Interpretation Of The Eagles Mere Association By Laws

INTERPRETATIONS OF EMA BYLAWS AND RULES

1. Use of EMA Facilities by Renters and Guests: --There must be a paid Shareholder or Associate membership, including Lake Protection Fees, in force on a residence before any renters or guests of such residence are eligible to use EMA facilities. If used, such renters or guests must pay applicable fees. (Adopted July 1, 2000).
2. Multiple Residence and Resident Fees: If an individual owns two or more residences (an Inn or B&B defined also as a residence), only one residence will be eligible for resident rates on the basis that a person can be a resident in only one residence. Additional residence(s) will be subject to non- resident rates. (Adopted July 1, 2000).
3. Multiple Residences and Membership: If more than two residences are owned by an individual, Associate Membership Status will apply to additional residences indefinitely based on EMA`s two share limit. (See interpretation No 8. for multiple residences which may be jointly owned.) (Adopted July 1, 2000).
4. Use of Facilities by Owners and Guests of Inns, Lodges, B&B`s: If an owner of an Inn, Lodge, or B&B resides in the facility, the share applicable to the owner(s) is sufficient also to permit access to EMA facilities by guests of such facility as long as applicable guest fees are paid. If the owner of such facility resides in a separate residence and such owner desires personal (family) use of EMA facilities, a separate share must be owned for the separate residence(s). (Adopted July 1, 2000).
5. Transfer of Shares: Shares are transferable only to members of a shareholder’s immediate family and only when the prospective shareholder becomes the owner of the residence to which the original share applies. (Adopted July 1, 2000).
6. Transfer of 1/3rd Shares and Grandfathered Shares:   The new owner of a residence to which a one-third share applies will be eligible for shareholder status. However the new owner will not be eligible to own a fractional share unless the new owner is a member of the immediate family of the original fractional share owner. The ability of a new owner of a residence to which shareholder status applied to the previous owner will have a limited period, five years, to apply for shareholder status if the residence is outside the Borough but within the area described as the Greater Eagles Mere Area (GEMA). (Adopted July 1, 2000).
7. Lake Protection Fee: Payment of the Lake Protection Fee shall entitle members, members guests and renters of members’ property full access to EMA property and facilities, including (but not limited to) the lake, the beach, and the Laurel Path. Selective use of EMA properties is deemed not to be reason for any member, member’s guest, or renters of a member’s property to pay less than 100% of the Lake Protection Fee. Renters of a member’s property must, in addition, pay applicable renter fees (Adopted May 26, 2001).
8. Shares for Multiple Residences: No person may have his or her name appear on more than two shares. However, if a person owns more than two properties that would otherwise qualify for member-ship and one or more of the properties are owned jointly, a third and possibly a fourth share may be issued as long as an owner is not named on more than two shares. For example, if a husband and wife owned three properties, one share could be issued to each spouse separately and a third share could be issued jointly. Only one share would qualify for resident rates, however. Ownership can be evidenced only by the appearance on the deed of the share applicants. (Adopted May 26, 2001).
9. Ownership of Shares by Trusts:   The revised By-Laws adopted August 25, 2001, permit a share of stock to be held by a trust instead of by only a natural person. The following points indicate how trust owned shares will be administered. (Adopted October 6, 2001)
1. The trust will own the share.
            2. The trust will issue a letter naming up to two persons who will represent the trust for that share and derive the benefits of that share.
            3. Those persons named are not required to be beneficiaries of the trust.
            4. The persons named by the trust will be approved by the Board of Directors of the EMA as would any applicant for a share.
            5. The persons named by the trust to be its representatives will vote the share.
            6. Membership benefits will be determined by those named to derive such benefits by the trust.  For example, “family” will be determined under the rules of the Association based on who is named to represent the trust.
            7. The applicable rules to determine eligibility for “resident rates” and other rates will be applied depending on whether the persons named by the trust are eligible for these rates.
            8. Shares owned by the trust will have the same privileges regarding renters and guests as other shares, and abide by the same rules.
            9. Persons named to represent the trust can be changed no more than once per year.
          10. Bills Due and Fees will be sent to those persons named by the trust.
Purchase of Shares by Members Who Already Own Two Shares:   When an Associate member is offered a share for purchase, such Associate Member must purchase such share if not already an owner of two EMA shares. If such Associate Member is already an owner of two EMA shares, such Associate Member may voluntarily or by EMA rule remain on the Associate Member list with respect to additional residences and maintain all EMA privileges with respect to such additional residences so long as all conditions of EMA membership with respect to such additional residences are met. If there is a change in circumstances and such Associate Member subsequently decides to purchase the previously passed-on share, the Trustees will issue such share when shares are next offered as long as all the rules regarding the issuance of said share are met. (Adopted July 6, 2002)
11. Transfer by Owners of Two Shares Supporting a Single Property:   Owners of two shares supporting a single property incur annual Association fees for a single share. When one or both shares are transferred so that both are no longer held in the same names, both shares incur annual association fees. For example, if parents with two shares give them to their four children so that two children are co-owners of each (along with transferring title to their property to the children), Association fees will be due for each share. (Adopted February 15, 2003).
12. Apartment Residences: If there is an apartment or apartments in a building and if the apartment is rented to someone who is not a family member, the apartment(s) must be covered by the member through ownership of a share per unit rented if the occupants wish to use EMA facilities. (Adopted May 29, 2004)
13. Requirement for Ownership of a Residence in the Borough of Eagles Mere: Section 3.03 of the By-Laws provides that associate membership requires ownership of a residence in Eagles Mere. (Full time residents of the Greater Eagles Mere Area are also eligible for membership.) Ownership of a residence in “Eagles Mere Borough” means that the house is physically located entirely within the Borough. Ownership of a parcel of land, a portion of which is in the Borough, will not qualify the owner for membership unless the house on the parcel is within the Borough. (Adopted October 8, 2005)
14. Temporary Membership Fees for Guests Without the Member Present: When a Member allows friends, or guests or non-immediate family to use the member’s house without the member present, those individuals, if they wish to use Association property are required to become Temporary Members and pay temporary membership fees. Immediate family not staying with the member, but staying in the member’s house, are not required to pay such fees. (Adopted September 2, 2006).