HomeMy WebLinkAbout1418 by the Association and charged to Apartment Owners as part of the Common
Expenses . The company or companies with which the Association shall place
its insurance⢠coverage as provided in this Declaration and the insurance
agent or agents placing such insurance must be authorized to do business in
the State of Florida with a place of business in Dade County, Broward 'County
or St . Lucie County , Florida . The Approved l~lortgagee holding the highest
dollar indebtedness encumbering Apartments in the Condominium shall have
the right, for so long as it holds such highest dollar indebtedness, Lo approve
the form of such insurance policies , the amounts thereof , the company or
companies which shall be the insurers under such policies and the insurance
agent or agents, and the designation of an "Insurance Trustee" (as herein- t
after defined) and a successor "Insurance Trustee", which approval will not
be unreasonably delayed. -The Association shall have the right to designate
,an insurance trustee (the "Insurance Trustee"), to act as an Insurance
Trustee in the manner provided in this Declaration, which Insurance Trustee
shall be a commercial bank or trust company which is authorized to do busi-
ness in the State of Florida and which has its principal office in St. Lucie
County, Dade County or Broward County, Florida, and thereafter, at any
time and from time to time, the right to change the Insurance Trustee to
another such bank or trust company .
8. All policies of insurance purchased by the Association shall be
deposited with the Insurance Trustee upon its written acknowledgment that
the policies and any proceeds thereof will be held in accordance with the
terms hereof . Said policies shall provide that all insurance proceeds payable
on account of loss or damage shall be payable to the Insurance Trustee, and
the Insurance Trustee may deduct from the insurance proceeds collected a _
reasonable fee for its services as Insurance Trustee. The Board is hereby
irrevocably appointed agent for each Apartment Owner to adjust and settle all `
claims arising under insurance policies purchased by the Association in which
Apartment Owners have or may have an interest and may, at the option of
such Apartment Owners , execute appropriate releases in favor of any such
insurer for any further liability arising from an occurrence so settled. The
Insurance Trustee shall not be liable in any manner for the payment of any
premiums on policies, the renewal of policies, the sufficiency of the coverage
of any such policies, or any failure to collect any insurance proceeds under
any policies .
C . In the event of any damage to the Condominium Property , no
mortgagee shall have any right to participate in the determination of whether
the Condominium Property is to be rebuilt, nor shall any mortgagee have the
right to apply insurance proceeds received by the Insurance Trustee to the
repayment of its loan, unless such proceeds are distributed to Apartment
Owners and/or their respective mortgagees .
~ D . The duty of the Insurance Trustee shall be to receive any and all
proceeds from the insurance policies held by it as such Insurance Trustee
and to hold such proceeds in trust for the Association, Apartment Owners,
and Approved Mortgagees under the following terms
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.1. In the event a loss insured under the policies held by the
Insurance Trustee occurs to any improvements within any of the Apartments
_ without any loss to any improvements within the Common Elements, the Insur-
ance Trustee shall immediately pay all proceeds received as a result of such
loss directly to the Apartment Owners of the Apartments damaged and their
Approved Mortgagees, if any, as their interests may appear, and it shall be
the duty of such Apartment Owners to use such proceeds to effect the neces-
s sary repairs to the Apartments and to return the Apartments to their prior
condition according to the standards required under the Condominium Docu-
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RVDEN, B4RNETT, McCLOSKY 6 SCNUSTER, ATTORNEYS AT LAW. 25 SOU7N AMORE WS AVENUE. FORT LAUDERDALE. iIORIpA