ELDRIDGE PARK

DECLARATION OF COVENANTS, CONDITIONS & RESTRICTIONS

 ARTICLE II

MEMBERSHIP AND VOTING RIGHTS

IN THE ASSOCIATION 

            Section 1.  Membership.  Each and every person, persons, or legal entity who shall own any Lot in the Property, shall automatically be, and must remain, a Member of the Association.  Such membership shall be appurtenant to each Lot and may not be severed from or held separately therefore.  PROVIDED, that any person or entity who holds such an interest merely as security for the performance of any obligation shall not be a Member. 

            Section 2.  Classes of Members.  The Association shall have two classes of membership. 

            Class A.  Class A Members shall be all those persons or legal entities who own a Lot with the exception of Declarant.  After the Conversion Date (hereinafter defined), Declarant shall also become a Class A Member to the extent that Declarant is the Owner of one or more Lots.  When two or more persons or entities hold undivided interests in any Lot, all such persons or entities shall be Class A Members, and vote for such part of the Property owned by such Members shall be exercised as they, among themselves, determine, but in no event shall more than one vote be cast with respect to each Lot in which such Members own undivided interests. 

            Class B.  The Class B Member shall be Declarant or its successor or assign.  The Class B Membership of Declarant shall cease and become converted to Class A membership upon the occurrence of the earlier of the following (the “Conversion Date “): 

                        (i)  At January 1, 2003; or 

(ii) When the total vote of the Class A Members equals the total votes of the Class B Member; or 

(iii)  Such earlier date as may be established by Declarant in a written instrument recorded by Declarant in the Official Public Records of Real Property of Harris County, Texas. 

            Section 3.  Voting Rights.   The Class A Members shall be entitled to one (1) vote for each Lot in which they hold the interest for membership.  Prior to the Conversion Date, the Class B Member shall be entitled to five (5) votes for each Lot it owns.  From and after Conversion Date, the Class B Member shall be entitled to one (1) vote for each Lot in which it holds the interest required for the Association membership.  As stated hereinabove, where more than one person or entity holds such interest in any Lot, all such persons shall be Members, and the vote for such Members shall be exercised as the several parties shall determine among themselves. 

            Section 4.  Termination of Membership.   The membership of a person or entity in the Association shall terminate automatically whenever such person or entity ceases to be an Owner, except that such termination shall not release or relieve any such person or entity from any liability or obligation incurred under or in any way connected with the Association or this Declaration during the period of ownership, nor impair any rights or remedies which the Association or any other Owner has with regard to such former Owner.