The annual assessment for each unit is payable in twelve monthly installments. These installments are due on the first of each month and shall be delinquent if such installment is not paid in full on or before the due date.

A late charge in the amount of $30.00, or any other such amount as may be determined by the board of Directors, will be automatically levied for any installment of the annual assessment in default which is paid more than ten (10) days after its due date.

Management will issue a written notice to each co-owner with a delinquent balance each month or until the delinquency is referred to the Association’s legal counsel.

Co-owners who have a balance for more than 90 days or who are delinquent in the payment of three (3) or more installments of the annual assessment may be referred to the Association’s legal counsel, who is authorized to issue a notice of intent to record a lien demanding full payment within thirty days from the date the notice is sent. In the case of units occupied by renters, the Association’s legal counsel may serve notice of the co-owner’s default in payment upon the renter ordering the renter to tender rent payments directly to the Association until arrearage in assessments is paid in full.

After the initial notice of intent to record a lien has been sent and the notice period has expired without payment in full, the Association’s legal counsel is authorized to proceed to record a lien against the unit and issue a notice thereof to the co-owner in default. The notice may advise the co-owner that the remaining monthly installments of the annual assessment have been accelerated and are due and payable within ten (10) days from the date the notice is sent, along with all other outstanding amounts owed to the Association. In those instances where a renter has been served with notice of the co-owner’s default in payment, and the renter has not tendered to the Association payment of rents otherwise due to the co-owner in default, then Association legal counsel is authorized to commence eviction proceedings against the renter for non-payment.

The Association’s legal counsel is authorized to perform a title search and send a final notice prior to initiation of judicial foreclosure proceedings to co-owners who have been sent the notice described in No. 5 above and who have failed to either pay the balance in full within the allotted time or tender a signed written payment plan proposal for consideration by the Board of Directors. Co-owners who timely submit a proposed payment plan request will be notified in writing of Board’s acceptance or rejection of the payment plan proposal. The Board of Directors is not obliged to accept any proposed payment plan. The final notice prior to foreclosure shall state the amount that must be paid within ten (10) days from the mailing of the notice in order to avoid initiation of judicial foreclosure proceedings.

The Association’s legal counsel is authorized to proceed to commence judicial foreclosure proceedings against any co-owner who failed to pay the full amount stated in the final notice prior to foreclosure within ten (10) days as allotted in the notice unless the Board has accepted a proposed payment plan.

The Association’s legal counsel will pursue recovery of all unpaid assessments, late charges, court costs and attorney fees as provided in the Condominium Bylaws and under Michigan law, including but not limited to the Michigan Condominium Act. All mortgage holders of record will be served with notice of the commencement of foreclosure proceedings.