Collection Policy

1. Regular assessments are due, in advance, on the first (1st) day of each month of the assessment period and delinquent if not received, in full, by the Association by the 15th of each month.  Special and Special Individual Assessments are due on the date(s) specified upon imposition and each installment thereof shall be delinquent if not received by the Association within fifteen (15) days after it is due.  A late charge of ten dollars ($10.00) shall be due on any such delinquent assessment.

2. At the option of the Association, interest shall be due on all such amounts, once due and unpaid for thirty (30) days, at a rate of ten percent (10%) per annum.

3. If any portion of any such assessment, late charge, interest or cost of collection remains unpaid sixty (60) days after the original due date thereof, a "Letter of Intent" to file a Notice of Delinquent Assessment ("Lien"), also known as a "Pre-lien Notice," will be prepared and sent to the record owner(s).  Please be advised that the Association has the right to collect all reasonable cost of collection.

4. All such amounts, and all other assessments and related charges thereafter due to the Association until all such amounts are paid, must be paid in full.

5. If all such amounts have not been received thirty (30) days after the Pre-lien Notice is mailed to the owner(s) of record, a Lien will be prepared and recorded as to the delinquent property and the owner(s) thereof, and all collection fees and costs incurred will be added to the total delinquent amount.

6. If all such amounts have not been received, in full, within thirty (30) days after the recordation of such Lien and the delinquent assessment exclusive of any accelerated assessments, late charges, attorney's fees, fees, interest and costs of collection is greater than Eighteen Hundred Dollars ($1,800.00) and/or the delinquent assessment is more than Twelve (12) months delinquent, the Association may, without further advance notice, proceed to take any and all additional enforcement remedies as the Association, in its sole discretion, deems appropriate, including, without limitation, non-judicial foreclosure of such Lien, judicial foreclosure, or suit for money damages, all at the expense of the property owner(s).  The Association has the right at all times to attempt to collect any delinquent regular or special assessment including accelerated assessments, late charges, attorney's fees, fees, interest and costs of collection by any manner provided by law (including a civil lawsuit) for judicial and nonjudicial foreclosure, consistent with this Section No. 6.

7. All payments received by the Association, regardless of the amount paid, will be directed to the oldest assessment balances first, until which time all assessment balances are paid, and then to late charges, interest and costs of collection unless otherwise specified by written agreement.

8. The Association shall charge a "returned check charge" equivalent to the charge incurred by the Association for all checks returned as "non-negotiable," "insufficient funds" or any other reason.

9. All above-referenced notices will be mailed to the record owner(s) according to law.  In the absence of written notification by an owner to the Association, the address of the owner's separate interest may be treated by the Association as the owner's mailing address.

10. The Board of Directors of the Association may revise this policy, either generally or on a case-by-case basis, if it finds good cause to do so.

11. The mailing address for overnight payment of assessments is:

                Cherrywood Condominium Association, Inc.

                c/o Community Management Services, Inc.

                1935 Dry Creek Road, Suite 203

                Campbell, CA 95008-3631