following any breach by such Member of any provision of the Declaration, any Rule adopted by the Board of Directors or the Design Guidelines.

3.5 Transfer of Memberships on Association Books: Transfers of Memberships shall be made on the books of the Association only upon presentation of evidence, satisfactory to the Association, of the transfer of ownership of the Lot to which the Membership is appurtenant. Prior to presentation of such evidence, the Association may treat the previous owner of the Membership as the owner of the Membership entitled to all rights in connection therewith.

ARTICLE IV MEETINGS OF MEMBERS

4.1 Place of Members Meetings: Meetings of the Members shall be held at the principal office of the Association or at such other place, within or convenient to the Property, as may be fixed by the Board of Directors and specified in the notice of the meeting.

4.2 Annual Meetings of Members: Annual meetings of the Members shall be held in June of each year beginning in June of 1996 on such day and at such time of day as is fixed by the Board of Directors and specified in. the notice of meeting. The annual meetings shall be held to transact such business as may properly come before the meeting.

4.3 Special Meetings of Members: Special meetings of the Members may be called by the Board of Directors of the Association or by Members holding not less than 25% of the total votes of all Members, excluding votes of the Declarant, or by Members holding not less than 25% of the total votes of all Members, including votes of the Declarant. No business shall be transacted at a special meeting of the Voting Members except as indicated in the notice thereof.

4.4 Record Date: For the purpose of determining Members entitled to notice of, or to vote at, any meeting of the Members or in order to make a determination of such Members for any other proper purpose, the Board of Directors of the Association may fix, in advance, a date as the record date for any such determination of the Members. The record date shall be not more than fifty (50) days prior to the meeting of the Members or the event requiring a determination of the Members.

4.5 Notice of Members Meetings: Written notice stating the place, day and hour of the meeting shall be delivered not less than ten (10) nor more than fifty (50) days before the direction of the President or the Secretary of the Association or the officers or (continued next page)


BCIO513.96


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