ALJDEC - Licensing

2023A-12150-CHC-ROC · Registrar of Contractors · 2024-01-30

IN THE OFFICE OF ADMINISTRATIVE HEARINGS

Julia Chavez Sullivan,

COMPLAINANT

v.

Skyland Roofing LLC

License No. ROC 329159,

RESPONDENT

No. 2023A-12150-CHC-ROC

ADMINISTRATIVE LAW JUDGE DECISION

HEARING: January 30, 2024

APPEARANCES: Complainant Julia Chavez Sullivan appeared on her own behalf. Vanessa Larios, Owner and Qualifying Party, appeared on behalf of Respondent Skyland Roofing LLC.

ADMINISTRATIVE LAW JUDGE: Tammy L. Eigenheer

EXHIBITS ADMITTED INTO EVIDENCE: Administrative Notice of Hearing Packet submitted by the Registrar of Contractors.

_____________________________________________________________________

FINDINGS OF FACT

Skyland Roofing LLC (Respondent) is the holder of License No. 329159 issued by the Arizona Registrar of Contractors (Registrar).

On or about May, 27, 2023, Julia Chavez Sullivan (Complainant) entered into a contract with Respondent for the removal and replacement of the roof. The contract did not include the estimated date of completion or an advisement that the homeowner had the right to file a complaint with the Registrar.

On or about May 31, 2023, Complainant paid Respondent a $7,600.00 deposit. The work was scheduled to begin in July 2023, but Respondent did not contact Complainant about starting the project until August 2023.

In September 2023, Complainant and Respondent had a conversation about when the work would be completed. At that point, the parties agreed that the contract should be cancelled and Respondent would return the deposit within 30 days.

Respondent never repaid Complainant the deposit.

On or about October 20, 2023, the Registrar received a Complaint against Respondent from Complainant alleging abandonment with respect to the project.

The Registrar assigned the complaint to Investigator John Smith. After a jobsite inspection, Investigator Smith determined that no work had been performed on the project. Investigator Smith forwarded the matter to the legal department.

The Registrar issued a Citation against Respondent, charging possible violations of A.R.S. § 32-1154(A)(1) and A.R.S. § 32-1154(A)(12), namely A.R.S. § 32-1158.

In Respondent’s answer to the Citation, Respondent indicated that the business was closing due to “unforeseen financial challenges.” Respondent stated that it still intended to reimburse Complainant for the deposit she paid.

Investigator Smith testified that Respondent’s license was suspended due to a disciplinary action on December 26, 2023. Investigator Smith also noted that Ms. Larios had a second roofing license that was still active.

Complainant testified that Respondent performed no work on the project and had not received a refund of the deposit paid as of the hearing date.

Ms. Larios testified that she had undergone a hard time and was unable to fulfill all her contractual obligations. Ms. Larios indicated her other company was also in the process of closing due to a lack of capital. Ms. Larios stated she intended to repay Complainant, but she did not have any funds to do so. Ms. Larios acknowledged it was her responsibility to do so.

Administrative notice is taken of Respondent’s prior License record on January 30, 2024. Such prior License record reflects that Respondent’s License No. 329159 was first issued on June 4, 2020, and was suspended due to discipline on December 26, 2023. Such prior License record also reflects that there were four open complaints, one resolved/settled complaint, and one prior complaint resulting in discipline against Respondent’s license.

CONCLUSIONS OF LAW

This matter lies within the Registrar’s jurisdiction. See A.R.S. § 32-1101 et seq.

Complainant bears the burden of proof to establish Respondent’s statutory violations by a preponderance of the evidence. See A.R.S. § 41-1092.07(G)(2); A.A.C. R2-19-119(A) and A.A.C. R2-19-119(B)(1); see also Vazzano v. Superior Court, 74 Ariz. 369, 372, 249 P.2d 837 (1952). “A preponderance of the evidence is such proof as convinces the trier of fact that the contention is more probably true than not.” Morris K. Udall, Arizona Law of Evidence § 5 (1960).

The evidence established that Respondent submitted a bid for Complainant’s project and did not perform the work in the bid. Accordingly, Complainant established that Respondent abandoned the contract in violation of A.R.S. § 32-1154(A)(1).

The evidence established that Respondent’s contract failed to include the required elements of a contract set forth in A.R.S. § 32-1158(A). Therefore, Complainant established that Respondent failed to comply with the Registrar’s statute in violation of A.R.S. § 32-1154(A)(12).

RECOMMENDED ORDER

Based on the foregoing, it is recommended that on the effective date of the Order, the Registrar shall revoke Respondent’s License No. 329159.

It is further recommended that, on or before thirty (30) days after the effective date of the final order, Respondent shall provide a sample contract to the Registrar to demonstrate that it has amended its contracts to include the nine terms required by A.R.S. § 32-1158(A). If Respondent fails to establish to the Registrar that it has brought its contracts into compliance with A.R.S. § 32-1158(A) within thirty days, its contractor’s license shall be suspended until it demonstrates that it has done so.

Pursuant to A.R.S. § 41-1092.08(I), the licensee may accept the Administrative Law Judge Decision by advising the Office of Administrative Hearings in writing not more than ten (10) days after receiving the decision. If the licensee accepts the Administrative Law Judge Decision, the decision shall be certified as the final decision by the Office of Administrative Hearings.

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 forty (40) days from the date of that certification.

Done this day, January 30, 2024.

/s/ Tammy L. Eigenheer

Administrative Law Judge

Transmitted by either mail, e-mail, or facsimile to:

Tom Cole, Director

Registrar of Contractors

Julia Chavez Sullivan

[email redacted]

Skyland Roofing LLC

[email redacted]

John Smith

[email redacted]

By: OAH Staff