Article XIII, Protective Provisions for the Benefit of Eligible Mortgage Holders

13.01 - General.
Anything to the contrary in this Master Deed or the By-Laws or Certificate of Incorporation notwithstanding, the provisions of this Article XIII shall apply with respect to each Eligible Mortgage Bolder.

13.02 - Prior Written Approval of 51% of Eligible Mortgage Holders.
The prior written approval of at least fifty-one percent (51%) of the Eligible Mortgage Holders is required for any material amendment to this Master Deed or to the By-Laws or Certificate of Incorporation including, but not limited to, any amendment which would change any provision relating to:

1. voting rights;
2. reserves for maintenance, repair and replacement of Common Elements;
3. responsibility for maintenance and repairs;
4. reallocation of interests in the General or Limited Common Elements or rights to their use;
5. boundaries of any Unit;
6. convertibility of Units into Common Elements or vice versa;
7. expansion or contraction of the Condominium, or the addition, annexation or withdrawal of land to or from the Condominium;
8. insurance or fidelity bonds;
9. leasing of Units;
10. imposition of any restrictions upon a Unit Owner's right to sell or transfer his or her Unit;
11. a decision by the Association to establish self-management rather than professional management;
12. restoration or repair of the Condominium (after damage, destruction or condemnation) in a manner other than that specified in this Master Deed;
13. any action to terminate the legal status of the Condominium as a Condominium after substantial damage or condemnation occurs; or
14. any provisions that expressly benefit Eligible Mortgage Holders.

13.03 - Prior Written Approval of 67% of Eligible Mortgage Holders.
The prior written approval of at least sixty-seven percent (67%) of the Eligible Mortgage Holders is required before the effectuation of any decision by the Unit Owners to terminate the legal status of the Condominium as a Condominium for condemnation of reasons other than substantial destruction or the Property.

13.04 - Notice of Non-Material Amendment.
Any Eligible Mortgage Holder shall be entitled to receive thirty (30) days advance notice from the Association of any proposed nonmaterial amendment to the Master Deed, the By-Laws or the Certificate of Incorporation permitted by same, which notice shall include a copy of the proposed change; and any Eligible Mortgage Holder shall be deemed to have implicitly approved such change as proposed unless it states in a written response to the Association its objections or comments relative to such proposed change.

13.05 - Notice.
Any Eligible Mortgage Holder shall be entitled to timely written notice of:

1. any condemnation or casualty loss that affects either a material portion of the Condominium or the Unit securing the Eligible Mortgage Holder's mortgage; and no Unit Owner or other party shall have priority over such Eligible Mortgage Holder with respect to the distribution to such Unit(s) of the proceeds of any condemnation award or settlement in the event of condemnation or with respect to the distribution to such Unit(s) of any insurance proceeds in the event of casualty loss; and
2. any sixty (60) day delinquency in the payment of Common Expense Assessment installments or other assessment or charges owed to the Association by the Owner of any Unit on which the Eligible Mortgage Holder holds a mortgage; and
3. a lapse, cancellation or material modification of any insurance policy or fidelity bond maintained by the Association; and
4. any proposed action that requires the consent of a specified percentage of Eligible Mortgage Holders.

13.06 - No Partition.
No Unit in the Condominium may be partitioned or subdivided without the prior written approval of any Eligible Mortgage Holder for such Unit.

13.07 - Common Expense Lien Subordinate.
Any lien the Association may have on any Unit in the Condominium for the payment of Common Expense Assessments attributable to such Unit is subordinate to the lien or equivalent security interest of any first mortgage on the Unit held by an Eligible Mortgage Bolder and recorded prior to the date any such Common Expense Assessment became due.

13.08 - Inspection of Records.
Any Eligible Mortgage Holder shall, upon request,

1. be permitted to inspect the books and records of the Association during normal business hours and
2. receive an annual audited financial statement of the Association within ninety ( 90) days following the end of any fiscal year of the Association.

The Association shall maintain current copies of the Master Deed, Certificate of Incorporation, By-Laws and Rules and Regulations, and any respective amendments thereto.

13.09 - Notice of Meetings.
Any Eligible Mortgage Holder shall receive written notice of all meetings of the Association and be permitted to designate a representative to attend all such meetings.

13.10 - Liability for Common Expense Assessments.
Any Eligible Mortgage Holder that obtains title to a Unit as a result of foreclosure of the first mortgage, or by deed or assignment in lieu of foreclosure, or any purchaser in a foreclosure sale, or their respective successors and assigns, is not liable for the share of Common Expenses or other assessments by the Association pertaining to such Unit or chargeable to the former Unit owner which became due prior to acquisition of title. Such unpaid share of Common Expenses and other assessments shall be deemed to be Common Expenses collectible from all of the remaining Unit Owners including such acquirer, his successors and assigns.

13.11 - Management Agreements.
Any management agreement for the Condominium will be terminable by the Association with or without cause upon thirty (30) days prior written notice thereof, and the term of any such agreement shall not exceed one year.

13.12 - Common Expense Default.
Notwithstanding the absence of any express provision to such effect in the mortgage instrument, in the event that there is any default in the payment of any installment of a Common Expense Assessment with respect to any Unit, either regular or special, any Eligible Mortgage Bolder holding a mortgage which encumbers such Unit shall be entitled to declare such mortgage in default in the same manner that is permitted by such mortgage with respect to any default in the payment of real estate taxes.