ALJDEC decisions subject to certification as final

09F-L0256-ROC · Registrar of Contractors · 2010-01-04

IN THE OFFICE OF ADMINISTRATIVE HEARINGS

|BILL WALLACE AND BERNICE WALLACE | | No. 09F-L0256-ROC | | | | | |COMPLAINANT | |ADMINISTRATIVE LAW JUDGE | |v. | |DECISION | | | | | |License No. 236188, Class KB-02 | | | |ARIZONA COAST CONSTRUCTION INC | | | |(CORP) | | | | | | | |RESPONDENT | | | | | | |

HEARING: January 4, 2010 at 8:15 a.m. APPEARANCES: The Complainants appeared through Bill Wallace. The Respondent appeared through its authorized representative, Michael McSweeney. ADMINISTRATIVE LAW JUDGE: M. Douglas

Evidence and testimony were presented and the following Findings of Fact, Conclusions of Law and Recommended Order are made:

FINDINGS OF FACT

1. The Respondent’s Class KB-02 License was suspended on August 1, 2009 for nonrenewal. 2. This is a residential matter where the Respondent entered into an agreement to construct a Ramada and courtyard for the Complainants. 3. The Complainants was dissatisfied with the Respondent’s workmanship and with the Respondent’s failure to complete its work in a timely manner and with the Respondent’s failure to pay its subcontractors. 4. When the Respondent failed to comply with the Complainants’ demand to properly complete and correct the construction work on their residence the Complainants filed a formal Complain, against the Respondent with the Registrar of Contractors. 5. Pursuant to the filing of the formal Complaint, an assigned Agency Inspector conducted an on-site inspection and issued a written Corrective Work Order directing the Respondent to properly complete the agreed upon construction work on the Complainant’s residence. 6. Credible testimony and evidence established that the Respondent failed to fully comply with the terms and conditions of the Corrective Work Order. 7. Credible testimony and evidence established that the Respondent failed to properly pay its subcontractors. 8. Credible testimony and evidence established that one of the Respondent’s subcontractors has obtained a judgment against the Complainants for construction work performed on the Complainants’ residence. 9. The Respondent’s actions, in failing to perform its work in a professional and workmanlike manner and in failing to pay its subcontractors and in failing to comply with the terms and conditions of a Corrective Work Order, are found to constitute a wrongful act.

10. Notice is taken of the Respondent’s prior License record with the Registrar of Contractors.

CONCLUSIONS OF LAW

1. The credible evidence of record established violations by the Respondent of the provisions of A.R.S. § 32-1154 (A)(7) (Wrongful Act); (A)(23) (Failure to take appropriate corrective action) and (A)(3); namely, Rule R4-9-108 (Failure to perform work in a professional and workmanlike manner)

RECOMMENDed order

In view of the foregoing, it is recommended that the Respondent’s Class KB-02 License be revoked. In the event of certification of this Administrative Law Judge Decision by the Director of the Office of Administrative Hearings, the effective date of the Order will be 40 days from the date of the certification.

Done this day, January 4, 2010.

/s/ M. Douglas Administrative Law Judge

Transmitted electronically to:

William A. Mundell, Director Registrar of Contractors -----------------------

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