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68 <br />6557.03/12309 <br />Notwithstanding subsection (b) above, if the Association has reason to believe that the applicable <br />statute of limitations will expire before the Association files the civil action, the Board may give the <br />notice, as described above, within thirty (30) days after the filing of the action. <br /> <br />(c) Notwithstanding anything to the contrary in this Declaration, the Board shall not <br />cause nor permit the Association to institute any significant legal proceeding, including without limitation <br />any civil action, mediation, arbitration, or judicial reference proceeding, against Declarant without first <br />obtaining the affirmative vote of Members representing no less than seventy-five percent (75%) of the <br />total voting power of all of the Members of the Association at a duly noticed and properly held <br />membership meeting. Notwithstanding the foregoing, the reference to any procedures in this Section 10.3 <br />shall not provide the Owners or the Association with any rights or remedies not otherwise available to <br />them. <br /> <br />Section 10.4 Design or Construction Defect Claims. Any action or legal proceeding by the <br />Association or any Owner against Declarant, or against any architect, engineer or other consultant, or any <br />contractor, subcontractor or materials supplier engaged by or on behalf of Declarant, for the design and/or <br />construction of the Development, or any element thereof, which action or legal proceeding pertains to any <br />dispute, claim, issue or controversy (each, a “Dispute”) relating to or based upon a claim for defects in the <br />design or construction of improvements within the Development, shall be resolved according to the <br />dispute resolution procedures contained in the Limited Warranty attached to this Declaration as Exhibit B. <br />Notwithstanding anything in this Declaration or in the Limited Warranty to the contrary, in order to <br />facilitate the resolution of any such Dispute in the best interests of the Association, at least one member of <br />the Board with the authority to settle the Dispute shall be required to be in attendance and shall have the <br />right to participate in any meeting, conference, proceeding, hearing or other similar situation in which <br />settlement discussions may occur concerning a “Dispute” described above. The provisions of this Section <br />10.4 are in addition to, and not in place of, the requirements of Section 10.3. Further, for actions and <br />legal proceedings subject to this Section 10.4, any and all notices under Section 10.3 shall also include a <br />list of any and all defect and design claims being brought and an estimate of repair costs. <br />Notwithstanding the foregoing, the reference to such procedures in this Declaration shall not provide the <br />Owners or the Association with any rights, causes of action, claims or remedies not otherwise available to <br />them. <br /> <br />Section 10.5 otice of Right to Repair Law; Title 7. The Association and Owners are <br />hereby advised of the existence of the procedures codified at Title 7 of Part 2 of Division 2 of the <br />California Civil Code (Section 895 et seq.)(the “Right to Repair Law”), which became effective on <br />January 1, 2003. These procedures impact the legal rights of the Owners and the Association with respect <br />to design and construction defect disputes and related claims involving Declarant. <br /> <br />Section 10.6 Subsequent Purchasers of the Property. Pursuant to Civil Code Section 912(h), <br />each Owner is hereby notified that each Owner is obligated to provide any subsequent purchasers of that <br />Owner’s Unit with copies of documents provided by Declarant to that Owner before the Close of Escrow of <br />that Owner’s Unit. These documents include, but are not limited to, (i) the Limited Warranty, (ii) any <br />manufacturers warranty information, (iii) any homeowner guide or applicable maintenance manual, and (iv) <br />any other documents provided in conjunction with the original sale of the Condominium Unit by the <br />Declarant. Each Owner shall maintain full and complete copies of all of the documents described above, and <br />shall provide copies of said documents to any subsequent purchasers of Buyer’s Unit. In accepting title to a <br />Unit, subsequent purchasers are bound, and deemed to have agreed to be bound, by any and all such <br />documents. Each Owner is obligated to provide to Declarant upon request promptly at the time of the sale <br />with the names of any subsequent purchaser of the Unit from Buyer. <br /> <br /> <br />7.1.K. - Page 72