October 20, 2010

To Whom It May Concern:
I am the attorney for Summit Village, Inc. in Hilltop Duplexes Homeowners Association v. Summit Village, Inc. The purpose of this letter is to give potential lenders an overview of Hilltop Duplexes Homeowners Association v. Summit Village Inc. and advise them of its current status.

This case involves a dispute between Summit Village, Inc. and a sub-homeowners association, Hilltop Duplexes HOA. Hilltop Duplexes is part of the larger Summit Village development. This case is currently pending before the Nevada Supreme Court.

When the Hilltop Duplexes were developed and built, a wooden parking deck was also built to provide parking and access to the Hilltop units. The Hilltop HOA maintained the deck for years, but the deck had fallen into disrepair, and in 2005, Hilltop argued that Summit Village should be responsible for maintaining the parking deck, not Hilltop. Summit Village disagreed. Hilltop eventually filed suit against Summit Village on April 3, 2007 in Douglas County, Nevada under case number 07CV0081.

The case went to trial in 2008, and the judge ruled in favor of the Hilltop HOA. Summit Village has appealed that decision, and the appeal is pending before the Nevada Supreme Court under docket number 53895. The appeal has been fully briefed, and the parties are waiting for the Nevada Supreme Court to issue a decision or request oral argument. Summit Village has repaired/modified the parking area that was at the center of this dispute. The outcome of the appeal may affect which HOA was financially responsible for these repairs and modifications, but the repairs and modifications have already been made.

If any lender has additional questions about the status of this case, please feel free to contact me.

Sincerely,
Kristie A. Tappan
Attorneys