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HomeMy WebLinkAbout2217 2, Total destruction of condominium imprc•~e~~,ents or where very substantial damage occurs and the condominium i~prove- ~e~ts are not to be restored as provided hereinafter in this Article - ::~r ~he owners of all condominium units, each owner's share beir.5 in ~:o?ortion to his share in the common elements appurtenant to his co:.do:ainium unit. Mortaaqees. In the event a mortgagee endorserr~ent r.ss been issued as to a unit, the share of the unit owner shall be ::e:.d in trus~ =or the mortgagee and the unit owner as their interests 7;.y appear; provided, however, that no mortgagee shall have any right ~o determine or par~icipathall beereconstructednorsrepaired.er or r.ot any datr.aged property s 3, Distribution of Proceeds. Proceeds of insurance ~olicies received b~ the Insurance Trustee shall be distributed to o~ for ~the be:~efit o= the benef i~ial owners and expended or dis~ursea a~ter first paying or makinq provision for the payment of the expenses oi the Ynsurance Trustee in the following manner: (a} Reconstruction or Repair. If the damage for w:zic:~ t:~e proceeds were paid is to be repaired and restored, tr.e rer.aining proceeds shall be paid to defray the cos~ thereof as else- w::are provided. Any proceeds remaining after defraying such costs shall be distributed to the benef icial ownzrs, all remittances to L:.it owners and their mortgagees being payable jointly to them. ~.._....,,e .,f a»n i t and T:~is is a covenant for the benefit ~o= any ~~?u~~yQy~4 nay be enforced by hir.~. Said remittance shall be made solely to an institutional first mortgagee when requested by such institutional first mortgagee whose mortgage provides that it has the right to require application of the insurance proceeds to the payment or reduction of its mortgage debt. i i (b) Failure to Reconstruct or Repair. If it is ~ ~ determined in the manner elsewhere provided that the damage for $ w:~ich the proceeds are paid shall not be repaired and restored, the ~ proceeds shall be disbursed to the,benef icial owners; remittar.ces ~ to unit owners and their mortgagees being payable jointly to them, ~ inis is a covenant for,the benef it of any mortgagee of a unit and may be enforced by him. Said remittance shall be made solely to an institutional :irst mortgagee when requested by such institutional first mortgagee whose mortgage provides that it has the right to ~ require application of the insurance proceeds to the payment of its r,or~gage debt. In the event of loss or damage to personal property belonging to the Association and should the Board of Directors of tne Association determine not to replace such personal property as may be lost or damaged, the proceeds shall be disbursed to the beneficial owners as surplus in the manner elsewhere stated. ~ r~ (c) Certificate. In making distribution to unit ~ o•~mers and their mortgagees, the Insurance Trustee may rely upon a ~ certificate of the Association as to the names of the unit owners, r.;. - ~ t~ ~ -14- ~ ~ ~C~Or ~~O PA6f 2z16 ~ LAW OFFICES BART L. COHEN, CITY NATIONAL 6ANK BUILDINC3, MtAMI, FLORIOA _ _ i - { - - - - ~~~;~,s : - _ ~ t ~ _ „ _ . , . M_ ~