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By-Laws: Article VI — Operation of The Units

Section 1. Determination of Common Expenses and Fixing of Common Charges. The Board shall from time to time, and at least annually, prepare a budget for the Units, determine the amount of the common charges payable by the Unit Owners to meet the common expenses of the Units and allocate and assess such common charges among the Unit Owners according to their respective Common Area Percentage. The common expenses shall include, among other things, the cost of all insurance premiums on all policies of insurance required to be or which have been obtained by the Board pursuant to the provisions of Section 6 of this Article VI. The common expenses may also include such amounts as the Board may deem proper for the operation and maintenance of the Property, including, without limitation, an amount for working capital of the Units, for a general operating reserve, for a reserve fund for replacements, and to make up any deficit in the Unit common expenses, the common expenses may also include such amounts as may be required for the purchase or lease by the Board, on behalf of all Unit Owners, of any Unit whose owner has elected to sell or lease such Unit or of any Unit which is to be sold at a foreclosure or other judicial sale.

The Board may also levy a special or extraordinary assessment against the Units in the event that the budget for any year is insufficient to pay any expenses or capital costs of the Units. Any such special or extraordinary assessment shall be payable upon such terms and conditions as the Board may deem necessary.

The Board shall advise all Unit Owners promptly in writing of the amount of the common charges payable by each of them, respectively, as determined by the Board, as aforesaid and shall furnish copies of each budget on which such common charges are based to all Unit Owners and to their mortgagees. For the first sixty (60) days after the first Unit is conveyed the Declarant will be required to pay only fifty (50%) percent of the common charges in full on any unoccupied Units completed and owned by the Declarant, but thereafter will be required to pay the common charges in full allocable to any completed unoccupied Unit owned by it. In any event Declarant will be required to pay common charges in full on any occupied Unit owned by it.

Section 2. Payment of Common Charges. All Unit Owners shall be obligated to pay the common charges assessed by the Board pursuant to the provisions of Section 1 of this Article VI monthly in advance or at such other time or times as the Board shall determine.

No Unit Owner shall be liable for the payment of any part of the common charges assessed against his Unit subsequent to a sale, transfer or other conveyance by him of such Unit, together with the Appurtenant Interests, as defined in the Master Deed. In addition, any Unit owner may, subject to the terms and conditions specified in these By-Laws, provided that his Unit is free and clear of liens and encumbrances other than the statutory lien for unpaid common charges, convey his Unit, together with the Appurtenant Interests to the Board, and in such event be exempt from common charges thereafter assessed. A purchaser of a Unit shall be liable for the payment of common charges assessed and unpaid against such Unit prior to the acquisition by him of such Unit, except that a mortgagee or other purchaser of a Unit at a foreclosure sale of such Unit shall not be liable for, and such Unit shall not be subject to, a lien for the payment of common charges assessed prior to the foreclosure sale except as otherwise provided by M.G.L. Chapter 183A.

Section 3. Collection of Assessments. The Board shall take prompt action to collect any common charges due from any Unit Owner which remains unpaid after the due date thereof In the event of default by any Unit Owner in paying to the Board the common charges as determined by the Board, such Unit Owner shall be obligated to pay a late charge at a rate established by the Board together with all expenses, including attorney’s fees, incurred by the Board in its efforts, including any proceeding brought to collect such unpaid common charges. The Board shall have the right and duty to attempt to recover such common charges, together with late charges thereon, and the expenses of the efforts and proceedings, including attorney’s fees, in an action to recover the same brought against such Unit Owner, or by foreclosure of the lien on such Unit as provided in Section 6 of Chapter 183A of Massachusetts General Laws.

Section 4. Foreclosure of liens for unpaid Common Charges. In any action brought by the Board to foreclose a lien on a Unit because of unpaid common charges, the Unit Owner shall be required to pay a reasonable rental for the use of his Unit and the plaintiff in such foreclosure action shall be entitled to the appointment of a receiver to collect the same. The Board, acting on behalf of all Unit Owners, shall have the power to purchase such Unit at the foreclosure sale and to acquire, hold, lease, mortgage, convey or otherwise deal with the same but not to vote the votes appurtenant to said Unit A suit to recover a money judgment for unpaid common charges shall be maintainable without foreclosing or waiving the lien securing the same.

Section 5. Statement of Common Charges. The Board shall promptly provide any Unit Owner, so requesting the same in writing, with a written statement of all unpaid common charges due from such Unit Owner.

Section 6. Insurance.

Section 6.1. Coverage. The Board shall maintain, to the extent available, master policies of insurance of the following kinds, insuring the interest of the Association, the Trustees, all Unit Owners and their Mortgagees as their interests may appear.

A. Casualty or physical damage insurance on the buildings, on all other insurable improvements forming part of the common elements of the Condominium, and on all of the individual Condominium Units (but not including furniture, furnishings, and other personal property of the Unit Owners therein), now existing or as they may from time to time be increased by amendment to the Master Deed, together with the service machinery, apparatus, equipment and installations located in the Condominium and existing for the provision of central services or for common use, in an amount not less than I00% of their full replacement value (exclusive of foundations, if applicable) as determined by the Board in its judgment, against: (1) loss or damage by fire and other hazards covered by the standard extended coverage endorsement, together with coverage for the payment of common expenses attributable to damaged Units during the period of reconstruction, and (2) such other hazards and risks as the Board from time to time in its discretion shall determine to be appropriate, including but not limited to vandalism, malicious mischief, windstorm and water damage, machinery explosion or physical damage insurance. Such policy or policies shall provide (to the extent such clauses are so obtainable): (a) that such policies may not be cancelled or substantially modified without at least ten days prior written notice to all of the insureds including each Unit mortgagee and (b) that the coverage thereof shall not be terminated for nonpayment of premiums without thirty days notice to all of the insured including each Unit mortgagee.

Certificates of such insurance and all renewals thereof, together with proof of payment of premiums, shall be delivered by the Board to Unit Owners and their mortgagees upon request at least ten days prior to the expiration of the then current policies.

B. Comprehensive public liability insurance in such amounts and forms as shall be determined by the Board, covering the Association, the Board, the Unit Owners and any manager or managing agent of the Condominium with limits of not less than a single limit of $1,000,000 for claims for bodily injury or property damage arising out of one occurrence, a limit of $50,000 for each occurrence for water damage and legal liability endorsement to cover liability of any insured to other insureds.

C. Workman’s compensation and employer’s liability insurance covering any employees of the Association.

The Board may, in its sole discretion, purchase such other insurance as they shall determine.

Section 6.2. Payment to Board in Case of Loss. Such master policies shall provide that all casualty loss proceeds thereunder shall be paid to the Board of Trustees as insurance trustee under these By-Laws. The duty of the Board as such insurance trustee shall be to receive such proceeds as are paid and to hold, use and disburse the same for the purposes stated in this Section and Section 7. If repair or restoration of the damaged portions of the Condominium is to be made, all insurance Joss proceeds shall be held in shares for the Association and the owners in proportion to the respective costs of repair or restoration of the Common Elements, with each share to be disbursed to defray the respective costs of repair or restoration with any excess of any such share of proceeds above such costs of repair or restoration to be paid to the Association or Unit Owners upon completion of repair or restoration; but if pursuant to Section 7, restoration or repair is not to be made, all insurance loss proceeds shall be held as common funds of the Association and applied for the benefit ofUnit Owners in proportion to their beneficial interests in the Association if the Condominium is totally destroyed, and, in the event of partial destruction, after payment for such restoration of the Common Elements as the Board may determine to the Unit Owners in proportion to their beneficial interests as described. Such application for the benefit of Unit Owners shall include payment directly to a Unit Owners’ mortgagee if the mortgage so requires.

Section 6.3. Other Provisions. In addition to the coverage and provisions set forth in Section 6.1, the Trustees shall, in their discretion, see that all policies of physical damage insurance (1) shall contain waivers of subrogation by the insurer as to claims against the Condominium, the Board, their employees, Unit Owners and members of the family of any Unit Owner who resides with said Unit Owner, except in cases of arson and fraud; (2) shall contain a waiver of defense of invalidity on account of the conduct of any of the Unit Owners over which the Board has “no control”; (3) shall provide that in no event shall the insurance under said policies be brought into contribution with insurance purchased individually by Unit Owners or their mortgagees; and (4) shall exclude policies obtained by individual Unit Owners from consideration under any “no other insurance” clause. The Board may include a deductible provision, up to $5,000, in their own discretion and in such greater amounts as the Unit Owners may authorize.

Section 6.4. Owner’s Insurance and Responsibility for Increase in Premiums of Master Policy. Each Unit Owner may obtain additional insurance for his or her own benefit at his or her own expense. No such policy shall be written so as to decrease the coverage under any of the policies obtained by the Board pursuant to Section 6. I above, and each Unit Owner hereby assigns to the Board the proceeds of any such policy to the extent that any such policy does in fact decrease such coverage, said proceeds to be applied pursuant to the terms of this Section as if produced by such coverage. Copies of all such policies (except policies covering only personal property of individual Unit Owners) shall be filed with the Board.

Section 6.5. Insurance a Common Expense. The cost of the insurance purchased pursuant to Section 6 shall be a common expense for the Unit Owners assessable and payable as provided in Section 1 through 4 of this Article VI.

Section 7. Repair or Reconstruction After Fire or Other Casualty. In the event of damage to or destruction of any of the Common Elements as a result of fire or other casualty, the Board shall arrange for their prompt repair and restoration, and the Board shall disburse the proceeds of all insurance policies to the contractors engaged in such repair or restoration in appropriate progress payments. Any cost of such repair and restoration in excess of the insurance proceeds shall constitute a common expense and the Board may assess all the Unit Owners for such deficit and for a completion bond for such deficit as part of the common charges.

If there shall have been a repair or restoration pursuant to the first paragraph of this Section, and the amount of insurance proceeds shall have exceeded the cost of such repair or restoration, then the excess of such insurance proceeds, if any, shall be added to the Condominium’s reserve fund or, at the option of the Board, divided among all the Unit Owners in proportion to their respective common interests after first paying out of the share due each Unit Owner such amounts as may be required to reduce unpaid Common Area Charges due on such Unit.

Notwithstanding the foregoing, if, as result of fire or other casualty, the loss exceeds ten (10%) percent of the value of the Condominium prior to the casualty, and

(1) If seventy-five (75%) percent of all Unit Owners do not agree within 120 days after the date of the casualty to proceed with repair or restoration, the Condominium, including Units, shall be subject to partition at the suit of any Unit Owner. Such suit shall be subject to dismissal at any time prior to entry of an order to sell if an appropriate agreement to rebuild is filed The net proceeds of the partition sale together with any common funds shall be divided in proportion to the Unit Owners’ respective undivided ownership in the Common Elements. Upon such sale the Condominium shall be deemed removed from the provisions of Chapter 183A of the Massachusetts General Laws.

(2) If seventy-five (75%) percent of the Unit Owners agree to proceed with the necessary repair or restoration, the cost of the rebuilding of the Condominium in excess of any available common funds, including the proceeds of any insurance, shall be a common expense, provided, however, that if such excess costs exceed ten (10%) percent of the value of the Condominium prior to the casualty, any Unit Owner who did not so agree may apply to the Superior Court of Worcester County on such notice to the Board as the Court shall direct, for an order directing the purchase of his Unit by the Board at the fair market value thereof as approved by the Court. The cost of any such purchase shall be a common expense.

Section 8. Maintenance and Repairs.

(a) All maintenance and replacement of and repairs to any Unit, whether structural or non-structural, ordinary or extraordinary, and to the doors and windows, electrical, heating and ventilating, air-conditioning fixtures and any other items within or a part of the Unit shall be made at the Unit Owner’s expense, except as otherwise specifically provided herein.

(b) All maintenance, repairs and replacements to the Common Elements, as defined in the Master Deed shall be made by the Board and shall be charged to all the Unit Owners as a common expense except to the extent that the same are necessitated by the negligence, misuse or neglect of a Unit Owner, in which case such expense shall be charged to such Unit Owner.

Section 9. Restriction on Use of Units.

Leasing. The Board of Trustees may allow not more than thirty (30%) percent of the Units of the Condominium to be leased to third parties, other than the lease ofUnits which continue to be owned by the Declarant as provided for below in Section 11, said percentage to be allocated on a first come first served basis, provided, however, this provision shall not apply to any unit subject to a mortgage held by the Veteran’s Administration.

Section 10. Improvements.

(a) If fifty (50%) percent or more but less than seventy five (75%) percent of the Unit Owners agree to make an improvement to the Common Elements, the cost of such improvement shall be borne solely by the Unit Owners so agreeing.

(b) Seventy five (75%) percent or more of the Unit Owners may agree to make an improvement to the Common Elements and assess the cost thereof to all Unit Owners as a common expense, but if such improvements shall cost in excess of ten (10%) percent of the then value of the Condominium, any Unit Owner not so agreeing may apply to the Worcester County Superior Court, on such notice to the Board as the Court shall direct, for an order directing the purchase of his Unit by the Board at fair market value thereof as approved by court. The cost of any such purchase shall be a Common Expense.

Section 11. Additions, Alterations or Improvements by Unit Owners. No Unit Owner shall make any addition, alteration, or improvement in or to his Unit without prior written consent thereto of the Board, excepting usual repair and maintenance. The Board shall have an obligation to answer any written request by a Unit Owner for approval of a proposed addition, alteration or improvement in such Unit, within sixty (60) days after such request, and failure to do so within the stipulated time shall constitute a consent by the Board to the proposed addition, alteration or improvement No Unit Owner shall make an application to any department of the City of Leominster or to any other governmental authority for a permit to make an addition, alteration or improvement in or to any Unit incurring any liability on the part of the Board nor will a Unit Owner create Board liability to any contractor, subcontractor or materialman on account of such addition, alteration or improvement, or to any person having any claim for injury to person or damage to property arising therefrom.

The provisions of this Section 11 shall not apply to Units owned by the Declarant until such Units shall have been initially sold by the Declarant.

Section 12. Use of Common Elements. A Unit Owner shall not place or cause to be placed in or on the Common Elements, other than an area to which such Unit Owner has direct and exclusive access, any furniture, packages or objects of any kind. The driveways and walks shall be used for no purpose other than normal transit over them.

Section 13. Right of Access. A Unit Owner shall grant a right of access to his Unit to the manager and/ or the managing agent and/ or any other person authorized by the Board for the purpose of correcting any conditions originating in the Unit or elsewhere in the Building in which the Unit is located, provided that any such entry is at a time reasonably convenient to the Unit Owner. In case of emergency, such right of entry shall be immediate, whether the Unit Owner is present at the time or not. In the event of any exercise of the right of access provided in this section, any costs for repairs shall be borne in accordance with the provisions of Section 8 of this Article.

Section 14. Rules and Regulations. Rules and Regulations concerning the use of the Units and the Common Elements may be promulgated and amended by the Board. The Board shall furnish copies of such Rules and Regulations to each Unit Owner prior to the time when the same shall become effective. At a special meeting of the Unit Owners called for such purpose, the Unit Owners may, by vote of sixty seven percent (67%) of the votes as defined in Article III, Section 6, repeal any such Rule or Regulation enacted by the Board.

Section 15. Electricity, Water and Utilities. Utilities, including but not limited to water and electricity, shall be supplied by the public utility companies serving the area directly to each Unit through a separate meter and each Unit Owner shall be required to pay the bills for said utilities consumed or used by his Unit The utilities serving the Common Elements shall be separately metered, and the Board shall pay all bills for utilities consumed in such portion of the Common Elements, as a Common Expense.


Source: Consolidation of the Liberty Commons Condominium Declaration of Trust and By-Laws as recorded in the Worcester Northern District Registry of Deed in Book 3785, Page 151 and the First Amendment to Liberty Commons Condominium Declaration of Trust and By-Laws as recorded in the Worcester Northern District Registry of Deed in Book 4129, Page 72.
Information Last Refreshed On: 7/13/2012