Preview
Filing # 158266381 E-Filed 09/28/2022 11:29:21 AM
IN THE CIRCUIT COURT OF THE TENTH JUDICIAL DISTRICT
IN AND FOR HIGHLANDS COUNTY, FLORIDA
SUN ‘N LAKE OF SEBRING
IMPROVEMENT DISTRICT,
Plaintiff,
Vv. CASE NO.
MICHAEL DESLANDES and
ZYNOBIA DESLANDES,
Defendants.
/
VERIFIED FORECLOSURE COMPLAINT
Plaintiff, SUN ‘N LAKE OF SEBRING IMPROVEMENT DISTRICT (the “District”),
through its undersigned counsel and pursuant to Chapter 9, Article V of the
Highlands County
Code of Ordinances and Chapters 170 and 702, Florida Statutes, sues
the defendant, MICHAEL
DESLANDES and ZYNOBIA DESLANDES (the “Owners”), and alleges:
JURISDICTION AND VENUE
i This is an action to foreclose certain assessments levied by the District
on real
property that is owned by the Owner.
2 The amount at issue in this action is more than $15,000, exclusive of attomeys’ fees
and costs, and is otherwise within the jurisdiction of this Court pursuant
to Ch. 9, Art. V, Sees. 9-
132 and 9-156 of the Highlands County Code of Ordinances and Chapters
170 and 702, Florida
Statutes.
3 Venue is proper in Highlands County because the property sought to be foreclos
ed
is located in Highlands County and the causes of action set forth herein otherwis
e accrued in
Highlands County, Florida.
Page | of 7
Electronically Filed Highlands Case # 22000451GCAXMX 09/28/2022 11:29:21 AM
GENERAL ALLEGATIONS
PROCEDURAL BACKGROUND
4 In 1974, Highlands County created Sun ‘N Lake of Sebring Improv
ement District
to fund the construction and maintenance of infrastructure for the
property located within its
boundaries. Ch. 9, Art. V., Sec. 9-81, Highlands County Code of Ordinances; see
also Highlands
County Ordinance 74-4.
5 The District is classified as an independent special district pursuant
to Chapter 189,
Florida Statutes.
6 As such, the District is authorized to (1) collect operational
and maintenance
assessments, (2) issue special assessments, and (3) issue bonds to
fund the infrastructure of the
community. See Ch. 9, Art. V, Secs, 9-86, 9-126 et seq, and 9-153, Highlan
ds County Code of
Ordinances.
THE MAINTENANCE ASSESSMENT
4
Pursuant to Ch. 9, Art. V, Sec. 9-153, the District issues a yearly mainte
nance
assessment. Notice of the maintenance assessment is delivered to each
unit owner in October with
payment due on or before March 31" of the following year. Such notice is mailed to the record
title owner’s address provided to the Property Appraiser for Highlan
ds County, Florida, or as
otherwise provided to the District.
8 By Notice recorded on December 11, 1979 at Book 637, Page 74
of the Official
Records for Highlands County, Florida and by Notice of Governmental
Lien recorded on June 4,
1999 at Book 1457, Page 788 of the Official Records for Highlands
County, Florida, the District
placed all interested parties on notice that the properties located in
the District, including the
Page 2 of 7
Property being foreclosed herein, were subject to annual maintenance assessme
nts. Copies of the
Notice and Notice of Government Lien are attached as Exhibit “A” and Exhibit
“B .” respectively.
THE PHASE FIVE BONDS
9. On December 1, 1989, J.P Morgan Trust Company, as successor trustee to First
Union National Bank of Florida issued the Sun ‘N Lake of Sebring Improve
ment District Special
Assessment Bonds, Series 1989A (the “Phase Five Bonds”).
10. In July of 2004, successor trustee, SUNTRUST BANK (“SunTrust”) adopted
Resolutions 04-34 and Resolution 04-44 (the “Rescheduling Orders”) to provide for the
rescheduling of the Phase Five Bonds to address a substantial non-performanc
e in payment.
Mt. On July 1, 2005, the District and SunTrust executed the Amended and Restated
Indenture of Trust, whereby the parties agreed (among other things) to extend
the maturity date of
the Phase Five Bonds. A copy is attached hereto as Exhibit “C.”!
12. MICHAEL DESLANDES and ZYNOBIA DESLANDES are the record title
owners of several properties located within the District.
13. Those properties are subject to the maintenance assessment and Phase
Five Bond
assessment (together the “Assessments”).
14, MICHAEL DESLANDES and ZYNOBIA DESLANDES are in default of the
Assessments.
15, All conditions precedent to the commencement of this action, if any, have been
fulfilled or waived.
tt
' The Amended and Reinstated Indenture of Trust is 97 pages long. Exhibit “C” includes
the cover page and table of
contents. The full 97 pages will be made available upo! nh request.
Page 3 of 7
16. Pursuant to Ch. 9, Art. V., Secs. 9-132 and 9-156 of the Highlands County Code
of
Ordinances, the District may foreclose in the same manner as provided for the foreclosure of
mortgages.
COUNT L- FORECLOSURE
17, The District realleges and incorporates by reference as though fully set forth herein
Paragraphs 1 through 16.
18. MICHAEL DESLANDES and ZYNOBIA DESLANDES are the record title
owners of the below described property, pursuant to that certain Warranty Deed recorded
on May
17, 2005, at Book 1853, Page 834 of the Official Records for Highlands County,
Florida:
Lot 31, Block 351, Sun ‘N Lake Estates of Sebring, Unit 16, according to the
map or plat thereof, recorded in Plat Book 10, Page 4, Public Records
of
Highlands County, Florida.
Also known as 5009 San Ignacio Dr, Sebring, FL 33872 (the “Property”)(See
Exhibit “D”.)
19. MICHAEL DESLANDES and ZYNOBIA DESLANDES is in default of the
Assessments based upon a failure and refusal to make the payments due on March
31, 2009, and
all subsequent payments.
20. By virtue of the default, MICHAEL DESLANDES and ZYNOBIA DESLA
NDES
are presently indebted to the District in the principal amount of $32,182.17, exclusiv
e of interest,
title search expenses, additional late payments and all other sums due
and owing, together with
attorneys’ fees and costs.
21. The unpaid Assessments represent a lien on the property that is co-equal with
the
liens of all state, county, district and municipal taxes. See Ch. 9, Art. V, Sec. 9-155, Highlands
County Code of Ordinances.
22. By reason the default, the District is exercising its option to foreclose.
Page 4 of 7
23. The District has retained counsel for this litigation and is obligated to pay its
counsel a reasonable fee. The Owner is responsible for these attorney’s fees and associated costs
pursuant to Ch. 9, Art. V, Sec. 9-155, Highlands County Code of Ordinances and Chapter 170.10,
Florida Statutes,
WHEREFORE, the plaintiff, SUN ‘N LAKE OF SEBRING IMPROVEMENT
DISTRICT, respectfully requests that this Honorable Court enter judgment: (1) declaring that the
Assessments are superior to all other interests in the Property; (2) foreclosing the Assessments
and
setting the Property for judicial sale; (3) awarding attorney’s fees and costs to the District; and (4)
for such other relief as this Court deems fair and just.
COUNT H - FORECLOSURE
24. The District realleges and incorporates by reference as though fully set forth herein
Paragraphs | through 16.
25. MICHAEL DESLANDES and ZYNOBIA DESLANDES are the record title
owners of the below described property, pursuant to that certain Warranty Deed recorded on
May
26, 2005, at Book 1856, Page 1476 of the Official Records for Highlands County, Florida
Lot 29, Block 194, Sun ‘N Lake Estates of Sebring, Unit 11, according te the
map or plat thereof, recorded in Plat Book 9, Page 69, Public Records of
Highlands County, Florida.
Also known as 6437 Alcala Ave, Sebring, FL 33872 (the “Property”)(See Exhibit
“E*)
26. MICHAEL DESLANDES and ZYNOBIA DESLANDES is in default of the
Assessments based upon a failure and refusal to make the payments due on March 31, 2009, and
all subsequent payments.
27. By virtue of the default, MICHAEL DESLANDES and ZYNOBIA DESLANDES
are presently indebted to the District in the principal amount of $32,182.17, exclusive of interest,
Page 5 of 7
title search expenses, additional late payments and all other sums due and owing, together with
attorneys’ fees and costs.
28. The unpaid Assessments represent a lien on the property that is co-equal with the
liens of all state, county, district and municipal taxes. See Ch. 9, Art. V, Sec. 9-155, Highlands
County Code of Ordinances.
29, By reason the default, the District is exercising its option to foreclose.
30. The District has retained counsel for this litigation and is obligated to pay its
counsel a reasonable fee. The Owner is responsible for these attorney’s fees and associated costs
pursuant to Ch. 9, Art. V, Sec. 9-155, Highlands County Code of Ordinances and Chapter 170.10,
Florida Statutes,
WHEREFORE, the plaintiff, SUN ‘N LAKE OF SEBRING IMPROVEMENT
DISTRICT, respectfully requests that this Honorable Court enter judgment: (1) declaring that the
Assessments are superior to all other interests in the Property; (2) foreclosing the Assessments and
setting the Property for judicial sale; (3) awarding attorney’s fees and costs to the District; and (4)
for such other relief as this Court deems fair and just.
FLA. R. CIV. P. 1.115(e) VERIFICATION
Under penalty of perjury, | declare that | have read the foregoing, and the facts alleged
therein are true and correct to the best of my knowledge and belief.
SUN ‘N LAKE OF SEBRING
IMPROVEMENT DISTRICT
By:©. AN ENE Sky At big e
Name: Vins se eet
Title om sate a
are subject fo annus & ma inten:
therein oS eee
Of the
and/or payment, of the band
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Nistwict. any intext
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Hoard of superpigors
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(SEAL) she “se
STRTE OF FLORIDA
COURTY OF BIGETANDS + be
I HEREBY RTISY that on this’ day before ms;
an icex duly qua e@ to take acknowledgments,
persorally appeered R. N. WEISSER, as President of +
the Board of Supervisors of SUN ’N LAKE OF SEBRING
XMPROVEMENT DISTRICT, & public body corporation of the ee
a kmown to me to be the person described
State of Florida,
in and who executed the foregoing instrument in dts
name and he acknowledged before me that he executed the
same in bebalf of said public body corporation, and
that he was. authorized to de so
on EXHIBIT "A
aed O8, BIT nie TA
ee or nc near ataataaystO oer meow LLLS nn erase
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#4 OFFICIAL REC
1457 FG 709
ib
§
Prepared by and retwrn bo:
John K. MeChir
Swaine, Harris, than & MeChare, 1A,
auth Cammet e Avenue
Sebring, A870
NOTICE OF GOVERNME ‘AL LIEN
NOTICE IS HEREBY GIVEN by SUN *N LAKE OF SEBRING IMPROVEME t
DISTRICT (herein called the “Distriet")
that all properties
listed in Schedule “A attached hereto
tie within the geographic boundari of the District, which was formed under Highlands County
Ordinance 74-4, as amended from time to time, and as codified at tion 9-81, etseq., Code af
Ordinances, Highlands County, Florida, and are subjes to governmental Hen for as: ments
imposed by the District. Assessments are imposed for the capital improvement projects of the
District and for operation and maintenance expenses for the administration of the District and the
maintenance of the improvements within the District. Pursuant to Section 21, Highlands County
Ordinance Number 74-4, codifiedat Section 9-155, Code of Ordinances, Highlands County, Florida,
all special ass ments of the District, together with penalties for default aud the payment of the
same and costs in collecting the same, including a reasonable atlorney’s fee fixed by the court and.
taxed as cost in action brought to enforce payment, shall, from January | for each y the property
is liable to assessment and until paid, constitute a lien of equal dignity with the liens for state and
3
county taxes upon all the and personal property against which such taxes shall be levied, ALT
hs
interested persons may determine the amount and st as of any outstanding governmental tax liens:
‘on any property as described herein by inquiring atthe administrative offices of the District located
at 5306 Sun ‘n Lake Boulevard, Sebring, Florida, 33872
DATED this F'?day of June, 1999.
Signed, scaled and delivered
balla Blane
in " pres
Sun 'n Lake of Sebring Improvement
iy
8 ew du i District, special ret and public
ann corporation of the State of Florida
( sei
te Printed Name
py 2
yes Signature ~ th B. Gonzalez, Pregl
Supervisors he
fok\es. ©
Witness’ Printed Name Ne ne
(SEAL)
STATE OF FLORIDA
on
COUNTY OF HIGHLANDS:
vv
‘1
SWORN and SUB: ORIBED before me this diay of June, 1999, by Eiith B.Gonzatez, as
President of the Roard of Supervisors of Sun 'n Lake ol ring Improvement District, special district and
public corporation af the State of lorida, on behalf of the District, who agknowledged before mie that ste
was author ea todos, who is personally known foane or has prxticed we
Pr
as identification.
tickey
ted Naan Bafles
o Commission No. Ta o24.
Commission Exp
+ Notary Public, , State of Florida at Large
(alfix notarial seal)
UetabiSNENOTIEES
on ew pd
@20%UANITA SUE ECKLES
MY COMMIRSION # CC 120007
te EXPIRES. tune 8, 2002
EXHIBIT JB NON 4 sy Sg Boag
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Whi ttenvecnmanmnnen a BRN a]
x OFFICIAL RECORDS #4
BK 1487. PG 789
Schedule “A”
1 All real property, platted, replated, or unplatted through plat vacation, as described
in the
public records of Highlands County, Florida, as follows:
PAGE
Unit 9 ”
Unit2 9 aN
Units a 49
Unit 3 (RPL REY) 42 ce
15
‘Unit 3 (RPL) 2 oo
Unit 4 9 50 :—
Unit (RPL Is BB
Unit 4 (RPL, Is 65 on
SS
‘Unit (RPL) nb 82
Unit 5 St
Unit 6 9 32
Unit 7 9 33
Unit 8 38
‘Unit 8 (RPL) 1S 6}
Unit 8 BLK 109 RPL, B 30
Unio
Unit 10
3” =F
60
‘Unit 10 (REPLAT ORTH) Is 62
Unit 10 (RPL) is 60 gs
Unit 9 09 Zw
Unit 12 70
Unit 13 9 a
‘Unit 13 (PART RPL)
Unit 13 (REPLAT) 2
1s 8
6 23
‘Unit 13 (RPL LK 252) B
‘Unit 13 BLK 281 RPI. 13 24
Unit 4
Unit 5 10
Unit 5 (REPLAT) 1s 40
‘Unit 15 (RPL 1) 1s oF
Unit 15 (RPL) BLK 7 16 9
Unit 16 10
Unit 16 (RPL) 1S at
Unit 17 10 20
Unit 18 10 27
Unit 18 (REPLAT) 1S 0
Unit 19 10 uM
Unit 20 10 32
Unit 24 to M
‘Unit 22 10 33
Unit 23 10 28
Unit 24 10 35
Unit 25 10 a
Unit 25 (REPLAT) 1s 4
Unit 25 (RPL 1) 1s 9
iM All real property, y, Not described ahove but located within the Sun “n Lal of Sebring
Improvement District as set forth in Highkmds County Ordinan 74 as codified in
Section 9-81, et sey., Code of Ordinances, Highlands County, Florida, as amended from time
to time.
serene reer enna
sa:
AMENDED AND RESTATED INDENTURE OF TRUST
between
SUN'N LAKE OF SEBRING IMPROVEMENT DISTRICT
and
SUNTRUST BANK,
As Trustee
Dated as of July 1, 2005
relating to
SUN 'N LAKE OF SEBRING IMPROVEMENT DISTRICT
(HIGHLANDS COUNTY, FLORIDA)
SPECIAL ASSESSMENT BONDS
EXHIBIT "C"
PAGE
ARTICLE I DEFINITIONS
ARTICLE Il THE BONDG.....sesscsssssssssecssesecssescsssecnssescesecesscenscsessssounecsssueecssonsccenscsssecensecsnsscensecessecesseesonees 16
Section 2.01, Amounts and Terms of Bonds; Details of Bond: 16
Section 2.02. Execution. 18
Section 2.03. Authentication; Authenticating Agent 18
Section 2.04. Registration and Registrar. .........+0 18
Section 2.05. Mutilated, Destroyed, Lost or Stolen Bonds. 19
Section 2.06. Temporary Bonds eeovcetercesesseoeen: 20
Section 2.07. Cancellation and Destruction of Surrendered Bonds. 20
Section 2.08. Registration, Transfer and Exchange. 20
Section 2.09. Persons Deemed Owners. 21
Section 2.10. Limitation on Incurrence of Certain Indebtednes: 21
Section 2.11. Qualification for The Depository Trust Company, ....sseessssecsssseessssseseessseaeersensee 21
ARTICLE If ISSUE OF BONDS ntontaresecoresensacesee aveseneeseensscecseaneseseascsnsnsasserseoserens
Section 3.01. Issue of Bonds.
ARTICLE IV ACQUISITION OF PROJECT. 26
Section 4.01. Project to Conform to Plans and Specifications; Changes. 26
Section 4.02. Compliance Requirements. ansnsesesonsscoscessnsnsorctsonncerscesensasestassacasereneersrennrsseoresasssesseraseness 26
ARTICLE V ACQUISITION AND CONSTRUCTION FUND. etecesaesensanes seoseacee
Section 5.01. Acquisition and Construction Fund. fo seeese 26
ARTICLE VI SPECIAL ASSESSMENTS; APPLICATION THEREOF TO FUNDS AND
ACCOUNTS. 28
Section 6.01. Special Assessments; Lien of Indenture on Pledged Revenues.
Section 6.02. Funds and Accounts Relating to the Bonds.
Section 6.03. Revenue Fund.
Section 6.04. Debt Service Fun 30
Section 6.05. Debt Service Reserve Fund. 32
Section 6.06. Bond Redemption Fund. 34
Section 6.07. Drawings on Credit Fac
Section 6.08. Procedure When Funds Are Sufficient to Pay All Bonds of a Series.
Section 6.09, Certain Moneys to Be Held for Series Bondowners Only.
Section 6.10. Unclaimed Moneys. a seneaserssnseensersnenenssecesncneessasseeseacanenessenes 35
ARTICLE VI SECURITY FOR AND INVESTMENT OR DEPOSIT OF FUNDS. asesesesesntenenes 36
Section 7.01. Deposits and Security Therefor. 36
Section 7.02. Investment or Deposit of Fund: 36
J:\wdox\Docs\
Clients \ 6157 \ 02\ agrmunt\00000568.DOC
tion 7.03. Valuation of Funds. sataeeseaneseascteseasonetersenersessgoeoressscorssessnescesserstenrosensnsanesessaneseetsneaceremtenen 37
ARTICLE VII REDEMPTION AND PURCHASE OF BONDS ......sssssssecsssssecessssecsessneesecseansesensenserees 38
Section 8.01. Redemption Dates and Prices.
Section 8.02. Notice of Redemption and of Purchase.
Section 8.03. Payment of Redemption Price.
Section 8.04. Partial Redemption of Bonds 41
ARTICLE Ix COVENANTS OF THE ISSUER. 41
Section 9.01. Power to Issue Bonds and Create Lien. AL
Section 9.02. Payment of Principal and Interest on Bonds.
Section 9.03. Special Assessments; Re-Assessments. AQ
Section 9.04. Method of Collection.
Section 9.05. Delinquent Special Assessments. A3
Section 9.06. Sale of Tax Certificates and Issuance of Tax Deeds; Foreclosure of Special
Assessment Liens.
Section 9.07. Books and Records with Respect to Special Assessment
Section 9.08. Removal of Special Assessment Liens 44
Section 9.09. Deposit of Special Assessments.
Section 9.10. Construction to be on District Lands.. A5
Section 9.11. Operation, Use and Maintenance of Project.
Section 9.12, Observance of and Compliance with Valid Requirements.
Section 9.13. Payment of Operating or Maintenance Costs by State or Othe:
Section 9.14. Public Liability and Property Damage Insurance; Maintenance of Insurance;
Use of Insurance and Condemnation Proceeds. A6
Section 9.15. Collection of Insurance Proceeds. A8
Section 9.16. Use of Revenues for Authorized Purposes Only. 49
Section 9.17. Books, Records and Annual Reports. AQ
Section 9.18. Observance of Accounting Standards. 50
Section 9.19. Employment of Certified Public Accountant. 50
Section 9.20. Establishment of Fiscal Year, Annual Budget 50
Section 9.21. Employment of Consulting Engineer; Consulting Engineer's Report. 50
Section 9.22. Audit Reports. ..... 51
Section 9.23. Information to Be Filed with Trustee. 51
Section 9.24. Covenant Against! Sale or Encumbrance; Exceptions. 51
Section 9.25. Fidelity Bonds..... 52
Section 9.26. No Loss of Lien on 1 Pledged ‘Revenue, 52
Section 9.27. Compliance With Other Contracts and Agreements 52
Section 9.28. Issuance of Additional Obligations...
Section 9.29. Extension of Time for Payment of Interest Prohibited 52
Section 9.30. Further Assurances.
Section 9.31. Use of Bond Proceeds to Comply with Internal Revenue Code. 53
Section 9.32. Corporate Existence and Maintenance of Properties.
Section 9.33. Continuing Disclosure.
ARTICLE X EVENTS OF DEFAULT AND REMEDIES 54
Section 10.01. Events of Default and Remedies. 54,
Section 10.02. Events of Default Defined. a seseaeee 54
Section 10.03. No Acceleration.
Section 10.04. Legal Proceedings by Trustee. 55
Section 10.05. Discontinuance of Proceedings by Trustee. 55
Section 10.06. Bondholders May Direct Proceedings
Section 10.07. Limitations on Actions by Bondholders. 56
Section 10.08. Trustee May Enforce Rights Without Possession of Bonds. 56
Section 10.09. Remedies Not Exclusive.......essss 56
Section 10.10, Delays and Omissions Not to Impair Right 56
Section 10.11. Application of Moneys in Event of Default. 56
Section 10.12. Trustee's Right to Receiver; Compliance with District Charter 57
Section 10.13. Trustee and Bondholders Entitled to all Remedies under District Charter. 57
Section 10,14. Credit Facility Issuer's Rights Upon Events of Defaullt. ..,.....ssssssesees 58
ARTICLE XI THE TRUSTEE; THE PAYING AGENT AND REGISTRAR 58
Section 11.01. Acceptance of Trust. 58
Section 11.02. No Responsibility for Recitals, 58
Section 11.03. Trustee May Act Through Agents; Answerable Only for Willful Misconduct or
Negligence. hate sesssesenenesseseeannensscensensnreneen 58
Section 11.04, Compensation and Indemnity.
Section 11.05. No Duty to Renew Insurance. seeeaeeee 59
Section 11.06. Notice of Default; Right to Investigate. 59
Section 11.07. Obligation to Act on Defaults 59
Section 11.08. Reliance by Trustee. fe easenee 59
Section 11.09. Trustee May Deal in Bonds. 60
Section 11.10, Construction of Ambiguous Provisions. 60
Section 11.11. Resignation of Trustee. 60
Section 11.12. Removal of Trustee. ean
Section 11.13. Appointment of Successor Trustee. 61
Section 11.14, Qualification of Successor. 61
Section 11.15. Instruments of Successio: 61
Section 11.16. Merger of Trustee. 61
Section 11.17. Extension of Rights and Duties of Trustee to Paying Agent and Registrar. 62
Section 11.18. Resignation of Paying Agent or Registrar. 62
Section 11.19. Removal of Paying Agent or Registrar. .......... a neenenn 62,
Section 11.20. Appointment of Successor Paying Agent or Registrar. 62
Section 11.21. Qualifications of Successor Paying Agent or Registrar.
Section 11.22. Judicial Appointm
Preview
Filing # 158266381 E-Filed 09/28/2022 11:29:21 AM IN THE CIRCUIT COURT OF THE TENTH JUDICIAL DISTRICT IN AND FOR HIGHLANDS COUNTY, FLORIDA SUN ‘N LAKE OF SEBRING IMPROVEMENT DISTRICT, Plaintiff, Vv. CASE NO. MICHAEL DESLANDES and ZYNOBIA DESLANDES, Defendants. / VERIFIED FORECLOSURE COMPLAINT Plaintiff, SUN ‘N LAKE OF SEBRING IMPROVEMENT DISTRICT (the “District”), through its undersigned counsel and pursuant to Chapter 9, Article V of the Highlands County Code of Ordinances and Chapters 170 and 702, Florida Statutes, sues the defendant, MICHAEL DESLANDES and ZYNOBIA DESLANDES (the “Owners”), and alleges: JURISDICTION AND VENUE i This is an action to foreclose certain assessments levied by the District on real property that is owned by the Owner. 2 The amount at issue in this action is more than $15,000, exclusive of attomeys’ fees and costs, and is otherwise within the jurisdiction of this Court pursuant to Ch. 9, Art. V, Sees. 9- 132 and 9-156 of the Highlands County Code of Ordinances and Chapters 170 and 702, Florida Statutes. 3 Venue is proper in Highlands County because the property sought to be foreclos ed is located in Highlands County and the causes of action set forth herein otherwis e accrued in Highlands County, Florida. Page | of 7 Electronically Filed Highlands Case # 22000451GCAXMX 09/28/2022 11:29:21 AM GENERAL ALLEGATIONS PROCEDURAL BACKGROUND 4 In 1974, Highlands County created Sun ‘N Lake of Sebring Improv ement District to fund the construction and maintenance of infrastructure for the property located within its boundaries. Ch. 9, Art. V., Sec. 9-81, Highlands County Code of Ordinances; see also Highlands County Ordinance 74-4. 5 The District is classified as an independent special district pursuant to Chapter 189, Florida Statutes. 6 As such, the District is authorized to (1) collect operational and maintenance assessments, (2) issue special assessments, and (3) issue bonds to fund the infrastructure of the community. See Ch. 9, Art. V, Secs, 9-86, 9-126 et seq, and 9-153, Highlan ds County Code of Ordinances. THE MAINTENANCE ASSESSMENT 4 Pursuant to Ch. 9, Art. V, Sec. 9-153, the District issues a yearly mainte nance assessment. Notice of the maintenance assessment is delivered to each unit owner in October with payment due on or before March 31" of the following year. Such notice is mailed to the record title owner’s address provided to the Property Appraiser for Highlan ds County, Florida, or as otherwise provided to the District. 8 By Notice recorded on December 11, 1979 at Book 637, Page 74 of the Official Records for Highlands County, Florida and by Notice of Governmental Lien recorded on June 4, 1999 at Book 1457, Page 788 of the Official Records for Highlands County, Florida, the District placed all interested parties on notice that the properties located in the District, including the Page 2 of 7 Property being foreclosed herein, were subject to annual maintenance assessme nts. Copies of the Notice and Notice of Government Lien are attached as Exhibit “A” and Exhibit “B .” respectively. THE PHASE FIVE BONDS 9. On December 1, 1989, J.P Morgan Trust Company, as successor trustee to First Union National Bank of Florida issued the Sun ‘N Lake of Sebring Improve ment District Special Assessment Bonds, Series 1989A (the “Phase Five Bonds”). 10. In July of 2004, successor trustee, SUNTRUST BANK (“SunTrust”) adopted Resolutions 04-34 and Resolution 04-44 (the “Rescheduling Orders”) to provide for the rescheduling of the Phase Five Bonds to address a substantial non-performanc e in payment. Mt. On July 1, 2005, the District and SunTrust executed the Amended and Restated Indenture of Trust, whereby the parties agreed (among other things) to extend the maturity date of the Phase Five Bonds. A copy is attached hereto as Exhibit “C.”! 12. MICHAEL DESLANDES and ZYNOBIA DESLANDES are the record title owners of several properties located within the District. 13. Those properties are subject to the maintenance assessment and Phase Five Bond assessment (together the “Assessments”). 14, MICHAEL DESLANDES and ZYNOBIA DESLANDES are in default of the Assessments. 15, All conditions precedent to the commencement of this action, if any, have been fulfilled or waived. tt ' The Amended and Reinstated Indenture of Trust is 97 pages long. Exhibit “C” includes the cover page and table of contents. The full 97 pages will be made available upo! nh request. Page 3 of 7 16. Pursuant to Ch. 9, Art. V., Secs. 9-132 and 9-156 of the Highlands County Code of Ordinances, the District may foreclose in the same manner as provided for the foreclosure of mortgages. COUNT L- FORECLOSURE 17, The District realleges and incorporates by reference as though fully set forth herein Paragraphs 1 through 16. 18. MICHAEL DESLANDES and ZYNOBIA DESLANDES are the record title owners of the below described property, pursuant to that certain Warranty Deed recorded on May 17, 2005, at Book 1853, Page 834 of the Official Records for Highlands County, Florida: Lot 31, Block 351, Sun ‘N Lake Estates of Sebring, Unit 16, according to the map or plat thereof, recorded in Plat Book 10, Page 4, Public Records of Highlands County, Florida. Also known as 5009 San Ignacio Dr, Sebring, FL 33872 (the “Property”)(See Exhibit “D”.) 19. MICHAEL DESLANDES and ZYNOBIA DESLANDES is in default of the Assessments based upon a failure and refusal to make the payments due on March 31, 2009, and all subsequent payments. 20. By virtue of the default, MICHAEL DESLANDES and ZYNOBIA DESLA NDES are presently indebted to the District in the principal amount of $32,182.17, exclusiv e of interest, title search expenses, additional late payments and all other sums due and owing, together with attorneys’ fees and costs. 21. The unpaid Assessments represent a lien on the property that is co-equal with the liens of all state, county, district and municipal taxes. See Ch. 9, Art. V, Sec. 9-155, Highlands County Code of Ordinances. 22. By reason the default, the District is exercising its option to foreclose. Page 4 of 7 23. The District has retained counsel for this litigation and is obligated to pay its counsel a reasonable fee. The Owner is responsible for these attorney’s fees and associated costs pursuant to Ch. 9, Art. V, Sec. 9-155, Highlands County Code of Ordinances and Chapter 170.10, Florida Statutes, WHEREFORE, the plaintiff, SUN ‘N LAKE OF SEBRING IMPROVEMENT DISTRICT, respectfully requests that this Honorable Court enter judgment: (1) declaring that the Assessments are superior to all other interests in the Property; (2) foreclosing the Assessments and setting the Property for judicial sale; (3) awarding attorney’s fees and costs to the District; and (4) for such other relief as this Court deems fair and just. COUNT H - FORECLOSURE 24. The District realleges and incorporates by reference as though fully set forth herein Paragraphs | through 16. 25. MICHAEL DESLANDES and ZYNOBIA DESLANDES are the record title owners of the below described property, pursuant to that certain Warranty Deed recorded on May 26, 2005, at Book 1856, Page 1476 of the Official Records for Highlands County, Florida Lot 29, Block 194, Sun ‘N Lake Estates of Sebring, Unit 11, according te the map or plat thereof, recorded in Plat Book 9, Page 69, Public Records of Highlands County, Florida. Also known as 6437 Alcala Ave, Sebring, FL 33872 (the “Property”)(See Exhibit “E*) 26. MICHAEL DESLANDES and ZYNOBIA DESLANDES is in default of the Assessments based upon a failure and refusal to make the payments due on March 31, 2009, and all subsequent payments. 27. By virtue of the default, MICHAEL DESLANDES and ZYNOBIA DESLANDES are presently indebted to the District in the principal amount of $32,182.17, exclusive of interest, Page 5 of 7 title search expenses, additional late payments and all other sums due and owing, together with attorneys’ fees and costs. 28. The unpaid Assessments represent a lien on the property that is co-equal with the liens of all state, county, district and municipal taxes. See Ch. 9, Art. V, Sec. 9-155, Highlands County Code of Ordinances. 29, By reason the default, the District is exercising its option to foreclose. 30. The District has retained counsel for this litigation and is obligated to pay its counsel a reasonable fee. The Owner is responsible for these attorney’s fees and associated costs pursuant to Ch. 9, Art. V, Sec. 9-155, Highlands County Code of Ordinances and Chapter 170.10, Florida Statutes, WHEREFORE, the plaintiff, SUN ‘N LAKE OF SEBRING IMPROVEMENT DISTRICT, respectfully requests that this Honorable Court enter judgment: (1) declaring that the Assessments are superior to all other interests in the Property; (2) foreclosing the Assessments and setting the Property for judicial sale; (3) awarding attorney’s fees and costs to the District; and (4) for such other relief as this Court deems fair and just. FLA. R. CIV. P. 1.115(e) VERIFICATION Under penalty of perjury, | declare that | have read the foregoing, and the facts alleged therein are true and correct to the best of my knowledge and belief. SUN ‘N LAKE OF SEBRING IMPROVEMENT DISTRICT By:©. AN ENE Sky At big e Name: Vins se eet Title om sate a are subject fo annus & ma inten: therein oS eee Of the and/or payment, of the band at cS Nistwict. any intext amonjit b¢ an! y aud) a — ne on any determi ay Bon 4 ft the Sun a 1g improv: et S306 Bottievard, 5 c= 33: — = fe SE Se Begos & < cp ~ a OF SEBRING < 3 é v3 is i POVEKENT BESTRTCH, AG y ws ai >: des SZC". R.N. Walsqe: 85 PrseadEae. Tt Hoard of superpigors a So (SEAL) she “se STRTE OF FLORIDA COURTY OF BIGETANDS + be I HEREBY RTISY that on this’ day before ms; an icex duly qua e@ to take acknowledgments, persorally appeered R. N. WEISSER, as President of + the Board of Supervisors of SUN ’N LAKE OF SEBRING XMPROVEMENT DISTRICT, & public body corporation of the ee a kmown to me to be the person described State of Florida, in and who executed the foregoing instrument in dts name and he acknowledged before me that he executed the same in bebalf of said public body corporation, and that he was. authorized to de so on EXHIBIT "A aed O8, BIT nie TA ee or nc near ataataaystO oer meow LLLS nn erase i sme at #4 OFFICIAL REC 1457 FG 709 ib § Prepared by and retwrn bo: John K. MeChir Swaine, Harris, than & MeChare, 1A, auth Cammet e Avenue Sebring, A870 NOTICE OF GOVERNME ‘AL LIEN NOTICE IS HEREBY GIVEN by SUN *N LAKE OF SEBRING IMPROVEME t DISTRICT (herein called the “Distriet") that all properties listed in Schedule “A attached hereto tie within the geographic boundari of the District, which was formed under Highlands County Ordinance 74-4, as amended from time to time, and as codified at tion 9-81, etseq., Code af Ordinances, Highlands County, Florida, and are subjes to governmental Hen for as: ments imposed by the District. Assessments are imposed for the capital improvement projects of the District and for operation and maintenance expenses for the administration of the District and the maintenance of the improvements within the District. Pursuant to Section 21, Highlands County Ordinance Number 74-4, codifiedat Section 9-155, Code of Ordinances, Highlands County, Florida, all special ass ments of the District, together with penalties for default aud the payment of the same and costs in collecting the same, including a reasonable atlorney’s fee fixed by the court and. taxed as cost in action brought to enforce payment, shall, from January | for each y the property is liable to assessment and until paid, constitute a lien of equal dignity with the liens for state and 3 county taxes upon all the and personal property against which such taxes shall be levied, ALT hs interested persons may determine the amount and st as of any outstanding governmental tax liens: ‘on any property as described herein by inquiring atthe administrative offices of the District located at 5306 Sun ‘n Lake Boulevard, Sebring, Florida, 33872 DATED this F'?day of June, 1999. Signed, scaled and delivered balla Blane in " pres Sun 'n Lake of Sebring Improvement iy 8 ew du i District, special ret and public ann corporation of the State of Florida ( sei te Printed Name py 2 yes Signature ~ th B. Gonzalez, Pregl Supervisors he fok\es. © Witness’ Printed Name Ne ne (SEAL) STATE OF FLORIDA on COUNTY OF HIGHLANDS: vv ‘1 SWORN and SUB: ORIBED before me this diay of June, 1999, by Eiith B.Gonzatez, as President of the Roard of Supervisors of Sun 'n Lake ol ring Improvement District, special district and public corporation af the State of lorida, on behalf of the District, who agknowledged before mie that ste was author ea todos, who is personally known foane or has prxticed we Pr as identification. tickey ted Naan Bafles o Commission No. Ta o24. Commission Exp + Notary Public, , State of Florida at Large (alfix notarial seal) UetabiSNENOTIEES on ew pd @20%UANITA SUE ECKLES MY COMMIRSION # CC 120007 te EXPIRES. tune 8, 2002 EXHIBIT JB NON 4 sy Sg Boag svi hii atysg Bea ri ee me fA, ue a iay w ey Whi ttenvecnmanmnnen a BRN a] x OFFICIAL RECORDS #4 BK 1487. PG 789 Schedule “A” 1 All real property, platted, replated, or unplatted through plat vacation, as described in the public records of Highlands County, Florida, as follows: PAGE Unit 9 ” Unit2 9 aN Units a 49 Unit 3 (RPL REY) 42 ce 15 ‘Unit 3 (RPL) 2 oo Unit 4 9 50 :— Unit (RPL Is BB Unit 4 (RPL, Is 65 on SS ‘Unit (RPL) nb 82 Unit 5 St Unit 6 9 32 Unit 7 9 33 Unit 8 38 ‘Unit 8 (RPL) 1S 6} Unit 8 BLK 109 RPL, B 30 Unio Unit 10 3” =F 60 ‘Unit 10 (REPLAT ORTH) Is 62 Unit 10 (RPL) is 60 gs Unit 9 09 Zw Unit 12 70 Unit 13 9 a ‘Unit 13 (PART RPL) Unit 13 (REPLAT) 2 1s 8 6 23 ‘Unit 13 (RPL LK 252) B ‘Unit 13 BLK 281 RPI. 13 24 Unit 4 Unit 5 10 Unit 5 (REPLAT) 1s 40 ‘Unit 15 (RPL 1) 1s oF Unit 15 (RPL) BLK 7 16 9 Unit 16 10 Unit 16 (RPL) 1S at Unit 17 10 20 Unit 18 10 27 Unit 18 (REPLAT) 1S 0 Unit 19 10 uM Unit 20 10 32 Unit 24 to M ‘Unit 22 10 33 Unit 23 10 28 Unit 24 10 35 Unit 25 10 a Unit 25 (REPLAT) 1s 4 Unit 25 (RPL 1) 1s 9 iM All real property, y, Not described ahove but located within the Sun “n Lal of Sebring Improvement District as set forth in Highkmds County Ordinan 74 as codified in Section 9-81, et sey., Code of Ordinances, Highlands County, Florida, as amended from time to time. serene reer enna sa: AMENDED AND RESTATED INDENTURE OF TRUST between SUN'N LAKE OF SEBRING IMPROVEMENT DISTRICT and SUNTRUST BANK, As Trustee Dated as of July 1, 2005 relating to SUN 'N LAKE OF SEBRING IMPROVEMENT DISTRICT (HIGHLANDS COUNTY, FLORIDA) SPECIAL ASSESSMENT BONDS EXHIBIT "C" PAGE ARTICLE I DEFINITIONS ARTICLE Il THE BONDG.....sesscsssssssssecssesecssescsssecnssescesecesscenscsessssounecsssueecssonsccenscsssecensecsnsscensecessecesseesonees 16 Section 2.01, Amounts and Terms of Bonds; Details of Bond: 16 Section 2.02. Execution. 18 Section 2.03. Authentication; Authenticating Agent 18 Section 2.04. Registration and Registrar. .........+0 18 Section 2.05. Mutilated, Destroyed, Lost or Stolen Bonds. 19 Section 2.06. Temporary Bonds eeovcetercesesseoeen: 20 Section 2.07. Cancellation and Destruction of Surrendered Bonds. 20 Section 2.08. Registration, Transfer and Exchange. 20 Section 2.09. Persons Deemed Owners. 21 Section 2.10. Limitation on Incurrence of Certain Indebtednes: 21 Section 2.11. Qualification for The Depository Trust Company, ....sseessssecsssseessssseseessseaeersensee 21 ARTICLE If ISSUE OF BONDS ntontaresecoresensacesee aveseneeseensscecseaneseseascsnsnsasserseoserens Section 3.01. Issue of Bonds. ARTICLE IV ACQUISITION OF PROJECT. 26 Section 4.01. Project to Conform to Plans and Specifications; Changes. 26 Section 4.02. Compliance Requirements. ansnsesesonsscoscessnsnsorctsonncerscesensasestassacasereneersrennrsseoresasssesseraseness 26 ARTICLE V ACQUISITION AND CONSTRUCTION FUND. etecesaesensanes seoseacee Section 5.01. Acquisition and Construction Fund. fo seeese 26 ARTICLE VI SPECIAL ASSESSMENTS; APPLICATION THEREOF TO FUNDS AND ACCOUNTS. 28 Section 6.01. Special Assessments; Lien of Indenture on Pledged Revenues. Section 6.02. Funds and Accounts Relating to the Bonds. Section 6.03. Revenue Fund. Section 6.04. Debt Service Fun 30 Section 6.05. Debt Service Reserve Fund. 32 Section 6.06. Bond Redemption Fund. 34 Section 6.07. Drawings on Credit Fac Section 6.08. Procedure When Funds Are Sufficient to Pay All Bonds of a Series. Section 6.09, Certain Moneys to Be Held for Series Bondowners Only. Section 6.10. Unclaimed Moneys. a seneaserssnseensersnenenssecesncneessasseeseacanenessenes 35 ARTICLE VI SECURITY FOR AND INVESTMENT OR DEPOSIT OF FUNDS. asesesesesntenenes 36 Section 7.01. Deposits and Security Therefor. 36 Section 7.02. Investment or Deposit of Fund: 36 J:\wdox\Docs\ Clients \ 6157 \ 02\ agrmunt\00000568.DOC tion 7.03. Valuation of Funds. sataeeseaneseascteseasonetersenersessgoeoressscorssessnescesserstenrosensnsanesessaneseetsneaceremtenen 37 ARTICLE VII REDEMPTION AND PURCHASE OF BONDS ......sssssssecsssssecessssecsessneesecseansesensenserees 38 Section 8.01. Redemption Dates and Prices. Section 8.02. Notice of Redemption and of Purchase. Section 8.03. Payment of Redemption Price. Section 8.04. Partial Redemption of Bonds 41 ARTICLE Ix COVENANTS OF THE ISSUER. 41 Section 9.01. Power to Issue Bonds and Create Lien. AL Section 9.02. Payment of Principal and Interest on Bonds. Section 9.03. Special Assessments; Re-Assessments. AQ Section 9.04. Method of Collection. Section 9.05. Delinquent Special Assessments. A3 Section 9.06. Sale of Tax Certificates and Issuance of Tax Deeds; Foreclosure of Special Assessment Liens. Section 9.07. Books and Records with Respect to Special Assessment Section 9.08. Removal of Special Assessment Liens 44 Section 9.09. Deposit of Special Assessments. Section 9.10. Construction to be on District Lands.. A5 Section 9.11. Operation, Use and Maintenance of Project. Section 9.12, Observance of and Compliance with Valid Requirements. Section 9.13. Payment of Operating or Maintenance Costs by State or Othe: Section 9.14. Public Liability and Property Damage Insurance; Maintenance of Insurance; Use of Insurance and Condemnation Proceeds. A6 Section 9.15. Collection of Insurance Proceeds. A8 Section 9.16. Use of Revenues for Authorized Purposes Only. 49 Section 9.17. Books, Records and Annual Reports. AQ Section 9.18. Observance of Accounting Standards. 50 Section 9.19. Employment of Certified Public Accountant. 50 Section 9.20. Establishment of Fiscal Year, Annual Budget 50 Section 9.21. Employment of Consulting Engineer; Consulting Engineer's Report. 50 Section 9.22. Audit Reports. ..... 51 Section 9.23. Information to Be Filed with Trustee. 51 Section 9.24. Covenant Against! Sale or Encumbrance; Exceptions. 51 Section 9.25. Fidelity Bonds..... 52 Section 9.26. No Loss of Lien on 1 Pledged ‘Revenue, 52 Section 9.27. Compliance With Other Contracts and Agreements 52 Section 9.28. Issuance of Additional Obligations... Section 9.29. Extension of Time for Payment of Interest Prohibited 52 Section 9.30. Further Assurances. Section 9.31. Use of Bond Proceeds to Comply with Internal Revenue Code. 53 Section 9.32. Corporate Existence and Maintenance of Properties. Section 9.33. Continuing Disclosure. ARTICLE X EVENTS OF DEFAULT AND REMEDIES 54 Section 10.01. Events of Default and Remedies. 54, Section 10.02. Events of Default Defined. a seseaeee 54 Section 10.03. No Acceleration. Section 10.04. Legal Proceedings by Trustee. 55 Section 10.05. Discontinuance of Proceedings by Trustee. 55 Section 10.06. Bondholders May Direct Proceedings Section 10.07. Limitations on Actions by Bondholders. 56 Section 10.08. Trustee May Enforce Rights Without Possession of Bonds. 56 Section 10.09. Remedies Not Exclusive.......essss 56 Section 10.10, Delays and Omissions Not to Impair Right 56 Section 10.11. Application of Moneys in Event of Default. 56 Section 10.12. Trustee's Right to Receiver; Compliance with District Charter 57 Section 10.13. Trustee and Bondholders Entitled to all Remedies under District Charter. 57 Section 10,14. Credit Facility Issuer's Rights Upon Events of Defaullt. ..,.....ssssssesees 58 ARTICLE XI THE TRUSTEE; THE PAYING AGENT AND REGISTRAR 58 Section 11.01. Acceptance of Trust. 58 Section 11.02. No Responsibility for Recitals, 58 Section 11.03. Trustee May Act Through Agents; Answerable Only for Willful Misconduct or Negligence. hate sesssesenenesseseeannensscensensnreneen 58 Section 11.04, Compensation and Indemnity. Section 11.05. No Duty to Renew Insurance. seeeaeeee 59 Section 11.06. Notice of Default; Right to Investigate. 59 Section 11.07. Obligation to Act on Defaults 59 Section 11.08. Reliance by Trustee. fe easenee 59 Section 11.09. Trustee May Deal in Bonds. 60 Section 11.10, Construction of Ambiguous Provisions. 60 Section 11.11. Resignation of Trustee. 60 Section 11.12. Removal of Trustee. ean Section 11.13. Appointment of Successor Trustee. 61 Section 11.14, Qualification of Successor. 61 Section 11.15. Instruments of Successio: 61 Section 11.16. Merger of Trustee. 61 Section 11.17. Extension of Rights and Duties of Trustee to Paying Agent and Registrar. 62 Section 11.18. Resignation of Paying Agent or Registrar. 62 Section 11.19. Removal of Paying Agent or Registrar. .......... a neenenn 62, Section 11.20. Appointment of Successor Paying Agent or Registrar. 62 Section 11.21. Qualifications of Successor Paying Agent or Registrar. Section 11.22. Judicial Appointm