ALJDEC decisions subject to certification as final

2010A-27617266-ROC · Registrar of Contractors · 2010-08-24

IN THE OFFICE OF ADMINISTRATIVE HEARINGS

|TERRY KOCH | | No. 2010A-27617266-ROC | | | | | |COMPLAINANT | |ADMINISTRATIVE LAW JUDGE | |V. | |DECISION | | | | | |License No. KB-2.256003-D of | | | |FAMILIA BUILDERS LLC (LLC) | | | | | | | | | | | |RESPONDENT | | | | | | |

HEARING: August 17, 2010 at 8:00 a.m. APPEARANCES: The Complainant appeared through her attorney, Fidelis V. Garcia. The Respondent failed to appear. 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 is the holder of License KB-2.256003-D issued by the Registrar of Contractors. 2. On December 13, 2009 the parties entered into an agreement for the Respondent to perform an extensive remodeling project on the Complainant’s residence. 3. The parties’ construction agreement consisted of a three page list of items to be completed entitled “proposed scope of work” which was signed by the parties. 4. There was no dispute that the “proposed scope of work” document failed to contain the minimum elements of a contract as required by applicable statute. 5. Credible testimony and evidence established that the Complainant was the owner of the real property as of the date the parties’ construction agreement was entered into. 6. Undisputed credible testimony and evidence established that as the Respondent’s work on the remodeling construction project progressed the Complainant became increasingly dissatisfied with the Respondent’s workmanship and with the Respondent’s lackadaisical work effort. 7. When the local building authority conducted an onsite inspection and “red-tagged” the construction project the Complainant filed a formal Complaint against the Respondent with the Registrar of Contractors. 8. 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 perform designated corrective work on the Complainant’s residence. 9. Undisputed credible testimony and evidence established that the Respondent failed to comply with the terms of the Corrective Work Order. 10. Undisputed credible testimony and evidence established that the Respondent knowingly utilized an unlicensed person to perform electrical work on the Complainant’s residence. 11. Undisputed credible testimony and evidence established that the Respondent knowingly contracted with a HVAC contractor to perform plumbing work on the Complainant’s residence. 12. Undisputed credible testimony and evidence established that the Respondent failed to properly display its contractor’s license number on its written agreement with the Complainant. 13. Undisputed credible testimony and evidence established that the Respondent departed from or disregarded applicable plans and specifications for the construction project without the consent or knowledge of the Complainant. 14. Undisputed credible testimony and evidence established that the Respondent’s qualifying party and owner knowingly misrepresented his construction qualifications and credentials to the Complainant. 15. Undisputed credible testimony and evidence established that the Complainant has been required to pay thousands of dollars to alternative licensed contractors to properly repair or replace the construction work performed by the Respondent. 16. Undisputed credible testimony and evidence established that the Complainant has received no value for the money that she has paid to the Respondent for its construction work on her residence. 17. Although the Registrar of Contractors normally allows a contractor a reasonable opportunity to correct its own construction deficiencies and errors subsequent to hearing, under all of the salient facts and circumstances presented herein, this Respondent should not be allowed to wreak any further havoc on the life of this homeowner. A licensed contractor is not entitled to an unlimited period of time or an endless succession of opportunities to comply with specified conditions which reduce, eliminate, or terminate, disciplinary action against the Contractor’s License. No further opportunities should be granted to this Respondent. 18. Notice is taken of the Respondent’s prior License record with the Registrar of Contractors. CONCLUSIONS OF LAW 1. Undisputed credible testimony and evidence supported findings which establish that the Respondent violated the charged provisions of A.R.S. § 32-1154: (A)(2) (Departure from or disregard of plans, specifications, or building codes); A(10) (Aiding and abetting an unlicensed contractor); A(13), NAMELY, A.R.S. § 32-1124(B) (Display of License number); A(13), NAMELY, A.R.S. § 32-1158 (Minimum elements of a contract); A(14) (Knowingly entering into a contract with a person not duly licensed in the required classification); A(16) (False, misleading or deceptive advertising); 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 the Respondent’s License No. KB-2.256003-D be revoked on the effective date of this Order. It is further recommended, in addition to the above-provided penalties, if any, that Respondent pay the sum of $500.00 to the Registrar of Contractors by way of a civil penalty pursuant to A.R.S. §32- 1154D. The failure by Respondent to pay the entire amount of the aforesaid civil penalty, on or before 30 days following the effective date of the Order entered in this matter, shall result in the automatic revocation of Respondent’s contractor’s license, effective on such deadline date. No future license shall be issued to any entity consisting of persons associated with Respondent, as defined in A.R.S. §32-1101A (5), unless payment of any outstanding prior civil penalty is tendered. 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, August 24, 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