DECLARATION OF COVENANTS, CONDITIONS AND RESTRICTIONS
PAGE 64

ARTICLE XV (cont.)

(b)  Right to Inspect and Right to Corrective Action (cont.).
of inspecting the property. The parties shall negotiate in good faith in an attempt to resolve the claim. If the Declarant elects to take any corrective action, Declarant and Declarant's representatives and agents shall be provided full access to the Property to take and complete corrective action.

(c)  Judicial Reference of Disputes.
In any lawsuit between Declarant and the Association or ·any Owner relating to the condition or construction of any portion of the Project, all of the issues in such action, whether of fact or law, shall be submitted to general judicial reference pursuant to California Code of Civil Procedure Sections 638(1) and 641-645 or any successor statutes thereto. The parties shall cooperate in good faith to ensure that all necessary and appropriate parties are included in the judicial reference proceeding. Declarant shall not be required to participate in the judicial reference proceeding unless it is satisfied that all necessary and appropriate parties will participate. The parties shall share equally in the costs of the judicial referee.

The general referee shall have the authority to try all issues, whether of fact or law, and to report a statement of decision to the court. The parties shall use the procedures adopted by Judicial Arbitration and Mediation Services ("JAMS") for judicial reference (or any other entity offering judicial reference dispute resolution procedures as may be mutually acceptable to the parties), provided that the following rules and procedures shall apply in all cases unless the parties agree otherwise:

(1)  The proceedings shall be heard in the county in which the Project is located;

(2)  The referee must be a retired judge or an attorney with substantial experience in relevant real estate matters;

(3)  Any dispute regarding the selection of the refer shall be resolved by JAMS or the entity providing the reference services, or, if no entity is involved, by the court with appropriate jurisdiction;

(4)  The referee may require one or more pre-hearing conferences;

(5)  The parties shall lie entitled to discovery, and the referee shall oversee discovery and may enforce all discovery orders in the same manner as any trial court judge;

(6)  A stenographic record of the hearing shall be made, provided that the record shall remain confidential except as may be necessary for post-hearing motions and any appeals;

(7)  The referee's statement of decision shall contain findings of fact and conclusions of law to the extent applicable; and

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