By-Laws

1.01 Association.  Rolling Knolls Estates Association, an Illinois not-for-profit corporation, its successors and assigns.
1.02 Board.  Entity that governs and controls the administration and operation of the Property.
1.03 Common area.  All real property (including the improvements thereto) owned by the Association for the common use and enjoyment of the Owners.
1.04 Developer.  Bank of Ravenswood under Trustee Agreement dated May 10, 1978 and known as Trust Number 25-3289.
1.05 Lot.  Any plot of land shown upon any recorded subdivision plat of the Property with the exception of the Common Areas.
1.06 Majority or Majority of Owners.  Owners of more than fifty percent (50%) in the aggregate Lots.
1.07 Owner.  The record owner, whether one or more persons, individuals or entities, of a free-simple title to any Lot which is a part of the Property, including contract sellers, but excluding those having such interest merely as a security for the performance of an obligation.
1.08 Person.  A natural individual, corporation, trustee or other legal entity capable of holding legal title to real property.
1.09 Property.  Certain real property hereinabove described, and such additions thereto as may hereafter be brought within the jurisdiction of the Association.

2.01  a. Voting Rights. Cumulative voting is not permitted. The Association shall have one class of voting membership and each member shall have one (1) vote for each Lot such members own, provided that in no event shall more than one(1) vote be cast with respect to any Lot.
b. Multiple Owners. Where there is more than one Owner of a lot, if only one of the multiple Owners is present at a meeting of the Association, he or she shall be entitled to cast all the votes allocated to that Lot. If more than one of the multiple Owners is present, the votes allocated to that Lot may be cast only in accordance with the agreement of a majority in interest of the multiple Owners. There shall be presumed to be a majority agreement when any one of the multiple Owners casts the votes allocated to that Lot without protest being made promptly to the person presiding over the meeting by any one of the other Owners of the Lot.

2.02 Meetings of the Association
a. Quorum; Procedure. Unless otherwise required by the Declaration of these By-Laws, the presence in person or by proxy of the Owners having twenty percent (20%) of the total votes shall constitute a quorum. Unless otherwise expressly provided herein, any action may be taken at any meeting of the Association at which a quorum is present upon the affirmative vote of the Owners having a Majority of the total votes present at such meeting. However, the affirmative vote of at least two-thirds (2/3) of the total votes of the Owners shall be required for the following: Merger or consolidation of the Association, or Sale, lease, exchange, mortgage, pledge or other disposition or all of substantially all of the property and assets of the Association, or the purchase or sale of land or of Lots on behalf of all Owners. Any Owner, in writing, may waive notice of a meeting of the Association, or consent to the holding of a meeting without notice, or consent to any action of the Association without a meeting.
b. Initial and Annual Meeting. The first Annual Meeting of the Association shall be held upon not less than fifteen (15) days written notice given to the members of the Association. Such date shall occur not less than fifteen (15) days after these By-Laws have been recorded with the Recorder of Deed’s office. Thereafter, there shall be an Annual Meeting of the Association on the same day of the same month of each succeeding year, at 7:30 o’clock P.M. on the Property, or at such other reasonable place or time (not more than thirty (30) days before or after such date), as may be designed by written notice of the Board. If the day for the annual meeting of the members is a Sunday or a legal holiday, the meeting will be held at the same hour on the first day following which is not a legal holiday or a Sunday.
c. Special Meetings. Special Meetings of the Association may be called at any time for the purpose of considering matters which by the terms of the Declaration or these By-Laws require the approval of the Owners, or for any other reasonable purpose. Said meeting may be called by written notice from the President, the Board, or by the Owners having twenty percent (20%) of the total votes.
d. Proxies. At membership meetings an Owner may vote by proxy executed in writing by the Owner or by his duly authorized attorney in fact. The proxy shall be invalid after eleven (11) months from the date of its execution, unless expressly provided in the proxy. Every proxy must bear the date of execution. Participation of Contract Purchasers. In the event of a resale of a Lot, the purchaser of the Lot from a seller other than Declarant pursuant to Installment Contract to Purchase, shall during such times as he or she resides in the Lot, be counted towards a quorum for purposes of election of members of the Board of Directors at any meeting of the Owners called for purposes of electing member of the Board, shall have the right to vote for the election of the members of the Board of Directors, to be elected and serve on Board of Directors unless the seller expressly retains in writing any or all of such rights. In no event may the seller and purchaser both be counted toward a quorum, be permitted to vote for a particular office or be elected and serve on the Board. Satisfactory evidence of the installment contract shall be made available to the Association or its agents. For purposes of this subparagraph “installment contract” shall have the same meaning as set forth in Section 1(e) of “An Act Relating to Installment of Contracts to Dwelling Structures,” approved April 11, 1967 as amended.

2.03 Notices of Meetings. All Owners shall give to the Board, within ten (10) days after closing on their Lots, an address for the purpose of service of such notice. The Board is authorized to impose an assessment, not to exceed fifty dollars ($50.00) per month, for each month such address is not given to the Board. Notices of meetings required to be given herein shall be made at least ten (10) days but not more than thirty (30) days prior thereto and may be given either personally or by mail to the Owner at the address given by him to the Board for the purpose of service of such notice, or to the Lot if no address has been given to the Board. All such notices shall specify the date, time, place and purpose of the meeting.

3.01 Board of Directors; Election; Meetings

a. Board of Directors. The Association shall be governed by a Board of Directors (the Board) comprised of three (3) persons, or such greater number as may be provided in the By-Laws, elected by the members as provided herein and in the By-Laws. Directors shall be members of the Association. The Board shall maintain and administer the Common Area and certain portions of the Lots and improvements thereon in accordance with the terms and provisions of the Declaration and these By-Laws.

b. Number and Term. For the purpose of determining the length of their respective terms of office, the member of the Board shall be ranked in the order of the number of votes received. Members of the Board elected at the initial meeting shall serve until the first annual meeting. At the first annual meeting three (3) duly qualified Board members shall be elected and shall be ranked in accordance with the respective votes received for the purpose of determining their respective terms of office. All persons elected to the Board shall hold office for a term of two (2) years. Upon the expiration of the terms of office of the Board, members so elected at the first annual meeting and thereafter, successors shall be elected for a term of two (2) years each, although Board members may run again and succeed themselves in office. A majority of the number of directors constitutes a quorum. The Board, by majority vote, may from time to time increase or decrease such number of persons on the Board or may increase the term of office of Board members, provided that such number shall not be less than three (3) people and that the term of at least one-third (1/3) but not more than two-thirds (2/3) of the persons on the Board shall expire annually.

c. Counting of Election Ballots. A candidate for election to the Board of Directors or such candidate’s representative shall have the right to be present at the counting of ballots at such election.

d. Vacancies. The remaining members of the Board may fill a vacancy by death, resignation or removal by a two-thirds (2/3) vote until the next annual meeting of Owners or for a period terminating no later than thirty (30) days following the filing of a petition signed by Owners holding twenty percent (20%) of the votes of the Association requesting a meeting of the Owners to fill the vacancy for the balance of the term. If such a petition is filed, then a meeting of the Owners shall be called for the purpose of filling the vacancy on the Board no later than thirty (30) days following the filing of the petition.

e. Removal. Any Board member may be removed from office by the affirmative vote
of the Owners having at least two-thirds (2/3) of the total votes at any regular or Special Meeting called for that purpose. A successor to fill the unexpired term of a Board member so removed may be elected by Majority vote of the Owners at the
same meeting or any subsequent meeting called for that purpose.

f. Meetings of the Board. A meeting of the Board shall be held immediately following the Annual Meeting of the Owners and at the same place. Regular meeting of the Board of Directors shall be held monthly without notice, at such place and hour as may be fixed from time to time by resolution of the Board. Special Meetings of the Board shall be held upon call by the President or by a majority of the Board. Special Meetings shall require at least thirty-six (36) hours notice to each member of the Board, by telephone, or in writing by personal delivery, by mail or by telegram, except in cases or emergency, where only a good faith attempt to give written notice to each member of the Board shall be required. Any Board member may, in writing, waive notice of a meeting, or consent to the holding of a meeting without notice to him, or consent to any action of the Board without a meeting.

g. Open Meetings. Meetings of the Board shall be open to any Owner except for the portion of any meeting held (i) to discuss litigation when an action against or on behalf of the Association has been filed and is pending in a court of administrative tribunal, or when the Board of Directors finds that such an action is probable or imminent, (ii) to consider information regarding appointment, employment or dismissal of an employee, or (iii) to discuss violations of rules and regulations of the Association or an Owner’s unpaid share of Common Expenses. Any vote on these matters shall be taken at a meeting or portion thereof open to any Owner. Any Owner may record the proceedings at meetings or portions thereof required to be open by tape, film or other means. The Board may prescribe reasonable rules and regulations to govern the right to make such recordings. In addition to notice required to be given to Board member, copies of notices of meeting of the Board of Directors shall be mailed or personally delivered to all Owners at least forty-eight (48) hours prior to the meeting of the Board.

h. Compensation. Board members shall receive no compensation for their services, unless expressly provided for in resolutions duly adopted by the Owners, but shall be entitled to reimbursement for actual expenses incurred in the performance of their duties.

3.02 General Powers of the Board. Without limiting the general powers which may be provided by law, the Declaration or these By-Laws, the Board shall have the following general powers and duties:

a. To elect the President, Secretary and Treasurer of the Association as hereinabove provided;
b. To formulate policies for the administration, management and operation of the Property and the Common Areas thereof;
c. To provide for maintenance, repair and replacement of the Common Areas and payments therefore, and to approve payment vouchers or to delegate such approval to the officers or the manager or managing agent;
d. To engage the services of a manager or managing agent, if needed, who shall manage and operate the Property and the Common Areas thereof for all of the Owners upon such terms and for such compensation and with such authority as the Board may approve;
e. To dedicate a portion of the Common areas to a public body for use as or in connection with, a street or utility where authorized by Owners holding two-thirds (2/3) of the total votes at a meeting of the Owners duly called for such purpose;
f. To provide for the designation, hiring and removal of employees and other personnel necessary for the maintenance, repair and replacement of the Common Areas, including accountants and attorneys, and to engage or contract for the services of others, and to make purchases for the maintenance, repair, replacement, administration, managements and operation of the Property and the Common Areas,
and to delegate any such powers to the manager or managing agent, and any such employees or other personnel who may be employees of the managing agent;
g. To estimate the amount of the annual budget, and to provide the manner of assessing and collecting from the Owners their respective shares of such estimated expenses, and of any other expenses lawfully agreed upon, as herein provided;
h. To impose charges for late payments of an Owner’s proportionate share of the Common Expenses, or any other expenses lawfully agreed upon, and after notice and an opportunity to be heard, to levy reasonable fines for violation of the Declaration, By-Laws of Rules and Regulations of the Association and, to establish reasonable charge for the costs and expense of preparing statements of account, disclosure statements and other services requested by the Owners;
i. To make contracts and incur liabilities which may be appropriate to enable the Association to accomplish any or all of its purposes; to borrow money for Association purposes at such rates of interest as the Board may determine; to issue the Association’s notes, bonds, and other obligations; and to secure any of the Association’s obligations by mortgage, pledge or deed of trust of all or any of its property, franchises and income.
j. To declare the office of a member of the Board of Directors to be vacant in the event such member shall be absent from three (3) consecutive regular meetings of the Board of Directors;
k. The Board shall have no authority to forebear the payment of assessments by any Owner; and
l. To exercise all other powers and duties of the Board, Association or Owners as a group, and all powers and duties of the Board referred to in the Illinois Not-For-Profit Corporation Act, and to have and exercise all powers necessary or convenient to
effect any or all of the purposes for which the Association is organized.

3.03 Duties of the Board of Directors. The Board, for the benefit of the Board, the Association and all Owners, shall provide for:
a. Casualty Insurance. Insurance for the Common Areas against loss or damage by fire, lightning and such other hazards contained in the customary fire and extended coverage, vandalism and malicious mischief endorsements, or such other insurance as the Board may deem desirable, for the full insurable replacement cost of the Common Areas and the Lots. Premiums for such insurance shall be Common
Expenses. Such insurance coverage shall be written in the name of, losses thereunder shall be adjusted by and the proceeds of such insurance shall be payable to, the members of the Board as trustees for each of the Owners. The Board may engage the services of any bank or trust company authorized to do trust business in Illinois to act as trustee, agent or depositary on behalf of the Board for the purpose of receiving and disbursing the insurance proceeds resulting from any loss, upon such terms as the Board shall determine consistent with the provisions of the Declaration and these By-Laws. The fees of such corporate trustee shall be Common Expenses. In the event of any loss in excess of $50,000.00 in the aggregate, the Board shall engage a corporate trustee as aforesaid, or in the event of any loss resulting in the destruction of the major portion of one or more Lots, the Board shall engage a corporate trustee as aforesaid upon the written demand of the mortgagee or Owner of any Lot so destroyed.

The proceeds of such insurance shall be applied by the Board or by the corporate trustee on behalf of the Board for the reconstruction of the Common Areas, or shall be otherwise disposed of, in accordance with the provisions of the Declaration, these By-Laws or the rules and regulations.

Payment by an insurance company to the Board or to such corporate trustee of the proceeds of any policy, and the receipt of release from the Board of the company’s liability under such policy shall constitute a full discharge of such insurance company, and such company shall be under no obligation to inquire into the terms of any trust under which such proceeds may be held pursuant thereto.

If, at any time, any portion of a building within the Association is classified by a governmental body as being within a flood hazard zone, the Association shall obtain flood insurance for such property in an amount necessary to protect the building from flood loss.
b. Liability Insurance. Comprehensive public liability insurance, including liability for injuries to and death of persons, and property damage arising in connection with the ownership, existence, use or management of the Property in such limits as it shall deem desirable, and other liability insurance as it may deem desirable, insuring the Association, its officers, members of the Board, the Declarant, the manager and managing agent of the Building, if any, their respective employees and agents and all Persons acting as agents, from liability in connection with the Common Areas and the street and sidewalks adjoining the Property, and insuring the officers of the Association and members of the Board from liability for good faith actions beyond the scope of their respective authorities. The Owners shall be included as additional insureds but only with respect to that portion of the Property not reserved for their exclusive use. Such insurance coverage shall include cross liability claims of one or more insured parties against other insured parties and shall contain a waiver of any rights to subrogation by the insuring company against any of the above named insured Persons. The premiums for such insurance shall be Common Expenses.

The Board shall notify insured Persons concerning the cancellation of insurance obtained pursuant to the terms of the subparagraph (b) and subparagraph (a) above.
c. Workmen’s Compensation. Workmen’s compensation insurance to the extent necessary to comply with any applicable laws
d. Wages and Fees for Services. The services of any Person or firm employed by the Board, including, without limitation, the services of a Person or firm to act as manager or as managing agent for the Property, the services of any Person or Persons required for maintenance or operation of the Property, and legal and accounting services necessary or proper in the operation of the Property or the enforcement of the Declaration, these By-Laws or the Rules and Regulations and for the organization, operation and enforcement of the rights of the Association.
e. Care of Common Areas. Landscaping, gardening, snow removal, painting, cleaning, tuck-pointing, maintenance, decorating, repair and replacement of the Common Areas.
f. Discharge of Mechanic’s Liens. Any amount necessary to discharge any mechanic’s lien or other encumbrance levied against the entire Property or any part thereof which may, in the opinion of the Board, constitute a lien or other encumbrance against the Property or against the Common Areas, rather than merely against the interest therein of any particular Owner, it being understood, however, that the foregoing authority shall not be a limitation of any statutory provisions relating to the same subject matter. Where one or more Owners are responsible for the existence of such lien or other encumbrances, they shall be jointly and severally liable for the costs and expenses, including attorneys’ fees, actually incurred in discharging it, and any costs incurred by the Board by reason of said lien or encumbrance shall be specifically assessed against said Owners and their Lots as part of their Common Expenses.
g. Capital Additions. The Board’s powers hereinabove enumerated shall be limited to the extent that the Board shall have no authority to acquire or provide or pay for any capital additions (other than for purposes of replacing or restoring portions of the Common Areas, subject to all the provisions of the Declaration or these By-Laws) having a total cost in excess of Five Thousand Dollars ($5,000.00), nor shall the
Board authorize any structural alterations or capital addition to the Common Areas requiring an expenditure in excess of Five Thousand Dollars ($5,000.00) without in each case the prior approval of the Owners holding two-thirds (2/3) of the total votes.
h. Supervision. Supervise all officer, agents and employees of this Association and to see that their duties are properly performed
i. Assessments. As more fully provided in the Declaration, to:
a. Fix the amount of the annual assessment against each Lot at least thirty (30) days in advance of each annual assessment period;
b. Send written notice of each assessment to every Owner subject thereto at least thirty (30) days in advance of each annual assessment period; and
c. Foreclose the lien against any property for which assessments are not paid within thirty (30) days after the due date or to bring an action at law or in equity against the Owner personally obligated to pay the same;
j. Certificate of Assessment. Issue, or cause an appropriate officer to issue, upon demand by any person, a certificate setting forth whether or not any assessment has been paid. A reasonable charge may be made by the Board for the issuance of these certificates. If a certificate states an assessment has been paid, such certificate shall be conclusive evidence of such payment.
k. Records. Cause to be kept a complete record of all its acts and corporate affairs and to present a statement thereof to the members at the annual meeting of the members, or at any special meeting when such statement is requested in writing by one-fourth (1/4) of the Class A members who are entitled to vote.
l. Easements. Cause the Common Area and portions of the properties over which it has easements to be maintained; and
m. Bonding. Cause all officers of employees having fiscal responsibilities to be bonded, as it may deem appropriate.

In the performance of their duties, the officers and members of the Board are required
to exercise, whether appointed by the Declarant or elected by the Owners, the care required by a fiduciary of the Owners.

3.03 Rules and Regulations
a. Rules and Regulations: The Board, may adopt such reasonable Rules and Regulations and amendments thereto as it may deem advisable for the maintenance, conservations and beatification of the Property, and for the health, comfort, safety and general welfare of the Owners and Occupants of said Property after a meeting of Owners called for the specific purpose of discussing the proposed Rules and Regulations notice of which contains the full text of the proposed Rules and Regulations which conforms to the procedural requirements for the calling of a regular or special meeting of the Association. No quorum is required at this meeting of Owners. However, no Rules or Regulations may impair any rights guaranteed by the First Amendment to the Constitution of the United States or Section 4 of Article 1 of the Illinois Constitution. Subsequent to Board action adopting or amending the Rules and Regulations the Board shall give written notice of such Rules and Regulations or amendments thereto to all Owners and Occupants, and the entire Property shall at all times be maintained subject to such Rules and Regulations.

4.01 Enumeration of Officers.  The officers of this Association shall be a president, a secretary, and a treasurer, and such other officers as the Board may from time to time by resolution create.
4.02 Election of Officers.  The election shall take place at the first meeting of the Board of Directors following each annual meeting of the members.
4.03 Term.  Officers shall be elected annually and each shall hold office for one (1) year unless he shall sooner resign, or shall be removed, or otherwise be disqualified to service, and officers may run again and succeed themselves in office.
4.04 Special Appointments.  The Board may elect such other officers as the affairs of the Association may require, each of whom shall hold office for such period, have such authority and perform such duties as the Board may, from time to time, determine.
4.05 Resignation and Removal.  Any officer may be removed from office with or without cause by a majority of the Board.  Such resignation shall take effect on the date of receipt of such notice or at any later time specified therein, and unless otherwise specified therein, the acceptance of such resignation shall not be necessary to make it effective.
4.06 Vacancies.  A vacancy in any office may be filled by a majority of the remaining members of the Board.  The officer appointed to such vacancy shall serve for the remainder of the term of the officer he replaces.
4.07 Duties.  The duties of the officers are as follows: 
a. President:  The president shall preside at all meetings of the Board of Directors; shall see that orders and resolutions of the Board are carried out; shall sign all leases, mortgages, deeds and other written instruments and shall co-sign all checks and promissory notes.
b. Secretary:  The secretary shall record the votes and keep the minutes of all meetings and proceedings of the Board and of the members; keep the corporate seal of the Association and affix it on all paper requiring said seal; serve notice of meetings of the Board and of the members; keep appropriate current records showing the members of the Association together with their addresses, and shall perform such other duties as required by the Board.  Unless otherwise designated by the Board, the secretary shall be the officer who shall mail and receive all notices and execute any amendments to the Declaration and/or By-Laws.
c. Treasurer:  The treasurer shall receive and deposit in appropriate bank accounts all monies of the Association and shall disburse such funds as directed by resolution of the Board; shall sign all checks and promissory notes of the Association; keep proper books of account; cause an annual audit of the Associations books to be made at the completion of each fiscal year; and shall prepare an annual budget and statement of income and expenditures to be presented to the membership at its regular annual meeting, and deliver a copy of each to the members.

 5.01 Remedies for Failure to Pay Assessments:  Any installment of any charge, fine, penalty of assessment which is not paid when due shall be delinquent.  If said installment is not paid within thirty (30) days after the due date, the Board may upon notice to such Owner of such delinquency, accelerate the maturity of all remaining installments due with respect to the current assessment year, and the total amount shall become immediately due and payable and commence to bear interest from the date of acceleration at the maximum rate permitted herein. 

If any Owner shall default in the payment of any charge, fine penalty or assessment imposed by the Board as herein provided, or as provided in any portion of the Declaration or Rules and Regulations of the Association, the Board or its agents, shall have the authority, for and on behalf of itself and said Association and as the representative of all other Owners, to exercise and enforce any and all rights and remedies as may be provided in these By-Laws, the Declaration or otherwise available at law or in equity, of the collection of all such unpaid charges or assessments, specifically including the right to take possession of any such Owner’s interest in the Property and specifically including the right to maintain, in its own name, for the benefits of all other Owners an action for possession in the manner prescribed in Article IX of the Code of Civil Procedure, as it may be amended from time to time and execute leases of such defaulting Owner’s interest in that property and apply the rents derived therefrom against such expenses.  All attorney’s fees, costs and expenses actually paid or incurred by the Association for such actions may be assessed or chargeable to such Owner, at the sole option of the Board.  In addition, if an Owner is in default in the monthly payment of the aforesaid charges or assessments for thirty (30) days, the Board or its agents, may bring suit for and on behalf of itself and as representative of all other Owners, to enforce collection thereof or to foreclose the line therefor as hereinafter provided; and there shall be added to the amount due the costs of said suit, together with interest of at least eight percent (8%) or such higher rate as the Board may legally establish, and all attorney’s fees actually paid or incurred. 

To the extent permitted by any decision of any statute of law not or hereafter effective, the amount of any delinquent and unpaid charges, fines, penalties or assessments, plus interest, costs and fees as herein provided, shall be and become not only a lien or charge running with the land against the Lot Ownership of the Owner involved when payable, but also a part of that Owner’s Common Expenses and shall be in favor of the Board for the benefit of all other Owners and may be foreclosed by an action brought in the name of the Board as in the case of foreclosure of mortgages against real estate.  Said lien shall take effect and be in force provided, however, that a prior Recorded first mortgage or trust deed owner or held by or on behalf of any bank, insurance company, or savings and loan association or other lender shall be subject, as to priority, only to the lien of all Common Expenses on the encumbered Lot which become due and payable subsequent to the date said encumbrancer either takes possession of the Lot, accepts a conveyance of any interest therein, after a receiver has been appointed in a suit to foreclose such lien or after entry of a judgment of foreclosure of the encumbrancer’s lien. 

The members of the Board acting on behalf of the other Owners, shall have the power to bid in the interest so foreclosed at any foreclosure sale, and to acquire and hold, lease mortgage and convey the same. 

Any encumbrancer may from time to time request in writing a written statement from the Board setting forth the unpaid Common Expenses with respect to the Lot covered by his encumbrance.  Any encumbrancer holding a lien on a Lot may pay any unpaid Common Expenses payable with respect to such Lot and upon such Payment such encumbrancer shall have a line on such Lot for the amount paid at the same rank as the lien of his encumbrance.  The Board shall have the authority to establish and collect a reasonable fee for providing such a written statement to an encumbrancer, payment of which shall be a condition precedent to its preparation. 

5.02 Liability for Payment of Assessments:  No Owner may withhold or refuse to pay any amounts, assessments or otherwise, due the Board or Association.  Any amount whether a regular monthly assessment, charge or other Common Expense, due to the Board or Association shall be a personal obligation which shall not be extinguished or eliminated by reason of the Owner’s sale or leasing of his Lots.  No Owner may waive or otherwise escape liability for the assessment provided for herein by non-use of the Common Areas or abandonment of his Lot.  Any proof of prior payment by the Owner shall be considered prima facie proof of that Owner’s obligation to pay his Common Expenses.

6.01 These By-Laws may be amended or modified from time to time by the actions or approval of the Owners having at least a majority of the vote of those Owners who are present at a meeting of the Members duly called for such purpose and at which a quorum is present.  Similarly, no amendment shall, in any manner or fashion, directly or indirectly modify, amend, diminish or abrogate any rights, benefits, privileges or exemptions conferred upon any first mortgagee without first obtaining the express writing consent of eighty percent (80%) of the first mortgagees, based upon one vote per Lot on which a first mortgagee lien is held.  Any such consent by the Declarant or Developer on a first mortgage shall be attached to the amendment prior to Recording.  Any amendment to the By-Laws shall become effective upon the Recording of an instrument in writing setting forth the amendment or amendments and containing a certificate by the Secretary setting forth the manner in which such amendment or amendments were adopted.

6.02 Any amendment affecting the use restrictions on the Property shall be applied only to Owners who take title to a Lot subsequent to the date such amendment is Recoded, except for any Owners holding title to a Lot at the time such amendment is Recorded, who give their signed written consent to the immediate applicability of such amendment to them and their Lots.

6.03 If there is an omission or error in these By-Laws, the Association may correct the error or omission by an amendment in such respects as may be required to conform to any applicable statute or to the Declaration by a vote of two-thirds (2/3) of the members of the Board of Directors or by vote of Owners holding a majority of the total votes of the Association at a meeting called for that purpose.  If an omission or error in these By-Laws is corrected by vote of two-thirds (2/3) of the members of the Board of Directors pursuant to the authority established in this subsection, the Board upon writing petition by Owners with twenty percent (20%) of the votes of the Association files within thirty (30) days of the Board action, shall call a meeting of the Owners within thirty (30) days of the filing of the petition to consider the Board action.  Unless a majority of the votes of the Owners of the Association are cast at the meeting to reject the actions, it is ratified whether or not a quorum is present.

6.04 If a tenant violates any provision of the Declaration, By-Laws or Rules and Regulations, the Board, in its discretion, shall determine what action or actions should be taken against the Lot Owner or tenant, as the case may be.  When the Board, in its discretion, determines that a violation or series of violations warrant termination of the lease, the Board may take whatever action or actions are necessary to terminate the lease.