SECTION 17. Instruments; approval of actions of owners, developer, or managing entity

The time-share instrument may require that all or a specified number or percentage of the mortgagees of units or time-shares approve specified actions of the unit owners, time-share owners, developer, or managing entity as a condition to the effectiveness of said actions, but a requirement for approval shall not operate to (i) deny or delegate control over the general administrative affairs of any association by the unit owners, time-share owners, or both, or their elected representatives, or (ii) to prevent any association from commencing, intervening in, or settling any litigation or proceeding, or receiving and distributing any insurance proceeds pursuant to section twenty-six.