insurance to cover the
11
same and due to the foreclosure proceedings, Kraft sold his unit and vanished with his
12
dollar equity to parts unknown to the Plaintiff, leaving the Association as the only viable
13
defendant in t he case .
14
15 82. The failure of the Association to enforce the one pet policy resulted in their lack o f
16 one legal defense the Association would have otherwise had, but for the Associations
17 fa ilure to enforce.
18
83. In September of 2012. Plaintiff believed, and continues not to believe, that the board
19
of directors were responsible to reimburse the Association for any damages associated
20
with the Weisman case, and that those costs and expenses should not be borne by the
21
O\\ ncrs in for form of unnecessary attorney fees, increased insurance costs, or other\\ ise.
23 In an attempt to protect the Association, Plaintiff authored several letters to the
24 Associations then attorney, Lisa Tashjian suggesting that it was her duty as the attorney
25
for the Association Lo protect her client - th e assoc iation - and make the liabilit) carrier
26
aware of the facts surround ing the commencement of the Weisman case and the board of
27
directors failures to enforce the rules either causing or contributing to the Weisman case
28
DRAFT COMPLAINT
occurring in the first instance. and that her fiduciary obligation to her client - the
2
Association - should not be overlooked simply because some of the responsible parties
3
were members of the board of directors whom pay her a legal fee with Association money.
4
A copy of one of those letters dated September 14, 2012 is attached hereto as Exhibit "I",
5
the contents of \\hich are incorporated herein b) this reference, as if set forth herein,
6
7
verbatim.
8 84. Lisa Tashjian refused to disclose the information alleged above to the Associations
9 liability carrier. so in order to protect the Association. Plaintiff authored a letter to the la\\
10
firm of Kolesky. Mancici Feldman & Morrow - legal counsel assigned by the ltability
11
carrier to represent the Association in the Weisman litigation - and suggested that they
12
contact attorney Tashjian because Plaintiff believed she was in possession of'•information
13
that would e'\culpate or exonerate the Little Tokyo Lofts Commun it) Association'" and
14
15 other information that could raise affirmative defenses. This letter dated September 14,
16 2012 is attached hereto as Exhibit ·'r the contents of which are incorporated herein by thi
17 reference. as ir set fo rth herein, verbatim.

18
85. This case remained pending and many owners including the PlaintiIT inquired the
19
status of the case. The Association correctly refused to discuss the case because it was
20
" pending litigation", but finally, upon one such call for "status'' of the case, the
21
Association revealed that the case had settled 6 months earlier and there was nothing to be
11
23 discussed nor to be concerned about.
24 86. Plaintiff presumes, rightly or wrongly, that the settlement of the Weisman case
25
was approved by the Association in an executive session pursuant to Code of Civil
26
Procedure Section 664.6. however. Civil Code Section 4935(e) requires that any
27
matter discussed in executive session shall be generally noted in the minutes of the
28
DRAFT COMPLAINT
immediately follov.-ing general meeting that is open to the entire membership. f n fact.
2
this was never done, and Plaintiff has verified this failure with the Associations
3
"community manager" who was serving at that time, and the failure to note any such
4
settlement in the minutes of the general meetings creates a prima facia case that section
5
6 4935(e) was in fact violated.
7 87. This same community manager referred to above also facilitated in the serial
8
communications between the Associations board of directors via email regarding the
9
Weisman case. the BBQ (See seventh cause of action) and other matters relating to
10
Association business. fhese communications were mostly in the form of chain emails
11
12 and hub/wheel spoke verbal communications.
13 88. Pia inti ff acknowledges that until the pending litigation has been finally adjudicate
14
or otherwise settled, documents pertaining to the case remain privileged, but once the
15
case is final, the records regarding the terms of the settlement - how much was paid -
16
how much insurance costs would increase as a result - how much each owners HOA
17
18 dues were affected - should have been made available to the owners. if requested.
19 89. On or about August 3, 2013 Plaintiff made a written demand for records
20
pertaining to the Wiseman settlement. A copy of the Plaintiffs demand is attached
21
hereto as Exhibit ··K··. the contents of \.\hich are incorporated herein by this reference.
22
as if set forth here, in full, verbatim.
23
24 90. In response to the Plaintiffs request for records, the Association took the
25 position that the records were still privileged despite the fact that the case had been
26
concluded 6 months earlier, and through their counsel of record, David A. Wankel
27
with the law firm of Hickey & Petchul LLP denied the Plaintiff request for records on
28
DRAFT COMPLArNT
November 21. 2013. A copy of the Association's denial letter is attached hereto as
2
Exhibit "L", the contents of which are incorporated herein by this reference, as if set
3
forth here, in full, verbatim.
4
91. In November of 2013, the applicable Civil Code Section was 1363 and upon
5
6 denial of records for inspection, Plaintiff believed that he would have had to
7 participate in "Alternative Dispute Resolution" by way of mediation in which the

8
Association chose to participate.
9
92. Plaintiff was unv. i lling at that time to spend thousands of dollars in legal fees to
10
find out what by that time he surmised anyway, to wit, that the Wiseman case settled
11
12 for a substantial sum of money and perhaps policy limits; that the loss was the result o
13 the Associations failure to enforce its governing documents; that the Association had
14
violated Civil Code Section 4935(e) as well as then Civil Code Section 1363, and that
15
he and the other owners had suffered damages as a result.
16
93. The failures of the Association and its board of directors, including but not
17
18 limited to their respective failures to disclose alleged herein arc a breach of their
19 fiduciary duty to the owners, but to the Plaintiffs knowledge and belief, no other
20
owners other than the Plaintiff were privy to these facts, and Plaintiff did in fact
21
remain quiet about them, except to complain to the Association during executive
22
sessions or by private correspondence to the Association or their attorneys of record.
23
24 94. Plaintiff seeks a court finding that the Association did not comply with Civil
25 Code Section 4935(e); did not enforce the "one pet policy" enumerated in CCR 2.9;
26
did not disclose the amount and terms of the Weisman settlement agreement; obstructc
27
any attempts by owners to obtain records regarding the settlement of the Weisman case
28
DRAFT COMPLAINT
and that the ov.ncrs were damaged as a result of these failures. Plaintiff further prays
2
that the Association be ordered to disclose to the owners that the Weisman case is in
3
fact settled; the terms of the settlement, including the amounts paid to the plaintiff's in
4
that case; how said settlement affected the owners in terms of increased costs for
5
6 liability insw·ance; and how that settlement increased each owners monthly HOA dues.
8
SEVENTH CAUSE OF ACTION
9
(The BBQ and its associated failures to disclose)
JO
95. Based upon information and belief, in 2014 the Association approved in executive
11
12 session plans to have their portable propane BBQ located in the pool area improved
13 by adding lights, a sink. a more sustainable source of fuel and a generally larger work
14
space for food preparation and serving. This work was started and continued through
15
2016.
16
96. Most of the discussions the Association had through its representatives both
17
18 before. during and after these improvements were performed via email and constituted
19 serial communications.
20
97. The Association hired unlicensed contractors and caused the propane burners to
21
be connected to an unused natural gas line without obtaining a permit from the city of
Los Angeles, primarily because those actions were violations of law and no permit
23
24 would have ever been issued.
25 98. As a result the BBQ's burners designed for use with propane were in fact burnin
26
natural gas, a fuel for which they were not designed, creating a dangerous condition to
27
28
DRAFT COMPLAINT
exist and exposing users of the BBQ to the potential of injury. and thus liability to the
2
ovmers.
3
99. The Association through unlicensed contractors caused lights to be installed that
4
were unpermitted and in violation of the law.
5
6 100. fhe Association through their unlicensed contractors caused a sink to be installe
7 that drained into a storm drain via a hole cut into a metal grate which was unpermitted
8
primarily because no permit would have ever been issued for such actions and was
9
therefore in "iolation of law.
10
101. The Association was required to use a licensed contractor to perform these
11
12 actions because they were new installs and not repairs to existing, but failed to do so,
13 in violation of the governing documents they were required to follow and enforce.
14
102. The city of Los Angeles, through their department of building and safety,
15
discovered these violations during one of their regular inspections and issued written
16
violations that resulted in fines payable by the Association to the city of Los Angeles.
17
18 103. Based upon information and belief. these fines were approximately $7150 ($750
19 x 3 x 3 = $6750 plus $400 administrative fee= $7150) but that the Association
20
became liable for interest and further penalty for reason that they did not pay the fines
21
on time. which increased the total amount due to approximately $9000 not including
,,.,
the costs of building, and later destroying, the BBQ.
23
24 104. In aggravation, the Association has still not cured the outstanding issues with the
25 city of Los Angeles, and there is, at the time of the filing of this complaint. an open
26
--order to comply .. \.\-hich the Association has failed to address.
27
28
DRAFT COMPLAINT
105. Although the Association always referred to this device as a BBQ. in fact it was
2
an outdoor oven since it used natural gas and not propane.
3
106. The Association never disclosed to the owners the fines paid and the fines still
4
owing although these were material facts and as such, the Association was under a
5
6 duty to disclose the same to the owners.
7 107. Further, the reason that the fines were not paid on time was because the
8
Association was waiting for a new budget so that additional monies could be paid
9
\vithout the need for doing a special assessment. ""hich would have had the eITecL of
10
notifying the owners of the city fines, but this delay did result in an increase in monies
11
12 owed due the city by reason of penalties and interest.
13 l 08. The Association has still not cured the violations with the City of Los Angeles
14
because there is currently an active ·'order to comply" on file with the department of
15
building and safety which remains unsatisfied.
16
109. The Association has engaged in other activities which constitute other violations
17
18 of la""· to numerous to allege herein, and \>\ill more appropriate!) be disclosed by the
19 Plaintiff in discovery procedures.

20
110. The Association has not disclosed to the owners any of the monies they have
21
paid to the City of Los Angeles in fines, nor have they disclosed to the owners the
22
interest and penalties paid or due to the city; and have failed to list any of said items
23
24 and expenses in their annual reports to the owners as is required by Civil Code Section
25 5320, which has the effect of perpetuating these failures to disclose.

26
27
28
DRAFT COMPLAINT
111. The Associations annual report for years 2014. 2015. 2016 & 2017 arc attached
2
hereto collectively as Exhibit "M" the contents of which are incorporated herein by
3
this reference, as if forth in full, verbatim.
4
112. The Associations financial statements. as that term is defined by Corporations
5
6 Code ~ection 5012, did not disclose the monie!:i paid 111 govenunenlal lines by the
7 owners and therefore was not in conformity with generall) accepted accounting
8
principles which reasonably sets forth, among other things. the income and expenses of
9
the corporation and dis<.:loscs the accounting hnsis used in thdr prcparntion.
10
113. These failures to disclose constitute a breach of the Associations fiduciary duty
11
12 to the owners
13 114. Plaintiff prays for an order requiring the Association to disclose to the owners th
14
fines paid to the city of Los Angeles; the amounts still due; and prays that the court
15
issue an order to the Association to cure the outstanding "order of compliance" which
16
remains unresolved with the department of building and safety.
17
18
19 EIGHTH CAUSE OF ACTION

20
(Failure to disclose a lack of FDIC Insurance on reserve funds)
2J
115. The Association maintains several accounts which hold reserve funds pursuant to
22
Civil Code Section 4177 as well as operating expenses, generally.
23
24 116. The monies held in these various accounts are maintained in trust for the owners
25 and the Association has a fiduciary obligation to keep the funds safe.
26
117. On January 7, 2018 Plaintiff wrote a letter the Association inquiring if the
27
monies held in trust were in fact FDIC insured or otherwise insured in some form
28
DRAFT COMPLArNT
suggesting that if this was not the case then the board of directors of the Association
2
had breached their fiduciary duty and that any loss in principal wouJd be viewed by th
3
Plaintiff as ''gross negligence". A copy of this letter is attached hereto as Exhibit "O",
4
the contents of which are incorporated herein by this reference as if set forth herein, in
5
6 full, verbatim.
7 118. Plaintiff was informed through his counsel, Joseph Tuchmayer, who spoke with
8
Mr. Wankel by email, the attorney for the Association that the monies were not FDIC
9
insured. nor othernise insured. but nevertheless the funds were safe and Plaintiff was
10
acting unreasonably and irrationally for suggesting otherwise.
11
12 119. Plaintiff alleges based upon information and belief that the Association has these
13 funds in accounts which are not FDIC insured. and arc considered investment vehicles
14
in that they pay more interest than an FDIC account, but in exchange for that increase
15
in return, the principal is not guaranteed and is therefore at risk. Monies invested in
16
stocks, non-federally insured bonds. mutual funds and other similar investment
17
18 vehicles "here the principal amounts are al risk arc gcncrall) accepted by the industry
19 to be not secure.
20
120. At no time were the Associations representative licensed investment advisors,
21
and as such were never registered with the Securities and Exchange Commission nor
22
did they require any owner to sign disclosure agreements and therefore were in
23
24 violation of 15 U.S.C. § 80b-l through 15 U.S.C. § 80b-21.
25 121 . The fact that the funds held in trust by the Association have been deposited in an
26
account which is not FDIC insured results in the funds not being secure and that this is
27
a material fact.
28
DRAFT COMPLAINT
122. This matcriaJ fact has not been disclosed by the Association to the owners.
2
123. This failure to disclose is a breach of the Associations fiduciary duty to the
3
owners.
4
124. Plaintiff seeks an order requiring the Association to disclose material facts to the
5
6 owners which, heretofore remain undisclosed, including but not limited to the fact that
7 the monies they are holding in trust for the owners is not FDIC insured, nor is the
8
principal amount guaranteed in any form, and that the monies held are in fact at risk,
9
and to provide to the O\\ners a cop)' of all of the disclosures that the Association \\as
10
required to acknowledge and sign when the accounts were opened, up to and including
11
12 the present.
13 125. Notwithstanding the above, Plaintiff was informed by the mediator on October
14
17, 2018, that the subsequent to the Plaintiffs letter of January 7, 2018 that the
15
Association did in fact transfer the monies to a federaJly insured certificate of deposit
16
in amounts not exceeding $150,000.00 per each account of deposit, but to date the
17
18 Association has not provided an y proof of that transfer despite being requested to do
19 so. In the event that the funds have in fact been transferred to a safe account(s)
20
Plaintiff demands proof of the same and disclosure of where the monies were
2]
pre\ iousl)' held; \.\here they were transferred to; and the relevant dates relating to the
22
same.
23
24
25 PRAYER FOR RELIEF

26
On the first cause of action:
27
28
DRAFT COMPLAINT
I. Plaintiff prays that this court make a finding that the Association's actions and
2
inactions were in violation of Civil Code Sections 5905(a) & 591 O(f) for reason that
3
the Association failed to give to the Plaintiff an opportunity to explain his position
4
regarding various issues, which may have negated the need to proceed to more formal
5
6 mediation proceedings and the filing of this legal action.
7 On the second of action:

8
2. Plaintiff prays for declaratory finding that the board has failed to enforce CCR
9
Sections 2.8.2 & 2.8.4, and other sections of the governing documents to the detriment
10
of the owners, and further prays for an order requiring that the Association to enforce
11
12 the same, forthwith, and without hesitation, to minimize any future damages to the
13 Plaintiff and other owners.

14
On the third cause of action:
15
3. Plaintiff seeks a finding by the court that the Association has not and is not enforcing
16
its governing documents, including its Rules & Regulations as is required by law and
17
18 prays for an order requiring said enforcement. \\ithout hesitation, to prevent future
19 damages, to the Plaintiff and other owners.

20
On the fourth cause of action:
2]
4. Plaintiff seeks a finding b) this court that the Association failed to comply with Civil
22
Code Section 4360(a) and that the "revised" Rules & Regulations are void and not in
23
24 effect because they never legally took effect, and therefore the original set of Rules &
25 Regulations dated April 27, 2006 are still in effect; and order to the Association
26
directing it to enforce said rules & regulations; and allowing the Association another
27
opportunity to revise the rules & regulations in a legal manner if it chooses to do so.
28
DRAFT COMPLAINT
On the fifth cause of action:
2
5. In the alternative to the Fourth Cause of Action, Plaintiff seeks a fmding by the court
3
that the Association has not and is not enforcing its governing documents, including it
4
Rules & Regulations as is required by law and prays for an order requiring said
5
6 enforcement, without hesitation, to prevent futw·e damages, to the Plaintiff and other
7 owners.
8
9
On the sixth cause of action:
10
6. Plaintiff seeks a court finding that the Association did not comply with Civil Code
11
12 Section 4935(e): did not enforce the '·one pet policy" enumerated in CCR 2.9; did not
13 disclose the amount and terms or the Weisman settlement agreement; obstructed any
14
attempts by owners to obtain records regarding the settlement of the Weisman easel
15
and that the owners were damaged as a result of these failures. Plaintiff further prays
16
that the Association be ordered to disclose to the owners that the Weisman case is in
17
18 fact settled; the terms of the settlement, including the amounts paid to the plaintiffs in
19 that case; how said settlement affected the owners in terms of increased costs for
20
liability insurance; and how that settlement increased each owners monthly HOA dues
2J
On the seventh cause of action:
22
7 . Plaintiff prays for an order requiring the Association to disclose to the owners the
23
24 fines paid to the city of Los Angeles; the amounts still due; and prays that the court
25 issue an order to the Association to cure the outstanding "order of compliance" which
26
remains unresolved with the department of building and safety.
27
On the eighth cause of action:
28
DRAFT COMPLAINT
8. Plaintiff seeks an order requiring the Association to disclose material facts to the
2
owners which, heretofore remain undisclosed, including but not limited to the fact
3
that the monies they are holding in trust for the owners are not FDIC insured, nor is
4
the principal amount guaranteed in any form, and that the monies held are in fact at
5
6 risk, and to provide lo the owners a copy of all of the disclosw·es that the Association
7 was required to acknowledge and sign when the accounts were opened, up to and
8
including the present. To the extent that by the time this complain is filed, the
9
Association has in fact trans[erred monies held in trust to a federally insured account,
10
then for an order that the Association disclose to the owners when this transferred did
11
12 occur; the accounts transferred from and to; and the dates of the same.
13 On all causes of action:

14
9. A finding that the Associations' failures to enforce the governing documents and
15
comply with applicable laws is chronic in nature and that as a result the owners have
16
been damaged and are in jeopardy of continuing to be damaged;
17
18 10. An order that the parties agree to a mutual third-part)' to oversee the Associations
19 board of directors, at the expense of the Association, until such time that the court
20
deems the owners are no longer in financial jeopardy. In the event the parties cannot
21
mutually agree to a third-party, the court will assign a third party based upon the
22
recommendations of the parties herein.
23
24 11. A finding that the Association did not act in good faith towards the Plaintiff in
25 regards to dispute resolution and other matters generally.

26
27
28
DRAFT COMPLAINT
12. Any further relief lhe courl deems jusl under the circumslances. including but not
2
limited to, ordering the Associations board of directors to participate in training and
3
continuing education.
4
6 DA TED: (DRAFT VERSION)
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
DRAFT COMPLAINT
1
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
- 43 -

Complaint Filed 12-24-18

Uploaded by

Document Information

Copyright

Available Formats

Share this document

Share or Embed Document

Sharing Options

Did you find this document useful?

Is this content inappropriate?

Copyright:

Available Formats

Complaint Filed 12-24-18

Uploaded by

Copyright:

Available Formats

1 Joseph Tuchmayer (SBN 72974)

Law Offices of Joseph D. Tuchmayer

9 COUNTY OF LOS ANGELES

10 GRANT BEUCHEL, on behalf of himself and Case No.:

6 inclusive, of maps, in official records”

19 developer, Hammer LLC.

24 does fall within these boundaries.

25 5. The Skid Row community is generally, a low-income community, of approximately 15,000

6 reality, is smoked and referred to as “spice.”

12 7. In accordance with the “Declarations of Covenants, Conditions & Restrictions” (the

18 and inactions, created situations wherein, among other things:

24 c. The Association has consistently failed to disclose material facts to the

25 owners when under a duty to do so;

7 obligation to act in good faith as well as their fiduciary obligations to

18 reconciliate the Association’s operating accounts on a quarterly basis

19 and/or violated Civil Code Section 4935(e) by failing to generally note

13 and relevant capacities are ascertained.

18 bringing this action.

24 August 1, 2018 and has remained so through the present.

12 complaint and/or thereafter.

18 issues complained of herein without the need for judicial intervention.

12 representatives declined this offer. (See Exhibit “Q”)

18 (Declaratory Relief -- Violation of Civil Code Sections 5905(a) & 5910(f))

25 resolution of the issues raised herein, among other issues.

12 “an automobile, a passenger van designed to

13 accommodate ten (10) or fewer people, a motorcycle or a

21 Condominium and kept in the Community must be parked

22 in the Owner’s assigned parking space in the Parking

24 an adjacent wall of the parking garage.

12 spots, among other violations.

12 THIRD CAUSE OF ACTION

13 (Declaratory Relief -- Failure to Enforce Rules & Regulations –

18 from the common area corridor and hallway;

19 (d) 6.15 – Adornment

24 advance of the proposed work;

25 (p) 15.6 – No pets allowed in the pool area;

12 and other owners.

12 issues, problems and damages to Plaintiff and other owners .

6 FIFTH CAUSE OF ACTION

18 a. Section 6.5- Door Mats at door entry;

19 b. Section 6.5 - Signage

24 e. 7.5 – Increasing insurance rates

6 l. 11.1 – Dogs off of a leash

7 m. 11.2 – Dogs in the pool area

6 s. 16.5 – Dogs in the pool area

7 t. 17.5 – Oversized trash

18 date August 1, 2018.

7 hesitation, to prevent future damages, to the Plaintiff and other owners.

12 and Accompanying Failures to Disclose)

18 for at least a couple of years.

12 a claim for loss of consortium.

19 liability policy issued to the Association.

18 BBQ and Other Items)

6 permit would have ever been issued.

13 which the Association has failed to address.

13 forth in full, verbatim.

12 EIGHTH CAUSE OF ACTION

24 regulations in a legal manner if it chooses to do so.

25 On the Fifth Cause of Action:

6 On the Sixth Cause of Action:

18 On the Seventh Cause of Action:

25 Bring the Property into full compliance.

12 On All Causes of Action:

18 report to the court of said status.