HomeMy WebLinkAbout0371 and casualty insurance, the proceeds paid to the Insurance
Trustee to cover such loss or damage shall be applied to the
repair, replacement or reconstruction of such loss or damage.
If the insurance proceeds are in excess of the cost of the
repair, replacement or reconstruction.of such Common Elements,
then such excess insurance proceeds shall be paid by the
Insurance Trustee to ~wners, the distribution to be separately
made to each Owner and his respective mortgagee as their
respective interests may appear, in such proportion as each
Apartment bears to the undivided interests in Common Elements
appurtenant to all Apartments. If it appears that insurance
proceeds covering the casualty loss or damage payable to the
Insurance Trustee are not sufficient, then the Condominium
Association shall deposit with the Insurance Trustee a sum
~hi~h, together wit~ the insurance groceeds recei~•ed ~r tn
be received will enable the Insurance Trustee to completely
pay for the repair, replacement or reconstruction of any
loss or damage. The monies to be deposited by the Condo-
minium Association with the Insurance Trustee, in said
latter event, may be paid by the Condominium Association out _
of reserve funds, if any, and if the amount of such funds
are not sufficient, or if the Board determines not to use
such funds for said purpose, then the Condominium Association
shall levy and collect an Assessment against Owners in an
.amount which shall provide the funds required to pay for
said repair, replacement or reconstruction.
In th~e event of the loss or damage to Common Elements and an
Apartment, which loss or damage is covered by fire and
casualty insurance, the proceeds paid to the Insurance
Trustee to cover such loss or damage shall first be applied
to the repair, replacement or reconstruction of Common
Elements, and any remaining insurance proceeds shall then be
applied to the repair, replacement or reconstruction of any
Apartment which may have sustained any covered loss or
damage. If the insurance proceeds are in excess of the cost
' of the repair, replacement or reconstruction of the Common
Elements and Apartments sustaining any loss or damage, then
j such excess insurance proceeds shall be paid and distributed
~ by the Insurance Trustee to Owners, and their mortgagees as
~ their respective interests may appear. Such distributions _
~ are to be made in the manner and in the proportions as are
provided herein. If it appears that the insurance proceeds
covering the fire and casualty loss payable to the Insurance
Trustee are not sufficient to pay for the repair, replacement
or reconstruction of the loss or damage, or that the insurance
proceeds, when collected, will not be sufficient, then the
Hoard_shall, based on reliable, detailed estimates obtained
from competent and qualified parties, determine and allocate
the cost of repair, replacement or reconstruction between
the Common Elements and Apartments sustaining any loss or
damage. If the proceeds of said fire and casualty insurance
are sufficient to pay for the repair, replacement or recons-
truction of any loss or damage to Common Elements, but not
sufficient to repair, replace or reconstruct any loss or
damage to Apartments, then the Condominium Association shall
Ievy and collect an Assessment from the Owner sustaining any
loss or damage, and the Assessment so collected from said
Owner shall be deposited with the Insurance Trustee so that
the sum on deposit with the Insurance Trustee shall be
sufficient to completely pay for the repair, replacement or
reconstruction of all Common Elements and Apartments. In
said latter event, the Assessment to be levied and collected
from an Owner sustaining loss or damage shall be apportioned
among all Owners in such manner that the Assessment levied
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