Ownership and Usage

SOUTHWOOD LAKE

Ownership and Usage:

The ownership and use privileges for Southwood Lake are somewhat unique and we take this opportunity to explain in greater detail. The lake was excavated by the developer on land owned by the developer, and Marcel Renaud and Daniel Anderson. By agreement, the lake has been transferred to Southwood Lake Recreation Association Inc., a non-profit corporation. The lake is therefore owned and controlled by Southwood Lake Recreation Association Inc. and not Woodstream Owners Association or South Village Owners Association.

There are three classes of membership. Class B members form the Southwood Lake Water Ski Club. They shall have the right to use the lake and the area designated on the attached schedule on a user-pay basis. They must follow the rules as set out by the Board from time to time. Class C membership is available to abutting lake landowners, upon application. Members with waterfront property on the west side of the lake will be members of Woodstream Owners Association Inc. and in addition, may apply to become Class C members of Southwood Lake Recreation Association Inc. Members on the east side of the lake will be members of South Village Owners Association Inc. and in addition, may apply to become Class C members of Southwood Lake Recreation Association Inc. This membership will grant the landowners access to Southwood Lake in the areas shown on the attached schedule in accordance with the rules and regulations. Class A voting membership shall be held by Daniel J. Anderson or 1374421 Ontario Ltd.

In the event of the death of Daniel Anderson, the Class A membership or legal title to the property will revert back to the developer corporation.

Copies of the Articles and by-laws of Southwood Lake Recreation Association Inc. are available to members, upon request.

Insurance:

Southwood Lake Recreation Association Inc. is required to maintain insurance on the lake and contiguous property. In addition, Southwood Lake Water Ski Club is required to maintain liability insurance and insure its own property. Insurance costs may be passed on to members, proportionately.

Use of Lake:

Only the water ski club shall be permitted to operate a power boat on the lake, and must confine its activities to the area designated for water skiing. No other power boat, jet skis, motor crafts will be permitted. The Southwood Lake Recreation Association Inc. Board retains the right to revoke either Class B or Class C membership at any time, in its discretion.

WOODS LAKE

Woods Lake (Block 63 4M-1305) is owned by Woodstream Owners Association Inc. There is no common access. Accordingly, only the lots abutting Woods Lake, namely Lots 23-35 on Plan 4M-1305, and the six lots to be subdivided from Block 64 on Plan 4M-1305, will in fact have access to and usage of the lake.