FINACT2018A-657-CHC-ROC.pdf

2018A-657-CHC-ROC · Registrar of Contractors · 2018-09-10

REGISTRAR OF CONTRACTORS OF THE STATE OF ARIZONA

Sandra Jean Schafer, Case No. 2018-657

COMPLAINANT,

Mirage Custom Homes, LLC, Docket No. 2018A-657-CHC-ROC DBA: Hoctor and Sons Construction, License No. 226450, FINAL ADMINISTRATIVE DECISION AND ORDER RESPONDENT.

Under A.R.S. § 41-1092.08(B), the Registrar may review and accept, modify, or reject an

administrative law judge’s written decision. If the Registrar modifies or rejects that decision, then the

Registrar must provide written justification setting forth the reasons for the modification or rejection.

MODIFICATION AND WRITTEN JUSTIFICATION

In this case, a hearing was held, and the administrative law judge issued a written decision. See

Administrative Law Judge Decision, attached. The Registrar reviewed the Decision and modifies it to

include the full text of A.A.C. R4-9-108.

The administrative law judge states on page 7, lines 1-7 that, “no statute specifically or

unequivocally makes failure to timely complete a project grounds to suspend or revoke a contractor’s

license. A.A.C. R4-9-108 provides as follows:” However, the text of the rule cited was incomplete,

which may have led to the equivocation in interpreting what the Registrar relies upon in regulating the conduct of contractors respecting undue delay in completing contractual obligations. The A.A.C. R4-9-108 Workmanship Standards set forth grounds to suspend or revoke a contractor’s license for failure to diligently perform and complete work under contract in subsection (B). The Administrative Law Judge Decision only quoted a portion of A.A.C. R4-9-108 (B) as follows: “B. A

1 of 3 REGISTRAR OF CONTRACTORS 1700 W. Washington St. Suite 105 – Phoenix, AZ 85007-2812 Telephone (602)542-1525 1-877-692-9762 contractor shall perform all work in accordance with any applicable building codes and professional industry standards,” omitting the remainder of A.A.C. R4-9-108 (B), which states: For work to be performed in accordance with professional industry standards, a contractor shall use such skills, prudence, and diligence in performing and completing tasks undertaken that the completed work meets the standards of a similarly licensed contractor possessing ordinary skill and capacity.

The Registrar modifies the Decision to correctly reflect the complete Rule for clarifying the basis of its regulation of a contractor’s obligation to diligently perform and timely complete its contractual obligations. CONCLUSION AND ORDER The Registrar hereby modifies page 7, lines 4-12 with: “A. A contractor shall perform all work in a professional and workmanlike manner. B. A contractor shall perform all work in accordance with any applicable building codes and professional industry standards. For work to be performed in accordance with professional industry standards, a contractor shall use such skills, prudence, and diligence in performing and completing tasks undertaken that the completed work meets the standards of a similarly licensed contractor possessing ordinary skill and capacity. C. All work performed by a contractor in a county, city, or town that has not adopted building codes or where any adopted building codes do not contain specific provisions applicable to that aspect of construction work shall be per-formed in accordance with professional industry standards.” The Registrar hereby accepts the remainder of the Administrative Law Judge Decision, which becomes effective on October 17, 2018. IT IS FURTHER ORDERED that Respondent pay a civil penalty in the amount of $500.00 payable to the Registrar on or before 30 days from the effective date of this Order. Payment may be hand- delivered to the Registrar’s physical address or mailed to: Registrar of Contractors P.O. Box 6748 Phoenix, Arizona 85505-6748 Dated this 7th day of September 2018. Registrar of Contractors /s/ Nicole Sornsin ----------------------------------------------------------- Nicole Sornsin Assistant Director, Legal and Recovery Fund

Copy mailed via USPS First Class mail and via electronic mail this 7th day of September 2018 to: Respondent Mirage Custom Homes LLC DBA: Hoctor and Sons Construction 5424 N 106th Ave Glendale, AZ 85307-4003 Matthew J. Pierce, Esq. WARNER ANGLE HALLAM et al. 2555 E Camelback Rd Ste 800 Phoenix, AZ 85016-9267 Complainant Sandra Jean Schafer 7404 W Crest Ln Glendale, AZ 85310-5617

And copy electronically mailed this same date to:

Office of Administrative Hearings Diane Mihalsky, Administrative Law Judge Case No. 2018-657/an

3 of 3 REGISTRAR OF CONTRACTORS 1700 W. Washington St. Suite 105 – Phoenix, AZ 85007-2812 Telephone (602)542-1525 1-877-692-9762