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6. 1. B. - Page 95 <br />Owner(s) shall vacate his Condominium as a result of such taking. The remaining Owners shall <br />decide by majority vote whether to rebuild or repair the Project, or take other action. The remaining <br />portion of the Project shall be resurveyed, if necessary, and the Declaration shall be amended to <br />reflect such taking and to readjust proportionately the percentages of undivided interest of the <br />remaining Owners in the Project. In the event of a taking by eminent domain of any part of the <br />Common Area, the Association shall participate in the negotiations, and shall propose the method of <br />division of the proceeds of condemnation, where Condominiums are not valued separately by the <br />condemning authority or by the court. Proceeds of condemnation shall be distributed among <br />Owners of Condominiums and their respective Mortgagees according to the relative values of the <br />Condominiums affected by the condemnation, said values to be determined bythe method provided <br />in Section 8.2.C. Owners shall be represented by themselves or their attorneys in any condemnation <br />actions involving Units. <br />If there is a substantial taking of the Project (more than fifty percent (50 %)), the Owners may <br />terminate the legal status of the Project and, if necessary, bring a partition action under California <br />Civil Code § 1359 or any successor statute, on the election to terminate by fifty -one percent (51 %) of <br />the total voting power of the Association and the approval of Eligible Mortgage Holders holding <br />Mortgages on Condominiums which have at least fifty -one percent (51 %) of the votes of <br />Condominiums subject to Eligible Mortgages. The proceeds from the partition sale shall be <br />distributed to the Owners and their respective Mortgagees in proportion to the fair market values of <br />their Condominiums as determined under the method described in Section 8.2.C. <br />8.4. Condemnation of Exclusive Use Common Area: If there is a taking of all or any <br />portion of an Exclusive Use Common Area, the award in condemnation shall be paid to the Owner of <br />the Condominium to which the taken Exclusive Use Common Area was appurtenant; however, such <br />award shall first be applied to the balance then due on any Mortgages encumbering such Owner's <br />Condominium, in order of priority. <br />8.5. Portions of Awards in Condemnation Not Compensatory for Value of Real <br />Property: Those portions of awards in condemnation that do not directly compensate Owners for <br />takings of real property (e.g., awards for takings of personal property, relocation expenses, moving <br />expenses, or other allowances of a similar nature intended to facilitate relocation) shall be paid to <br />the Owners whose personal property is taken, or whose relocation is intended to be facilitated. <br />ARTICLE IX. DISPUTE RESOLUTION AND MECHANISM <br />9.1. Dispute Resolution: Subject to the provisions of this Article IX, the Board is <br />authorized to resolve any civil claim or action through alternative dispute resolution proceedings <br />such as mediation, binding arbitration, or non - binding arbitration or judicial reference proceedings. <br />9.2. Claims for Declaratory Relief or Enforcement of Governing Documents: Prior <br />to the filing of a civil action solely for declaratory relief or injunctive relief to enforce the Governing <br />Documents, or for declaratory, injunctive or writ relief in conjunction with a claim for monetary <br />damages, the Board, or any Ownerwho seeks such relief, shall first endeavor to submit the matter <br />to alternative dispute resolution in compliance with the provisions of California Civil Code Sections <br />1369.510- 1369.580. The Board shall comply with the requirements of California Civil Code <br />Section 1369.590 by providing Members of the Association annually with a summary of Article 2 <br />(commencing with California Civil Code Section 1369.510 of Chapter 7 of Title 6 (Division 2, part 4) <br />of the California Civil Code, including the following language: "Failure of a Member of the <br />Association to comply with the alternative dispute resolution requirements of Section 1369.520 of <br />the California Civil Code may result in the loss of your right to sue the Association or another <br />51 <br />03/06/12 <br />TAWPWIN601PR0JECTS1333 MAIN STREETIDEC - DRAFTING FORM17][03 06 121.doc <br />