This is Schedule "B" to the Agreement
Of Purchase and Sale for lots and
Private open space in the Fallowview
Estates Subdivision

ACKNOWLEDGEMENTS, CONDITIONS, REQUIREMENTS AND COVENANTS

To the intent that the burden of the covenants in the Subdivision Agreements may run with and be binding upon the real property, for the benefit of the lands in the Subdivision and for the benefit of the lands in Lot 35, Concession 4, (R.F.) designated as Part 1 on reference plan 5R-4034, the Transferee hereby covenants and agrees with the Transferor and the owner or owners of lots in the Subdivision and with their respective heirs, executors, administrators, successors and assigns, that the Transferee and the Transferee's successors in title from time to time of the real property will henceforth observe and comply with the stipulations, restrictions and provisions of the Subdivision Agreements, and, without limiting the generality of the foregoing, specifically with the stipulations, restrictions and provisions hereinafter set forth, and the Transferee will exact covenants, as are required that are the same as some of those contained herein, from the purchaser in any conveyance which the Transferee may make of the real property or any part thereof, so that all persons hereafter holding, or claiming under the Transferee hereto or any of them, shall be bound to observe the said stipulations, restrictions and provisos; it is hereby declared and agreed that any person so holding or claiming shall have the right to enforce observance of the said stipulations, restrictions, and provisions by any other persons so holding or claiming, so that the said stipulations, restrictions and provisions shall enure to and be for the mutual benefit of all persons so holding or claiming; this covenant is not to be held binding upon the Transferee or any other person except in respect of breaches committed or continued during their, his or her joint or sole seizing of or title to the lands upon or in respect of which such breaches shall have been committed.

DRAINAGE:

1. The Transferee, for himself, his heirs, executors, administrators, successors and assigns, covenants and agrees that he will not alter the slope of the real property nor interfere with any drains established on the real property, except in accordance with the established final Grade Control Plan, without the written consent of the Commissioner of Works of The Corporation of the City of Nepean ("Nepean") and (the "Commissioner of Works") and further that the Transferee will maintain any such alterations approved by the Commissioner of Works, and the Transferee shall exact a like covenant from any purchaser from him.

TREES AND HEDGES

2. The Transferee for himself, his heirs, executors, administrators, successors, and assigns, covenants and agrees that he will not plant, nor permit to be planted so far as it is within his capacity to control, on the real property nor on any lands adjacent thereto including public lands or road allowances, any trees of the following kinds, namely: poplar, alder, aspen, willow, elm and maple of the fast growing variety, and the Transferee shall exact a like covenant from any purchaser from him.

MAINTENANCE OF SUBDIVISION WORKS

3. The Transferee, for himself, his heirs, executors, administrators, successors and assigns, covenants and agrees that should damage be caused to any of the works in the Subdivision by any action or the lack of any action whatsoever on his part, the Commissioner of Works may serve notice to the Transferee to have the damage repaired and if such notification be without effect for a period of seven (7) clear days, the Commissioner of Works may cause the damage to be repaired and shall recover the cost of the repair plus 15% of the costs for Supervision and plus 25% of the costs for Administration under Section 469 of The Municipal Act in like manner as Municipal Taxes.

BUILDING PERMITS

4. The Transferee, for himself, his heirs, executors, administrators, successors and assigns, covenants and agrees that he will not apply for nor will Nepean be required to issue a Building Permit(s) until all requirements with respect to underground works and road base course on which such lot(s) fronts have been carried out and have received preliminary approval by the Commissioner of Works and such road has been connected by roads which are, at least, at a similar stage of completion, to the overall Nepean road network and until the whole or such portion of the mass earth moving or general grading as the Commissioner of Works deems necessary has been completed and approved except that Building Permits may be issued if, in the sole opinion of the Commissioner of Works, the aforementioned works are proceeding satisfactorily, in which case, the Transferee shall not occupy not permit the building(s) to be occupied except with the written consent of the Commissioner of Works on his being satisfied that the aforementioned works have been carried out.

EASEMENTS

5. The Transferee acknowledges that easements may be required by separate transfers at no cost to Nepean, the Region Nepean Hydro, Bell Canada and Ottawa Cablevision Limited over Lots 5, 55, 61, 70, 78, 90, and Block 127 in the Subdivision.

PUBLIC LAND USE RESTRICTIONS

6. The Transferee hereby agrees that:

(a) NO top soil shall be removed from public lands.

(b) NO building materials or building equipment shall be placed on public lands.

(c) Public lands shall not be used as a dump site for any materials, except in cases when written authorization is given by the Commissioner of Parks and Recreation of Nepean.

WATER SYSTEM

7. The Transferee acknowledges that the water system has been constructed as a local improvement and that the Transferee or his successors in title will be required to pay local improvement rates with his regular tax bill for a period of 20 years to pay for the works.

SUBDIVIDING

8. The Transferee acknowledges that there will be no subsequent division of the lot being transferred because the Subdivision is based upon the approved number of lots and that the creation of additional residential lots is not in keeping with the planned nature of the development.

SITE PLAN CONTROL

9. The Transferee acknowledges that prior to the issuance of residential building permits, site plans for each and every lot showing the location of the sewage system relative to the dwelling, the lot boundaries, any water courses and other potential lot amenities including treed areas shall be prepared for review and approval by Nepean and the Ministry of the Environment, and the Transferee undertakes and agrees to build in accordance with the approved site plan.

QUARRY OPERATIONS

10. The Transferee acknowledges that there are quarry operations on the lands adjacent to the Subdivision and acknowledges that the Ministry of the Environment has required that this covenant be registered against the title of the real property to serve notice that the quarry operations will cause some annoyance in the form of noise, dust and vibration although no structural damage is likely to occur. The Transferee further covenants and agrees that this notification shall not be removed from title without the prior consent of the Ministry of the Environment.

SEWAGE SYSTEM AND LOT GRADING

11. The Transferee acknowledges that the lot comprised in the real property must be suitable for the installation of a sewage system prior to or at the issuance of a building permit, to the satisfaction of the Ministry of the Environment, in accordance with the Ontario Regulation 229/74 made under The Environmental Protection Act and that raised tile beds will be required on every lot. The Transferee further acknowledges and agrees that in no event shall any trees be removed or any grading take place on the said lot until such time as the site plan has been approved pursuant to paragraph 9 and that there shall be no occupancy of the home until such time as a Certificate of Approval has been issued by the Ministry of the Environment for the private sewage system and the house has been connected to the central water system.

PRIVATE OPEN SPACE

12. The Transferee acknowledges:

(a) that Blocks 114, 115, 116, 121, 125, 126, 128, 129, 130, 136, 137, 138, 139 and 140, Plan M-284 have been reserved as private open space for the benefit and use of the owners of all lots in the Subdivision, and that it is intended that the lands in these Blocks remain in their natural state; the use of the private open space is intended to be passive in nature in keeping with the rural country setting;

(b) that, in addition to the ownership of the lot being granted to him, there will be conveyed to him a one-one hundred and twelfth (1/112) interest in fee simple in the said Blocks as tenant in common with all the owners for the time being of lots in the Subdivision;

(c) that there will be registered on title to all lots in the Subdivision and on title to the said Blocks the following restrictive covenants, the burden of which shall run with each of the said lots and with the lands in Lot 35, Concession 4, (R.F.) designated as Part 1 on a Plan of Reference registered as Plan 5R-4034:

(i) the private open space shall be used by the Transferee in common with all other owners of lots in the Subdivision for open space or recreation exclusively; the interest of the Transferee in the private open space as a tenant in common with all the owners for the time being of lots in the Subdivision shall not be transferred thereafter except in association with the lot on said Plan M-284 owned by him;

(ii) no building of any kind shall be erected on the private open space; no recreational vehicles such as boats, snowmobiles and trailers, camping trailers, and mobile homes shall be stored on the private open space and no motorized vehicles shall be stored or operated on the private open space other than those required for maintenance purposes;

(iii) no fence or other obstruction shall be erected on the private open space save and except a boundary fence, wall or hedge between it and adjoining lots on Plan M-284;

(iv) no birds or animals shall be kept on the private open space;

(v) no excavation shall be made on the private open space, and no soil, sand or gravel shall be removed therefrom or deposited thereon; nor shall any garden wastes or other materials such as firewood be stored or deposited thereon;

(vi) no living tree shall be cut down or removed from the private open space except with the consent of a majority of the owners for the time being of lots on Plan M-284;

(vii) the private open space shall be maintained and kept in repair for use as open space or recreation by and at the expense of the owners for the time being of lots on Plan M-284 as a majority of such owners shall agree, or if they are unable to agree, as shall be determined by the Council of the Corporation of the City of Nepean;

(viii) in the event the said owners fail to maintain and keep in repair the private open space for the purposes aforesaid to the satisfaction of the Council of the Corporation of the City of Nepean, that Council may authorize and undertake through its employees or agents such work of maintenance and repair as in its discretion it decides and the cost thereof shall be levied proportionately and rateably upon all the owners for the time being of lots on Plan M-284 and may be recovered by the said Corporation in like manner as municipal taxes;

(ix) a majority of the owners for the time being of lots on Plan M-284 may agree by instrument in writing to alter or modify these restrictions with the concurrence of the Corporation of the City of Nepean expressed by by-law, and the instrument of alteration or modification and concurring by-law shall be registered on title to all lots on Plan M-284;

(x) nothing herein shall be interpreted as granting any right or licence to the public to use the private open space, the said use being confined to the owners for the time being of lots on Plan M-284, members of their families and their guests;

(xi) where the title to any lot on Plan M-284 is held in any form of joint ownership, the joint owners shall be considered as a single owner for the purpose of interpreting these covenants;

(xii) the Transferee agrees to obtain from any subsequent Transferee from him a covenant to observe the restrictions herein set forth including this clause.

ELECTRICAL WIRING

13. The Transferee covenants and agrees that all electric installations in any building or structure on the real property shall use exclusively copper wiring of a quality and standard approved by Ontario Hydro and unless the Building Inspector of Nepean is satisfied that the plans and specifications for any building or other structure do contemplate such exclusive use of copper wiring, he shall refuse to issue a building permit.