If a ball is lost or out of bounds, as an alternative to stroke-and-distance relief, Model Local Rule E-5 may be used. For instance, a player may drop a ball within two club-lengths, but not nearer the hole, of the nearest edge of the fairway at an equal distance from the hole to where the ball was believed to be lost or went out of bounds and add two penalty strokes.
This Local Rule may not be used:
1) if a provisional ball is in play, or
2) for a ball in a penalty area, or
3) for an unplayable
Purpose of Rule: Rule 17 is a specific Rule for penalty areas, which are bodies of water or other areas defined by the Committee where a ball is often lost or unable to be played. For one penalty stroke, players may use specific relief options to play a ball from outside the penalty area.
Rule 17: Illustrations of how to apply the rules at 'The Lakes Country Club'.
A little lengthy - covers so many questions a player has!
Rule 16: Abnormal course conditions (including immovable objects).... in this case a Cart Path,