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HomeMy WebLinkAbout0974 j- 21.5 Association's Power to Com romise Claims. The Board of Directors o t e Association is ere y irrevoca y appointed agent for each unit owner and for each owner of any other interest in the condominium property, for the purpose of compromising and settling all claims arising under insurance policies purchased by the Board of Directors or the Association, and to execute and deliver releases therefor upon payment of claims. 21.6 Mort a ee's Ri ht to Advance Premiums. Should the Association fai to pay insurance premiums w en ue, or should the Association fail to comply with other insurance requirements set forth in this Declaration, the Institutional Mortgagee holding the greatest dollar volume of unit mortgages shall have the right, at its option, to order insurance policies and to advance such sums as are required to maintain or procure such insurance, and to the extent of the money so advanced, said Institutional Mortgagee shall be subrogated to the assessment and lien rights of the Association as against the individual unit owners for the payment of such items of common expense. 22. RECONSTRUCTION OR REPAIR AFTER CASUALTY. 22.1 Determination to Reconstruct or Repair. If any part of the condominium property shall be damaged by casualty, whether or not it shall be reconstructed or repaired shall be determined in the following manner: (a) Common Elements. If the damaged improvement is a common element, the damaged property shall be reconstructed or repaired, unless it is determined in the manner hereinafter provided that the Condominium shalom be terminated. (b) Property (Real and Personal) of the Association. If the damaged improvement is property owned (in whole or part) by the Association, the damaged property shall be reconstructed or repaired unless it is determined in the manner hereinafter provided that the Condominium shall be terminated. (c) Condominium Building Containing Units. (1) Lesser Damage. If the damaged improvement is the building, and if units to which fifty percent (50$) of the common elements are appurtenant are found by the &oard of Directors of the Association to be tenantable, the damaged property shall be reconstructed or repaired, unless within sixty (60) days after the casualty i~ is determined by agreement in the manner hereinafter provided that the Condominium shall be terminated. (2) Substantial Damage. If the damaged improvement is the building, and if units to which more than fifty percent (50$) of the common elements are appurtenant are found by the Board of Directors to be ~r1ot tenantable, then the damaged property will not be reconstructed or repaired and the Condominium will be terminated without agreement as hereinafter provided, unless within sixty (60) days after. the casualty the owners of units to which more than seventy-five percent (75~) of the common elements are appurtenant agree in writing to such reconstruction or repair. DC-24 327 97~