ALJDEC

02F-R0018-ROC · Registrar of Contractors · 2002-03-06

IN THE OFFICE OF ADMINISTRATIVE HEARINGS

HEARING: March 5, 2002 APPEARANCES: Complainant was represented by Assistant Attorney General, Montgomery Lee and Respondent was represented by its attorney, Thomas Bayham. ADMINISTRATIVE LAW JUDGE: Mark A. Silver _____________________________________________________________________

FINDINGS OF FACT

1. Following a prolonged discussion between the parties, prior to commencing the instant hearing, the parties concluded a settlement agreement, the essential terms of which were read upon the record.

2. The settlement provided as follows:

a. Respondent agreed to a finding of a violation of A.R.S. § 32- 1154A (21). b. Respondent agreed to a condition in the Order entered in this matter, which shall provide that on or before the effective date of said Order Respondent shall resolve all outstanding issues referable to its corporate status with the Arizona Corporation Commission; namely making sure that Timothy John Gebbia’s name is removed from those records as an owner and officer of the corporation and correcting any and all delinquencies regarding annual report filing requirements. Respondent understands that in the event he fails to comply with these requirements and notify the Registrar of Contractors of said compliance, on or before the effective date of the Order entered in this matter, then Respondent’s Class B license shall be suspended until proof of compliance is received by the Registrar. c. Respondent agreed to a further condition in the Order entered in this matter that shall require the positing of an additional bond of $1,000.00 for one year and that its Class B license shall be placed on disciplinary probation for a one year period of time. d. Complainant agreed not to pursue any further disciplinary action against Respondent, based on the charges set forth in the instant Citation and Complaint.

3. The parties agreed that all rights and defenses were to be merged into the settlement agreement and if any petition for rehearing of this matter was to be filed and granted, or if any new complaint was filed, the sole issues for determination shall be whether the parties have performed their respective obligations under the terms of the aforesaid settlement agreement.

4. The terms of the forgoing settlement appeared to be reasonable under all the circumstances and the agreement was determined to be the product of knowing and voluntary action on the part of each party.

CONCLUSIONS OF LAW

1. The policy of the law favors settlements of disputes and adverse parties should be free to adjust their differences by entry into agreements or stipulations of settlement which should be recognized and given effect by all tribunals.

2. The settlement reached and submitted during the hearing of this matter, having been found to be reasonable and voluntarily made, warrants the termination of the instant hearing.

3. Based on the terms of the settlement agreement, Respondent is deemed to be in violation of A.R.S. § 32-1154A (21). RECOMMENDED ORDER

In view of the foregoing it is recommended, commencing on the effective date of the Order entered in this matter, that the Class B license of Respondent shall be suspended until the Registrar of Contractors receives written proof that Respondent has complied with all of the requirements set forth in Finding of Fact 2 (b), above. It is further recommended, in addition to the foregoing license suspension, if any, that Respondent’s Class B license be placed on disciplinary probation for one year. This additional disciplinary penalty shall commence on the effective date of the Order entered in this matter or the date on which notice of Respondent’s compliance with the terms of this Order is filed with the Registrar, whichever is later. It is further recommended, in addition to the above provided penalties, that any continuation or restoration of Respondent’s contracting rights, whether or not probationary, shall be subject to a condition that Respondent first post an additional surety bond, cash deposit or alternative deposit for a period of one year, including future renewal periods, in the amount of $1,000.00, such bond or deposit to be in addition to the required surety bond, cash deposit or recovery fund participation set forth in A.R.S. § 32-1152 (D). Cash or alternative additional deposits, if utilized, shall be returned only after the expiration of an additional two year period following the above-provided one year period and only if no claims are then pending. Done this day, March 6, 2002

______________________________________ Mark A. Silver Administrative Law Judge

Original transmitted by mail this ____ day of ____________, 2002, to:

Registrar of Contractors Michael P. Goldwater ATTN: Joyce Armijo 800 West Washington, 6th Floor Phoenix, AZ 85007

By ___________________________

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Office of Administrative Hearings 1400 West Washington, Suite 101 Phoenix, Arizona 85007 (602) 542-9826