Antares Announcement

DECLARATION OF COVENANTS, CONDITIONS AND RESTRICTIONS
PAGE 62

ARTICLE XV (cont.)

(1)  The Board determines that such person acted in good faith and in a manner such person reasonably believed to be in the Association's best interests;

(2)  In the case of a criminal proceeding, the Board determines that such person had no reasonable cause to believe his conduct was unlawful; and

(3)  In the case of an action or threatened action by or in the right of the Association, the Board determines that such person acted with such care, including reasonable inquiry, as an ordinarily prudent person in a like position would use under similar circumstances.

Any determination of the Board required under this Section 15.7(a)(iii) must be approved by a majority vote of a quorum consisting of Directors who are not parties to the action or threatened action giving rise to the indemnification. If the Board fails or refuses to make any such determination, such determination may be made by the vote or written consent of a majority of a quorum of the Members voting at a meeting called for such purpose, provided that the person to be indemnified may not vote. Payments made hereunder include amounts paid and expenses incurred in settling any such action or threatened action. This Section 15..7(a)(iii) is intended to authorize payments and indemnification to the fullest extent permitted by applicable law. The entitlement to indemnification hereunder inures to the benefit of the estate, executor, administrator, heirs, legatees, or devisees of any person entitled to such indemnification.

(b)  Nonliability of Owners.  Pursuant to California Civil Code Section 1365.9, as amended or restated from time to time, no Owner shall be liable for any cause of action in tort which can be brought against the Owner solely because of the Owner's undivided interest in the Common Area so long as the Association maintains one or more policies of insurance which include coverage for general liability of the Association in an amount of at least two million dollars so long as the Project is composed of no more than 100 Condominiums, and at least three million dollars ($3,000,000) if the Project is composed of 100 Condominiums or more, and that insurance is in effect for the cause of action being brought.

15.8.  Notices.
Except as otherwise provided herein, notice to be given to an Owner must be in writing and may be delivered personally to the Owner. Personal delivery of such notice to one (1) or more

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