MIDDLESEX BEACH ASSOCIATION, a Delaware corporation, does hereby certify that the following is a true copy of the REVISED RESTRICTIVE COVENANTS, RESERVATIONS AND REMEDIAL CLAUSES, presently applicable to the DEVELOPMENT named MIDDLESEX BEACH, in Baltimore Hundred, Sussex County, Delaware, which Revised Restrictive Covenants, Reservations and Remedial Clauses thereto applies to the entire development above-named, and shall become effective when a copy of Amendment To Restrictive Covenants, Reservations and Remedial Clauses, executed and acknowledged by Middlesex Beach Association, in accordance with the usual form of execution and acknowledgement of Deeds to land by a Delaware corporation, together with the written consents of sixty (60%) percent or more of the present owners of all the lots in MIDDLESEX BEACH, or a certificate by the Association verifying under oath by the President thereof, or in the case of his absence or inability, by any Vice-President thereof, setting forth the time, manner and result of the taking of the vote of all the Lot owners in Middlesex Beach, have been filed for record in the Office of the Recorder of Deeds, of the State of Delaware, in and for Sussex County, pursuant to the amendment provisions of Paragraph 18 of said Restrictive Covenants, as amended and filed for record in the Office of the Recorder of Deeds, of the State of Delaware, in and for Sussex County, in Deed Book 1477, Page 19 et seq.

PROVIDED, HOWEVER, and it is hereby expressly stipulated, understood and agreed that all and singular the lands and premises shown and delineated upon said Plat of MIDDLESEX BEACH, aforementioned, saving and excepting that parcel thereof designated thereon as "Delaware Power & Light Parcel", as well as the title to all and singular the lands and premises shown thereon and delineated thereby, as well as all property hereby conveyed in pursuance thereof, are subject to the following amendments to restrictive covenants, reservations and remedial clauses, viz:

(I) UTILITY EASEMENTS: MIDDLESEX BEACH is subject to all those prior easements and rights-of-way heretofore granted by Margaret Dunning unto Delaware Power & Light Company and The Diamond State Telephone Company, in and by her certain Deed of Easement dated December 14, 1959, and now of record in the Office of the Recorder of Deeds, aforesaid, in Deed Book 512, page 512 & c.; Deed of Easement granted by Middlesex Beach Association unto All present and future owners of any lot or lots situate in Middlesex Beach dated December 17, 1959, and filed for record in deed Book 512, page 579; Deed of Easement granted by Middlesex Beach Association unto Sussex County dated November 28, 1975, and filed for record in Deed Book 790, page 152; Deed of Easement granted by Middlesex Beach Association unto Sussex County dated September 4, 1976, and filed for record in deed Book 829, page 283; Deed of Easement granted by Middlesex Beach Association unto Sussex County dated June 10, 1978, and filed for record in deed Book 900, page 232; Easement Agreement granted by Middlesex Beach Association unto the Council of South Bethany dated March 19, 1984, and filed for record in Deed Book 1250, page 1; and Easement granted by the Diamond State Telephone Company, unto Middlesex Beach Association dated February 8, 1985, and filed for record in Deed Book 1327, page 25, as reference thereto being had will more fully and at large appear.

(2) BARRIER DUNE: The owners of all Lots lying east of Dune Road in MIDDLESEX BEACH shall neither dig, mine, remove, or carry away, or cause to be dug, mined, removed, or carried away, any sand comprising the barrier dune area of MIDDLESEX BEACH without first obtaining the written consent of Middlesex Beach Association and the Department of Natural Resources and Environmental Control as required by 7 Del. C. Section 6801, et seq., and shall further comply with all lawful rules, regulations and policies prescribed by said Department in pursuance of said Statute, with respect to the use of said Lots which comprise a part of the barrier dune area of MIDDLESEX BEACH.

(3) COMMERCIAL DISTRICT: The Commercial District of Middlesex Beach shall be limited and restricted to Blocks H, I, J, K, and L of MIDDLESEX BEACH as shown and delineated upon said Plat. Within such commercial district any Lot may be used and occupied for either commercial or residential uses and purposes, or both, or any combination thereof; PROVIDED, that if a commercial lot is converted to a residential lot, that it shall be bound by and conform to Restriction No. 4 and Restriction No. 5 hereinafter recited. PROVIDED FURTHER, that no alcoholic beverages, including wine and beer, shall be kept for sale, offered for sale, or sold for consumption on or off the premises where sold, upon any Lot, Block or other land area whatever of MIDDLESEX BEACH; and PROVIDED FURTHER, that no motel, hotel, apartment house, condominium, or other multi-unit dwelling house or facility, and no trailer park or site, or camping park or site shall be constructed, operated or used upon any Lot, Block or other land area whatever of MIDDLESEX BEACH.

(4) RESIDENTIAL DISTRICT: The Residential District of MIDDLESEX BEACH shall include all of the remaining Blocks and Lots thereof which are not included within the Commercial District, as aforesaid and any commercial lot designated as residential. No Lot or given land area embraced within such Residential District shall he used for other than single family resident purposes. There shall not exist on any such Lot or given land area at any time more than one single, detached, dwelling house or residence. No temporary structure or shelter (excepting structures or shelters used in connection with or while construction work is being carried out on any given Lot), and no guest house, tent, trailer, shack, barn, or other out-building shall be erected or placed upon any property within the Residential district of MIDDLESEX BEACH: PROVIDED, that nothing herein contained shall deny to any owner the right to erect upon any such Lot or given land area a detached private garage or other detached small outbuilding after there has been erected thereon a principal dwelling house in compliance with these Restrictions, and any such garage or other small outbuilding shall be solely used in connection with the principal dwelling erected upon such Lot or land area.

(5) RE-SUBDIVISION: No Lot located within Middlesex Beach, as shown upon the official Plat thereof, as aforementioned, shall be re-subdivided, sold, or otherwise aliened in a lesser or smaller parcel, except in accordance with a Supplemental Plot Plan thereof bearing the approval of Middlesex Beach Association, and recorded in the Office of the Recorder of Deeds, in and for Sussex County, at Georgetown, Delaware; PROVIDED, HOWEVER, that the owner or owners of any lot in Blocks H, I, J, K, and L in the Commercial District of Middlesex Beach may, after first advising the Middlesex Beach Association of his, her, their, or its intention in writing by registered mail, subdivide, one time only, any such lot (excluding, however, that portion of any such lot bounded by the present Ocean Highway and extending fifty (50) feet westerly therefrom) into two single family residential lots as nearly equal in size as is possible, each of which lots shall thereafter be used for residential purposes only and shall be subject to all the restrictions in those Covenants pertaining to residential lots. After such conversion to residential lots has been made, building set-back lines and building front restrictions controlling commercial property in Block H, I, J, K, and L shall no longer be applicable to the newly created residential lots. Building set-back lines for the converted newly created residential lots are hereby established as twenty-five (25) feet from all "Roads" and fifty (50) feet from Ocean Highway as shown on the present existing Plat of Middlesex Beach, fifteen (15) feet from the common side boundary line between any two adjoining lots, and twenty-five (25) feet from the common rear boundary line between any two adjoining lots. As to building front, residences placed on said converted lots shall face in a direction approved by the Middlesex Beach Association after the owner or occupier of the lot has submitted plans in accordance with Paragraph seven (7) (APPROVAL OF PLANS), of the Restrictive Covenants.

(6) SIZE OF DWELLINGS: A land area of not less than one full Lot, as shown on the aforesaid Plat, shall be provided for each dwelling house or residence erected, altered, or used in MIDDLESEX BEACH. No residential building or dwelling shall be erected on any Lot or land area in MIDDLESEX BEACH, the square footage of the first floor of which is less than one thousand (1,000) square feet, exclusive of all porches, breezeways, carports, garages, terraces, stoops, and the like.

(7) APPROVAL OF PLANS AND POSTING OF CONSTRUCTION BOND: For the purposes of further insuring the development of the lands comprehended within MIDDLESEX BEACH as a residential and commercial development of high standards, the power to control the buildings, structures or improvements placed on each Lot or given land area therein shall be, and the same hereby is, vested in Middlesex Beach Association, and its successors. Whether or not provision therefore is specifically stated in any conveyance of a Lot or given land area in MIDDLESEX BEACH, the owner or occupier of each and every Lot, by acceptance of title thereto, or by taking possession thereof, covenants and agrees that no building, structure or improvement shall be placed upon such Lot unless and until the plans and specifications therefore, and the plot and grading plans thereof, showing the nature, kind, shape, height, materials, floor plans, color scheme, location and approximate cost of such structure and the grading plan of the lot to be built upon shall have been submitted to and finally approved in writing by Middlesex Beach Association and, a copy thereof, has finally been approved and lodged permanently with the records of the Middlesex Beach Association. Each such building, structure, or other improvement shall be placed on the premises only in accordance with such plans, specifications, plot and grading plans so approved. Refusal or approval of such plans, specifications, plot and grading plans by such Association may be based on any grounds related to the health, safety and/or general welfare of the members of the community as a whole including the contiguous landowners, and the effect on the property values thereof, which in the sole and uncontrolled discretion of the Association shall seem sufficient and in so passing upon such plans, specifications, plot and grading plans. It shall further have the right to take into consideration the suitability of the proposed building or other structure and of the materials of which it is to be built, to the site upon which it is proposed to erect the same, the harmony thereof with the surroundings and the effect of the building or other structure, as planned, on the outlook from the adjacent or neighboring property, and conformity with these restrictive covenants and the rules and regulations applicable to Middlesex Beach. Each property owner of Middlesex Beach Association shall comply with reasonable rules and regulations pertaining to any construction at Middlesex Beach as enacted by Middlesex Beach Association through its building committee. No alteration in the exterior appearance of any building, structure, or improvement shall be made without like final written approval. If the Association shall fail to disapprove the plans. specifications. or plot plans within thirty (30) days after written request therefor then such approval shall not be required; PROVIDED, HOWEVER, that no building, structure or improvement shall be erected which violates any of these covenants, restrictions, or reservations, as hereinbefore or hereinafter set forth. A completion and damage deposit in the form of a cash deposit or bond posted by a licensed insurance or bonding company with the State of Delaware in an amount equal to five percent (5%) of the contract must be submitted to the Middlesex Beach Association at the time that plans as provided herein are submitted if the estimated cost of the proposed construction exceeds Ten Thousand ($10,000) Dollars. The deposit or bond shall be held by the Association to ensure completion of the construction, removal of debris and trash relating to construction, repairing of roadways and any common elements damaged by the contractor or subcontractor(s), and payment to the Association for enforcement of any covenants or regulation violated by the property owner, contractor, or subcontractor(s). The deposit or bond shall be held until 30 days after a Certificate of Occupancy has been issued by the Sussex County Building Code Office and final inspection by the Middlesex Beach Association and a determination by the Association that the construction complies with the Restrictive Covenants and plans submitted by the property owner and approved by the Association.

(8) BUILDING FRONT: All main or principal buildings erected upon any Lot located in MIDDLESEX BEACH shall front as follows:

(a) Lots 1 to 31, inclusive, of block A, to the East;

(b) Lots 3 and 4 of Block B, and Lots 5 to 9, inclusive, of Blocks C, D, E, F, and G. to the East;

(c) Lots 1 and 2, Block B, and Lots 2 and 4 of Blocks C, D, E, F, and G, to the North;

(d) Lots 1 and 3, of Blocks C, D, E, F, and G, to the South;

(e) Lots 1 and 3, inclusive, of Blocks H, I, J, K, and L, to the East; and the rear frontage thereof to the West shall be attractively screened or fenced in the manner approved by Middlesex Beach Association;

(f) Lot 29, of Block M, Lot 29, of Block N, Lot 23, of Block O, Lot 27, of block P, Lot 25, of Block Q, and Lot 13, of Block R, to the South or to the East;

(g) Lot 30, of Block M, Lot 30, of Block N, Lot 24, of Block O, Lot 26, of Block P, and Lot 26, of Block Q, to the North or to the East;

(h) Lots 1, of Blocks M, N, P, Q, and R, to the South or West;

(i) Lots 2, of Blocks M, N, P, and Q, to the North or to the West;

(j) All the remaining Lots of Block R to the South;

(k) All the remaining even numbered Lots of Blocks M, N, O, P, and Q, to the North; and

(l) All the remaining odd-numbered Lots of Blocks M, N, O, P, and Q to the South.

(9) SET-BACK LINES: For construction, after date of the enactment of these restrictions, November 1, 1986, set-back lines shall be measured from the widest building appurtenances exclusive of roof overhang two (2) feet or less. If roof overhang is greater than two (2) feet, it will be included in the set-back. The following building set-back lines are hereby established for MIDDLESEX BEACH, and front yards, side yards and rear yards of each Lot shall be maintained free of any buildings or structures, or part thereof, in accordance therewith, except as hereinafter provided:

(a) in Blocks M, N, O, P, Q, and R. the building set-back line shall be twenty-five (25) feet from all "Roads" and Delaware State Route No. 361. In the case of each interior side-yard, the building set-back line of each Lot shall be fifteen (15) feet from the common side boundary line between said Lot and the adjoining Lot. In the case of each interior rear-yard, the building set-back line of each Lot shall be twenty-five (25) feet from the common rear boundary line between said Lot and the adjoining Lot, and for the purpose of this restriction, each Lot abutting on any boundary line of Middlesex Beach, as shown upon the aforesaid Plat, such boundary line shall be deemed to be an interior common rear boundary line of those Lots which abut upon any of the same.

(b) In Blocks H, I, J, K, and L, the building set-back line shall be fifty (50) feet from Ocean Highway and Beach Plum Road, and ten (10) feet from all other "Roads".

(c) In Block A the building set-back line shall be twenty-five (25) feet from Dune Road and from the beach area of Middlesex Beach. The building set-back line from an 10’ Walkway shall be ten (10) feet. In case of each interior side-yard, the building set-back line of each Lot shall be ten (10) feet from the common side boundary line between said Lot and adjoining Lot.

(d) In Blocks B, C, D, E, F and G, the front building set-back line of any Lot bordering upon any "Road" shall be twenty-five (25) feet and the building set-back line of any Lot the side of which borders upon an "Road" or upon "Ocean Highway", shall be ten (10) feet. In case of each rear-yard, the building set-back line of each Lot shall be twenty-five (25) feet from the common rear boundary line of such Lot and any boundary line of an adjoining Lot. In case of each side-yard, the building set-back line of each Lot shall be ten (10) feet from the common side boundary line of said Lot and any other boundary line of an adjoining Lot.

(e) In cases of single ownership of more than one Lot, these set-back lines all apply to the parcel owned as a whole.

(f) The building area of any Lot or land area located in the Residential District of Middlesex Beach shall not exceed forty-five percent (45%) of the Lot or land area of the premises.

(g) In the Residential District, wherever the owner of any given Lot or land area is authorized to erect thereon a detached private garage or other detached small out-building, as aforesaid, the front line of such accessory building shall be not less than ten (10) feet back from the rear line of the principal dwelling house, and the height thereof shall be not more than fifteen (15) feet. Further, such accessory building may encroach upon one side yard and/or the rear yard (except where such side or rear yard adjoins upon any "Road", "Walkway" or "Highway" of MIDDLESEX BEACH) of each Lot or land area, as follows: Any such accessory building must have two (2) side and one (I) rear yard, each of the width of not less than four (4) feet

(10) HEIGHT: No dwelling or building of any form, whether it be in the Residential, or Commercial District, shall exceed the heighth of thirty-five (35) feet; said height to be measured as the maximum height from the level of the contiguous roads to the highest point in the dwelling.

(11) SANITATION: No toilet, private sewage disposal system, or cesspool shall be maintained or used upon any Lot or land area located in MIDDLESEX BEACH, except for such temporary facilities approved by public health authorities during construction. Each property owner shall connect to the SOUTH BETHANY SANITARY SEWER DISTRICT, the public sewer system at the sole expense of each lot owner and shall comply with all the rules and regulations established by public health authorities having jurisdiction over Middlesex Beach.

Each property owner shall be responsible for keeping his property free of trash, debris, and garbage. Suitable trash enclosures must be installed at roadside property lines and shall be the exclusive trash collection site on the property. In addition, each property owner shall maintain the drainage ditches which are contiguous to his property in proper grade and proper flow to permit the free flow of drainage waters to prevent stagnation and unsightly and/or unsanitary conditions and excessive or unreasonable odors as determined by Middlesex Beach Association.

Each property owner and\or occupant and\or tenant of a commercial establishment which prepares or sells food or perishable products of any nature must provide evidence to Middlesex Beach Association prior to March 1 of each year of trash and garbage removal on an every other day basis for the period of time during which the establishment is open for business. The evidence of trash removal must be in the form of a written contract for trash removal services by a licensed hauler.

If any property owner fails to fulfill any of the requirements of this covenant, Middlesex Beach Association may, after due notice, correct the condition at the sole expense of the property owner in a manner as determined by Middlesex Beach Association.

(12) CONSTRUCTION OR DEMOLITION:

(a) No new construction may begin in Middlesex Beach between June 1 and the day after Labor Day. Buildings under construction before June 1 must be completely enclosed by the following June 30, at which time all exterior construction shall cease. All interior and exterior construction must be done on Monday, Tuesday, Wednesday, Thursday or Friday, provided however, that no construction may be done on any legal holiday. Exterior work when permitted may be done only between the hours of 8:00 a.m. and 4:30 p.m. Interior work may proceed throughout the summer, but only between the hours of 9:30 a.m. and 4:30 p.m. A building "under construction" is defined as one whose pilings or foundations are in place.

(b) It is mandatory that all dwellings (exclusive of porches and decks) on pilings must be enclosed with pickets or other suitable materials.

(c) Once the construction or demolition of any building has been started in MIDDLESEX BEACH, such construction or demolition thereof shall proceed without delay until the same is completed, unless such delay is attributable to a cause or causes beyond the control of the owner, builder or contractor, as the case may be. Cessation of work upon the construction or demolition of any buildings once started and before completion thereof for a continuous period of thirty (30) days shall be prima facie evidence of an intent to abandon the same in its partially completed or demolished state, and shall be deemed to be a public nuisance. Upon completion of the construction, a certificate of occupancy must be obtained from Sussex County and from Middlesex Beach Association. No building shall be occupied without these permits.

(d) Notwithstanding the foregoing restrictions on construction, between, but not including, Labor Day Weekend and Memorial Day Weekend, repair to and\or replacement of constituent components of existing structures (including painting) shall be permitted on Saturdays and Sundays between the hours of 9:30 AM and 4:30 PM prevailing time.

(13) FENCES: No fence or wall (except a retaining wall or a wall of any building permitted under the terms of these restrictions) over five (5) feet in height, shall be erected within any of the open spaces prescribed by these restrictions, and that portion of any fence or wall which exceeds three (3) feet in height shall contain openings therein equal to at least fifty percent (50%) of the area of said portion of such fence or wall. No fence or wall of any height shall be constructed upon any lot until after the height, type, design, and approximate location thereof shall have been approved in writing by Middlesex Beach Association. The height or elevation of any fence or wall shall be measured from the existing elevations of the property at or along the applicable points of lines. Any questions as to heights may be conclusively determined by the Association.

(14) NUISANCES: No Lot or land area located in any part of MIDDLESEX BEACH may be used for any manufacturing or processing plant, nor shall any livestock or poultry be grown, kept. or maintained thereon, nor shall any noxious or offensive trade or activity be carried out or conducted thereon, nor shall anything be done, kept, or maintained thereon which constitutes a public nuisance, or a menace to the public health, safety, or welfare.

(15) SIGNS:

I. DEFINITIONS:

A.) Sign: A structure, symbol, device, banner, commercial flag, illustration, mural, painting, or written message designed or intended to convey information to the public in written or pictorial form. Such information may include a commercial advertisement, announcement, identification, description, direction or similar communication.

B.) Sign Area: The entire area within a continuous perimeter, enclosing the entire limits of the sign display, including any frame, structure, or border. Curved or spherical signs, or signs which are composed of letters, words, representations, forms, shapes or designs which follow no rectangular pattern, shall be considered to include the entire rectangular area encompassing the entire outer limits of the letters, words, representation, forms shapes or designs.

II. RESIDENTIAL DISTRICT OF MIDDLESEX BEACH. Only the following exterior signs may be displayed on any lot:

A.) One "For Sale" and/or one "For Rent" sign referring only to the premises upon which the sign is erected or posted, which signs shall not exceed an area of six square feet on any side or facing and, provided further, that no such sign unattached to a dwelling shall exceed five feet in height.
B.) Signs in conjunction with doorbells or mailboxes not exceeding one square foot in area.
C.) One name and address sign not exceeding two square feet in area.
D.) Temporary construction or landscaping company signs not exceeding ten square feet per side or facing identifying the company engaged in the construction or landscaping and displayed on the premises only during such time as the actual construction work is in progress, provided that, no such sign shall exceed six feet in height.

E.) One sign issued by a security or protective service company not exceeding two square feet in area and one such company sticker on each window or door.

F.) Signs in connection with any candidate for elected office, special election or referendum issue, provided that the size of any such sign is not in excess of ten square feet per any side or facing and, provided further, that no such sign unattached to a dwelling shall exceed six feet in height. No such sign shall be erected more than sixty days prior to any contested election or referendum and shall be removed within ten days following the election or referendum date.

G.) Signs erected or required by the State of Delaware or the County of Sussex, or erected at the direction of the Middlesex Beach Association Board of Directors.

H.) No sign in the Residential District shall contain any reflective material or an internal or direct exterior lighting source. All height limitations shall be measured from the level of the road nearest the sign. All ground signs shall have a minimum front setback of five feet and a minimum setback of ten feet from each side property line and shall contain no more than two sides or facings.

III. COMMERCIAL DISTRICT OF MIDDLESEX BEACH: Only the following exterior signs are permitted:

A.) All signs permitted in the Residential District.

B.) One permanent ground sign per lot, as such lots are described on the Sussex County Tax Parcel Map. Said ground sign include all signs unattached to any building and erected on or supported by one or more uprights, poles, posts or braces placed in or supported by the ground. All such signs shall have a minimum front setback of five feet from the right of way of Route 1, shall have a minimum side setback of twenty feet from each side property line, shall have a minimum setback of twenty-five feet from the right of way line of an intersection with another street and shall contain no more than two sides or facings, back to back. No sign structure shall exceed eighteen feet in height, such height to be measured from the level of the road nearest the sign. The area of such ground sign shall not exceed one hundred square feet on any side or facing.

C.) In addition to the permanent ground signs permitted in this provision, each store, shop, office or similar commercial unit shall be permitted one permanent sign attached to or painted on each wall, other than a wall facing Beach Plum Road, provided that no such sign shall exceed 36 square feet, and, provided further, that no such sign facing northward or southward shall be illuminated from within, nor from the rear, nor from lights affixed to the sign or the wall, nor contain reflective material. The sign facing Route 1 may be an illuminated awning, wall sign, or other attached exterior sign, not to exceed thirty-six square feet per sign. No sign shall be situated upon or attached to any roof, except a portion of a roof which is perpendicular to the ground or has a roof slope of greater than 85 degrees and which is essentially an extension of the wall over which it is constructed.

D.) In addition to the provisions of Sub-sections B and C above, each store, shop, office or similar commercial unit may display one non-illuminated sign, not exceeding eight square feet in area, with letters not exceeding one foot in height, painted, stamped, or stitched on the surface of any awning or canopy, provided that only the copy, logo or display area of such sign shall be considered in any square foot limitations.

E.) In addition to the provisions of Sub-section B, C, and D above, each store, shop, office or similar commercial unit may display temporary commercial signage in the form of posters, banners, pennants or commercial flags not to exceed a total combined area of thirty-six square feet.  Such an area calculation shall include the area of all posters, banners, pennants, or commercial flags so displayed.

IV. SIGNS PROHIBITED IN ALL DISTRICTS OF MIDDLESEX BEACH:

A.) Flashing signs, except time-and-temperature signs.

B.) Animated signs.

C.) Signs which produce noise or sounds or emit visible smoke, vapor, particles or odor.

D.) Signs with intermittent lights resembling or seeming to resemble the flashing lights customarily associated with danger or such as are customarily used by police, fire or ambulance vehicles or for navigation purposes.

E.) Signs located and so illuminated as to provide a background of colored lights blending with traffic signals to the extent of confusing a motorist when viewed from normal approaching position of vehicle at a distance of twenty-five to three hundred feet.

F.) Signs in any location that obstruct a motorist's vision of traffic control signals or of other vehicular traffic.

G.) Signs attached to trees or utility poles.

H.) Signs attached to any vehicle parked primarily for display purposes.

I.) Signs located within twenty-five feet of any right of way line of an intersection with another sheet.

J.)Signs attached to or painted on a wall which rise above the lowermost portion of the roof of the building upon which it is situated.

K.) Signs directing attention to any business, commodity, service or entertainment conducted, sold or offered elsewhere than upon the premises where the sign is maintained.

V. SIGNS PROHIBITED ON MIDDLESEX BEACH ASSOCIATION COMMON PROPERTY:
No sign of any character shall be erected or posted on Middlesex Beach Association common property (property within the boundaries of Middlesex Beach other than privately owned lots), including but not limited to streets and rights of way, unless erected or posted at the direction of the Middlesex Beach Association Board.

VI. WRITTEN APPROVAL REQUIRED:

Notwithstanding the foregoing, no ground sign or attached sign, other than those expressly permitted in the Residential District of Middlesex Beach, shall be erected, reconstructed or replaced on any lot in the Commercial District of Middlesex Beach without the final written approval of the Middlesex Beach Association Building Committee. All such signs shall be compatible with the adjoining residential neighborhood as well as other signs in the Commercial District approved in writing by the Middlesex Beach Association. The erection, placement, replacement or reconstruction of any sign, whether in the Residential District or the Commercial District of Middlesex Beach, may be determined to be in violation of these provisions based upon any criteria or requirement, including specifically, but not limited to the requirement of Building Committee approval of signs in the Commercial District, set forth in this Section or Section 7 of these Restrictive Covenants pertaining to the approval of construction plans and either disapproved or, if found in violation, ordered removed, whether or not the erection, construction, placement, reconstruction or replacement of such sign is completed. All signs shall be maintained in good and safe condition and neat and trim appearance. If the property owner fails to comply with any requirements of this Section or any direction or decision of the Building Committee pursuant thereto, Middlesex Beach Association may, after due notice, either correct the condition at the sole expense of the property owner in a manner as determined by the Middlesex Beach Association or pursue the remedies provided for in Section 19 of these Restrictive Covenants.

VII. NON-CONFORMING SIGNS;

I. Any permanent sign in existence on the effective date of this amendment to the Restrictive Covenants shall be allowed to remain. However, if an existing sign is destroyed by at least fifty percent or falls into disrepair of at least fifty percent of such sign, then any reconstruction must be in accordance with this Section. The condition of the sign in question shall be determined by the Building Committee at the time the sign permit application is filed. The condition of such sign shall also be evaluated at the time it is destroyed or falls into disrepair. Portable, temporary or moveable signs, including commercial banners, posters, pennants, or commercial flags, that are in violation of this Section shall be removed not later than thirty days after the effective date of this amendment. Applications for a permit to replace a non-conforming sign shall not be considered as a reconstruction of a non-conforming sign and, therefore, the replacement sign must be in accordance with this Section.

(16) SATELLITE ANTENNAS OR DISHES: A Satellite Antenna or Dish shall be defined as follows:

A parabolic dish antenna or other device or equipment of whatever nature or kind, including its structural supports, the primary purpose of which is to receive television, radio, microwave, or other electronic signals from space satellites.

No satellite antenna or dish shall be installed, constructed or erected upon any property within Middlesex Beach except in compliance with the provisions of these restrictions:

(a) A satellite antenna or dish shall be permitted only as an accessory use on a lot that contains a principal structure and only after the placement of the antenna or dish has been approved by the Building Committee of Middlesex Beach.

(b) No lot shall contain more than one (1) satellite antenna or dish.

(c) No satellite antenna or dish shall be located closer to an adjoining property line of a lot in Middlesex Beach than the height of said antenna or dish nor closer to any other property line than the height of said antenna or dish or the side set-back requirement for the principal structure on the lot, whichever results in the greatest setback. The location of such antenna or dish shall be that feasible location which least impacts aesthetically upon the property of adjoining land owners.

(d) Any permitted satellite antenna or dish shall not have a diameter (or largest spread distance if not circular) of more than eight (8) feet.

(e) Each satellite antenna or dish shall be designed in compliance with the American National Standards Institute Standard A58.1. American National Standard Building Code Requirements for Minimum Design Loads in Buildings and Other Structures, and the Electronics Industry Association Standard RS-411, Electrical and Mechanical Characteristics of Antennae for Satellite Earth Stations or any modification or successor to such Standards, as well as any other construction or performance standard, rule or regulation of any governmental entity having jurisdiction over such antennae or dish, including, without limitation, the Federal Communications Commission. A certificate of conformance with the aforesaid standards by the manufacturer’s professional personnel or such other professional as shall be deemed appropriate by the Building Committee shall be submitted as one of the conditions for the issuance of the building permit required by these restrictions.

(17) MAINTENANCE ASSESSMENT: Each lot owner in Middlesex Beach covenants to pay to Middlesex Beach Association, or its successors, a sum of money annually to be used by such Association for any purpose that is consistent with the best interests of the residents including, but not limited to, professional and other fees and salaries, road and street maintenance, security, maintenance of the beaches and walkways, and for other purposes as budgeted by the Association from time to time. Such annual assessment may be levied no more than once each calendar year and the amount thereof shall be determined from time to time according to the vote of a majority of the property owners in attendance at a regular meeting or a special meeting called for such purpose. The aforesaid assessment shall first be levied upon every lot upon which improvements are then located or are upon the voting date in any stage of construction. There shall thereupon be assessed upon all unimproved lots in Middlesex Beach on the same date an annual maintenance assessment which is 55% of the improved lot assessment and unconverted commercial lots shall be assessed at twice the assessment of a residential lot. If any commercial lot is converted to a single residential lot, the assessment of that single residential lot shall be the same as the commercial lot from which it was converted. In the case of subdivision, each subdivided and converted residential lot shall be assessed as a residential lot. The commercial improved and unimproved lots shall be assessed at twice the rate of the assessments for the residential improved and unimproved lots. Notice of such annual assessment shall thereupon be mailed by any officer of the Association to each lot owner at his last known mailing address within fifteen (15) days after the aforesaid meeting and vote of the membership and every such annual assessment must be paid to the Association within forty-five (45) days next following the aforesaid meeting at which such assessment is determined. In the event that such annual assessment is not paid within the aforesaid forty-five day period the owner or owners of any lot or lots upon which such charge is not paid as aforesaid shall not be entitled to vote at any regular or special meeting of the Association or its Board of Directors until the assessment is paid and such assessment, with interest at the legal rate as permitted by 6 Del. C. section 2301, as amended, beginning on the forty-sixth day after it is assessed, shall be and become a lien upon the lot or lots upon which such assessment has been made

(18) DURATION AND AMENDMENTS: The foregoing Restrictive Covenants and Reservations shall run with the land, and the title thereto, as herein and hereby conveyed, and the same shall be binding upon all parties hereto, and upon all persons claiming hereunder, as well as their respective heirs, successors, and assigns, as the ease may be, in perpetuity: SUBJECT HOWEVER, TO THE PROVISO that Middlesex Beach Association, by and with the vote or written consent of no less than sixty percent (60%) of the then owners of all the Lots in MIDDLESEX BEACH shall have the power to waive, abandon, terminate, modify, alter, change, amend, or add to these Restrictive Covenants and Reservations, or any of them, at any time hereafter. Any such waiver, abandonment, termination, modification, alteration, change, amendment, or addition shall take effect when a copy thereof, executed and acknowledged by Middlesex Beach Association, in accord with the usual form of execution and acknowledgment of Deeds to land by a Delaware corporation, together with the written consents of the requisite number of Lot owners, or a certificate by the Association verified under oath by the President thereof, or in the case of his absence or inability, by any Vice-President thereof, setting forth the time, manner and result of the taking of the vote of all the Lot owners in MIDDLESEX BEACH, have been filed for record in the Office of the Recorder of Deeds of the State of Delaware, in and for Sussex County, and the same shall thereafter remain in effect in perpetuity, unless and until the same shall thereafter be waived, abandoned, terminated, modified, altered, changed, amended, or added to, as the case may be. In the taking of any such vote, or the obtaining of any such written consent, of the Lot owners in MIDDLESEX BEACH. Each owner shall have as many votes or consents as he, she, it, or they may own Lots situate in MIDDLESEX BEACH.

(19) REMEDIES: In the event any party hereto, or his, her or its, heirs, successors, or assigns, as the case may be, shall violate, or attempt to violate, any of the foregoing restrictive covenants or reservations while the same remain in force and effect, then and in such an event, it shall be lawful for any other person or persons owning a legal interest in any Lot located in MIDDLESEX BEACH, or for Middlesex Beach Association, and its successors, to bring any proceeding to take any action, either in law or in equity, against such violator of any of the foregoing restrictive covenants or reservations as may be applicable to prevent or abate the violation thereof or to recover damages resulting from any such violation or attempted violation thereof. In the event that an action is brought by any such person or by Middlesex Beach Association for nonpayment of an assessment and/or for the enforcement of any of the restrictive covenants and obligations arising from them in any court of competent jurisdiction, the remedy shall include the payment of reasonable attorney’s fees, which in no event shall be less than $300.00, litigation expenses and court costs to Middlesex Beach Association and/or to other party(ies) who take action to enforce any of the foregoing restrictive covenants. It shall be no defense in any such action that the property owner is absent or that the property is leased to a third party. Moreover, any party who violates any of the restrictive covenants of Middlesex Beach including but not limited to Paragraph 17 above for delinquent maintenance assessments hereby agrees that such violation irreparably harms Middlesex Beach and hereby authorizes the Court of Chancery of the State of Delaware to enter a temporary, preliminary and/or permanent restraining and injunctive order preventing the offending party from occupying or building on any property in Middlesex Beach until such violation(s) is corrected and further agrees that the Court of Chancery of the State of Delaware in and for Sussex County would have subject matter and personal jurisdiction in any such case.

The invalidating of any one of the foregoing restrictive covenants, reservations, or any provisions thereof, by any court of competent jurisdiction shall in nowise affect or impair the full force and effect of all other restrictive covenants, reservations, and provisions hereinbefore set forth, and in any such event all such other restrictive covenants, reservations, and provisions as are not expressly invalidated thereby shall remain in full force and effect.

In the event any party owning a freehold interest in any Lot located in MIDDLESEX BEACH desires to make a complaint of an alleged violation of any of these reservations or restrictive covenants unto Middlesex Beach Association, or to propose unto Middlesex Beach Association any waiver, abandonment, termination, modification, alteration, change, or addition of, in or to these reservations and restrictive covenants, or any of them such complaint or proposal, as the case may be, must first be reduced to writing and signed by the complaining party, or proposer, as the case may be, before it may be considered by Middlesex Beach Association.

(20) INDEMNIFICATION: To the extent there is no available and applicable insurance coverage, the Association shall indemnify any and all of its directors, officers, employees and agent for all liability threatened or arising from any pending or completed action, suit or proceeding, whether civil, criminal, administrative, or Investigative, by any person individually or in the right of the Association resulting from any authorized action taken on behalf of the Association where such person acted in good faith and in a manner he reasonably believed to be in or not opposed to the best interests of the Association, and, with the respect to any criminal action or proceeding had no reasonable cause to believe his conduct was unlawful, When applicable, indemnity shall include payment for all expenses, including attorney’s fees, judgment, fines and amounts paid in settlement actually and reasonably incurred by him. Actions subject to indemnification shall include, but not be limited to, all conduct by directors, officers, employees and agents of the Association performed in carrying out their duties and other members and employees designated by officers to conduct any activity on behalf of the Association.