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BACKGROUND

The General Setting The Portola Valley Ranch Planned Development (Development) is a planned development comprised of single family homes surrounded by trees and natural vegetation, organized pursuant to Civil Code section 4175. The Development is managed by the Portola Ranch Association, whose “Governing Documents” include the covenants, conditions, and restrictions (CC&Rs), the Articles, the Bylaws, and the Operating Rules of the Association, the last of which “apply generally to the management and operations of the Development or the conduct of the business and affairs of the Association and the Owners.” These rules include that “The affairs of the Association shall be conducted in accordance with the Governing Documents and applicable laws. The Owners of all the Lots covenant and agree that the administration of the Development shall be in accordance with the provisions

2 of this Declaration, the Act, the Nonprofit Corporation Law and the Articles, Bylaws and Operating Rules of the Association.” Specific provisions of the governing documents are relevant to issues discussed below, and will be set forth in connection with the issue to which they pertain. The…