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6. 1. F. - Page 29 <br />(i) Assume obligations, enter into contracts, including contracts of guarantee or <br />suretyship, incur liabilities, borrow, lend money or otherwise use its credit and secure any of its <br />obligations, contracts or liabilities by mortgage, pledge or other encumbrance of all or any part of its <br />property or income. <br />(j) Participate with others in any partnership, joint venture or other association, <br />transaction or arrangement of any kind whether or not such participation involves sharing or delegation of <br />control with or to others. <br />(k) Fill a vacancy on the Board except for a vacancy created by the removal of a <br />Board member, which shall be filled as provided in the Bylaws. Any election of a Board member shall <br />comply with applicable procedures provided in Civil Code Section 1363.03. <br />(1) Establish and maintain separate, restrictive accounts into which only Annual <br />Assessments and Special Assessments for reserves shall be deposited. Approval of the Board shall be <br />obtained prior to the expenditure of such reserves. <br />(m) Subject to the provisions of Article 10 of this Declaration, and subject to the <br />provisions of the Limited Warranty, institute, defend, settle, or intervene on behalf of the Association, <br />subject to compliance with Civil Code Sections 1363.810- 1363.850 and 1369.510- 1369.590 and the <br />provisions of this Declaration, in litigation, arbitration, mediation, or administrative proceedings in <br />matters pertaining to: <br />(1) enforcement of this Declaration, the Davis - Stirling Act or the Nonprofit <br />Mutual Benefit Corporation Law; <br />(2) damage to the Common Area; <br />(3) damage to Unit(s) which the Association is obligated to maintain or <br />repair; or <br />(4) damage to Unit(s) which arises out of, or is integrally related to, damage <br />to the Common Area or Units which the Association is obligated to maintain or repair. <br />(n) In the event that a public nuisance exists or is conducted on any portion of the <br />Common Area, the Association shall take reasonable measures to abate such nuisance. <br />(o) As provided in Civil Code Section 1363.07, and notwithstanding anything to the <br />contrary in this Declaration or the Bylaws, the affirmative vote of at least sixty -seven percent (67 %) of <br />the Owners shall be required in order for the Board to grant the exclusive use of any portion of the <br />Common Area to any individual Owner. Notwithstanding anything to the contrary in this Declaration or <br />the Bylaws, any such voting of the Owners shall be by secret ballot and shall comply with the applicable <br />procedures in Civil Code Section 1363.03. <br />(p) As further described in the Bylaws, the Association shall adopt rules as required <br />by Civil Code Section 1363.03 pertaining to elections, campaigns, voting, proxies and other matters <br />contained therein Civil Code Section 1363.03. <br />(q) Provide the Owners with all notices required by this Declaration and as required <br />by the Davis - Stirling Act, including, without limitation, the following notices: <br />19 <br />CCRS -One Marina. docx <br />