ALJDEC decisions subject to certification as final

2010A-10409924-ROC · Registrar of Contractors · 2010-05-28

IN THE OFFICE OF ADMINISTRATIVE HEARINGS

HEARING: May 14, 2010 APPEARANCES: A & A Specialty Products was represented by its authorized representative, Cheri Anguis. Silver Stone Custom Homes, L.L.C. was represented by its authorized representative, Pat Maez. ADMINISTRATIVE LAW JUDGE: Brian Brendan Tully _____________________________________________________________________ Based upon the evidence of record, the Administrative Law Judge makes the following Findings of Fact, Conclusions of Law, and Recommended Order: FINDINGS OF FACT 1. Silver Stone Custom Homes, L.L.C. (“Respondent”) is the holder of License No. 243217, a Class B- contracting license issued by the Registrar of Contractors (“Registrar”). 2. On September 14, 2009, A & A Specialty Products (“Complainant”) filed a written Complaint with the Registrar alleging nonpayment by Respondent for materials supplied to Respondent on a line of credit granted by Complainant. The Registrar designated the Complaint as Case No. 10-1040. 3. The Registrar issued a Citation and Complaint in Case No. 10-1040 charging Respondent with violating the provisions of A.R.S. § 32- 1154(A) (11). 4. The Registrar forwarded Case No. 10-1040 to the Office of Administrative Hearings, an independent agency, for an evidentiary hearing. 5. On May 12, 2010, Respondent’s member and qualifying party, Pat Maez, filed a request to vacate the scheduled hearing due to a Chapter 13 Bankruptcy, Case No. 2:10-bk-11789-RTB, for debtors Patrick Don Maez and Aracely A. Maez, individually. Respondent is not a named debtor in that bankruptcy action. 6. The assigned Administrative Law Judge caused a PACER search to be performed to determine if Respondent was a debtor in any bankruptcy action. Respondent was found not to be a named debtor in any bankruptcy action. 7. Mr. Maez stated that Respondent’s debt owed to Complainant is listed in his personal Chapter 13 Bankruptcy action. 8. A review of the Registrar’s electronic file for this case revealed that Mr. Maez personally guaranteed Respondent’s line of credit with Complainant. Therefore, the said Chapter 13 Bankruptcy action appears to stay any collection efforts by Complainant against Mr. Maez personally or Mrs. Maez’ community property interest for Respondent’s debt owed to Complainant. 9. As a preliminary matter at the hearing, Mr. Maez was afforded the opportunity to explain how the Chapter 13 Bankruptcy action’s stay was applicable to the Registrar’s disciplinary action against Respondent. Mr. Maez did not address the issue. 10. There is credible evidence that Respondent owes Complainant the total sum of $9,955.94 for materials supplied by Complaint to Respondent under a line of credit granted to Respondent. CONCLUSIONS OF LAW 1. The Registrar has jurisdiction over Respondent and the subject matter in this case. The Registrar has the authority to exercise its police powers in this disciplinary action for proven statutory violations by Respondent. 2. Pursuant to A.A.C. R2-19-119(B), Complainant has the burden of proof in this matter. The standard of proof is preponderance of the evidence. A.A.C. R2-19-119(A). 3. Respondent violated the provisions of A.R.S. § 32-1154(A) (11), as charged in the Citation and Complaint issued by the Registrar. The evidence of record supports this conclusion. RECOMMENDED ORDER Respondent’s License No. 243217 shall be revoked on the effective date of the Order entered in Case No. 10-1040. 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 will be 40 days from the date of that certification.

Done this day, May 28, 2010.

/s/ Brian Brendan Tully 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