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calendar days after recordation. Within twenty-one (21) days of the payment of the sums specified in the <br />notice of delinquent assessment, the Association shall record or cause to be recorded in the office of the <br />county recorder in which the notice of delinquent assessment is recorded a lien release ornotice of rescission <br />and provide the Lot Owner a copy of the lien release or notice that the delinquent assessment has been <br />satisfied. <br />A monetary charge imposed by the Association: (i) as a means of reimbursing the Association for <br />costs incurred by the Association in the repair of damage to Common Area Improvements or landscaping for <br />which the Member or the Member's Occupants or Permittees were responsible; or (ii) as a disciplinary <br />measure for failure of a Member to comply with the Governing Documents, except for the late payments, may <br />not be characterized nor treated as an assessment that may become a lien against the Member's Lot <br />enforceable by the sale of the interest under Civil Code sections 2924, 2924b and 2924c. <br />(vii) A lien created pursuant to Section 6.10.2(vi) shall be prior to all other liens recorded <br />subsequent to the notice of assessment, except as described in Article 9. <br />(viii) Subject to the limitations of this Section 6.10, after the expiration of thirty (30) days <br />following the recording of a lien created pursuant to Section 6.10.2(vi), the lien may be enforced in <br />accordance with the procedures and requirements set forth in Article 3 (commencing with Civil Code section <br />5700) of Chapter 8 of the Davis -Stirling Act, including the applicable restrictions against judicial or nonjudicial <br />foreclosure actions for delinquent regular or special assessments in an amount less than $1,800 described in <br />Civil Code section 5720(b). <br />(ix) Within twenty-one (21) days of the payment of the sums specified in the notice of <br />delinquent assessment, the Association shall record or cause to be recorded in the office of the county <br />recorder in which the notice of delinquent assessment is recorded a lien release or notice of rescission and <br />provide the Owner a copy of the lien release or notice that the delinquent assessment has been satisfied. <br />(x) If it is determined that a lien previously recorded against a Lot was recorded in error, <br />the party who recorded the lien, within twenty-one (21) calendar days, shall record or cause to be recorded in <br />the office of the county recorder in which the notice of delinquent assessment is recorded a lien release or <br />notice of rescission and provide the Lot Owner with a declaration that the lien filing or recording was in error <br />and a copy of the lien release or notice of rescission. <br />(xi) If the Association fails to comply with the procedures set forth in this Section 6.10.2, <br />prior to recording alien, the Association shall recommence the required notice process. Any costs associated <br />with recommencing the notice process shall be borne by the Association and not by the Lot Owner. <br />(xii) If it is determined that the Association has recorded a lien for a delinquent <br />assessment in error, the Association shall promptly reverse all late charges, fees, interest, attorneys' fees, <br />costs of collection, costs imposed for the notice required under Section 6.10.2(i) and pay all costs related to <br />the dispute resolution or alternative dispute resolution. <br />6.10.3 Small Claims Court Resolution. If a dispute exists between an Owner and the <br />Association regarding any disputed charge or sum levied by the Association, including, but not limited to, an <br />assessment, fine, penalty, late fee, collection cost, or monetary penalty imposed as a disciplinary measure, <br />and the amount in dispute does not exceed thejurisdictional limits stated in Sections 116.220 and 116.221 of <br />the Code of Civil Procedure, the Owner, in addition to pursuing dispute resolution under Article 3 of Chapter <br />10 of the Davis -Stirling Act commencing with Civil Code section 5925, may pay under protest the disputed <br />amount and all other amounts levied, including any fees and reasonable costs of collection, reasonable <br />attorneys' fees, late charges, and interest, if any, pursuant to Civil Code section 5650(b), and commence an <br />action in small claims court for resolution of the dispute. Nothing in this Section 6.10.3 shall impede the <br />Association's ability to collect delinquent assessments as provided in Section 6.10.2. <br />EDNB\53295\996553.3 26 August 18, 2016 <br />