2023A-11710-NPC-ROC Notice of Hearing and Packet MAILED

2023A-11710-NPC-ROC · Registrar of Contractors · 2023-11-30

REGISTRAR OF CONTRACTORS OF THE STATE OF ARIZONA

Dynamic Fencing and Fabrication LLC, Case No. 2023-11710 COMPLAINANT, Docket No. 2023A-11710-NPC-ROC v. NOTICE OF HEARING ON CONTESTED CASE DirtWorks Contracting Inc License No. ROC 318883,

RESPONDENT.

This Notice of Hearing is issued under A.R.S. § 41-1092.05(D).

HEARING INFORMATION The hearing is set for:

January 9, 2024 1:00 PM Kay Abramsohn Google Meet. A link will be provided directly from The Office of Administrative Hearings. Go to www.azoah.com to request to appear in-person.

If you have requested to appear in-person at the hearing, the hearing will be held at 1740 W Adams Street, Phoenix, AZ 85007.

You must attend this hearing. This is an adversarial hearing before an administrative law judge, and is conducted in a similar manner as judicial proceedings. Thus, you must be

prepared to present evidence, including witness testimony and documents, in support of your case.

STATEMENT OF LEGAL AUTHORITY AND JURISDICTION The State of Arizona has determined that the licensing and regulation of construction contractors is a proper state function, and has vested authority in the Registrar of Contractors to administer Title 32, Chapter 10 of the Arizona Revised Statutes. A.R.S. §§ 32-1101 et seq. All hearings for alleged violations of Title 32, Chapter 10 are conducted under Title 41,

Chapter 6, Article 10. A.R.S. § 32-1156.

The statutes and rules governing the hearing can be found at: Arizona Revised

Statutes §§ 41-1092 to -1092.12, and Arizona Administrative Code R2-19-101 to -122.

PARTICULAR ARIZONA STATUTES AND RULES INVOLVED The statutes and rules the Respondent is alleged to have violated are cited in the

complaint and citation, which were served on the Respondent on November 1, 2023. SHORT AND PLAIN STATEMENT OF THE MATTERS ASSERTED The complaint and citation allege that the Respondent committed the following act(s): Charge: 1 A.R.S. § 32-1154(A)(10)

THE PARTIES TO THE ADMINISTRATIVE HEARING Because Respondent is a licensee and is charged with an act(s) or omission(s) that is cause for the suspension or revocation of a license, Respondent is a party to this case and will be a party to the hearing.

Because Complainant alleged Respondent committed an act(s) or omission(s) that is cause for the suspension or revocation of a license, Complainant is a party to this case and will be a party to the hearing. Respondent and Complainant, as the parties to the hearing, will present evidence and argument to the administrative law judge.

RIGHT TO BE REPRESENTED The parties to the administrative hearing may choose to be represented by an attorney.

A.R.S. § 41-1092.07(B). If one of the parties is a company, the company may be represented

by an officer or employee if that person satisfies the conditions set forth in A.R.S. § 32-

1156(B).

CHANGE OF ADDRESS Each party must inform the Registrar and the Office of Administrative Hearings of

any change of address within five (5) days of the change. A.R.S. § 41-1092.04. HEARING PROCEDURES AND RULES The administrative hearing will be conducted in accordance with A.R.S. §§ 41-1092 to -1092.12, and A.A.C. R2-19-101 to -122. The parties should review the statutes, rules, and processes governing the administrative hearing. Copies of the statutes, rules, and articles regarding the administrative hearing process can be found at https://www.azoah.com/.

REGISTRAR’S APPEARANCE BY VIDEO CONFERENCE OR TELEPHONE

The Registrar’s investigators, employees, and attorneys will appear at the hearing via

video conference or telephone unless requested by a party to appear in-person. Requests for

the Registrar’s investigators, employees, or attorneys to appear in-person must be filed with the Registrar and the Office of Administrative Hearings no later than seven (7) calendar days prior to the hearing date.

HEARING PACKET In the interests of administrative efficiency, the Registrar compiles and discloses certain documents to the parties and the Office of Administrative Hearings. These documents are attached to this Notice of Hearing as the “Hearing Packet.” If any party wishes to submit

additional evidence, they must do so during the hearing after completing a disclosure

statement. See “Disclosure Statement” section below.

SUBPOENAS FOR TESTIMONY FROM A WITNESS OR DOCUMENTS The parties to the hearing must be prepared to present evidence in support of their case. If a party wants to obtain testimony from a witness or documents not in the party’s possession, the party must prepare and file a written subpoena for the Administrative Law Judge to review and sign, if approved. A.R.S. § 41-1092.07(C). Forms for requesting a

subpoena can be found on the Office of Administrative Hearings’ website at www.azoah.com.

The party seeking a subpoena must serve notice on all the parties to the hearing, and on the

Registrar. A.R.S. § 41-1092.04.

DISCLOSURE STATEMENT At least seven calendar days before the hearing, each party must prepare and serve a

disclosure statement on all other parties, and file it with the Office of Administrative Hearings. A.A.C. R4-9-118; A.A.C. R2-19-108. The disclosure statement must include any exhibit the

party will use at the hearing. A party’s failure to timely disclose any witness or exhibit, without good cause, may result in the administrative law judge excluding those witnesses or exhibits from being used at the hearing. A.A.C. R4-9-118(C). A sample disclosure form is available on the Registrar’s website at https://roc.az.gov/content/prehearing-disclosure- statement.

CHANGING THE HEARING DATE The date of the hearing may only be advanced or delayed on the agreement of the parties or on a showing of good cause. A.R.S. § 41-1092.05(C). The date of the hearing may be changed by filing a written agreement of the parties to change the date of the hearing. The written agreement must be filed with the Office of Administrative Hearings, directed to the assigned Administrative Law Judge, and transmitted to the Registrar and all other parties. The assigned Administrative Law Judge may be found on the Office of Administrative Hearings’

web portal at www.azoah.com

If a party would like to move the date of the hearing without agreement of all parties,

the party must file a written motion with the Office of Administrative Hearings, directed to the

assigned Administrative Law Judge, and transmit a copy to the Registrar and all other parties.

The motion must state in detail good cause for why the date of the hearing should be advanced or delayed, and the position of all other parties regarding the advancement or delay. A party may also file a motion asserting a right to an expedited hearing upon a showing of extraordinary circumstances or the possibility of irreparable harm. A.R.S. § 41-1092.05(E).

RESOLUTION SHORT OF ADJUDICATION In any case which is resolved or settled by the parties, or which is withdrawn by the Complainant without objection from Respondent after the Notice of Hearing is issued, the parties must notify the Office of Administrative Hearings of the resolution or settlement. Any such cases will be listed on the Registrar’s website and its records under the category: “Closed Complaints – Resolved/Settled/Withdrawn.”

Dated November 30, 2023.

By: /s/ Erika Hoskin Erika Hoskin Legal Secretary Legal Department Arizona Registrar of Contractors

Copy mailed via USPS First Class mail November 30, 2023 to: Respondent(s) DirtWorks Contracting Inc 9105 E Del Camino Ste 112 Scottsdale, AZ 85258

Complainant(s) Dynamic Fencing and Fabrication LLC 3138 E President St Tucson, AZ 85714

Copy sent electronically this same date to:

Respondent at email address on record with the Registrar Complainant at email address on record with the Registrar

Case No. 2023-11710 /

Katie Hobbs, Governor Martin Quezada, Director

Hearing Packet FAQ What is the Hearing Packet?

The Hearing Packet is a packet of certain documents collected or issued by the Registrar over the course of its investigation.

Who gets the Hearing Packet?

The Hearing Packet is assembled and distributed to all parties and to the Office of Administrative Hearings (“OAH”) prior to an administrative hearing.

What types of cases does the Registrar prepare a Hearing Packet for?

The Registrar prepares a Hearing Packet for Complainant-Handled Cases and No-Pay Cases. Note: If the Docket Number on the Notice of Hearing contains a “CHC” or “NPC”, your case is a Complainant-Handled Case or a No-Pay Case.

What is in the Hearing Packet?

The Hearing Packet contains essential case-specific documents and at a minimum will include the following documents:

● Original complaint;

1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812 602.542.1525 · Within AZ 877.692.9762 · Fax 602.542.1599 · roc.az.gov Hearing Packet FAQ

Katie Hobbs, Governor Martin Quezada, Director

● Citation; and ● Answer.

The Hearing Packet will also contain the following documents (if applicable):

● Jobsite inspection notices, notes, and photos; ● Written directives; and ● Compliance inspection notices, notes, and photos.

What if there are documents missing from the Hearing Packet?

If there is any evidence you submitted to the Registrar that are not included in the Hearing Packet it is your responsibility to introduce that evidence at the administrative hearing. Note: The administrative law judge assigned to your case does not have access to the entire Registrar record.

If there is additional evidence you submitted to the Registrar during the investigation that you also want to introduce as evidence during your hearing, it is your responsibility to:

● Properly disclose that evidence to the other party; and ● Introduce the evidence during your hearing.

1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812 602.542.1525 · Within AZ 877.692.9762 · Fax 602.542.1599 · roc.az.gov Hearing Packet FAQ

Katie Hobbs, Governor Martin Quezada, Director

How do I disclose evidence I intend to use at a Hearing?

You must properly disclose any and all documents and witnesses you intend to use at your hearing according to the Registrar’s Prehearing Disclosure Rules. See Arizona Administrative Code Section R4-9-118.

A sample prehearing disclosure form and instructions are provided to the parties by the Registrar.

How do I obtain documents I previously submitted to the Registrar?

If you previously submitted documents to the Registrar and need a copy of these documents, please contact the Registrar’s Legal Department or submit a public records request at https://roc.force.com/AZRoc/s/roc-public-request.

1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812 602.542.1525 · Within AZ 877.692.9762 · Fax 602.542.1599 · roc.az.gov Hearing Packet FAQ

October 11, 2023

Via U.S. Mail and Email

Complainant Dynamic Fencing and Fabrication LLC 3138 E President St Tucson, AZ 85714

Re: Complaint No. 2023-11710

Dear Complainant:

The Registrar received the complaint you filed against DirtWorks Contracting Inc for non-payment of materials or services rendered. Your complaint is incomplete and will not be substantively reviewed by the Registrar until the Registrar receives the following items:

1. Contract signed by both parties, but if there was no written contract, then a written statement that includes the following information: I. The reason a written contract is not being provided (e.g. the contractor did not provide a written contract, the contract is lost, the contract was destroyed); II. A description of any written documents used to describe the contract (e.g. bid, proposal, invoice, receipt); III. The names of the people who negotiated the contract; IV. The agreed upon payment schedule(s); and V. An explanation of who was to receive payment

You must supply the Registrar with the above-listed information within 10 days of this letter’s mailing date. The Registrar will close this complaint if you fail to provide the required information by October 21, 2023.

Please reference the complaint number listed above when you provide this additional information. You may provide this information by:

Mail: P.O. Box 18244, Phoenix, AZ 85005-8244 In-Person: 1700 W. Washington St., Ste. 105, Phoenix, AZ 85007-2812 Email: [email redacted]

Should you have any questions, please contact our office at (602) 542-1525, or visit our website. Although your complaint is incomplete at this time, Respondent is free to raise any issue or affirmative defense to this complaint and may file a response with the Registrar. If the required information is provided and this complaint becomes administratively complete, Respondent will be provided an additional opportunity to respond to the complaint.

1700 W. Washington St., Ste. 105 · Phoenix, AZ 85007-2812 602.542.1525 · Toll Free 877.692.9762 · roc.az.gov Lg100 4/21 Sincerely,

/s/ Katelyn Rolling Katelyn Rolling Legal Assistant II Legal Department Arizona Registrar of Contractors

CC: Respondent DirtWorks Contracting Inc 9105 E Del Camino Ste 112 Scottsdale, AZ 85258

1700 W. Washington St., Ste. 105 · Phoenix, AZ 85007-2812 602.542.1525 · Toll Free 877.692.9762 · roc.az.gov Lg100 4/21 October 17, 2023

Via U.S. Mail and Email

Complainant Dynamic Fencing and Fabrication LLC 3138 E President St Tucson, AZ 85714

Via U.S. Mail and Email

Respondent DirtWorks Contracting Inc 9105 E Del Camino Ste 112 Scottsdale, AZ 85258

Re: Complaint No. 2023-11710

Dear Complainant and Respondent:

The Registrar received a complaint filed against DirtWorks Contracting Inc for non-payment of materials or services rendered. This complaint is complete and will be substantively reviewed by the Registrar.

Respondent is free to raise any issue or affirmative defense to this complaint by filing a response with the Registrar by October 24, 2023. Please reference the complaint number listed above if you file a response. Respondent may file a response by:

Mail: P.O. Box 18244, Phoenix, AZ 85005-8244 In-Person: 1700 W. Washington St., Ste. 105, Phoenix, AZ 85007-2812 Email: [email redacted]

The Registrar will not issue a citation before October 24, 2023 and will review Respondent’s response, if one is submitted.

Please be advised that a response to the complaint is not the same as a written answer. If the Registrar issues a citation Respondent must file a written answer to that citation in accordance with A.R.S. § 32-1155.

Sincerely,

/s/ Katelyn Rolling Katelyn Rolling Legal Assistant II Legal Department Arizona Registrar of Contractors

1700 W. Washington Street, Suite 105 · Phoenix, AZ 85007-2812 602.542.1525 · Toll Free 877.692.9762 · roc.az.gov Lg100 4/21 RECEIVED 10/09/2023 ROC LEGAL Non-Payment Complaint Form Departmental Use Only Complaint Number: Mail to: Registrar of Contractors 2023-11710 P.O. Box 18243 Phoenix, AZ 85005-8243

Person Filing Complaint (Payee) Business Name Full Name (First Middle Last) ROC License Number(s) (if any) Denise Anderton Street Address City State Zip Code 3138 E President St Tucson Arizona 85714 Phone Number Email Address [number redacted] [email redacted] I consent to receive communications electronically in connection with this case

Name of Attorney (if any)

Attorney’s Street Address City State Zip Code

Attorney’s Phone Number Attorney’s Email Address

Licensee Information (Payer) Name (as shown on contracts, invoices, etc.) ROC License Number(s) DirtWorks Contracting Inc ROC 318883 Street Address City State Zip Code 3262 E 44th St Tucson Arizona 85713 Phone Number Email Address

Name of Person(s) Representing License Kerry Lanoue Complaint Information Principal Amount Due (excluding interest and fees) Contract Date (if applicable) $10,866.21 April 25, 2023 Have you filed a civil complaint? No List all specific invoices which have not been paid. Attach additional pages if necessary. 23-025

Certification I certify, upon information and belief, that the above-named licensee has failed to pay monies in excess of seven hundred fifty dollars when due for materials or services rendered in connection with the licensee’s operations as a contractor. I further certify, upon information and belief, that the above-named licensee has the capacity to pay, or has received sufficient monies as payment for the particular construction work project or operation for which the services or materials were rendered or purchased. A.R.S. § 32-1154(A)(10). Printed Name Signature Date Denise Anderton Declaration & Signature I am the Complainant in this Complaint Form or Complainant’s duly authorized representative. I declare under penalty of perjury that the information contained in this Form is true and correct to the best of my knowledge. I further certify that any documents submitted in support of this complaint are true and correct copies of the originals and are accurate to the best of my knowledge. I will assist in the investigation or in the prosecution of the contractor or other parties, and will, if necessary, attend hearings and testify to facts. RECEIVED Printed Name Signature Date 10/09/2023 Denise Anderton ROC LEGAL RECEIVED 10/09/2023 ROC LEGAL RECEIVED 10/09/2023 ROC LEGAL Dynamic Fencing and Fabrication, LLC Invoice 3138 E. President St Tucson, AZ 85714 US 520-612-6115 [email redacted]

BILL TO Dirt Works Contracting 3264 E 44TH ST TUCSON, AZ 85713

INVOICE # DATE TOTAL DUE DUE DATE TERMS ENCLOSED 23-025 04/25/2023 $10,866.21 05/25/2023 Net 30

JOB NAME SILVERBELL CROSSING

DATE SERVICE DESCRIPTION QTY RATE AMOUNT

000000 MSKT end treatment (ADOT 1 10,316.21 10,316.21 C10.21) to include (ADOT C10.08) end anchor. 000000 Freight 1 550.00 550.00 BALANCE DUE $10,866.21 RECEIVED 10/13/2023 ROC LEGAL RECEIVED 10/13/2023 ROC LEGAL

Agreement Between Contractor and Subcontractor

This agreement by and between Dirt Works Contracting hereinafter referred to as “Contractor” ____________________ and __________________________________ Dynamic Fencing hereinafter referred to as “Subcontractor” for ______________________ Silverbell Crossing - Guard Rail hereinafter referred to as the “Project”, for the performance of the “Work” specified below.

Project Location: Tucson, Silverbell/Kellen Canyon Court Plans Dated: Engineer Stamp date 06-05-2019 _ Specifications Dated: _

ARTICLE I Safety and Health Project Compliance

Section 1.01. Subcontractor Responsible for Safe Workplace. Subcontractor will provide a safe workplace. Subcontractor acknowledges that It shares Contractor’s commitment to ensure an injury-free Project site. Although Subcontractor must provide quality construction within the cost and schedule requirements described in this Agreement, worker safety concerns are always paramount.

Section 1.02. Compliance with Safety and Health Requirements. Compliance by Subcontractor with all applicable safety and health requirements is mandatory during all stages of Subcontractor’s performance and of the Work, including, but not limited to, training of its permanent and temporary personnel, mobilization, storage, of materials, performance of the work, completion of the work, and demobilization. Subcontractor will comply with all applicable requirements, laws, ordinances, rules, regulations, and orders of any public authority for the safety of persons or property, including, without limitation, the Occupational Safety and Health Ad of 1970 (OSHA) and the Construction Safely Act of 1969, A.R.S. Section 23-410, et.seq. governing construction activities within Arizona. If Subcontractor fails to comply with OSHA requirements, Contractor may terminate this Agreement. In no event will Contractor be responsible for fines or construction delays due to OSHA enforcement against Subcontractor or its sub-Subcontractors. Subcontractor will report to Contractor any injury at the Project site immediately and shall file a written report of such injury within eight (8) hours.

Section 1.03. Hazardous Materials/Activities. Subcontractor will have sole and exclusive responsibility for training its employees in the proper handling of Hazardous Materials and participation in hazardous operations and the precautionary measures required. Subcontractor will supply all protective clothing and devices necessary to protect its employees from hazardous materials while on the project site. If Subcontractor encounters material reasonably believed to be Hazardous Material that has not been rendered harmless, subcontractor will immediately stop work in the area affected and report the condition to Contractor in writing. If the material is a Hazardous Material and has not been rendered harmless, the Work in the affected area will not be resumed except by written agreement with Contractor. Subcontractor shall not be required to perform without consent any work related to Hazardous Materials. Subcontractor will not store, dump, release, or emit any oil, hazardous waste, or other Hazardous Materials on, at, under, or in the vicinity of the Project. RECEIVED 10/13/2023 ROC LEGAL

Section 1.04. Indemnification Against Loss. Subcontractor will indemnify and hold harmless Contractor for, from, and against all claims, actions, proceedings, liabilities, losses, assessments, damages, penalties, investigations, and liens resulting from any acts or omissions by Subcontractor, its agents, employees, Subcontractors (regardless of tier) and assigns, with respect to (a) any violation of the safety requirements of this Agreement; and (b) any releases of Hazardous Materials by Subcontractor on, at, under, or in the vicinity of the Project, whether or not such releases are intentional.

ARTICLE II Insurance Section 2.01. Coverage Requirements. Prior to commencement of any Work, Subcontractor must procure and maintain, and must cause its Subcontractors to procure and maintain, at its sole cost and expense, the following insurance coverage in such form and from such Insurance companies acceptable to Contractor and with the following minimum limits or as set forth in project documents:

1.) Worker’s Compensation

Coverage A. Statutory Benefits Coverage B. Employer’s Liability Bodily Injury by Accident - $1,000,000 each accident Bodily Injury by Disease - $1,000,000 policy limit Bodily Injury by Disease - $1,000,000 each employee

2.) Commercial Automobile

Liability limits of not less than $1,000,000 each accident, combined Bodily Injury and Property Damage Liability insurance including but not limited to owner autos, hired or non-owned autos.

3.) Commercial General Liability (CGL) The limits of liability shall not be less than:

Each Occurrence Limit - $1,000,000 Personal Advertising Injury Limit - $1,000,000 Products/Completed Operations aggregate Limit - $2,000,000 General Aggregate Limit - $2,000,000 RECEIVED 10/13/2023 ROC LEGAL

The CGL policy form must include: (a) Premises and Operations coverage with no explosion, collapse, or underground damage (XCU) exclusions. (b) Products and Completed Operation coverage. Subcontractor agrees to maintain this coverage for a minimum of two (2) years following acceptance of his work by Contractor evidenced by ISO form CG2037 or its equivalent. (c) Blanket Contractual coverage (d) Broad Form Property Damage coverage including Completed Operations or its equivalent. (e) An endorsement naming Contractor as an additional insured on ISO form CG2010 or its equivalent under the coverage specific under Section 2.01 (2) and (3) Such endorsement shall contain the following provision:

“It is understood and agreed that coverage afforded by this Policy shall also apply to Contractor, its members, managers, agents, servants, employees, divisions, subsidiaries, partners, and affiliated companies as additional insureds but only with respect to liability or claims caused by arising out of or resulting from the acts or omissions of the named insured or of others performed on behalf of the named insured. (f) An endorsement stating: “Such coverage as is afforded by this Policy for the benefit of the additional insured(s) is primary and any other coverage maintained by such additional insured(s) shall be non-contributing with the coverage provided by this policy. (g) A waiver of subrogation in favor of the Contractor and Owner and their respective members, managers, officers, directors, agents, servants, employees divisions, subsidiaries, partners, shareholders, and affiliated companies for the coverage specified in Sections 2.01 (1), (2), and (3). (h) Coverage on an “0ccurance” form. “Claims Made" and "Modified Occurrence” forms are not acceptable. (i) An endorsement stating that any aggregate limits apply on a “per project" basis.

Section 2.02. Additional Requirements. (1) The insurance required by this Agreement must be written for not less than the limits of liability as specified in this Agreement, or as required by law, whichever is greater. (2) All policies must state that the policy will not be cancelled or amended without thirty (30) days written notice to Contractor. (3) All policies must be written by Insurance companies with ratings In the most recent Best's Rating Guide of not less than A:X. All coverage forms must be acceptable to Contractor. (4) Certificate of Insurance with the required endorsements evidencing the required coverage must be delivered to the Contractor prior to commencement of the Work. Certificates of Insurance must reflect all self-insured retention or deductible amounts. (5) If Subcontractor or its subcontractors fail to secure and maintain the required insurance, Contractor shall have the right, but not the obligation, to obtain such insurance in the name and for the account of Subcontractor or its subcontractors, at Subcontractor's expense. (6) In the event that rental equipment is undertaken to complete and/or perform the Work, Subcontractor agrees that it shall be solely responsible for such rental equipment. In the event that materials or any other type of personal property is acquired for the Project or delivered to the Project site, Subcontractor agrees that it shall be solely responsible for such property until it becomes a fixture on the Project, or otherwise Is Installed and Incorporated as a final part of the Project. Such RECEIVED 10/13/2023 ROC LEGAL

responsibility shall include, but not be limited to, theft, fife, vandalism, and use by unauthorized persons. (7) Subcontractor’s obligation of indemnity under Section 2.03 shall be deemed a separate and distinct obligation of the Subcontractor that is not subject to any insurance limits, remedy limitations, or damage limitations.

Section 2.03. Indemnification. (1) Subcontractor, and its subcontractors, will indemnify and hold harmless Contractor, and its agents, employees, members, managers, officers, subsidiaries and affiliates (collectively the “indemnitees”) for, from, and against all claims, damages, losses and expenses, including, but not limited to, reasonable attorney fees and costs (including expenses incurred in any attempt to enforce this indemnification provision), arising out of or resulting from or in connection with the performance of the work, provided that such claim, damage, loss or expense is attributable to personal injury, bodily injury, sickness, disease or death, or to injury or destruction of tangible property (other than the work itself) including the loss of use therefrom, but only to the extent caused in whole or in part by alleged or negligent acts or omissions of Subcontractor, any sub-Subcontractor, any supplier, anyone directly or indirectly employed by them, or anyone for whose acts they may be liable, regardless of whether or not such claim, damage, loss or expense is caused in part by any negligent act or omission of any indemnitee. (2) In any and all claims against any of the indemnitees by any employee of the Subcontractor, or sub-Subcontractor, anyone directly or indirectly employed by any of them or anyone for whose act any of them may be liable, the indemnification obligation under this Section will not be limited in any way by any limitation on the amount or type of damages, compensation or benefits payable under any workers’ or workmen’s’ compensation acts, disability benefit acts, or other employee benefit acts. This indemnity applies during the entire period of this contract and shall survive the expiration or termination of this Agreement until such time as action or account of any matter covered by such Indemnity is determined by a court in a final and unappealable ruling or is barred by the applicable statute of limitations, whatever is later.

ARTICLE III Miscellaneous Provisions Section 3.01. Effect of Article and Section Titles. Titles of articles and sections are placed in this agreement for convenience only and may not have the effect of modifying, amending, or changing the express terms of this agreement.

Section 3.02. Words of Gender or Number. As used herein, unless the context clearly indicates the contrary, the singular numbers include the plural, the plural the singular and the use if any genderis applicable to all genders.

Section 3.03. Waver. No waiver of any provision of this agreement is valid unless in writing and signed by the person against whom charged. Delay in the enforcement of any remedy by a party in the event of a breach of any term or condition of this Agreement or the exercise by a party of any right under this Agreement will not be construed as a waiver. RECEIVED 10/13/2023 ROC LEGAL

Section 3.04. Applicable Law. This agreement is subject to and governed by the laws of the State of Arizona.

Section 3.05. Successors ln Interest. This agreement shall be binding upon and inure to the benefit of the assigns, heirs, legal representatives, executors, administrators, and other successors in Interest of the parties.

Section 3.06. Amendments. This agreement may only be amended or replaced by the written agreement of both Parties and/or their successors in interest.

Section 3.07. Notices. Any notice required or permitted to be given under this agreement is sufficient if in writing, and if sent by registered mail or first-class mail, postage fully prepaid, to the person to be given notice, pursuant to Section 6.04.

Section 3.08. Assignment. Subcontractor may not assign, delegate, sublet, or transfer any of the Subcontractor’s rights, duties, or obligations under the Agreement without Contractor's prior written consent. Any such assignment delegation, subletting or transfer without Contractor's prior written consent will be void and of no effect. Contractor may assign the Agreement and upon any such assignment, Subcontractor will render performance to such assignee.

Section 3.09. Independent Subcontractor. In the performance of the Work, Subcontractor is an independent Subcontractor and not an agent or employee of the Contractor.

Section 3.10. Time of the Essence. Time is of the essence in the performance of the Contract Documents, and the work described therein.

Section 3.11. Partial Validity. If any portion of this agreement is held invalid or inoperative, then insofar as is reasonable and possible: (1) The remainder of this agreement is valid and operative, and (2) Effect shall be given to intent manifested by the portion held valid or inoperative.

Section 3.12. Attorney’s Fees/ The parties agree any party breaching this agreement shall pay the reasonable attorney’s fees of the non-breaching party incurred in seeking to enforce this agreement or to obtain a remedy for this agreement’s breach.

Section 3.13. Integration. All agreements previously made in the negotiation and preparation of this agreement between the parties are superseded by and merged into this agreement. No statement or representation not embodied herein shall have any binding effect upon the parties.

Section 3.14. Attached Appendices. Any appendices attached to this agreement shall be initialed or signed by all parties to this agreement.

Section 3.15. Multiple Counterparts. This agreement may be executed in counterparts, each of which shall be considered to be an original, but all of which together shall constitute one and the same instrument. RECEIVED 10/13/2023 ROC LEGAL

ARTICLE IV General Conditions Section 4.01. The Subcontractor shall at times occupy the position of an independent company, working on their own behalf and for their own benefit under their own control and responsibility. Neither Subcontractor nor any of the Subcontractor’s agents, servants or employees shall be considered as the agents, servants, or employees of Contractor. 11-08-2022 Section 4.02. Subcontractor’s Proposal dated ________________________________________ , is hereby incorporated as an exhibit to this contract, for the purpose of clarifying materials, quantities, and installation procedures. This agreement supersedes all terms and conditions as might be stated in saidproposal.

Section 4.03. Subcontractor is responsible for all permits and inspections in accordance with the stipulated work.

Section 4.04. Subcontractor is performing hereunder, shall full comply with all applicable laws, codes, ordinances, rules, and regulations of federal, state, and local governments.

Section 4.05. Before commencing work, Subcontractor shall furnish a Certificate of Insurance showing liability insurance is a full force and effect.

Section 4.06. Subcontractor is to be held responsible only for his installation and not for any existing structural defects in the building in which the installation is to be made.

Section 4.07. Subcontractors shall, before acceptance of this proposal, examine the existing job conditions and shall report any discrepancies to the Contractor or his agent. Acceptance of this proposal shall constitute acceptance of job conditions.

Section 4.08. All work to be completed in a neat and work like manner. Subcontractor will guarantee his installation against defects of materials and workmanship installed by him, for a period of two (2) years after final payment. Any defective work will be repaired or replaced by Subcontractor, all at Subcontractor’s expenses, within five (5) days upon receipt of notice from Contractor. All manufacturers’ warranties shall be passed on to the customer for their use.

Section 4.09. Any alteration or deviation from above specification involving extra labor and or material costs will be executed upon written order from Contractor and will be become an extra charge over the agreed amount. Said changes may be requested verbally but shall be followed up by a written notification as soon as possible, but not later than five (5) days. Agreements made with Owner, mechanics or other subcontractors on the job are not recognized.

Section 4.10. Subcontractor shall perform his work in accordance with the schedule of work furnished by Contractor. Notification of work scheduled to be accomplished by Subcontractor to be furnished in a reasonable manner, given materials, lead times, and known conditions.

Section 4.11. It is understood that time is of the essence for the stipulated work. If Subcontractor fails to properly staff the job, fails to affect the work with diligence or fails to comply with other terms and conditions herein, then Contractor shall have the right, whether through its own RECEIVED 10/13/2023 ROC LEGAL

employees or through some other contractor, to take over and complete the work. In such event, Subcontractor shall not be entitled to any payment for work performed by it prior to such taking over, until all work provided for herein is completed and accepted by Contractor. In this event, Contractor’s expenses in completing the work shall be deducted from the amount Subcontractor would have received for full performance, and the difference shall be paid by Contractor to Subcontractor under the conditions herein provided.

Section 4.12. Subcontractor is to leave work area broom clean at the end of each working day. Subcontractor is to clear and remove from the premises, any debris resulting from Subcontractor’s operations. Failure to comply with the above shall entitle Contractor to have such work done and to charge the Subcontractor the cost of same.

Section 4.13. It is understood that the Subcontractor shall not be responsible for damage or delay due to strikes, fire, accidents, or any other causes beyond his reasonable control.

Section 4.14. Subcontractor will save and hold Contractor harmless from and against all claims for damage to persons or property caused by Subcontractor shall, if requested, furnish Contractor with proof that all bills for materials, labor and equipment used on the job have been paid.

Section 4.15. Upon completion of the work to be performed by Subcontractor hereunder, and before final payment, Subcontractor shall, if requested, furnish Contractor with proof that all bills for materials, labor and equipment used on the job, have been paid.

Section 4.16. Subcontractor agrees to abide by Contractor’s Subcontractor Policy Agreement.

Section 4.17. The plans and specifications as referred to herein, are made a part of this agreement, and Subcontractor agrees to furnish all labor and materials necessary to complete the work, as set for in the plans and specifications, pursuant to Subcontractor’s bid herein, for the sum of $ 48,569.50 .

ARTICLE V Performance and Payment Section 5.01. Payment to the subcontractor shall be in stages, upon completion of each stage, inspection and acceptance of work, and receipt of invoice and lien waiver from Subcontractor and material supplier for each stage. The contractor may withhold the sum of 10% of any payment for a period of 60 days in order to ensure the completion of this contract Subcontractor, and that all work isdone pursuant to plans and specification and to the required workmanship standards.

Section 5.02. Upon completion of a stage, Subcontractor shall notify the contractor of same and request inspection and approval by the Contractor or the architect for the project. No payment shall be made until completion of the stage and approval by the Contractor or architect of the work completed.

Section 5.03. Upon completion of a stage and acceptance by the architect or contractor, the Subcontractor may submit a billing or invoice on the 25 th day of the month, after completion and approval, as described herein. If an invoice is submitted prior to the 25 th day of the month, it shall be RECEIVED 10/13/2023 ROC LEGAL

deemed submitted on the 25th day, and payment will be made, not later than the 25th day of the following month.

Section 5.04. No progress payment nor final payment shall be made to a Subcontractor unless and until lien waivers are provided to the contractor for the work completed and materials supplied for such phase. The contractor may require that all lien waivers be notarized.

Section 5.05. NOTICE OF EXTENDED PAYMENT PROVISIONS

THIS CONTRACT ALLOWS THE OWNER AND/OR CONTRACTOR TO MAKE PAYMENT WITHIN THIRTY (30) DAYS AFTER CERTIFICATION AND APPROVAL OF BILLING AND ESTIMATES.

Section 5.06. NOTICE OF EXTENDED CERTIFICATION AND APPROVAL PROVISIONS.

THIS CONTRACT ALLOWS THE OWNER AND/OR CONTRACTOR TO CERTIFY AND APPROVE BILLINGS AND ESTIMATES, WITHIN (30) DAYS AFTER THE BILLING AND ESTIMATES ARE RECEIVED FROM THE SUBCONTRACTOR.

In Witness whereof, the Parties execute this agreement on the dates set forth below.

Contractor:

Date _ 01-12-2023

Authorized Representative

Subcontractor:

Date _

Authorized Representative RECEIVED 10/13/2023 ROC LEGAL RECEIVED 10/13/2023 ROC LEGAL RECEIVED 10/13/2023 ROC LEGAL RECEIVED 10/13/2023 ROC LEGAL RECEIVED 10/13/2023 ROC LEGAL RECEIVED 10/13/2023 ROC LEGAL RECEIVED 10/13/2023 ROC LEGAL RECEIVED 10/13/2023 ROC LEGAL RECEIVED 10/13/2023 ROC LEGAL RECEIVED 10/13/2023 ROC LEGAL RECEIVED 10/13/2023 ROC LEGAL RECEIVED 10/13/2023 ROC LEGAL RECEIVED 10/13/2023 ROC LEGAL RECEIVED 10/13/2023 ROC LEGAL RECEIVED 10/13/2023 ROC LEGAL RECEIVED 10/13/2023 ROC LEGAL RECEIVED 10/13/2023 ROC LEGAL RECEIVED 10/13/2023 ROC LEGAL RECEIVED 10/13/2023 ROC LEGAL 10/13/23, 11:03 AM Dynamic Fencing and Fabrication Mail - Invoice 23-025 RECEIVED 10/13/2023 ROC LEGAL Denise Anderton <[email redacted]>

Invoice 23-025 messages

Kerry Lanoue <[email redacted]> Tue, Jul 11, 2023 at 10:17 AM To: "[email redacted]" <[email redacted]>

Hi Denise I hope to have your invoice paid this week. I apologize I have not returned your call. Please feel free to reach out to me Friday for an update thank you

Denise Anderton <[email redacted]> Tue, Jul 11, 2023 at 10:23 AM To: Kerry Lanoue <[email redacted]>

Thank you for your reply. I will follow-up later with you.

Denise Anderton Dynamic Fencing 3138 E. President St. Tucson, AZ 85714 520.838.0607 office 520.551.6359 cell

ROC# 289500 ROC# 305134

[Quoted text hidden]

Dynamic-Fencing-Logo-FINAL.png 15K

Denise Anderton <[email redacted]> Thu, Jul 20, 2023 at 9:10 AM To: Kerry Lanoue <[email redacted]>

Kerry,

Can you please let me know when we will be receiving payment for this invoice? The Invoice was dated in April, due in May and this is the end of July. Any further delay and I will be forced to file a claim under the prompt pay act.

Thank you, Denise Anderton https://mail.google.com/mail/u/0/?ik=6b6e0720df&view=pt&search=all&permthid=thread-f:[number redacted]&simpl=msg-f:[number redacted]… 1/10 10/13/23, 11:03 AM Dynamic Fencing and Fabrication Mail - Invoice 23-025 RECEIVED Dynamic Fencing 10/13/2023 3138 E. President St. ROC LEGAL Tucson, AZ 85714 520.838.0607 office 520.551.6359 cell

ROC# 289500 ROC# 305134

[Quoted text hidden]

Kerry Lanoue <[email redacted]> Thu, Jul 20, 2023 at 1:01 PM To: Denise Anderton <[email redacted]>

Hi Denise I totally understand if you feel the need to file a claim. I do not have an answer for you today about payment date. We know its passed due and you will absolutely be paid

[Quoted text hidden] [Quoted text hidden]

[Quoted text hidden]

On Tue, Jul 11, 2023 at 10:17 AM Kerry Lanoue <[email redacted]> wrote:

[Quoted text hidden]

Denise Anderton <[email redacted]> Fri, Aug 11, 2023 at 5:30 AM To: Kerry Lanoue <[email redacted]>

Hello Kerry,

Can you please give me an update on payment status?

Thank you, Denise Anderton Dynamic Fencing 3138 E. President St. Tucson, AZ 85714 520.838.0607 office 520.551.6359 cell

ROC# 289500 ROC# 305134

[Quoted text hidden]

https://mail.google.com/mail/u/0/?ik=6b6e0720df&view=pt&search=all&permthid=thread-f:[number redacted]&simpl=msg-f:[number redacted]… 2/10 10/13/23, 11:03 AM Dynamic Fencing and Fabrication Mail - Invoice 23-025 RECEIVED 10/13/2023 ROC LEGAL

Dynamic-Fencing-Logo-FINAL.png 15K

Denise Anderton <[email redacted]> Tue, Aug 15, 2023 at 11:55 AM To: Kerry Lanoue <[email redacted]>

Hi Kerry,

Can I please get an update on payment status?

Thank you, Denise Anderton Dynamic Fencing 3138 E. President St. Tucson, AZ 85714 520.838.0607 office 520.551.6359 cell

ROC# 289500 ROC# 305134

[Quoted text hidden]

Dynamic-Fencing-Logo-FINAL.png 15K

Denise Anderton <[email redacted]> Fri, Aug 18, 2023 at 12:50 PM To: Kerry Lanoue <[email redacted]>

Hello,

Can I please get an update on payment please?

Denise Anderton Dynamic Fencing 3138 E. President St. Tucson, AZ 85714 520.838.0607 office 520.551.6359 cell

ROC# 289500

https://mail.google.com/mail/u/0/?ik=6b6e0720df&view=pt&search=all&permthid=thread-f:[number redacted]&simpl=msg-f:[number redacted]… 3/10 10/13/23, 11:03 AM Dynamic Fencing and Fabrication Mail - Invoice 23-025 RECEIVED ROC# 305134 10/13/2023 ROC LEGAL

[Quoted text hidden]

Dynamic-Fencing-Logo-FINAL.png 15K

Kerry Lanoue <[email redacted]> Mon, Aug 21, 2023 at 9:12 AM To: Denise Anderton <[email redacted]>

Hi Denise I apologize for the delay. I have forwarded all your requests for payment to the owner, I do not have any updates at this time. Thank you

From: Denise Anderton <[email redacted]> Sent: Friday, August 18, 2023 12:51 PM To: Kerry Lanoue <[email redacted]> Subject: Re: Invoice 23-025

Hello,

Can I please get an update on payment please?

Denise Anderton

Dynamic Fencing

3138 E. President St.

Tucson, AZ 85714

520.838.0607 office

520.551.6359 cell

ROC# 289500

ROC# 305134

https://mail.google.com/mail/u/0/?ik=6b6e0720df&view=pt&search=all&permthid=thread-f:[number redacted]&simpl=msg-f:[number redacted]… 4/10 10/13/23, 11:03 AM Dynamic Fencing and Fabrication Mail - Invoice 23-025 RECEIVED 10/13/2023 ROC LEGAL

On Tue, Aug 15, 2023 at 11:55 AM Denise Anderton <[email redacted]> wrote:

Hi Kerry,

Can I please get an update on payment status?

Thank you,

Denise Anderton

Dynamic Fencing

3138 E. President St.

Tucson, AZ 85714

520.838.0607 office

520.551.6359 cell

ROC# 289500

ROC# 305134

On Fri, Aug 11, 2023 at 5:30 AM Denise Anderton <[email redacted]> wrote:

Hello Kerry,

Can you please give me an update on payment status?

Thank you,

Denise Anderton

Dynamic Fencing

3138 E. President St.

Tucson, AZ 85714

https://mail.google.com/mail/u/0/?ik=6b6e0720df&view=pt&search=all&permthid=thread-f:[number redacted]&simpl=msg-f:[number redacted]… 5/10 10/13/23, 11:03 AM Dynamic Fencing and Fabrication Mail - Invoice 23-025 RECEIVED 520.838.0607 office 10/13/2023 ROC LEGAL 520.551.6359 cell

ROC# 289500

ROC# 305134

On Thu, Jul 20, 2023 at 1:02 PM Kerry Lanoue <[email redacted]> wrote:

[Quoted text hidden]

Denise Anderton <[email redacted]> Mon, Aug 21, 2023 at 9:37 AM To: Kerry Lanoue <[email redacted]>

Have you been paid from the owner yet on this item? The invoice is from April. [Quoted text hidden]

attachments

image001.png 15K

Denise Anderton <[email redacted]> Tue, Sep 5, 2023 at 9:34 AM To: Kerry Lanoue <[email redacted]>

Hello Kerry,

Can you please update me on payment for this outstanding invoice?

Thank you, Denise Anderton Dynamic Fencing 3138 E. President St. Tucson, AZ 85714 520.838.0607 office 520.551.6359 cell

ROC# 289500 ROC# 305134

https://mail.google.com/mail/u/0/?ik=6b6e0720df&view=pt&search=all&permthid=thread-f:[number redacted]&simpl=msg-f:[number redacted]… 6/10 10/13/23, 11:03 AM Dynamic Fencing and Fabrication Mail - Invoice 23-025 RECEIVED 10/13/2023 ROC LEGAL

[Quoted text hidden]

attachments

image001.png 15K

Dynamic-Fencing-Logo-FINAL.png 15K

image001.png 15K

Denise Anderton <[email redacted]> Fri, Sep 8, 2023 at 8:37 AM To: Kerry Lanoue <[email redacted]>

Kerry,

I need an update on payment for this invoice.

Denise Anderton Dynamic Fencing 3138 E. President St. Tucson, AZ 85714 520.838.0607 office 520.551.6359 cell

ROC# 289500 ROC# 305134

https://mail.google.com/mail/u/0/?ik=6b6e0720df&view=pt&search=all&permthid=thread-f:[number redacted]&simpl=msg-f:[number redacted]… 7/10 10/13/23, 11:03 AM Dynamic Fencing and Fabrication Mail - Invoice 23-025 RECEIVED [Quoted text hidden] 10/13/2023 ROC LEGAL

Dynamic-Fencing-Logo-FINAL.png 15K

Kerry Lanoue <[email redacted]> Tue, Sep 12, 2023 at 1:57 PM To: Denise Anderton <[email redacted]>

Hi Denise I apologies for the delay . I am no longer with the company. I did forward your email to the owner. Thank you

From: Denise Anderton <[email redacted]> Sent: Friday, September 8, 2023 8:37 AM To: Kerry Lanoue <[email redacted]> Subject: Re: Invoice 23-025

Kerry,

I need an update on payment for this invoice.

Denise Anderton

Dynamic Fencing

3138 E. President St.

Tucson, AZ 85714

520.838.0607 office

520.551.6359 cell

ROC# 289500

ROC# 305134

https://mail.google.com/mail/u/0/?ik=6b6e0720df&view=pt&search=all&permthid=thread-f:[number redacted]&simpl=msg-f:[number redacted]… 8/10 10/13/23, 11:03 AM Dynamic Fencing and Fabrication Mail - Invoice 23-025 RECEIVED On Tue, Sep 5, 2023 at 9:34 AM Denise Anderton <[email redacted]> wrote: 10/13/2023 ROC LEGAL Hello Kerry,

Can you please update me on payment for this outstanding invoice?

Thank you,

Denise Anderton

Dynamic Fencing

3138 E. President St.

Tucson, AZ 85714

520.838.0607 office

520.551.6359 cell

ROC# 289500

ROC# 305134

On Mon, Aug 21, 2023 at 9:12 AM Kerry Lanoue <[email redacted]> wrote:

Hi Denise I apologize for the delay. I have forwarded all your requests for payment to the owner, I do not have any updates at this time. Thank you

From: Denise Anderton <[email redacted]> Sent: Friday, August 18, 2023 12:51 PM To: Kerry Lanoue <[email redacted]> Subject: Re: Invoice 23-025

Hello,

Can I please get an update on payment please?

Denise Anderton

Dynamic Fencing

3138 E. President St.

Tucson, AZ 85714

520.838.0607 office

https://mail.google.com/mail/u/0/?ik=6b6e0720df&view=pt&search=all&permthid=thread-f:[number redacted]&simpl=msg-f:[number redacted]… 9/10 10/13/23, 11:03 AM Dynamic Fencing and Fabrication Mail - Invoice 23-025 RECEIVED 520.551.6359 cell 10/13/2023 ROC LEGAL

ROC# 289500

ROC# 305134

On Tue, Aug 15, 2023 at 11:55 AM Denise Anderton <[email redacted]> wrote:

[Quoted text hidden] [Quoted text hidden]

[Quoted text hidden]

On Tue, Jul 11, 2023 at 10:23 AM Denise Anderton <[email redacted]> wrote:

[Quoted text hidden]

https://mail.google.com/mail/u/0/?ik=6b6e0720df&view=pt&search=all&permthid=thread-f:[number redacted]&simpl=msg-f:[number redacted]… 10/10 Katelyn Rolling <[email redacted]>

No-Pay Follow Up 2023-11710 message

Katelyn Rolling <[email redacted]> Mon, Oct 23, 2023 at 4:09 PM To: [email redacted]

Hello,

Do you have any documentation that shows DirtWorks Contracting Inc lacks the capacity to pay because it has not received payment for the Silverbell Crossing - Guard Rail project?

Katelyn Rolling Legal Assistant II Arizona Registrar of Contractors 1700 W Washington St Ste 105 Phoenix, AZ 85007 (602) 542-1525 RECEIVED LEGAL 10/23/2023

DIRTWORKS CONTRACTING INC. REGISTRAR OF CONTRACTORS OF STATE OF ARIZONA Dynamic Fenciung and Fabrication LLC, Case No.: 2023-11710 COMPLAINANT, RESPONSE TO COMPLAINT v. Dirtworks Contracting, Inc., License No. ROC 318883 RESPONDENT. COMES NOW Respondent Dirtworks Contracting, Inc. (hereinafter, “Respondent”), hereby files this Response to the Complaint and further admits, denies, and alleges as follows: Complaint contains allegations that Respondent has violated certain contracting statutes, specifically: Charge 1 - A.R.S. § 32-1154(A)(10): Failure by a licensee or agent or official of a licensee to pay monies in excess of $750 when due for materials or services rendered in connection with the licensee's operations as a contractor unless the licensee proves that the licensee lacks the capacity to pay and has not received sufficient monies as payment for the particular construction work project or operation for which the services or materials were rendered or purchased. Respondent lacks the capacity to pay and has not received sufficient monies as payment

RECEIVED LEGAL 10/23/2023

for the particular construction work project. Therefore, there has been no violation of A.R.S. § 32-1154(A)(10). Further, Respondent wholly denies the allegations contained in the Complaint to the extent it expresses or implies any wrongdoing or liability on behalf of Respondent or otherwise alleges any violation of Arizona Contracting laws. RESPECTFULLY submitted this 23rd day of October, 2023. Dirtworks Contracting, Inc. COPY emailed this 23rd day of October, 2023 to: Legal Department Arizona Registar of Contractors 1700 W. Washington Street Suite 105 Phoenix, Arizona 85007 [email redacted]

RECEIVED LEGAL 10/23/2023

Legal New Mail - AZROC <[email redacted]>

2023-11710 message

Info Remingtongrace <[email redacted]> Mon, Oct 23, 2023 at 3:00 PM To: "[email redacted]" <[email redacted]>

Dear ROC,

Please find attached Response to the above referenced Complaint.

Response to ROC Complaint for Dynamic Fencing.pdf 90K RECEIVED 10/23/2023 ROC LEGAL Katelyn Rolling <[email redacted]>

No-Pay Follow Up 2023-11710 messages

Katelyn Rolling <[email redacted]> Mon, Oct 23, 2023 at 4:09 PM To: [email redacted]

Hello,

Do you have any documentation that shows DirtWorks Contracting Inc lacks the capacity to pay because it has not received payment for the Silverbell Crossing - Guard Rail project?

Katelyn Rolling Legal Assistant II Arizona Registrar of Contractors 1700 W Washington St Ste 105 Phoenix, AZ 85007 (602) 542-1525

Info Remingtongrace <[email redacted]> Thu, Oct 26, 2023 at 1:31 PM To: Katelyn Rolling <[email redacted]>

Yes, we do. I will send that documentation. Thank you. Edward Britt

From: Katelyn Rolling <[email redacted]> Date: Monday, October 23, 2023 at 4:10 PM To: Info Remingtongrace <[email redacted]> Subject: No-Pay Follow Up 2023-11710

Hello,

Do you have any documentation that shows DirtWorks Contracting Inc lacks the capacity to pay because it has not received payment for the Silverbell Crossing - Guard Rail project?

Katelyn Rolling Legal Assistant II Arizona Registrar of Contractors 1700 W Washington St Ste 105 RECEIVED Phoenix, AZ 85007 10/23/2023 ROC LEGAL (602) 542-1525

Image removed by sender.

Katelyn Rolling <[email redacted]> Thu, Oct 26, 2023 at 1:39 PM To: Info Remingtongrace <[email redacted]>

Please provide the documentation as soon as possible, for the matter is currently under review with one of our attorneys for consideration of issuing a Citation.

Katelyn Rolling Legal Assistant II Arizona Registrar of Contractors 1700 W Washington St Ste 105 Phoenix, AZ 85007 (602) 542-1525

[Quoted text hidden]

Info Remingtongrace <[email redacted]> Thu, Oct 26, 2023 at 1:41 PM To: Katelyn Rolling <[email redacted]>

I have a call into our CPA. I hope to be able to send you information today or at the latest tomorrow. Thank you.

From: Katelyn Rolling <[email redacted]> Date: Thursday, October 26, 2023 at 1:39 PM To: Info Remingtongrace <[email redacted]> Subject: Re: No-Pay Follow Up 2023-11710

Please provide the documentation as soon as possible, for the matter is currently under review with one of our attorneys for consideration of issuing a Citation.

Katelyn Rolling Legal Assistant II Arizona Registrar of Contractors 1700 W Washington St Ste 105 Phoenix, AZ 85007 (602) 542-1525

Image removed by sender. RECEIVED 10/23/2023 ROC LEGAL

On Thu, Oct 26, 2023 at 1:31 PM Info Remingtongrace <[email redacted]> wrote: Yes, we do. I will send that documentation. Thank you. Edward Britt

From: Katelyn Rolling <[email redacted]> Date: Monday, October 23, 2023 at 4:10 PM To: Info Remingtongrace <[email redacted]> Subject: No-Pay Follow Up 2023-11710

Hello,

Do you have any documentation that shows DirtWorks Contracting Inc lacks the capacity to pay because it has not received payment for the Silverbell Crossing - Guard Rail project?

Katelyn Rolling Legal Assistant II Arizona Registrar of Contractors 1700 W Washington St Ste 105 Phoenix, AZ 85007 (602) 542-1525

Error! Filename not specified.

Info Remingtongrace <[email redacted]> Thu, Oct 26, 2023 at 1:48 PM To: Katelyn Rolling <[email redacted]>

I just spoke with our CPA and he will send us a current balance sheet that shows we have not been paid and we do not have the ability to pay. He is going into an eye surgery right now but said he could get it to us by tomorrow. Please let me know if that will be okay. Thank you.

From: Katelyn Rolling <[email redacted]> Date: Thursday, October 26, 2023 at 1:39 PM To: Info Remingtongrace <[email redacted]> Subject: Re: No-Pay Follow Up 2023-11710

Please provide the documentation as soon as possible, for the matter is currently under review with one of our attorneys for consideration of issuing a Citation.

Katelyn Rolling RECEIVED Legal Assistant II 10/23/2023 ROC LEGAL Arizona Registrar of Contractors 1700 W Washington St Ste 105 Phoenix, AZ 85007 (602) 542-1525

Image removed by sender.

On Thu, Oct 26, 2023 at 1:31 PM Info Remingtongrace <[email redacted]> wrote: Yes, we do. I will send that documentation. Thank you. Edward Britt

From: Katelyn Rolling <[email redacted]> Date: Monday, October 23, 2023 at 4:10 PM To: Info Remingtongrace <[email redacted]> Subject: No-Pay Follow Up 2023-11710

Hello,

Do you have any documentation that shows DirtWorks Contracting Inc lacks the capacity to pay because it has not received payment for the Silverbell Crossing - Guard Rail project?

Katelyn Rolling Legal Assistant II Arizona Registrar of Contractors 1700 W Washington St Ste 105 Phoenix, AZ 85007 (602) 542-1525

Error! Filename not specified.

Katelyn Rolling <[email redacted]> Thu, Oct 26, 2023 at 1:59 PM To: Info Remingtongrace <[email redacted]>

It is up to our attorney. Is the project not finished yet, were you terminated from the project, or is the owner or the jobsite refusing to pay?

Katelyn Rolling Legal Assistant II Arizona Registrar of Contractors 1700 W Washington St Ste 105 Phoenix, AZ 85007 (602) 542-1525 RECEIVED 10/23/2023 ROC LEGAL

[Quoted text hidden]

Info Remingtongrace <[email redacted]> Thu, Oct 26, 2023 at 2:41 PM To: Katelyn Rolling <[email redacted]>

Attached is the company balance sheet as of 9/30/30. As you can see there is very little cash and even less now. The accounts receivable show invoicing has been sent out but not paid. If the company receivables are paid there would be money to pay this subcontractor, but there is no money to pay them at this time.

From: Katelyn Rolling <[email redacted]> Date: Thursday, October 26, 2023 at 1:59 PM To: Info Remingtongrace <[email redacted]> Subject: Re: No-Pay Follow Up 2023-11710

It is up to our attorney. Is the project not finished yet, were you terminated from the project, or is the owner or the jobsite refusing to pay?

Katelyn Rolling Legal Assistant II Arizona Registrar of Contractors 1700 W Washington St Ste 105 Phoenix, AZ 85007 (602) 542-1525

Image removed by sender.

On Thu, Oct 26, 2023 at 1:48 PM Info Remingtongrace <[email redacted]> wrote: I just spoke with our CPA and he will send us a current balance sheet that shows we have not been paid and we do not have the ability to pay. He is going into an eye surgery right now but said he could get it to us by tomorrow. Please let me know if that will be okay. Thank you.

From: Katelyn Rolling <[email redacted]> Date: Thursday, October 26, 2023 at 1:39 PM To: Info Remingtongrace <[email redacted]> Subject: Re: No-Pay Follow Up 2023-11710 RECEIVED 10/23/2023 Please provide the documentation as soon as possible, for the matter is currently under review with ROC one LEGAL of our attorneys for consideration of issuing a Citation.

Katelyn Rolling Legal Assistant II Arizona Registrar of Contractors 1700 W Washington St Ste 105 Phoenix, AZ 85007 (602) 542-1525

Error! Filename not specified.

[Quoted text hidden]

2023_09_30 Balance Sheet - Dirtworks.pdf 36K

Katelyn Rolling <[email redacted]> Thu, Oct 26, 2023 at 2:47 PM To: Info Remingtongrace <[email redacted]>

Do you have documentation showing the owner of the jobsite has refused to pay your invoice?

Katelyn Rolling Legal Assistant II Arizona Registrar of Contractors 1700 W Washington St Ste 105 Phoenix, AZ 85007 (602) 542-1525

[Quoted text hidden]

Info Remingtongrace <[email redacted]> Thu, Oct 26, 2023 at 2:49 PM To: Katelyn Rolling <[email redacted]>

No, we don’t have that. All we have is our own accounting, but not anyone elses.

From: Katelyn Rolling <[email redacted]> Date: Thursday, October 26, 2023 at 2:47 PM RECEIVED To: Info Remingtongrace <[email redacted]> 10/23/2023 Subject: Re: No-Pay Follow Up 2023-11710 ROC LEGAL

Do you have documentation showing the owner of the jobsite has refused to pay your invoice?

Katelyn Rolling Legal Assistant II Arizona Registrar of Contractors 1700 W Washington St Ste 105 Phoenix, AZ 85007 (602) 542-1525

Image removed by sender.

On Thu, Oct 26, 2023 at 2:41 PM Info Remingtongrace <[email redacted]> wrote: Attached is the company balance sheet as of 9/30/30. As you can see there is very little cash and even less now. The accounts receivable show invoicing has been sent out but not paid. If the company receivables are paid there would be money to pay this subcontractor, but there is no money to pay them at this time.

From: Katelyn Rolling <[email redacted]> Date: Thursday, October 26, 2023 at 1:59 PM To: Info Remingtongrace <[email redacted]> Subject: Re: No-Pay Follow Up 2023-11710

It is up to our attorney. Is the project not finished yet, were you terminated from the project, or is the owner or the jobsite refusing to pay?

Katelyn Rolling Legal Assistant II Arizona Registrar of Contractors 1700 W Washington St Ste 105 Phoenix, AZ 85007 (602) 542-1525

Error! Filename not specified.

[Quoted text hidden]

Katelyn Rolling <[email redacted]> Thu, Oct 26, 2023 at 2:52 PM RECEIVED To: Info Remingtongrace <[email redacted]> 10/23/2023 ROC LEGAL You do not have any written correspondence showing your request(s) for payment?

Katelyn Rolling Legal Assistant II Arizona Registrar of Contractors 1700 W Washington St Ste 105 Phoenix, AZ 85007 (602) 542-1525

[Quoted text hidden]

Info Remingtongrace <[email redacted]> Thu, Oct 26, 2023 at 2:55 PM To: Katelyn Rolling <[email redacted]>

Just the invoicing. Would you like me to send you that? It’s rather voluminous. I was under the impression that if we show that we have not been paid (the Accounts Receivable on the balance sheet shows that) and we do not have the ability to pay (the Cash on the balance sheet shows that) that there cannot be a violation.

From: Katelyn Rolling <[email redacted]> Date: Thursday, October 26, 2023 at 2:52 PM To: Info Remingtongrace <[email redacted]> Subject: Re: No-Pay Follow Up 2023-11710

You do not have any written correspondence showing your request(s) for payment?

Katelyn Rolling Legal Assistant II Arizona Registrar of Contractors 1700 W Washington St Ste 105 Phoenix, AZ 85007 (602) 542-1525

Image removed by sender.

On Thu, Oct 26, 2023 at 2:49 PM Info Remingtongrace <[email redacted]> wrote: No, we don’t have that. All we have is our own accounting, but not anyone elses. RECEIVED 10/23/2023 ROC LEGAL From: Katelyn Rolling <[email redacted]> Date: Thursday, October 26, 2023 at 2:47 PM To: Info Remingtongrace <[email redacted]> Subject: Re: No-Pay Follow Up 2023-11710

Do you have documentation showing the owner of the jobsite has refused to pay your invoice?

Katelyn Rolling Legal Assistant II Arizona Registrar of Contractors 1700 W Washington St Ste 105 Phoenix, AZ 85007 (602) 542-1525

Error! Filename not specified.

[Quoted text hidden]

Info Remingtongrace <[email redacted]> Thu, Oct 26, 2023 at 2:55 PM To: Katelyn Rolling <[email redacted]>

We are in the process of trying to get legal representation to file liens but we haven’t been able to do that yet.

From: Katelyn Rolling <[email redacted]> Date: Thursday, October 26, 2023 at 2:52 PM To: Info Remingtongrace <[email redacted]> Subject: Re: No-Pay Follow Up 2023-11710

You do not have any written correspondence showing your request(s) for payment?

Katelyn Rolling Legal Assistant II Arizona Registrar of Contractors 1700 W Washington St Ste 105 Phoenix, AZ 85007 (602) 542-1525

Image removed by sender. RECEIVED 10/23/2023 ROC LEGAL

On Thu, Oct 26, 2023 at 2:49 PM Info Remingtongrace <[email redacted]> wrote: No, we don’t have that. All we have is our own accounting, but not anyone elses.

From: Katelyn Rolling <[email redacted]> Date: Thursday, October 26, 2023 at 2:47 PM To: Info Remingtongrace <[email redacted]> Subject: Re: No-Pay Follow Up 2023-11710

Do you have documentation showing the owner of the jobsite has refused to pay your invoice?

Katelyn Rolling Legal Assistant II Arizona Registrar of Contractors 1700 W Washington St Ste 105 Phoenix, AZ 85007 (602) 542-1525

Error! Filename not specified.

[Quoted text hidden]

Katelyn Rolling <[email redacted]> Thu, Oct 26, 2023 at 3:01 PM To: Info Remingtongrace <[email redacted]>

I can present what you have provided to the attorney who is currently reviewing that matter. She will make the decision as to whether or not your documentation is sufficient.

Katelyn Rolling Legal Assistant II Arizona Registrar of Contractors 1700 W Washington St Ste 105 Phoenix, AZ 85007 (602) 542-1525

[Quoted text hidden] RECEIVED 10/23/2023 1:57 PM Dirtworks Inc ROC LEGAL 10/26/23 Balance Sheet Accrual Basis As of September 30, 2023

Sep 30, 23 ASSETS Current Assets Checking/Savings 10100 · Checking Account 4222 2,114.33

Total Checking/Savings 2,114.33

Accounts Receivable 11000 · Accounts Receivable 6,386,244.51

Total Accounts Receivable 6,386,244.51

Other Current Assets 11200 · Retention Receivable 241,322.96

Total Other Current Assets 241,322.96

Total Current Assets 6,629,681.80

Fixed Assets 15300 · Construction Equipment 3,222,721.92

15000 · Furniture and Equipment 8,182.88 15401 · Vehicles 1,146,105.90

17000 · (Accumulated Depreciation) -2,522,947.36 18000 · Software 7,500.00

Total Fixed Assets 1,861,563.34

Other Assets 19000 · Security Deposit 2,849.37

Total Other Assets 2,849.37

TOTAL ASSETS 8,494,094.51

LIABILITIES & EQUITY Liabilities Current Liabilities Accounts Payable 20000 · Accounts Payable 5,907,157.19

Total Accounts Payable 5,907,157.19

Page 1 RECEIVED 10/23/2023 1:57 PM Dirtworks Inc ROC LEGAL 10/26/23 Balance Sheet Accrual Basis As of September 30, 2023

Sep 30, 23 Credit Cards 21030 · CAT Commercial LOC 27,600.74 21025 · AME 57,054.80

Total Credit Cards 84,655.54

Other Current Liabilities -1,241,474.32

Total Current Liabilities 4,750,338.41

Long Term Liabilities 1,923,398.50

Total Liabilities 6,673,736.91

Equity 31300 · Paid In Capital 113,218.74 31400 · Shareholder Distributions SP -2,572,704.61

32000 · Retained Earnings 3,687,343.02 et Income 592,500.45

Total Equity 1,820,357.60

TOTAL LIABILITIES & EQUITY 8,494,094.51

Page 2 REGISTRAR OF CONTRACTORS OF THE STATE OF ARIZONA

Dynamic Fencing and Fabrication LLC, Case No. 2023-11710 COMPLAINANT, v.

DirtWorks Contracting Inc, CITATION License No. ROC 318883,

RESPONDENT.

The Registrar issues this Citation to DirtWorks Contracting Inc (“Respondent”) under A.R.S. § 32-1155(A). If Respondent fails to answer this Citation by November 16, 2023, then under A.R.S. § 32-1155(C), Respondent’s failure to answer may be deemed an admission of the act or acts charged in the underlying complaint, and the Registrar may then suspend or revoke Respondent’s license(s). THE WRITTEN COMPLAINT On October 9, 2023, Dynamic Fencing and Fabrication LLC (“Complainant”) filed a written complaint with the Registrar. A copy of that Complaint is attached to this Citation. A FORMAL STATEMENT OF THE CHARGES AGAINST RESPONDENT The Registrar investigated this matter and finds cause to charge Respondent with violation(s) of Title 32, Chapter 10 of the Arizona Revised Statutes. Respondent is charged with violating: Charge :1 A.R.S. § 32-1154(A)(10) Failure by a licensee or agent or official of a licensee to pay monies in excess of $750 when due for materials or services rendered in connection with the licensee’s

of 5 1700 W. Washington Street, Suite 105 · Phoenix, AZ 85007-2812 602.542.1525 · Toll Free 877.692.9762 · roc.az.gov Lg101 8/21 operations as a contractor unless the licensee proves that the licensee lacks the capacity to pay and has not received sufficient monies as payment for the particular construction work project or operation for which the services or materials were rendered or purchased. If the matter proceeds to a hearing and the administrative law judge determines that any of the charges listed above are supported by a preponderance of the evidence, then Respondent’s license(s) may be subject to suspension or revocation, and Respondent may be subject to other penalties provided by law, including civil penalties under A.R.S. §§ 32-1154(E) and (F). FILING A WRITTEN ANSWER Respondent must appear by filing with the Registrar a written answer to the citation and complaint showing cause, if any, why Respondent’s license(s) should not be suspended or revoked. A.R.S. § 32-1155(A). Respondent’s written answer should contain the heading “Written Answer to Citation and Complaint” and should include the case number, which is Case No. 2023-11710. How to File a Written Answer: Respondent’s written answer may be submitted in the following ways: In-Person: 1700 W. Washington St., Ste. 105, Phoenix, AZ 85007-2812 Mail: P.O. Box 18244, Phoenix, AZ 85005-8244 Email: [email redacted] The Registrar’s normal office hours are 8:00 a.m. to 5:00 p.m., Monday through Friday. If Respondent submits a written answer by mail, it is not filed with the Registrar until the Registrar actually receives it. Deadline for Filing a Written Answer: Respondent must file a written answer with the Registrar no later than November 16, 2023. This deadline is calculated under A.R.S. §§ 32-1155(A) and (B), which provides a deadline ten days after service of the Citation. Service of the Citation and Complaint is

of 5 1700 W. Washington Street, Suite 105 · Phoenix, AZ 85007-2812 602.542.1525 · Toll Free 877.692.9762 · roc.az.gov Lg101 8/21 complete five days after the Registrar mails a copy of the Citation and Complaint to Respondent’s latest address of record in the Registrar’s office. Consequences for Failing to File a Written Answer: If Respondent fails to answer, Respondent’s failure may be deemed an admission of the act or acts charged in the written complaint. A.R.S. § 32-1155(C). The Registrar may then suspend or revoke Respondent’s license(s). THE ADMINISTRATIVE HEARING If Respondent files a timely written answer contesting any charges in the Complaint, then the Registrar will request the Office of Administrative Hearings set a date for an administrative hearing and will notify all the parties at least 30 days before that hearing. A.R.S. § 41-1092.05(D). RESPONDENT’S RIGHT TO REQUEST AN INFORMAL SETTLEMENT CONFERENCE Under A.R.S. § 41-1092.06, if Respondent submits a request to the Registrar for an informal settlement conference, the Registrar must hold a conference within 15 days after receiving the request. Respondent’s request for an informal settlement conference must be in writing and must be filed no later than 20 days before the administrative hearing. A.R.S. § 41- 1092.06(A). The Registrar will not close or settle any case without both parties’ appearance at the Settlement Conference. The parties participating in the settlement conference must have the authority to settle the case and must waive their right to object to the participation of the Registrar’s settlement conference representative in the final administrative decision. A.R.S. § 41-1092.06(B). Any statements, either written or oral, made by the parties at the conference, including a written document, created or expressed solely for the purpose of settlement negotiations, are inadmissible in the administrative hearing. A.R.S. § 41-1092.06(B).

of 5 1700 W. Washington Street, Suite 105 · Phoenix, AZ 85007-2812 602.542.1525 · Toll Free 877.692.9762 · roc.az.gov Lg101 8/21 RESPONDENT’S PRIOR RECORD Under A.A.C. R4-9-117, in determining the appropriate discipline, the administrative law judge and the Registrar may consider not only facts in the current case, but also facts in prior cases and any documents regarding Respondent on file with the Registrar. Respondent’s prior disciplinary record and current license(s) status may be considered as a mitigating or aggravating factor in determining the appropriate discipline. EVIDENTIARY DISCLAIMER By issuing this Citation, the Registrar is directing Respondent to file a written answer to the Citation and Complaint, showing cause, if any, why Respondent’s license(s) should not be suspended or revoked. A.R.S. § 32-1155(A). This Citation does not constitute proof that any charge or allegation in Complainant’s written complaint is in fact true. This Citation does not constitute proof that Respondent violated any statutory provision or rule adopted by the Registrar. Dated November 1, 2023. By: /s/ Margaret Lindsey Margaret Lindsey Assistant General Counsel Legal Department Arizona Registrar of Contractors COPY of the foregoing mailed by Certified Mail, Return Receipt Requested, November 1, 2023 to: Respondent Certified Mail No: [number redacted] DirtWorks Contracting Inc 9105 E Del Camino Ste 112 Scottsdale, AZ 85258

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of 5 1700 W. Washington Street, Suite 105 · Phoenix, AZ 85007-2812 602.542.1525 · Toll Free 877.692.9762 · roc.az.gov Lg101 8/21 Copy mailed by USPS First Class Mail this same date to: Respondent DirtWorks Contracting Inc 9105 E Del Camino Ste 112 Scottsdale, AZ 85258 Complainant Dynamic Fencing and Fabrication LLC 3138 E President St Tucson, AZ 85714 Copy sent electronically this same date to:

Respondent at email address on record with the Registrar Complainant at email address on record with the Registrar Case No. 2023-11710 / KR

of 5 1700 W. Washington Street, Suite 105 · Phoenix, AZ 85007-2812 602.542.1525 · Toll Free 877.692.9762 · roc.az.gov Lg101 8/21 RECEIVED 10/09/2023 ROC LEGAL Non-Payment Complaint Form Departmental Use Only Complaint Number: Mail to: Registrar of Contractors 2023-11710 P.O. Box 18243 Phoenix, AZ 85005-8243