Preface

Regency Estates Swim Club, Inc. (RESC) is a private, nonprofit, member-owned swim club. Under the Club’s Bylaws, each regular membership is associated with a Membership Certificate, the value of which is established by the Board of Directors (BOD) and approved by the membership.

A Membership Certificate represents an ownership interest in the Club. When the Certificate is paid in full and all dues and fees are current, the member receives voting privileges at membership meetings and access to Club facilities for all approved household members on the membership.

Membership Certificates are both an investment for members and an important source of capital for the Club. This policy outlines member responsibilities and the procedures governing certificate transfers, redemption, resignation, and inactive status.

This policy applies to all members except holders of Senior Membership Certificates.

I. Active Membership

To maintain membership in good standing, members must pay all annual dues, fees, and assessments by the established deadlines.

Failure to remain current on financial obligations may result in suspension of membership privileges, reduction in certificate value, or termination of membership.

II. Inactive Membership Status

Members who are temporarily unable to use the Club due to relocation, temporary absence, or other circumstances may request Inactive Status in accordance with the Club Bylaws.

To request Inactive Status:

  • Submit a written request to the Board of Directors before the annual dues deadline.
  • Receive approval from the Board.
  • Pay the applicable Inactive Membership Fee by the dues deadline.

Inactive members:

  • Do not have access to Club facilities.
  • Retain ownership and value of their Membership Certificate.
  • Must renew Inactive Status annually through Board approval and payment of the applicable fee.

Inactive Status may not exceed two consecutive years unless specifically extended by the Board of Directors.

III. Delinquent and Terminated Memberships

A membership becomes delinquent when a member:

  • Fails to pay annual dues by the deadline; and
  • Does not submit a resignation or request Inactive Status.

If dues, late fees, or other outstanding charges remain unpaid for more than 30 days after billing, the member may be suspended and denied access to Club facilities.

If within 15 days of notification, the member does not:

  • Pay all outstanding amounts;
  • Resign membership; or
  • Obtain approved Inactive Status;

the value of the Membership Certificate will be reduced by the amount owed, including applicable late fees, and membership privileges will be revoked.

If the Certificate’s value is reduced to zero, the Certificate becomes void and membership is terminated.

Former members whose memberships have been terminated must rejoin the Club as new members and pay all applicable fees, including initiation fees and certificate costs.

IV. Resignation of Membership

Members wishing to resign must notify the Board of Directors in writing at:

RESC
PO Box 341913
Bethesda, MD 20817-1913

or

[email protected].

Upon receipt of the resignation request, the Club will issue a Final Membership Statement showing:

  • The current value of the Membership Certificate;
  • Any credits due to the member; and
  • Any outstanding balances owed to the Club.

Outstanding amounts will be deducted from the Certificate value.

If resignation is received before the annual dues deadline, no deduction for that year’s dues will be applied unless the member elects to “swim off” the Certificate.

Certificate Transfer and Redemption

Certificate Value

If a Membership Certificate has been reduced below its face value due to unpaid dues or fees, it cannot be transferred until the Certificate has been restored to its full face value through payments made by the departing member, incoming member, or both.

When the Club Is at Full Membership

Members must submit:

  • Their original Membership Certificate (or a written statement indicating the certificate has been lost); and
  • A signed Final Membership Statement.

Once verified, the Club will transfer the Certificate to the next eligible applicant on the waiting list, or to the next approved new member if no waiting list exists.

The resigning member will receive reimbursement equal to the Certificate value shown on the Final Membership Statement after the new member’s Certificate has been issued.

Private Transfers

Members may transfer a Certificate directly only in the following circumstances:

  • To an immediate family member; or
  • To the purchase of the member’s residence as part of a home sale.

The Club must be notified before the transfer occurs.

The Certificate and signed Final Membership Statement must be submitted to the Club for approval and processing. Transfers that do not comply with Club rules or bylaws may be rejected.

In private transfers, all financial arrangements are solely between the departing member and the incoming member. The Club does not provide reimbursement.

When the Club Is Not at Full Membership

The Club does not guarantee redemption or reimbursement of Membership Certificates.

Members wishing to resign are responsible for finding a purchaser for their Certificate.

Once a purchaser is identified, the resigning member must submit the Certificate and a signed Final Membership Statement to the Club. After verification and payment of any amounts necessary to restore the Certificate to full value, the Certificate will be issued to the new member.

All financial arrangements remain strictly between the departing member and the purchaser.

Swimming Off a Certificate

Members may elect to use the remaining value of their Membership Certificate in place of annual dues for one final season.

Under this option:

  • The value of the Certificate is applied toward annual dues.
  • Any remaining balance owed must be paid by the member.
  • The Certificate’s remaining value is reduced to zero.
  • The member retains access to Club facilities during that season.
  • Voting privileges are suspended during the swim-off period.

At the conclusion of the season, the Membership Certificate is considered fully exhausted and membership ends.

Waiting List for Future Redemption

Members who resign and:

  • Cannot find a purchaser;
  • Choose not to swim-off their Certificate; and
  • Properly notify the Club of their resignation

will be placed on a Certificate Redemption Waiting List in the order resignations are received.

If and when the Club reaches full membership, Certificates on the waiting list will be redeemed in order of resignation date. The resigning member will then receive reimbursement equal to the Certificate value shown on the Final Membership Statement.