ALJDEC decisions subject to certification as final

14F-DI-214-REL · Department of Real Estate · 2015-02-19

IN THE OFFICE OF ADMINISTRATIVE HEARINGS

HEARING: February 4, 2015 APPEARANCES: No one appeared for Respondent; Lynette Evans, Esq. for the Department of Real Estate ADMINISTRATIVE LAW JUDGE: Thomas Shedden _____________________________________________________________________ FINDINGS OF FACT 1. On November 5, 2014, the Arizona Department of Real Estate (“Department”) issued a Notice of Hearing and Complaint setting the above-captioned matter for hearing at 1:00 p.m. February 4, 2015, at the Office of Administrative Hearings in Phoenix, Arizona. 2. The Notice of Hearing provided that hearing was being held to determine whether grounds exist to impose a civil penalty, or to suspend or revoke Respondents' licenses. 3. Wendy M. Douglas held real estate broker’s license No. BR575523000. Ms. Douglas was the designated broker for Lake Ridge Realty, Inc., d.b.a. Lake Ridge Realty, which held entity license No. CO526358000. 4. On January 6, 2015, Department’s Commissioner issued “Findings of Fact, Conclusions of Law, and Order” (“Order”) finding that Respondents were in default because they had not filed an answer to the Complaint. 5. In the Order, the Commissioner: (1) found that the allegations in the Notice of Hearing and Complaint were deemed to be admitted; (2) revoked Ms. Douglas’s license; (3) revoked Lake Ridge Realty, Inc., d.b.a. Lake Ridge Realty’s license; and (4) directed that the hearing would take place to determine the appropriate civil penalties based on the admitted allegations. 6. The Notice of Hearing and Complaint are incorporated in this Decision by this reference. 7. Ms. Douglas did not appear at the scheduled hearing time. The matter was convened in her absence at about 1:20 p.m. 8. At the hearing, the Department relied on the admitted allegations and presented no other evidence. 9. The Department requested that Ms. Douglas be assessed a total civil penalty of $5000 for the admitted violations. CONCLUSIONS OF LAW 1. The Department bears the burden of persuasion. Ariz. Rev. Stat. § 41-1092.07(G)(3). 2. The standard of proof on all issues in this matter is that of a preponderance of the evidence. Ariz. Admin. Code § R2-19-119. 3. A preponderance of the evidence is “[e]vidence which is of greater weight or more convincing than the evidence which is offered in opposition to it; that is, evidence which as a whole shows that the fact sought to be proved is more probable than not.” Black’s Law Dictionary 1182 (6th ed. 1990). 4. Based on the admitted violations, the preponderance of the evidence shows that Ms. Douglas violated Ariz. Rev. Stat. sections 32-2153(A)(3), (A)(16), (A)(17), (A)(21), (A)(22), (B)(8), and (B)(11). 5. Ms. Douglas is subject to a civil penalty of up to $1000 for each violation of statute. Ariz. Rev. Stat. § 32-2160.01. 6. Ms. Douglas’s failure to answer the Complaint and her failure to appear at the hearing are considered factors in aggravation. 7. The Administrative Law Judge concludes that a $5000 civil penalty is appropriate under these facts and circumstances. ORDER IT IS ORDERED that Wendy M. Douglas must pay to the Department a civil penalty of $5000 within fifteen days of the effective date of the Order entered in this matter. In the event of certification of the Administrative Law Judge Decision by the Director of the Office of Administrative Hearings, the effective date of the Order is five days after the date of that certification. Done this day, February 19, 2015.

/s/ Thomas Shedden Thomas Shedden Administrative Law Judge

Transmitted electronically to:

Judy Lowe, Commissioner Arizona Department of Real Estate -----------------------

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