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Walnut Hills (Mansfield) Homeowners' Association, Inc. · 40 pages
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Page 1 of 40 Electronically Recorded Tarrant County Texas Official Public Records 7/5/2012 9:16 AM D212160272 PGS 40 $172.00 Submitter; ACS L AFTER pact bit? aE Seah HORN TO: ary Louise Garcia Judd A. Austin, Jr.

Henry Oddo Austin & Fletcher, P.C.

1700 Pacific Avenue Suite 2700 Dallas, Texas 75201 CERTIFICATE AND MEMORANDUM OF RECORDING OF DEDICATORY INSTRUMENT WALNUT HILLS (MANSFIELD) HOMEOWNERS’ ASSOCIATION, I STATE OF TEXAS § COUNTY OF TARRANT § The undersigned, as attorney for the Walnut Hi ansfield} Homeowners’ Association, Inc., for the purpose of complying with Secydp p> exas Property Code and to provide public notice of the following dedicatory i cting the owners of property described on Exhibit B attached hereto, here} S hg dedicatory instruments attached hereto are true and ® é ate of Incorporation and Articles of Incorporation of nit Hills (Mansfield) Homeowners’ Association, Inc. (Exhibit a6 ); Walnut Hills (Mansfield) Homeowners Association, Inc. Architectural Standards Bulletin for the Installation of Solar Panels (Exhibit “A-3"); Page 2 of 40 ° Walnut Hills (Mansfield) Homeowners Association, Inc. Collection of Assessments & Payment Policy (Exhibit “A-4"); and ° Walnut Hills (Mansfield) Homeowners Association, Inc. Covenant Enforcement and Fining Policy (Exhibit “A-5").

All persons or entities holding an interest in and to any portion of property dgscrige¥ on Exhibit B attached hereto are subject to the foregoing dedicatory instruments.

, Inc. has 3 IN WITNESS WHEREOF, the Walnut Hills (Mansfield) Homeowne caused this Certificate and Memorandum of Recording of Dedi tobe filed of record with the Tarrant County Clerk’s office.

STATE OF TEXAS Qs COUNTY OF DALLA .

BEFORE MB Austin, Jr, atto WALNNGILLS SFIELD) NERS’ ASSOCIATION, INC.

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d Memorandum of Recording of Dedi tobe filed of record with the Tarrant County Clerk’s office.

STATE OF TEXAS Qs COUNTY OF DALLA .

BEFORE MB Austin, Jr, atto WALNNGILLS SFIELD) NERS’ ASSOCIATION, INC.

glefit Hills (Mansfield) Homeowners’ Association, Inc., known to me to ose eis subscribed on the foregoing instrument and acknowledged to me that e for the purposes therein expressed and in the capacity therein stated.

ELISE D. MYERS st “% Notary Public, State of Texas |p EF My Commissian Expires -2Page 3 of 40 BYLAWS OF WALNUT HILLS (MANSFIELD) HOMEOWNERS!’ ASSOCIATION, INC.

(A Texas Non-Profit Corporation) ARTICLE I DEFINITIONS 1.01. Definitions.

(a) All terms used herein, such as (but not by 2 “land”, "Areas of Common Responsibility", "Declarant", 2 meanings as set forth in that certain Declaration of Covenan Texas.

(b) “Act” shall refer to the Texas No to time.

2.01. Name. Ti Homeowners' Associatio Site SS shall be WALNUT HILLS cannes: ewhafter called the "Association”).

ARTICLE I OFFICES OF THE ASSOCIATION ipal Office. The initial principal office of the Association shall be located at phove, Suite 101, Carrollton, TX 75006, but meetings of members and directors may atstich’ place within the State of Texas as may be designated by the Board of Directors.

3.02. Other Offices. The Association may also have offices at such other places both within and without the State of Texas as the Board of Directors may from time to time determine or as the business of the Association may require.

EXHIBIT Page 4 of 40 ARTICLE IV ASSOCIATION RESPONSIBILITIES AND MEETINGS OF MEMBERS 4.01. Ass6ciation Responsibilities. The members will constitute the Association, which shall be responsible for administering and enforcing the covenants, conditions and restrictions

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ETINGS OF MEMBERS 4.01. Ass6ciation Responsibilities. The members will constitute the Association, which shall be responsible for administering and enforcing the covenants, conditions and restrictions and assessments as provided therein, and coordinating with other homeowners’ zg the adjacent subdivisions in administering and tee such covenant application of the provisions of the Declaration, Articles oe Incorporag¢ dispute or disagreement shall be submitted to the Board of Dire and all such members, subject to the nght of members to after such determination by such Board of Directors.

4.02. Place of Meeting. Meetings of the ciation shall be held at such suitable place, reasonably convenient to the members, witbirt Board of Directors may determine. © 4.03. Annual Meetings. The aceting of the Association shall be held within one (1) year from the date of incorporati Association, and each subsequent regular annual meeting of the members shall Ke Ne e day of the same month of each year thereafter unless otherwise determined e E t such meetings, there shall be elected a Board of Directors by ballot of thé mm 2 accordance with the requirements of Article V of these Bylaws. The members aasact such other business of the Association as may properly come before them at suc the day for the annual meeting of the members is a legal eetings. It shall be the duty of the President of the Association to call a hé members as directed by resolution of the Board of Directors or upon and shallbe held within forty-five (45) days after receipt by the President of such request or petition.

Page 5 of 40 4.05. Notice of Meetings. Written or printed notice stating the place, day and hour of the meeting and, in case of a special meeting, the purpose or purposes for which the meeting is

ion.

Page 5 of 40 4.05. Notice of Meetings. Written or printed notice stating the place, day and hour of the meeting and, in case of a special meeting, the purpose or purposes for which the meeting is called, shall be delivered by the Secretary or Assistant Secretary of the Association not less than fifteen (15) nor more than thirty (30) days before the date of the meeting, either personally or by mail, to each member of record entitled to vote at such meeting. If mailed, such notice shall be deemed to be delivered when deposited in the United States mail, addressed to the member at his address as it appears on the books of the Association, with postage thereon prepaid. Business transacted at any special meeting shall be confined to the purposes stated in the noticd i thereof.

| 4.06. Quorum. The holders of one-tenth (1/10) of the vote. i Asg of members except as otherwise provided in the Articles of Incorporatig Bylaws. If, however, such quorum shall not be present or rep members, the members present, or represented by proxy, shg meeting from time to time, without notice other than a quorum as aforesaid shail be present or be represented. A\ quorum shall be present or represented, any busingS transacted at the meeting as originally notified.

¥ at the meeting, until a — ed meeting at which a 4.07. Proxies. At all meetings proxy. All proxies shall be in wnting Every proxy shall be revocable and shall_a his lot.

ith the Secretary of the Association.

cease upon conveyance by a member of 4.08. ; member of the Associatyo? } its ownership of any lot. Each member may vote the number of votes and im Orth in the Declaration and Articles of Incorporation.

4.09. Orde The order of business at all meetings of the Members shall be as follows:

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of any lot. Each member may vote the number of votes and im Orth in the Declaration and Articles of Incorporation.

4.09. Orde The order of business at all meetings of the Members shall be as follows: (b proof of notice of meeting or waiver of notice; reading and disposal of unapproved minutes of prior meetings; (d) reports of officers; (e) reports of committees; (f) election of directors; Page 6 of 40 (g) unfinished business; (h) new business; and (i) adjournment.

4.10. Membership List. The officer or agent having charge of the members shall make, at least five (5) days before each meeting of members, a complete list of the Inambers entitled to vote at such meeting or any adjournment thereof, arranged in alphabetteal‘s with the address of and number of votes held by each, which lst, for a period of gr to such meeting, shall be kept on file at the principal office of the Association) byect to inspection by any member at any time during usual business ho hall also be produced and kept open at the time and place of the meeting, a sybject to the inspection of any member during the whole time of the méefing ¢ Otigvhal member books at any such meeting of members.

4.11. Action Taken Without a Meeting. A Stion required by statute to be taken at an | annual or special meeting of the members, or any-attion Which is otherwise permitted by law or by these Bylaws, may be taken without io p ‘/prior notice and without a vote, if a consent in writing, setting forth the actiomsote be signed by all of the members entitled to vote with respect to the subject matter, such consent shall have the same force and Be restricted by the Articles of Incorporation or in and hold a meeting by means of telephone meeting can hear each otly ARTICLE V BOARD OF DIRECTORS

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matter, such consent shall have the same force and Be restricted by the Articles of Incorporation or in and hold a meeting by means of telephone meeting can hear each otly ARTICLE V BOARD OF DIRECTORS ber and Qualification. Until the first meeting of the Association, the affairs 3 shal] be governed by a Board of Directors consisting of the three (3) persons p the Articles of Incorporation of the Association. At such first meeting, there shall bee (3) directors to the Board of Directors who shall thereafter govern the affairs of the Association until] their successors have been duly elected and qualified.

5.02. Powers and Duties. The Board of Directors shall have the powers and duties necessary for the administration of the affairs of the Association and for the operation and maintenance of the land in keeping with the character and quality of the area in which it is located. The business and affairs of the Association shall be managed by or under the direction 4 Page 7 of 40 of the Board of Directors which may exercise all such powers of the Association and do all such lawful acts and things as are not by statute, the Articles of Incorporation, these Bylaws or the Declaration directed or required to be exercised or done by the members.

5.03. No Waiver of Rights. The omission or failure of the Association or any member to enforce the covenants, conditions, restrictions, easements, uses, liens, limitations, obligations or other provisions of the Declaration, these Bylaws or the mules and regulations, adopted 5.04. Election and Term of Office. At the first meeting of the Ass office for three (3) Directors shall be fixed at one (1) year. At the expiratio office of each respective Director, his successor shal] be elected to se

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Term of Office. At the first meeting of the Ass office for three (3) Directors shall be fixed at one (1) year. At the expiratio office of each respective Director, his successor shal] be elected to se The Directors shall hold office until their successors have-been ¢ meeting, except as is otherwise provided herein.

5.05. Vacancies. Vacancies in the Bdard of Dire s causefl by death, resignation or disqualification (i.c., by any reason other than x’ Director by a vote of the Association as set forth in Section 5.06 hereof) sh filled by vote of the majority of the remaining Directors, even though they may copsfitixe than a quorum, and each person so elected shall be a Director until his s yegesspr 1 ev at the next annual meeting of the Association to serve out the unexpired te if the Board of Directors caused by a remeva filled in the manner set forth in Sectioh FT d no notice of such meeting shall be necessary to the newly elected directors to constitute the meeting, provided a quorum shall be present. In the event of the of Directors, or in the event such meeting is not held at the time and place so fixed by the members, the meeting shall be held within ten (10) days after the annual meeting of the members at such place as shall be fixed by the Directors at the meeting at which such Directors were elected, and no notice shall be necessary to the newly elected Directors in order to legally constitute such meeting, provided a quorum of the Board of Directors shall be present.

Page 8 of 40 5.08. Regular Meetings. Regular meetings of the Board of Directors may be held at such time and place as shall be determined, from time to time, by a majority of the Directors, but at least one (1) such meeting shall be held during each calendar year. Notice of regular meetings

at such time and place as shall be determined, from time to time, by a majority of the Directors, but at least one (1) such meeting shall be held during each calendar year. Notice of regular meetings of the Board of Directors shall be given to each Director, personally or by mail, telephone or telegraph, at least five (5) days prior to the day named for such meeting.

5.09. Special Meetings. Special meetings of the Board of Directors may be galled by the President upon five (5) days' notice to each Director, given personally or by mail,4 kephone or telegraph, which notice shall state the time, place and purpose of the meefiire pecial more Directors.

5.10. Meeting by Telephonic Means. Members o participate in a meeting by means of conference telephone g by means of which all persons participating in the meeting in 2 meeting pursuant to this Section 5.10 shall constitute presé 5.11. Waiver of Notice. Before or after eeting of the Board of Directors, any Director may, in writing, waive notice of suc and such waiver shall be deemed equivalent to the giving of such notice. A ctor at any meeting of the Board of Directors shall be a waiver of notice by h d place thereof. If all of the Directors s. Directors present by proxy may not be counted toward a © Board of Directors, there i is less than a quorum present, the ctiwe, until a quorum shall be present. At ay such adjourned meeting, night have been transacted at the meeting as originally called may be No member of the Board of Directors shall receive any compensatfop’for acting as such.

5.14. Action Taken Without a Meeting. The Directors shall have the right to take any action in the absence of a meeting which they could take at any meeting by obtaining the written

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or acting as such.

5.14. Action Taken Without a Meeting. The Directors shall have the right to take any action in the absence of a meeting which they could take at any meeting by obtaining the written approval of all the Directors. Any action so approved shall have the same effect as though taken at a meeting of the Directors.

Page 9 of 40 5.15. Nomination and Election of Directors. Nomination for election to the Board of Directors shall be made by a Nominating Committee. Nominations may also be made from the floor at the annual meeting. The Nominating Committee shall consist of a Chairman, who shall be a member of the Board of Directors, and two or more members or representatives of a member of the Association. The Nominating Committee shall be appointed by the Board of Directors prior to each annual meeting of the members, to serve from the close of such annual meeting until the close of the next annual meeting and such appointment shall be ann each annual meeting. The Nominating Committee shall make as many nominations lection to the Board of Directors as it shall in its discretion determine, but not less than vacancies that are to be filled. Such nominations may be made from members ARTICLE VI OFFICERS on shall be a President, one (1) or more 6.01. Designation. The officers of the Assd Om shall be elected by the Board of Vice-Presidents, a Secretary and a Treasurer, a Directors, and such assistant officers as tha Boz Such officers need not be members of 4 f Mirectors. The office of President and Treasurer may be held by the same per, the Office of Vice-President and Secretary or Assistant Secretary may be es th or at any later time specified therein. Unless otherwise specified therein, the such resignation shall not be necessary to make it effective.

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resident and Secretary or Assistant Secretary may be es th or at any later time specified therein. Unless otherwise specified therein, the such resignation shall not be necessary to make it effective.

6.04. Vacancies. A vacancy in any office due to the death, resignation, removal or other disqualification of the officer previously filling such office may be filled by appointment by the Board of Directors. The officer appointed to such vacancy shall serve for the remainder of the term of the officer he replaces.

Page 10 of 40 6.05. President. The President shall be the chief executive officer of the Association.

He shall preside at all meetings of the Association and of the Board of Directors. He shall have all of the general powers and duties which are usually vested in the office of president of an association, including but not limited to the power to appoint committees from the members from time to time as he may in his discretion decide is appropriate to assist in the conduct of the affairs of the Association, or as may be established by the Board of Directors or by the members of the Association at any annual or special meetings.

6.06. Vice-President. The Vice-President shall have all the powers an perform all the functions and duties of the President in the absence of the-Pre also perform any duties he is directed to perform by the President.

6.07. Secretary. (a) The Secretary shall keep all of the mi Board of Directors and the Association. The Secretary ha papers as the Board of Directors may direct, and shall, in g to the office of Secretary as provided in the Declaration, BY (b) The Secretary shall compile and ke to date at the principal office of the Association a complete list of the members an: known addresses as shown on the

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ecretary as provided in the Declaration, BY (b) The Secretary shall compile and ke to date at the principal office of the Association a complete list of the members an: known addresses as shown on the records of the Association. Such list shall be spection by members and other persons lawfully entitled to inspect the same at re’ ing regular business hours.

6.08. Assistant Secret YZ... if any, shall have all the powers and duti¢s of the Secretary in the absence of the Secretary any reason to exercise such powers and functions or any duties as directed by the Secretary.

authority to perform all the or in the event of the Secreta reasurer shall have custody of and be responsible for Association funds a ¢ full and accurate accounts of all receipts and disbursements in id-ter keeps books belonging to tes ciation. The Treasurer shall deposit all monies and other valuable and foshe credit of the Association in such depositories as may from time to Sbé Treasurer shall disburse the funds of the Association as may be ordered by Directors, taking proper vouchers for such disbursements, and shall render to the _ requires,an account of all his transactions as Treasurer, and of the financial condition of the .

Association. oo Page 11 of 40 ARTICLE Vi INDEMNIFICATION OF OFFICERS AND DIRECTORS 7.01. Indemnification. (a) The Association shall indemnify, to the extent provided in the following paragraphs, any person who is or was a director, officer, agent or employee of the Association. In the event the provisions of indemnification set forth below are more restrictive (b) whether civil, criminal, administrative or mvestigative (other than an at the Association), against a person named in paragraph (@) g reasonably incurred by such person in connection with thé

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tive (b) whether civil, criminal, administrative or mvestigative (other than an at the Association), against a person named in paragraph (@) g reasonably incurred by such person in connection with thé expenses (including court costs and attormeys' fe amo (c) A person named in parggrap determined in accordance with paragraph (i) acted in good fi in all other cases, his or her conduct was not opposed to the best te of the Association; and (a in the case of any criminal proceeding, had no reasonable cause to believe at hig or her conduct was unlawful.

The termination of.a proceeding by judgment, order, settlement or conviction, or upon a plea of nolo contenders or its equivalent, will not, of itself, create a presumption that such person failed to satisfy the standard contained in this paragraph (c).

(d) A determination that the standard in paragraph (c)-above has been satisfied must be made: Page 12 of 40 (a) by the Board of Directors by a majority vote of a quorum consisting of Directors who, at the time of the vote, are not named defendants or respondents in the proceeding; or (ii) | if such quorum cannot be obtained, by a majority vote of a committee of the Board of Directors designated to act in the matter by a majority vote of all consisting solely of two (2) or more Directors who at the time of the vote are defendants or respondents in the proceeding; or (iii) | by special legal counsel selected by the Board of Dirg of the Board of Directors by vote as set forth in subparagraphs (i)or (i a quorum cannot be obtained and such a committee cannot bg vote of all Directors.

ef or, if such a majority (e) Determination as to reasonableness of expertses must pe}made in the same manner as the determination that indemnification is permissible, ‘ ;

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ot bg vote of all Directors.

ef or, if such a majority (e) Determination as to reasonableness of expertses must pe}made in the same manner as the determination that indemnification is permissible, ‘ ; indemnification is permissible is made by acoufisel, determination as to reasonableness of expenses must be made in the ma pecified by subparagraph (d)(iii) above for the selection of special legal counsel.

(f) The Association may ret (including court costs and attorneys’ fegs a¥ become subject to indemnification under accordance with the provisions as stated in above will continue as to a person who has ceased to hold a position named in paragraph (a) -above and will inure to such person's heirs, executors and administrators.

(i) The Association may purchase and maintain insurance on behalf of any person who holds or has held any position named in paragraph (a) above against any liability incurred by such person in any such position, or arising out of such person's status as such, whether or not 10 Page 13 of 40 the Association would have the power to indemnify such person against such liability under paragraphs (a) through (f) above.

GQ) Indemnification payments and advance payments made under paragraphs (a) through (i) above are to be reported in writing to the members of the Association in the next notice or waiver of notice of annual meeting, or within twelve (12) months after the payments are made, whichever is sooner.

(k) All liability, loss, damage, cost and expense incurred or sug Association by reason of or arising out of, or in connection with, the foresol p- indemnification assessment, 7.02. Other. The Board of Directors, officers, or r fabyes)o the shall enter into contracts or other commitments as agents fo ation, and they shall have

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ith, the foresol p- indemnification assessment, 7.02. Other. The Board of Directors, officers, or r fabyes)o the shall enter into contracts or other commitments as agents fo ation, and they shall have no personal liability for any such contract or commitm ascribed to them in their capacity as Owners).

7.03. Interested Directors and Officers.

contract or transaction between the Association a corporation, partnership, association or indirectly have a financial interest) shall b x because of the presence or participation ot or officer at the meeting of the Board of Directors or committee thereof Cau ch contract or transaction, or solely because such person's votes are counte SS SS to in paaigepe (a) above will not be void or (b) voidable if: entit}ed)to vote thereon and they nevertheless in good faith authorize or ratify the contract gisaction by a majority of the members present, each such interested person to be counted for quorum and voting purposes, or (B) to the Board of Directors or a committee of the Board of Directors and the Board of Directors or committee nevertheless in good faith authorizes or ratifies the contract or transaction by a majority of the disinterested Directors present, each such interested Director to be counted in determining whether a quorum is present but not in calculating the majority necessary to carry the vote.

LA Page 14 of 40 (c) The provisions contained in paragraphs (a) and (b) above may not be construed to invalidate a contract or transaction which would be valid in the absence of such provisions.

ARTICLE VUI AMENDMENTS TO BYLAWS 8.01. Amendment to Bylaws. These Bylaws may be amended at a regular meeting of the members by a vote of a majority of a quorum of members in goog’ Sta

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such provisions.

ARTICLE VUI AMENDMENTS TO BYLAWS 8.01. Amendment to Bylaws. These Bylaws may be amended at a regular meeting of the members by a vote of a majority of a quorum of members in goog’ Sta present in person or by proxy; provided, however, that such authority may be-dtkeea and/or the U.S. Department of Housing and Urban Development ( veto any amendments to these Bylaws as long as there is a Cla correct easy of the orig} with an interest or owne A member shall not be Board of Directors within fifteen (15) days after transfer of title, or after a change of address.

Such registration shall be in written form and signed by all of the owners of the lot or by such person(s) as are authorized by law to represent the interest of all of the owner(s) thereof.

ARTICLE X 12 Page 15 of 40 GENERAL 10.01. Assessments and Liens. As more fully provided in the Declaration, each Member shall pay to the Association annual and special assessments which are secured by a continuing lien upon the lot against which the assessment is made.

10.02. Abatement and Enjoinment. The violation of any rule or regulation, or the breach of any Bylaw or any provision of the Declaration, shall give the Board of Directors the Nght, in addition to any other rights set forth in the Declaration or herein, to enjoin, abate’Omemddy by appropriate legal proceedings, either at law or in equity, the continuance of each Viela breach.

10.03. Committees. The Association may appoint an Architeg subject to the terms of and as provided in the Declaration, 2 reasonable times upon reasonable written notice, be member's sole cost and expense. The Declaration of the Association shall be available for i Association, and copies of such ‘docu reasonable cost.

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2 reasonable times upon reasonable written notice, be member's sole cost and expense. The Declaration of the Association shall be available for i Association, and copies of such ‘docu reasonable cost.

of the Association, membe NS ard-f Directors, officer or person from whom the E funds shall receive or shall be lawfully entitled to wird party for services rendered to the Association in effecting one or §the Association, and (b) any member, Director or officer may, from time i for his actual and reasonable expenses incurred in connection with the all contracts, documents, instruments of conveyance or encumbrances, including promissory notes, shall be the President or any \ Vice President, and the Secretary or any Assistant Secretary, of the Association.

10.07. Proxy for Beneficiary or Mortgagee Under Deed of Trust. Owners shall have the right to irrevocably constitute and appoint their Mortgagees their true and lawful attorney to vote 13 their lot membership in this Association at any and all meetings of the Association and to vest in such beneficiary or his nominees any and all nghts, privileges and powers that they have as owners under the Bylaws of this Association or by virtue of the Declaration. Such proxy shall become effective upon the filing of a notice by the beneficiary with the Secretary or Assistant Secretary of the Association at such time or times as the beneficiary shall deem its security in jeopardy by reason of the failure, neglect or refusal of the Association or the owners to carry out their duties as set forth in the Declaration. Such proxy shall be valid until such time as a release of the beneficiary's deed of trust is executed and a copy thereof delivered to the Se€rétary or

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out their duties as set forth in the Declaration. Such proxy shall be valid until such time as a release of the beneficiary's deed of trust is executed and a copy thereof delivered to the Se€rétary or Assistant Secretary of the Association, which shall operate to revoke such prox DrOKy may be terminated prior to such revocation by the beneficiary's delivering writfe ree termination to the Secretary or Assistant Secretary of the Association. Nothjad shall be construed to relieve owners of, or to impose upon the beneficia the duties and obligation of an owner.

10.08. Conflicting or Invalid Provisions. Notwithsy the contrary, should all or part of any Article or Section of s be in conflict with the provisions of the Act or any other Texas law, such Act or Ib jivol, and should any part of these Bylaws be invalid or inoperative for any r emaining parts, so far as is possible and reasonable, shall be valid and operative.

10.09. Notices. All notices to m é éf \sséciation shall be given by delivering the same to each owner in person or by rsitivig afices in the U.S. Mail, postage prepaid, addressed to each owner at the addre en“by each owner to the Secretary of the Association. If an owner shall fail to gf es to the Secretary for mailing of such notices, stal year of the Association shall begin on the first day of xt December of every year, except that the first fiscal year shall ation of the Association.

January and end on begin on the date of 14 Page 17 of 40 | RRR-CH oo, secrrtary of State CERTIFICATE OF INCORPORATION GF WALNUT HILLS. (MANSFIELD) HOMEOWNERS® ASSOC ; : CHARTER NUMBER 01572840 ‘THE UNDERSIGNED» AS SECRETARY CE STATE HEREBY CERTIFIES THAT THE ATTACHED ARTICLES BDFFICE AND ARE ABOVE NAMED CORPORATION HAVE BEEN RECELVED FOUND TO CONFORM TO LAK. \

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OC ; : CHARTER NUMBER 01572840 ‘THE UNDERSIGNED» AS SECRETARY CE STATE HEREBY CERTIFIES THAT THE ATTACHED ARTICLES BDFFICE AND ARE ABOVE NAMED CORPORATION HAVE BEEN RECELVED FOUND TO CONFORM TO LAK. \ | ACCORUINGL Ys THE ae B RAPARY GF STATEs AND BY VIRTUE DF THE AUTHGRITY VESTED iN THE S BY LAws HEREBY ISSUES THIS CERTIFICATE DF INCORPORATION.

P aS F INCORPORATION DOES NOT AUTHORIZE AMEN 1 THIS STATE IN VIGLATION GF THE RIGHTS SF TRADEMARK ACT GF 1946, THE TEXAS TRADEMARK LAtis PRUFESSTONAL NAME ACT OR THE COMMON LAW.

EXHIBIT Ad tabbles* Elton Bomer, Secretary of State Page 18 of 40 ARTICLES OF INCORPORATION FILED OF in the Office of the Secretary of State of Texas WALNUT HILLS (MANSFIELD) ) FEB 2 8 2000 HOMEOWNERS’ ASSOCIATION, INC.

< Corporations Section least two of whom are citizens of the State of Texas, acting as incorporators of under the Texas Non-Profit Corporation Act (the “Act”), hereby adopts the followin ARTICLE ONE The name of the corporation is WAL LS TELD) HOMEOWNERS’ ASSOCIATION, INC. (hereinafter referred to as the ociation”).

on The Association is a non-profit c © TICLE THREE Sen ARTICLE FOUR The period of its 4 hike do ganized pursuant to the Act and does not contemplate pecuniary fergbefs thereof and is organized for non-profit purposes. The purposes for “City”), Tarrant County (the “County”), Texas, as more fully described in that 2 aration of Covenants, Conditions and Restrictions (the “Declaration’’) filed of record in thd Property Records of the County, and any and all other property which is accepted from time to time by the Association for similar purposes, and to promote the health, safety and welfare of the residents within the land and any and all other property which is accepted by the

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cepted from time to time by the Association for similar purposes, and to promote the health, safety and welfare of the residents within the land and any and all other property which is accepted by the Association for similar purposes. Without limiting the foregoing, the purposes of the Association shall include, without limitation, the following: C:/eindy/communities/dalias/southridgehills.aoi Page ] Page 19 of 40 (a) The Association may exercise all of the powers and privileges and perform all of the duties and obligations of the Association, including cooperation with other homeowners’ associations organized for the same or similar purposes in other subdivisions, as set forth in the Declaration, as same may be amended from time to time, the Declaration bemg incorporated herein by reference as if set forth at length herein.

a The Association may (i) fix, levy, collect and enforce payment of ae any lawful the Board (as herein defined).

(c} The Association may acquire (by gi otherwi se), own, hold, improve, build upon, operate, maintain, convey, se E otherwise dispose of real or personal property in ection with the affairs of the Association subject to the limitations, if any, set forth im the Deelate (d) The Association may bor 24 Members as set forth in the Declaration, msrtaege, Pledge or a he any or all of its real 0 or personal property as security for mo.

any, set forth in the Declaratiog> (e) The Assog piho and general sanitation an é gfnents or other escrow arrangements with the City or other governmental authorities, to provid or escrow funds to pay for the operation, maintenance and repair of the Areas of Common Responsibility and Open Space and any improvements owned by the Association.

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governmental authorities, to provid or escrow funds to pay for the operation, maintenance and repair of the Areas of Common Responsibility and Open Space and any improvements owned by the Association.

(h) The Association may enter into and perform any contract and exercise all powers which may be necessary or convenient to the operation, management, maintenance and administration of the affairs of the Association in accordance with the Declaration.

C:/cindy/communities/dallas/southridgehills.aoi Page 2 Page 20 of 40 (i) The Association may dedicate, sell or transfer all or any part of the Areas of Common Responsibility or Open Space to any public agency, authority or utility company for such purposes and subject to such conditions as may be agreed to by the Members; provided, however, that no such dedication, sale or transfer shall be effective unless an instrument has been recorded after it has been signed by the requisite number of voting Members agreeing to such dedication, sale or transfer as provided in the Declaration.

Q@) The Association may participate in mergers and consolidations profit corporations organized for the same purposes or annex additional residentig or annexation shal! have the assent of the Owners representing the requisife voting Members as provided in the Declaration.

(k) The Association may have and exercise any 3 corporation organized under the Act may now or hereafte rights or privileges described in the Declaration.

pe held to limit or restrict in any aws of the State of Texas and shal] be h general powers conferred on nonThe foregoing enumeration of specific purpds manner the powers of this Association conferred } Every record owner 9 Sovited fee interest im any Lot included in the

Pages 20–21

e h general powers conferred on nonThe foregoing enumeration of specific purpds manner the powers of this Association conferred } Every record owner 9 Sovited fee interest im any Lot included in the Declaration shall be a m ociation. Membership shall be appurtenant to and shall not be separated from olyntpiyp df aot. Every member shall have the right at all reasonable tumes during business Ks to Iaspect the books of the Association. The foregoing is not . Transfer of ownership either voluntarily or by operation of law, ys membership in the Association, and membership shall be vested in ARTICLE SIX The Association shall have two (2) classes of voting membership: (a) Class A Members shall be all Owners of Lots (other than Class B Members) and shall be entitled to one (1) vote for each Lot owned. When more than one (1) person holds an interest in any Loft, all such persons shall be Members, but the vote for such Lot shall be C:/cindy/communities/dallas/southridgehills.aoi Page 3 Page 21 of 40 exercised as they among themselves determine, and in no event shall more than one (1) vote be cast with respect to any Lot.

(b) Class B member(s) shall be Declarant(s), and other parties as set forth in the Declaration, who shall be entitled to three (3) votes for each Lot owned. The Class B membership shall cease and be converted to Class A membership on the date and in the manner set forth in the Declaration.

entitled to vote by the Members.

ARTICLE SEVEN The street address of its initial registered office of # Suite 101, Carrollton, Texas, 75006, and the name of its inifia Brett Dietz.

Subject to the terms of the Declar, Board of Directors of the Association ation, or the Bylaws of the Association. The ard is three (3), and the names and addresses of the

Pages 21–22

e of its inifia Brett Dietz.

Subject to the terms of the Declar, Board of Directors of the Association ation, or the Bylaws of the Association. The ard is three (3), and the names and addresses of the pumber of Directors constituting) bers of the Board are: persons who are > to serve as Address 2611 Westgrove, Suite 101 Carrollton, Texas 75006 2611 Westegrove, Suite 101 ~ Carrollton, Texas 75006 Brett Dietz 2611 Westgrove, Suite 101 Carrollton, Texas 75006 - - The Board may make whatever rules and bylaws it deems desirable to govern the Association and its Members; provided, however, any conflict between such bylaws and the provisions hereof shall be controlled by the provisions of the Declaration.

C:/cindy/communities/dallas/southridgehills.aoi Page 4 Page 22 of 40 ARTICLE NINE No Director of the Association shall be personally liable to the Association for monetary damages for any act or omission in the Director’s capacity as a Director, except that this Article does not eliminate or limit the liability of a Director for (1) a breach of a Director’s duty of loyalty to the Association, (2) an act or omission not in good faith or that involves intentional misconduct or a knowing violation of the law, (3) a transaction from which a Director received an improper benefit, whether or not the benefit resulted from an action taken within thé\scope of .

claim that, but for this Article, would accrue or arise prior to such amendxfe Act or the Texas Miscellaneous Corporation Laws Act (the “TMC Acts permitted by the Act or the TMC Act, as so amended fro foregoing, the following shal] apply: (a) The Association shall indemni the extent” provided in the following paragraphs, any person who is or was a director, off gent or employee of the Association.

Pages 22–23

foregoing, the following shal] apply: (a) The Association shall indemni the extent” provided in the following paragraphs, any person who is or was a director, off gent or employee of the Association.

In the event the provisions of indemnificatiop’s provisions of indemnification allowed bX Pxti S named above shall be indemnified to the S pmitted by Article 1396-2.22A of the TMC Act as it may exist from time to time.

/ (b) In case of a Se nding suit, action or proceeding (whether civil, — criminal, administrative 2 g éy against a person named in paragraph (a) above by reason of such person’ fion named in such paragraph (a), the Association shall indemnify such person ik sof satisfies the standard contained in paragraph (c) below, for amounts -actually 2 settlement of the sii oO m named in paragraph (a) above will be indemnified only if it is te: dance with paragraph (d) below that such person: (i) acted in good faith in the transaction which is the subject of the suit; and (li) reasonably believed: (A) — if acting im his or her official capacity as director, officer, agent or employee of the Association, that his or her conduct was in the best interests of the Association; and , C:/cindy/communities/dallas/southridgehills.aoi : Page 5 Page 23 of 40 (B) in all other cases, that his or her conduct was not opposed to the best interests of the Association; and (iii) in the case of any criminal proceeding, had no reasonable cause to believe that his or her conduct was unlawful.

The termination of a proceeding by judgment, order, settlement or conviction/dg upon a plea of nolo contendere or its equivalent, will not, or itself, create a presumption failed to satisfy the standard contained in this paragraph (c).

(d) ~° A determination that the standard in paragraph (c) above ha&

Pages 23–24

tendere or its equivalent, will not, or itself, create a presumption failed to satisfy the standard contained in this paragraph (c).

(d) ~° A determination that the standard in paragraph (c) above ha& be made: , (a) by a majority vote of a quorum consist the vote are not named defendants or respondents 1 (ii) if such quorum cannot be objained, b vity vote of a committee of the Board, designated to act in the manner ajority vote of all Directors, consisting solely of two (2) or more Directors who atthe of the vote are not named defendants or respondents in the proceeding; or ° (iii) by special legal count lected/oy the Board or a committee of the Board by vote as set forth in subpar, s d (ii) above, or, if such quorum cannot be obtained and such co ee ) ablished, by a majority vote of all Directors. .

ihe ESS eness of expenses must be made in the same manner { Yeung catién is permissible, except that if the determination that (e) Detenming made by special Jegal counsel, determination as to as the determination d attorneys’ fees) which may become subject to indemnification under ugh (e) above, but only in accordance with the provisions as stated in above, and only after the person to receive the payment (i) signs a written w of his or her good faith belief that he or she has met the standard of conduct ary-for indemnification under paragraph (c), and (ii) undertakes in writing to repay such advances if it is ultimately determined that such person is not entitled to indemnification by the Association. The written undertaking required by this paragraph must be an unlimited general obligation of the person but need not be secured. It may be accepted without reference to financial ability to make repayment.

C:/cindy/communities/dallas/southridgehills.aoi Page 6 Page 24 of 40

eral obligation of the person but need not be secured. It may be accepted without reference to financial ability to make repayment.

C:/cindy/communities/dallas/southridgehills.aoi Page 6 Page 24 of 40 (g) | The indemnification provided by paragraphs (a) through (e) above will not be exclusive of any rights to which a person may be entitled to by law, bylaws, agreement, vote of Members or disinterested Directors, or otherwise.

(h) The indemnification and advance payment provided by paragraphs (a) through (f) above will continue as to a person who has ceased to hold a position named in paragraph (a) above and will inure to such person’s heirs, executors and administrators.

(1) The Association may purchase and maintain insurance on behalf who holds or has held any position named in paragraph (a) above against any_li by such person in any such position, or arising out of such person’s status as g the Association would have power to indemnify such person against paragraphs (a) through (f) above.

(j) Indemnification payments and advance paj er paragraphs (a) through (1) above are to be reported in writing to the Mg the “ASsociation in the next notice or waiver of notice of annual meeting, or within twe ths after the payments are made, whichever is sooner.

(k) — All liability, loss, damage, cost ense incurred or suffered by the Association by reason of or arising out of, or i with, the foregomg indemnification provisions shall be treated and handle ion as an expense subject to special assessment.

with the assent given in writing and signed by not less oting Members. Upon dissolution of the Association, ARTICLE ELEVEN arendment of these Articles shall require the assent of the requisite number of votes of the voting Members as set forth in the Declaration.

Pages 25–26

embers. Upon dissolution of the Association, ARTICLE ELEVEN arendment of these Articles shall require the assent of the requisite number of votes of the voting Members as set forth in the Declaration.

C:/cindy/communities/dallas/southnidgehills.aoi Page 7 Page 25 of 40 ARTICLE TWELVE As long as there is a Class B membership, the poor approval of the Federal Housing Administration (“FHA”), the Veterans Administration (’VA”) and/or the U.S. Department of Housing and Urban Development (“HUD”) (if FHA or VA has approved the Lots located in the Addition and is insuring mortgages of buyers of homes located in the Addition) shall be required for (a) annexation of additional properties under the Declaration, (b) mergers and consolidations of the Association, (c) mortgaging of the Areas of Common Responsibility or Open. SR, (d) erhmental dedication of the Areas of Common Responsibility or Open Space to any 0 A, such ated by authority, (e) dissolution of the Association, or (f) amendment of these A amendments affects or alters any provisions of the Declaration directly gove CS e ARTICLE THIRTEEN the FHA or VA.

The name and address of each incorporator is set foythin Arti¢te Erefit hereinabove.

EXECUTED this LTA day of , 20008 Ss [a Bruce French Incorporator Brett Dietz i Incorporator C:/cindy/communities/dallas/southridgehills.aoi Page & Page 26 of 40 STATE OF TEXAS COUNTY OF DALLAS § Before me, a notary public, on this day personally appeared Brett Dietz.

known to me to be the person whose name is subscribed to the foregoing document and, being by me first duly sworn, declared that the statements therein contained are true and correct Given under my hand and seal of office this 17th day of February LAURIE M. WENTZ NOTARY PUBLIC STANE OF TEXAS LES 02/19/01 : Laurie Mu

Pages 26–28

clared that the statements therein contained are true and correct Given under my hand and seal of office this 17th day of February LAURIE M. WENTZ NOTARY PUBLIC STANE OF TEXAS LES 02/19/01 : Laurie Mu Notary Public, State of Texas Unofficial Copy C:/cindy/communities/dallas/southridgehills.aoi Page 10 Page 27 of 40 STATE OF TEXAS tO Un COUNTY OF DALLAS § Before me, a notary public, on this day personally appeared Cher Hy Q , known to me to be the person whose name is subscribed to the foregoing document and, being by me first duly sworn, declared that the statements therein contained are true and correc PF, STATE OF TEXAS COUNTY OF DALLAS known to me to be the person me first duly sworn, declare Given under my HrAV POT gy ae Hee ~ ft, Public, State of Texas: siPeree tse .

wl a C:/cindy/communities/dallas/southridgehills.aci Page 9 Page 28 of 40 WALNUT HILLS (MANSFIELD) HOMEOWNERS ASSOCIATON, INC.

ARCHITECTURAL STANDARDS BULLETIN FOR THE INSTALLATION OF SOLAR PANELS (As provided in Chapter 202 of the Texas Property Code) 1. Solar energy devices, including any related equipment or components (collectively, “Solar Panels”) may only be insfé receiving the written approval of the Architectuf Committee.

2. Solar Panels may not be installed upon or area which is maintained by the Homeowners Association, Inc.

3. Solar Panels may only be installed ep Wesignated locations on the roof of a home, on any structure a!

(Mansfield) Homeowners O55 Vat} or within any fenced fr akd property.

4. If located on the (CH e, Solar Panels shall be located on the roof facing ef he b6me unless the owner demonstrates that the location gpropesed the owner increases the estimated annual energy produétion e Solar Panels, as determined by using a

Pages 28–30

l be located on the roof facing ef he b6me unless the owner demonstrates that the location gpropesed the owner increases the estimated annual energy produétion e Solar Panels, as determined by using a availablhs niédeling tool provided by the National Renewable £05) ‘fy, by more than 10 percent above the energy t uw” A dedicatory instrument, efice-in patio of the owner’s f the Solar Panels if located in an area on the roof ed-by Walnut Hills (Mansfield) Homeowners Association, Inc.

sated on the roof of a home, Solar Panels shall: a. not extend higher than or beyond the roofline; b. conform to the slope of the roof; c. have a top edge that is parallel to the roofline; and d. have a frame, support bracket, or visible piping or wiring that is in a silver, bronze, or black tone commonly available in the marketplace and blends with the color of the roof to the greatest extent possible, EXHIBIT | A-3 Page 29 of 40 6. If located in the fenced rear-yard or patio, Solar Panels shall not be taller than the fence line and reasonably screened from view.

7. The Architectural Review Committee may deny a request for the installation of Solar Panels if it is determines, and such determinati is reduced to writing, that the placement of the Solar Pang ther requirements contained herein unless it determines that ent substantially interferes with the use and enjo adjoining landowners.

8. Any installation of Solar a permitted and will be cau owner.

Architectural Standards Bulletin is promulgated pursuant to and in ordance with Chapter 202 of the Texas Property Code addressing the egulation of Solar Energy Devices.

Page 30 of 40 WALNUT HILLS HOMEOWNERS ASSOCIATION, INC.

COLLECTION OF ASSESSMENTS & PAYMENT POLICY

ordance with Chapter 202 of the Texas Property Code addressing the egulation of Solar Energy Devices.

Page 30 of 40 WALNUT HILLS HOMEOWNERS ASSOCIATION, INC.

COLLECTION OF ASSESSMENTS & PAYMENT POLICY WHEREAS, the Board of Directors (the “Board’) of Walnut Hills Homeowners Association, Inc. (the “Association”) finds there is a need to establish orderly procedures for the collection of assessments as set forth in the in the Declaration of Covenants, Conditions and Restrictions for the Association as amended from time to time (the “Declaration’”), as well as the Bylaws oftthe Association. (the “Bylaws”), Policies (collectively, the “Governing Documents”).

NOW, THEREFORE, IT IS RESOLVED that the following procedures and prgetiee established for the enforcement of the Governing Documents and the Authority, ¢ those Governing Documents to collection mandatory assessments for the purp® the Declaration, and where collecting assessments from all members who are assessments creates equity amongst all members. With this adopted Po authorizes the Managing Agent and its “Representatives” to capry enforcement of this Policy in every aspect as contained herej charges and fees associated with these collection efforts to be es th€ expenditure of the Association and quent, requiring collection efforts IL. Definitions & Conditions A. Authority — No authority is conte the authority granted in the recorded Declagé Amendments thereto, which together wath-th for the Association, The Governing 5 limitations provided by the rs Property for collection of g associated with Assesspft (Bn Se that does not exist by way of n, bf or Articles of Incorporation, or gtded Policies are the Governing Documents virtue of the Statutory authority and € a secured lien against the Owner and their

Page 31

Bn Se that does not exist by way of n, bf or Articles of Incorporation, or gtded Policies are the Governing Documents virtue of the Statutory authority and € a secured lien against the Owner and their lection Charges, Legal Fees and Applied Interest orts required to collect unpaid Assessments.

B. ict i he bere any conflict may exist or occur between the authorities eemment(s) or contract(s) for services to secure collection of Assessments, thi“Ralicy”/which is adopted in accordance with State Law will prevail.

s) — Assessments, subject to this policy and collections will include all Assessments, Special Assessments for Non-Compliance, Special Assessments eft defraying Operating or Capital Expenditures or any Assessment that is duly the Board of Directors under the authority granted in the Governing Documents.

Due Date(s) for Payment of Assessment — The due date for payment of any Regular or Special Assessments will be established by the Board of Directors in their discretion and within the limits and authority granted under the Governing Documents.

KE. Late Fees & Applied Interest — Any Late fees or Applied Interest which are applied as a result of and due to assessments which are paid late, will be done in accordance with the Governing Documents and within the Fair Debt and Collection Laws and the Laws of the State of Texas. Any Owner who does not pay their assessment by the due date(s) stipulated is subject to these fees and interest.

tabbles" HIBIT —— - Page 31 of 40 F, Application of Late Fees, Collection Charges, Legal Fees and Interest - An Owner who does not pay their assessment by the due date(s) specified, will also be subject to and responsible for any applicable Late Fees, Interest, Costs of Collection and Legal Costs that are

- An Owner who does not pay their assessment by the due date(s) specified, will also be subject to and responsible for any applicable Late Fees, Interest, Costs of Collection and Legal Costs that are Associated with collection efforts, that became necessary to resolve the unpaid assessment(s).

The Board of Directors on behalf of the Association agrees to pay for such services rendered, with the costs for such services levied against an Owner’s account (who required collection efforts).

G. Payment Plans, Payment Application & Partial Payments The Board of Directors and Representatives are authorized to enter into payment plang acceptable to resolve an Owner’s unpaid balance and within Statutory requirements-4 Owner and agreed to in writing using the Association’s payment plan form onty.

plans will be made Via email, or Verbal agreement. No payment plans C three (3) month statutory requirement, without the express written appr Directors. The Board of Directors or its Representatives are payments towards an unpaid balance, which are not made a Any payment(s) made to resolve an Owner balance as part q applied to (1) Past Due Assessments; (2) Current Assessmen Fees; (4) Other Attorney Fees; (5) Fines; (6) Other A approved payment plan.

i payment plan, will be 2 years. If an Owner defaults on a pay: Representatives are required to apply paym listed herein.

J. Notices - Unle first-class postage pfepatd writing or registe ae wanfent — Payment for Assessment balances can be paid by Check, Certified pugh homeowner’ s —, or Online through the Community’s website iveyf delivered personally and/or if sent by United States Mail, he Owner at the address which the Owner has designated in Association.

L. Dispute of Debt — Within this Collection of Assessment and Payment Policy, each

Page 32

rsonally and/or if sent by United States Mail, he Owner at the address which the Owner has designated in Association.

L. Dispute of Debt — Within this Collection of Assessment and Payment Policy, each Owner has the right to submit in writing to the Association through its Attorney or Representative, a “Dispute of Debt”. Any such Dispute of Debt, must specify the reason of dispute including any supporting information which might help determine the debt invalid or inaccurate. Disputes may only be considered as they relate to the accuracy of the debt reflected.

No disputes will be supported or validated based on an Owner’s unwillingness or refusal to pay their assessments.

Page 32 of 40 i. Collection Process A. Assessment Notification Statement — Any Assessment levied by the Association against an Owner or Property, will be considered due upon mailing to the Owner by the Association (or its Representative) by depository of a statement or letter in the U.S. Mail advising Owner of such assessment. Any such statement shall contain the due date, address to mail the assessment and any contact information needed by Owner to verify the debt or to make request for payment plan assistance, If an assessment is not paid within the time and date specified in the Assessment Notification, it will be considered “Delinquent” and in default of Owner’s obligation to pa assessments as required by the Governing Documents.

B. Optional Courtesy Notice — The Board of Directors may, but is not oblig Owner without penalty of late fees, charges or interest applied. Such courtesy’ the sole option of the Board of Directors and not provide waiver of obligg Assessments by the date contained in the Assessment Notification State; Representative may, in lieu of this notice, proceed immediate] forth below.

Board of Directors and not provide waiver of obligg Assessments by the date contained in the Assessment Notification State; Representative may, in lieu of this notice, proceed immediate] forth below.

Cc, First Collection Notice — Sent by regular first class th registered by the Owner with the Association, and no soorterthan-40 days from the date the assessment became delinquent. This notice identifie mount due, contact information to make payment plan arrangements, default date and-Mj xemptions.

D. Second Collection Notice/DefavftNo mail to the address, which is registered by 4 than 60 days from the date the assessmg: Owner is in default, the amou payment plan arrangements, dead]i y regular first class mail and certified the Association and sent no sooner he unpaid balance, contact information to make g arrangements prior to referral to legal counsel esponsible for and Military exemptions.

E. Attorney Dem address, which is register from the date the ags property will hav¢ a with this notice i efit by regular first class mail and certified mail to the 4wner with the Association and sent no sooner than 90 days e delinquent. This letter provides notice that Owner’s e Owner with the Association and sent no sooner than 120 days from the date EmEnt became delinquent. This notice advises Owner that a Debt Lien has been filed Mmer’s property and that the cost for filing such Debt Lien has been charged against the account.

G. Final Demand Notice — Sent by regular first class mail and certified mail to the address, which is registered by the Owner with the Association and sent no sooner than 150 days from the date the assessment became delinquent. This notice advises Owner of the debt, including any

Page 33

the address, which is registered by the Owner with the Association and sent no sooner than 150 days from the date the assessment became delinquent. This notice advises Owner of the debt, including any Legal Costs, Late Fees, Interest or Costs of Collection which have been applied and incurred in an effort to collect this debt and Owner’s responsibility to remedy the balances owed. This Notice advises the next step in the collection process will be a “Pre-Posting Notice”, Page 33 of 40 which is registered by the Owner with the Association and sent no sooner than 180 days from the date the assessment became delinquent and 20 days prior to the Association filing for Judicial Review for Expedited Foreclosure. This notice will also provide notice of Owner’s right to waive non-judicial foreclosure.

I. Judicial Review Process for Expedited Foreclosure - The Board of Directors will review any collection of debt at this point. If approved by the Board, an application will be filed with the District Court not sooner than 20 days from the date of the Pre-Posting Notice with the following process: 1. Application to the Court with the amount of the debt including Legal Fees, Interest on the Debt and Costs of Collection.

2. District Court will send Citation of service to the Owner(s) 3: Owner(s) will need to respond to the Citation not later tha expiration of 38 days from the date the Court deposited mail.

4, If Owner(s) files a response to Court Citatio: scheduled and a determination on the debt w: allow for Expedited Foreclosure.

5: If Owner(s) does not file a response e Cow Attorney will file a Motion for Defa er for Expedited foreclosure.

J. Notice Posting Property for Foreclos

Pages 33–35

on the debt w: allow for Expedited Foreclosure.

5: If Owner(s) does not file a response e Cow Attorney will file a Motion for Defa er for Expedited foreclosure.

J. Notice Posting Property for Foreclos mail to the address which is registered ed gular first class mail and certified the Association, after gaining Court Order. This notice provides 21 days notic a-foreclosure sale and the specific date the property will be posted.

St all r pyogess has been taken and collection efforts made g eir unpaid balance(s), the Association’s Attorney, ecldgure sale on the 1° Tuesday of the month, following pns ~ Person(s) serving in the U.S. Military are afforded certain duty and for up to nine (9) months from the date Active Page 34 of 40° IT IS FURTHER RESOLVED that this Collection of Assessments and Payment Policy is effective upon adoption hereof, to remain in force and effect until revoked, modified or amended by the Board of Directors, and shall be filed of record with the Office of the Tarrant County Clerk.

This is to certify that the foregoing resolution was adopted by a majority of the entire Board of 2012, and has not been modified, rescinded or revoked.

Page 35 of 40 WALNUT HILLS (MANSFIELD) HOMEOWNERS ASSOCIATION, INC.

COVENANT ENFORCEMENT AND FINING POLICY WHEREAS, the Board of Directors (the “Board’) of Walnut Hills (Mansfield) Homeowners Association, Inc. (the “Asseciation”) finds there is a need to establish orderly procedures for the enforcement of the restrictive covenants set forth in the Declaration of Covenants, Conditions and Restrictions for the Association as amended from time to time (the ““Dec/aration’”), as well as the Bylaws of the Association, (the

Pages 35–36

covenants set forth in the Declaration of Covenants, Conditions and Restrictions for the Association as amended from time to time (the ““Dec/aration’”), as well as the Bylaws of the Association, (the for determination and enforcement of remedies for violations within the Board hereby authorizes the Managing Agent and its Representa enforcement of this Policy in every aspect as contained herein: ‘ ith this adopted Policy, e functions related to which does not comply with the provisions of the Governing Documents of the Association or age to common area or improvements maintained by the Association, shall constitute a “Violay js policy for all purposes. For purposes of determining the amount of the applicable violat a, 4 yi considered an “Modification Violation” nen ot i not approved) and a violation of any other prov a Violation will be verified through field observation(s) ral Control Committee Member, or its delegate (Management ‘orcement Policy, the delegate of the Board may include be Board, or a member of any committee established by the Board for all be prepared as needed by the field observer for each Violation which II. Report of Violation.

conducted either by a Board Representative). For the purpége Management, an officer o ?

this purpose. A timely will include the follos the verification observation and name of the person making such observation and time of day if relevant.

EXHIBIT | A-5 Page 36 of 40 III. Notice(s) of Violation A. Optional Courtesy Notice - At the same time that the field observation is made, the Board or its delegate may forward to the Owner of the Lot in question a Board Approved Courtesy Postcard (which is not considered an official notice of violation) but rather a discovery of a Violation(s) and advisory. The Owner will

d to the Owner of the Lot in question a Board Approved Courtesy Postcard (which is not considered an official notice of violation) but rather a discovery of a Violation(s) and advisory. The Owner will have at least ten (10) days from the date of the Courtesy Notice to correct, eliminate or otherwise remedy the Violation(s) noted to the satisfaction of the Board or its Delegate. The Board or its delegate may, in lieu of this notice, proceed immediately to the Notice of Violation(s), set forth below.

B. First Notice of Violation(s) - If the Violation is not corrected or eliminated wi period specified in the optional Courtesy Notice, or if the Board or its delegate deem it approx without sending a Courtesy Notice, the Association will forward to the Owner of the Lot} Delegate).

C, Second Notice of Violation(s) — The Owner will have at least ter First Notice of Violation, eliminate or otherwise remedy the Violatio or its Delegate. If the Violation is not corrected, eliminated or other?

specified, a Second Notice af Violation(s) will be sent by regular firs D. Violation Notice Exemptions - A Notice of Vid is not required if the alleged violator received any Notice of Violation relating to a similar Vig tio six (6) months of the current Violation such event, the Board may impose sanctions as authorized by the Declaration and/or Policy without notice to the Owner other than the Final Notice of Violation described below E, Final Notice of Violaxon(s f Viglation is not corrected, eliminated or otherwise remedied CORON C Sone This notice will specify that the Owner has the right to 2; fo lishing the Violation, including the authority for recovering property damages er.

3. ¢d sanction to be imposed, including the amount of any fine or the amount claimed to be due

Page 37

has the right to 2; fo lishing the Violation, including the authority for recovering property damages er.

3. ¢d sanction to be imposed, including the amount of any fine or the amount claimed to be due er for property damage.

4, That if the Violation is corrected, eliminated or remedied within a reasonable time after the Owner’s receipt of the Notice of Violation, that a fine will not be assessed and that no further action will be taken.

5. That the Owner is entitled to request a hearing with the Board, by requesting such in writing within thirty (30) days from the Owner’s receipt of any Notice of Violation. Owner must request a hearing in Page 37 of 40 writing using a Board approved “Hearing Request Form” as required by the Board of Directors.

6. If the Violation is not corrected or eliminated within the time period specified in the Notice of Violation, that in addition to any fines that may be levied (as authorized under the Declaration), any attorney’s fees and/or costs for compliance will also be charged to the Owner.

IV. Hearings A. Requirements/Limitations l. If an Owner requests a Hearing with the Board of Directors as outlined 4 allowed by State Statute), the Board prior to assessing any fine for net-te 2, The Board will provide the Owner a minimum fe which outlines the date, time and location for the other party, then the he such time as both parties cted even if the Owner fails to appear at the hearing.

contain a written statement of the results of the hearing - Where the Owner corrects or eliminates the Violation(s) prior to the iptpositionof bay sae ction, no further action will be taken (except for collection of any monies for which the eliminated: re" Violation will be deemed no longer to exist. The Owner will remain liable for all costs and/or

Pages 37–38

ction, no further action will be taken (except for collection of any monies for which the eliminated: re" Violation will be deemed no longer to exist. The Owner will remain liable for all costs and/or fines under this Enforcement Policy, which costs, special charges or fines, if not paid upon demand therefore by Management, will be referred to the Board of Directors of the Association for collection. Written notice of correction or elimination of the Violation may be obtained from the Board upon request for such notice by the Owner and upon payment of a fee for same, the amount of which is set by the Board.

Page 38 of 40 VI. Violation Abatement by Association - Notwithstanding any other provision contained herein to the contrary, in the event an owner fails to correct or eliminate a Violation of Article VI, Section 6.16 of the Declaration, entitled General Maintenance of Lots, within the time period specified in the Notice of Violation, the Association may proceed to enter upon the Lot to correct the Violation without further notice to the Owner other than a ten-day “Notice of Maintenance’. The Association, and its agents and contractors, will not be liable to the Owner or any third party for trespass or any damages or costs alleged to arise by virtue of action taken under the Declaration. The Association may levy and collect the cost and expense incurred by the Association to correct or eliminate the Violation. The cost_or charge for such work or the rezmbursement for the cost or charge for such work shall be secured by the lien created in the Declaration or otherwise.

VII. Referral to Legal Counsel - Where a Violation is determined or deemed determined ish.ahd where the Board deems it to be in the best interests of the Association to refer the Violation to legal :

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VII. Referral to Legal Counsel - Where a Violation is determined or deemed determined ish.ahd where the Board deems it to be in the best interests of the Association to refer the Violation to legal : to the provisions of this becial assessments for nonill be on the following basis: ays until the violation(s) noticed are cured.

exdlupive of any other rights, remedies and recoveries of the or this Enforcement Policy. Fines imposed against Lots ers of such Lots, Fines shall NOT be secured by a continuing = Association as created by the Dec shall become the personal obligati IX. Notices - Unless otherwix vided in the Enforcement Policy, all notices required by this Enforcement United States Mail, fi age prepaid, to the Owner at the address which the Owner has designated in of the Association or, if no such address has been designated, to the address xeCted by personal delivery, notice shall be deemed to have been given, sent, delivered or al receipt by any person accepting delivery thereof at the address of the recipient as set forth f no person is there, by leaving the notice taped to the front door of the residence.

Where the notice is placed into the care and custody of the United States Posial Service, notice shall be presumed to have been given, sent, delivered or received, as of the third (3") calendar day following the date of postmark of such notice bearing postage prepaid and the appropriate name and address as required herein unless otherwise shown by the recipient to have been received at a later date.

~ Page 39 of 40 Where a day required for an action to be taken or a notice to be given, sent, delivered or received, as the case

otherwise shown by the recipient to have been received at a later date.

~ Page 39 of 40 Where a day required for an action to be taken or a notice to be given, sent, delivered or received, as the case may be, falls on a Saturday, Sunday or United States Postal! Service holiday, the required date for the action or notice will be extended to the first day following which is neither a Saturday, Sunday or United States Postal Service holiday.

Where the Board has actual knowledge that an enforcement action would directly affect a third party (e.g. a tenant or a neighbor) or involves a Violation by a party other than the Owner, notices required under this Enforcement Policy may be given, if possible, to such third party in addition to the Owner. Notwithstanding any notice sent to a third party, the Owner remains the party responsible for compliance with the r of the Declaration. The Board shall accept a response from any such third party only upon the wri irection of the Owner of the Lot upon which the Violation exists.

: orcement Policy, the Board may begin enforcement proceedings against the new Owner in accdrdalge with this Enforcement Policy. The new Owner shall be personally liable for all costs and fines une is Knfeycement Policy which are the result of the new Owner’s failure and/or refusal to correct or om : t this Enforcement Policy.

X. Definitions - The definitions contain e ation and Bylaws are hereby incorporated herein by reference.

IT IS FURTHER RESOLVED Oyenart Enforcement and Fining Policy is effective upon adoption hereof, to remain in fore and effget until tevya@ked, modified or amended by the Board of Directors, and shall be filed of record with the O eT alyant County Clerk.

This is to certify tha

Page 40

pon adoption hereof, to remain in fore and effget until tevya@ked, modified or amended by the Board of Directors, and shall be filed of record with the O eT alyant County Clerk.

This is to certify tha meeting of same h¢fd-ar byelectrOnic meanson Maye , 2012, and has not been modified, infed'or ré 4 DATE: DATE: “4-9-1 Board Secretary Page 40 of 40° EXHIBIT B Those lots, blocks, tracts and parcels ofreal property located in the City of Mansfield, Tarrant County, Texas more particularly described as follows: (i) All lots and tracts of land situated in Walnut Hills, Section One, an Addition to the City of Mansfield, Tarrant County, Texas, according to the Plat thereof recorded in Cabinet A, Slide 5741, Ma lat Records of Tarrant County, Texas; Gi) All lots and tracts of land situated in Walnut Hills, 9é Addition to the City of Mansfield, Tarrant County;Fexas;aetording to the Plat thereof recorded in Cabinet A, Slig GIs? fap or Plat Records of Tarrant County, Texas; (ii) All lots and tracts of land situated in t , Section Three, an Addition to the City of Mansfie arra nty, Texas, according to the Plat thereof recorded in inet A, Slide 6604, Map or Plat Records of Tarrant County,1« (iv) All lots and tracts of lan: dl Q Walnut Hills, Section Four, an i, Tarrant County, Texas, according Addition to the City of Man to the Plat thefpof ¥n Cabinet A, Slide 7177, Map or Plat Records of Tz Re ynty, Texas; and and situated in Walnut Hills, Section Five, an ity of Mansfield, Tarrant County, Texas, according ereof recorded in Cabinet A, Slide 8736, Map or Plat arrant County, Texas.

(v) EXHIBIT Bb _ tabbies*