The Emerald Sound Property Owners Association, Inc. is a 501C(4) nonprofit corporation to whom contributions are not deductible as a charitable contribution. It was chartered to serve the property owners of the Emerald Sound On Lake Lewisville Subdivision which was  formed by the filing of five (5) separate subdivision plats and three (3) sets of deed restrictions for the five (5) subdivisions in 1993. A set of deed restrictions was filed for Section Two, a set of deed restrictions was filed for Section Four and a set of deed restrictions was filed for Sections One, Three and Five. In 2008 the residents of Section Four, in accordance with the provisions of its deed restrictions and Texas law, chose to amend its deed restrictions and withdraw from participation in the association.

DECLARATION OF COVENANTS, CONDITIONS AND RESTRICTIONS
EMERALD SOUND AT LAKE LEWISVILLE
SECTION ONE
STATE OF TEXAS
KNOWN ALL MEN BY THESE PRESENTS:
COUNTY OF DENTON

This Declaration, made on the date hereinafter set forth by PROPERTIES OF THE SOUTHWEST INC., a Delaware corporation, duly authorized to do business in the State of Texas, hereinafter referred to as "Developer",

WITNESSETH:
WHEREAS, Developer is the owner of that certain tract of land known as EMERALD SOUND AT LAKE LEWISVILLE of 51.08 Acres of land situated in Denton County, Texas (hereinafter referred to as the "Subdivision"), with the plat ("Plat") of Emerald Sound at Lake Lewisville SECTION FIVE (hereinafter referred to as "SECTION FIVE"), to be recorded in the office of the County Clerk of Denton County, Texas on the 12th day of August 1994, after having been approved as provided by law, and being recorded in Cabinet K, Slide 280-281 of the Map Records of Denton County, Texas; and
WHEREAS, it is the desire of Developer to place certain restrictions, easements, covenants, conditions, stipulations and reservations (herein sometimes referred to as the "Restrictions") upon and against such SECTION FIVE in order to establish a uniform plan for its development, improvement and sale, and to insure the preservation of such uniform plan for the benefit of both the present and future owners of tracts in SECTION FIVE;

NOW, THEREFORE, Developer hereby adopts, establishes and imposes upon SECTION FIVE, and declares the following reservations, easements, restrictions, covenants and conditions, applicable thereto, all of which are for the purposes of enhancing and protecting the value, desirability and attractiveness of said Property, which Restrictions shall run with said Property and title or interest therein, or any part thereof, and shall inure to the benefit of each owner thereof. Developer also declares that SECTION FIVE shall be subject to the jurisdiction of the "Association" (as hereinafter defined).

ARTICLE I
DEFINITIONS

Section 1.01 "Association" shall mean and refer to the Emerald Sound at Lake Lewisville Property Owners Association, and its successors and assigns.

Section 1.02 "Emerald Sound at Lake Lewisville" shall mean and refer to SECTION FIVE and any other sections of Emerald Sound at Lake Lewisville hereafter made subject to the jurisdiction of the Association.

Section 1.03 "Board of Directors" shall mean and refer to the Board of Directors of the Association.

Section 1.05 "Preferred Builder" shall mean a builder who has been researched, investigated and approved by Properties of the Southwest and have entered into a written agreement with Properties of the Southwest to become eligible to participate in Emerald Sound's Preferred Builder Program.

Section 1.06 "Common Area" shall mean all real property (including the improvements thereto) within the Subdivision owned by the Developer and/or the Association for the common use and enjoyment of the Owners.

Section 1.07 "Contractor" shall mean and refer to the person or entity with whom an Owner contracts to construct a residential dwelling on such Owner's Tract.

Section 1.08 "Developer" shall mean and refer to Properties of the Southwest, Inc. and its successors and assigns.

Section 1.09 "Tract" shall mean and refer to any plot of land identified as a tract or homesite on the plat of SECTION FIVE. For purposes of this instrument, "Tract" shall not be deemed to include any portion of the "Common Areas" or "Unrestricted Reserves" (defined herein as any Common Areas and Unrestricted Reserves shown on the Plat) in the Subdivision, regardless of the use made of such area.

Section 1.10 "Owner" shall mean and refer to the record owner, whether one or more persons or entities, of fee simple title to any Tract which is a part of the Subdivision, including (i) contract sellers (a seller under a Contract-for-Deed), but excluding those having such interest merely a security for the performance of an obligation, (ii) Developer (except as otherwise provided herein), and (iii) Builders.