§ 34-36.1-2.19 - Rights of secured lenders.
SECTION 34-36.1-2.19
§ 34-36.1-2.19 Rights of secured lenders.– The declaration may require that all or a specified number or percentage of themortgagees or beneficiaries of deeds of trust encumbering the units approvespecified actions of the unit owners or the association as a condition to theeffectiveness of those actions, but no requirement for approval may operate to:
(1) Deny or delegate control over the general administrativeaffairs of the association by the unit owners or the executive board, or
(2) Prevent the association or the executive board fromcommencing, intervening in, or settling any litigation or proceedings, orreceiving and distributing any insurance proceeds except pursuant to §34-36.1-3.13.