SUBDIVIDER þBB Y þD D ATE þTT ITLE þAA DDRE þssSS SUBDIVIþsSIONþsS þ (Subdivider), has transmitted herewith to (Escrow Depository), as trustee, a surety bond in the amount of . þ This bond is given to secure the obligation of Subdivider to pay to Homeowners Association, known as Tract No., or Name, , County , DRE File No. . equal to times the amount of the regular monthly assessment established in accordance with the provisions of Section of Article of the Declaration of Restrictions for the subdivision þ a resolution of the governing body of the Association adopted not earlier than thirty (30) days before its receipt by Escrow Depository stating the Subdivider is not delinquent in the payment of the funds for which he is obligated. þ In the event of a dispute between the Subdivider and the Association with respect to the question of satisfaction of the arbitration in accordance with the Commercial Arbitration Rules of the American Arbitration Association (AAA) before an arbitrator selected from the panels of the arbitrators of AAA. In the event of referral to arbitration, Subdivider will remit the fee to initiate the arbitration. The parties agree, however, that the cost of arbitration shall ultimately be borne as determined by the arbitrator. þ þ security and with respect to payment of the costs of arbitration. þAssASS OCIATION þBB Y þD D ATE þTT ITLE þAA DDRE þssSSþ STATE OF CALIFORNIAþDDEPARTMENT OF þRREAL þEEþsSTATEINSTRUCTþiIONS TO ESCROW DþeEPOSþiITORY (Start-Up Funds) American LegalNet, Inc. www.FormsWorkFlow.com Page 2 of 2 þ thereof. þEsES CROW þDD EPO þsS ITORY þBB Y þD D ATE þTT ITLE þAA DDRE þssSS American LegalNet, Inc. www.FormsWorkFlow.com