2023A-12248-CHC-ROC Notice of Hearing & Packet MAILED 2023-12248.pdf

2023A-12248-CHC-ROC · Registrar of Contractors · 2024-08-30

REGISTRAR OF CONTRACTORS OF THE STATE OF ARIZONA

Rebecca Eckelberg , Case No. 2023-12248

COMPLAINANT, Docket No. 2023A-12248-CHC-ROC

v. NOTICE OF HEARING ON CONTESTED CASE Regal Homes LLC License No. ROC 326542,

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

HEARING INFORMATION The hearing is set for:

October 18, 2024 1:00 PM Tammy Eigenheer 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 June 11 2024. 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)(3) - R4-9-108(a) Charge: 2 A.R.S. § 32-1154(A)(22)

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.

The Registrar’s assigned investigator will appear as a witness at the hearing. 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/forms/RC-L-800A%20- %20Prehearing%20Disclosure%20Statement%2020191007v4.pdf

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 August 30, 2024.

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

Copy mailed via USPS First Class mail August 30, 2024 to:

Respondent(s) Regal Homes LLC 6338 E Orion St Mesa, AZ 85215

Complainant(s) Rebecca Eckelberg 4313 N Deserts Gate Mesa, AZ 85207

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. 2023-12248 /

Douglas A. Ducey, Governor Jeffrey L. Fleetham, 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

Douglas A. Ducey, Governor Jeffrey L. Fleetham, 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

Douglas A. Ducey, Governor Jeffrey L. Fleetham, 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

Complainant: Rebecca Eckelberg 4313 N Deserts Gate Mesa, AZ 85207

1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812

602.542.1525 · Toll Free 877.692.9762 · roc.az.gov C008 05/21 Respondent: Regal Homes LLC 6338 E Orion St Mesa, AZ 85215

1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812

602.542.1525 · Toll Free 877.692.9762 · roc.az.gov C008 05/21 November 17, 2023

Jobsite Inspection Notice Re: Complaint Number 2023-12248

Dear Complainant and Respondent:

A formal complaint has been filed with the Arizona Registrar of Contractors.

A jobsite inspection is scheduled for December 12, 2023 at 09:00 AM. The Complainant is required to be present. The Respondent’s attendance is requested and encouraged. The Registrar encourages both parties to make a good faith effort to resolve this complaint prior to the jobsite inspection.

COMPLAINANT: 1. Under A.R.S. § 32-1155(D)(1), the Respondent must be allowed, upon request, the opportunity to inspect the work complained of within fifteen (15) days of receiving this notice. If Respondent is not provided an opportunity to inspect the work within the fifteen (15) day time period, the Registrar may be prohibited from taking further action on this complaint. 2. The Registrar may also be precluded from taking further action on this complaint, if the work that is the subject of the complaint is subject to neglect, modification, or abnormal use. A.R.S. § 32-1155(D)(2) 3. You must provide safe access to any area to be inspected. If access to a roof or other elevated area is required, you must provide a means to safely access the area (ladder or manlift as appropriate). Additionally, please secure any animals.

RESPONDENT: 1. Enclosed is a copy of the complaint. Under A.R.S. § 32-1155(D) you must be allowed, upon request, the opportunity to inspect the work complained of within fifteen days of the date of receipt of this notice. 2. To assist the assigned investigator in evaluating the merits of the complaint, please submit a response to the enclosed complaint to the assigned investigator prior to the scheduled inspection. 3. If you do not attend the jobsite inspection, your absence may negatively impact the investigation, and your interests. 4. If a building permit(s) was required for this project, please have the building permit information available at the jobsite inspection.

1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812

602.542.1525 · Toll Free 877.692.9762 · roc.az.gov C008 05/21 If either party needs to reschedule the jobsite inspection, please notify the assigned investigator at least three business days prior to the inspection date to schedule a new date and time.

If the parties resolve the complaint prior to the inspection, please notify the assigned investigator in writing and by phone as soon as possible.

Sincerely, Steven Avila Steven Avila, Investigator 602 7716772 [email redacted] 1700 W Washington St, Suite 105 Phoenix, AZ 85007

1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812

602.542.1525 · Toll Free 877.692.9762 · roc.az.gov C008 05/21 A Guide to Jobsite Inspections

Purpose of the Jobsite Inspection When the Registrar receives a complaint against a contractor’s license alleging poor workmanship, the Registrar generally schedules a Jobsite Inspection. The Jobsite Inspection serves two purposes: 1. To give the contractor an opportunity to inspect the complaint items; and 2. To give the Registrar an opportunity to determine if the contractor’s work violates Arizona law.

Jobsite Inspection Rights and Responsibilities Access to inspect: The property owner has complete control over who they allow on the property. However, if the Registrar’s investigator or the contractor cannot inspect the work, the Registrar will not move forward with a citation.

Cooperation: Arizona law enables injured parties to seek relief for damages through several paths. When dealing with a licensed contractor, the Registrar of Contractors’ administrative complaint process may serve as one of those possible paths. However, in order to use that path, the Registrar relies on the cooperation of all parties to a complaint.

Minimum workmanship: The Registrar investigates workmanship complaints for compliance with minimum workmanship and professional industry standards. The Registrar does not issue citations for work that meets these standards.

Scope: The scope of the Jobsite Inspection is limited to items listed in the complaint filed with the Registrar’s office. It is the complainant’s responsibility to point out the complaint item(s) and the Investigators role to review the item(s). If the complainant identifies additional workmanship items not listed in the original complaint, they must file an addendum to the complaint. The Registrar’s Investigator may identify additional administrative violations by the contractor (e.g. work performed out of scope of the license and failure to provide a contract that meets requirements set by Arizona law) at the time of the inspection.

The Role of the Investigator At the Jobsite Inspection, the Registrar’s investigator will: ● Only investigate the items listed on the complaint form filed with the Registrar. ● Will gather evidence to make an informed decision about the complaint items.

What to expect after a Jobsite Inspection After doing a Jobsite Inspection, the Registrar’s Investigator will leave the jobsite and review the evidence provided during the inspection. Generally, the investigator does not make any determination at the time of the jobsite inspection regarding whether the allegations listed in the complaint are supported. ● If the allegations are confirmed, the Registrar’s Investigator may issue a Written Directive telling the contractor to correct the poor or incomplete work. ● If the allegations are not confirmed, the Registrar’s Investigator will close the complaint.

1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812

602.542.1525 · Toll Free 877.692.9762 · roc.az.gov C008 05/21 If you have not filed a complaint yet or have not been assigned an investigator, you can reach the Registrar’s compliance department at (877) 692-9762.

1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812

602.542.1525 · Toll Free 877.692.9762 · roc.az.gov C008 05/21 A Guide to Written Directives Purpose of the Jobsite Inspection When the Registrar receives a complaint against a contractor’s license, the Registrar generally schedules a Jobsite Inspection. The Jobsite Inspection serves two purposes: 1. To give the contractor an opportunity to inspect the complaint items; and 2. To give the Registrar an opportunity to determine if the contractor’s work violates Arizona law.

What to expect after a Jobsite Inspection After doing a Jobsite Inspection, the Registrar’s Investigator will determine whether the allegations listed in the complaint are supported. ● If the allegations are confirmed, the Registrar’s Investigator may issue a Written Directive telling the contractor to correct the poor or incomplete work. ● If the allegations are not confirmed, the Registrar’s Investigator will close the complaint.

Written Directives Access: In order to use the administrative process offered by the Registrar, a property owner must provide reasonable access to allow the contractor to fix their work as directed by the Registrar in a Written Directive. Complainants may not put any additional, unnecessary restrictions on the Respondent above and beyond the initial contract requirements agreed upon at the beginning of the project. Respondents are required to make repairs on items identified on any Written Directive, not otherwise restricted by local code or HOA limitations. Complainants must make access available to the Respondent to make the required repairs and failure to provide reasonable access may result in the Registrar dismissing the complaint.

Contractor obligations: The Written Directive will set a deadline for compliance. This is the period of time determined by the Investigator as necessary to complete the items listed in the Directive. ● The deadline for compliance assumes the contractor will promptly begin working on the items listed in the Directive. ● Do not wait. Both parties should communicate quickly to schedule the work.

Extensions: If good cause exists to extend this deadline, either party may submit a written request to the Investigator. The Registrar will review requests for extension and determine if the Directive should be extended.

Manner and method of performance: The Registrar does not provide specific instructions for how to correct poor work. A licensed contractor is expected to have the skill and professionalism to complete the work. Moreover, the complainant may not dictate the manner of repair. If the contractor fails to appropriately correct the work according to the contract, the Registrar will issue a citation.

Compliance Inspection: After the Written Directive expires, the Registrar’s Investigator will contact the complainant to determine if the contractor performed any corrective work. ● If the contractor did corrective work, the Investigator may schedule a Compliance Inspection to determine if the poor work is corrected. ● If the contractor did not perform any corrective work, the Registrar’s Investigator will not do a Compliance Inspection and will determine whether to issue a citation based on the administrative record.

1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812

602.542.1525 · Toll Free 877.692.9762 · roc.az.gov C008 05/21 Work performed after the directive ends: After the Directive period ends, a property owner may choose to allow the contractor to continue its work. The Registrar encourages parties to work cooperatively, but cannot require a homeowner to continue to allow a contractor access to the property after the Directive period ends in order for the administrative process to continue. Denying access after the Directive ends is not grounds to close or dismiss a complaint.

Questions? If you have already filed a complaint and it was assigned to an investigator, you are encouraged to contact that investigator directly with the information listed in your jobsite inspection letter. If you have not filed a complaint yet or have not been assigned an investigator, you can reach the Registrar’s compliance department at (877) 692-9762.

1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812

602.542.1525 · Toll Free 877.692.9762 · roc.az.gov C008 05/21 Addendum items along with original complaint items 2023-12248

ORIGINAL:

Wood flooring lifted due to water underneath

Broken blind adjuster on primary bedroom exterior door

Blotched paint (THIS HAS BEEN REPAIRED and is no longer a concern)

ADDITIONS:

Detached ceiling trim, exposing unfinished areas. Multiple locations interior and exterior.

Hot water recirculating pump failed. Has power up to the motor.

Exterior door jams cracking and pulling apart at joints.

Ponding/standing water occurs in primary shower.

Hole/void in stucco.

Electric panel damaged and not properly installed.

Wires in attic aren't stapled.

Tiles uneven and loose on front patio.

Bedroom windows don't close properly.

Bedroom on east side doesn't cool properly.

Water temp in primary shower inconsistent. Complainant: Rebecca Eckelberg 4313 N Deserts Gate Mesa, AZ 85207

1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812

602.542.1525 · Toll Free 877.692.9762 · roc.az.gov C010 04/21 Respondent: Regal Homes LLC 6338 E Orion St Mesa, AZ 85215

1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812

602.542.1525 · Toll Free 877.692.9762 · roc.az.gov C010 04/21 December 13, 2023

Re: Complaint Number 2023-12248

Dear Complainant and Respondent:

Due to a conflict in scheduling of one of the parties, the jobsite inspection scheduled for December 12, 2023 at 9:00 AM has been rescheduled for December 28, 2023 at 09:00 AM.

If either party is unable to attend, the Registrar requires 36-hours advance notice for cancellation or continuance.

Complainant: Safe access is required to any area to be inspected.

Should you have any questions regarding the above, please contact me.

Sincerely,

Steven Avila Steven Avila, Investigator 602 7716772 [email redacted] 1700 W Washington St, Suite 105 Phoenix, AZ 85007

1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812

602.542.1525 · Toll Free 877.692.9762 · roc.az.gov C010 04/21 Jobsite Inspection Notes

Case No.: 2023-12248 Investigator: Steven Avila Inspection Date: December 28, 2023 Inspection Time: 9:00 AM

Complainant: Rebecca Eckelberg Respondent: Regal Homes LLC Not Present: Not Present:

Jobsite General Notes: Present at the inspection: Rebecca Eckelberg – Homeowner Tim Eckelberg – Homeowner Gary Crosby – Regal Homes LLC Investigator Avila – Registrar of Contractors

Compliance Item: 1 - Wood flooring lifted due to water underneath. Investigator’s Observation: At the time of the inspection the complainants brought forth a section of flooring adjacent to a shower wall in which the separation and lippage can be seen. Although no evidence was provided to substantiate water present at the time of the inspection the allegation of flooring lifting has been substantiated. Respondent shall correct by the appropriate means Governing Rule: Violation of any rule adopted by the Registrar; Namely A.A.C. R4-9-108(a): A contractor shall perform all work in a professional and workmanlike manner.

Compliance Item: 4 - Detached ceiling trim, exposing unfinished areas. Multiple locations interior and exterior. Investigator’s Observation: At the time of the inspection there were areas of the patio ceiling in which separation between the trim and the ceiling 1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812 602.542.1525 · Toll Free 877.692.9762 · roc.az.gov C011 12/23

could be seen. This separation revealed unpainted areas of the ceiling. Allegation is verified. Governing Rule: Violation of any rule adopted by the Registrar; Namely A.A.C. R4-9-108(a): A contractor shall perform all work in a professional and workmanlike manner.

Compliance Item: 6 - Exterior door jams cracking and pulling apart at joints. Investigator’s Observation: At the time of the inspection an exterior entrance of the residence showed signs of cracking trim, along with trim corners in which caulking had either failed was not installed. Allegation is verified. Respondent shall correct by the appropriate means. Governing Rule: Violation of any rule adopted by the Registrar; Namely A.A.C. R4-9-108(a): A contractor shall perform all work in a professional and workmanlike manner.

Compliance Item: 7 - Ponding/standing water occurs in primary shower. Investigator’s Observation: At the time of the inspection there slope of the majority of the shower did slope to the drain. Adjacent to the drain there was a lip that was higher than the lowest of the shower slope and created ponding water. Allegation for ponding water is verified. Respondent shall correct by the appropriate means. Governing Rule: Violation of any rule adopted by the Registrar; Namely A.A.C. R4-9-108(a): A contractor shall perform all work in a professional and workmanlike manner.

Compliance Item: 8 - Hole/void in stucco. Investigator’s Observation: At the time of the inspection there was a void in the exterior stucco adjacent to an exterior light. No other damage appeared around the void at this time. Allegation is verified. Respondent shall correct by the appropriate means. Governing Rule: Violation of any rule adopted by the

1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812 602.542.1525 · Toll Free 877.692.9762 · roc.az.gov C011 12/23

Registrar; Namely A.A.C. R4-9-108(a): A contractor shall perform all work in a professional and workmanlike manner.

Compliance Item: 9 - Electric panel damaged and not properly installed. Investigator’s Observation: At the time of the inspection the electrical panel contained damage to the inside panel. There was also voids present in the stucco surrounding the panel. Allegation is verified. Respondent shall correct by the appropriate means. Governing Rule: Violation of any rule adopted by the Registrar; Namely A.A.C. R4-9-108(a): A contractor shall perform all work in a professional and workmanlike manner.

Compliance Item: 12 - Bedroom windows don't close properly. Investigator’s Observation: At the time of the inspection there was a bedroom window that was difficult to open and close. Workmanship standards state adjustments to the windows and door become homeowner maintenance after the first year of occupancy. Per these standards the respondent shall determine the cause of the issues and remedy accordingly. Allegation is verified. Governing Rule: Violation of any rule adopted by the Registrar; Namely A.A.C. R4-9-108(a): A contractor shall perform all work in a professional and workmanlike manner.

ITEMS NOT REQUIRING CORRECTION:

Compliance Item: 2 - Broken blind adjuster on primary bedroom exterior door. Investigator’s Observation: Completed prior to inspection. Governing Rule: N/A

Compliance Item: 3 - Blotched paint (THIS HAS BEEN REPAIRED and is no longer a concern).

1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812 602.542.1525 · Toll Free 877.692.9762 · roc.az.gov C011 12/23

Investigator’s Observation: Completed prior to the inspection. Governing Rule: N/A

Compliance Item: 5 - Hot water recirculating pump failed. Has power up to the motor. Investigator’s Observation: At the time of the inspection the respondent stated that the recirculating pump has failed and is not operating. The investigator is unable to determine if the failing of the pump is due to the respondent’s workmanship or a manufacturer defect. Therefore although the respondent has stated that replacement of recirculating pump has been scheduled the registrar is will not be issuing a directive for this line item. Governing Rule: N/A

Compliance Item: 10 - Wires in attic aren't stapled. Investigator’s Observation: At the time of the inspection there was no evidence to support the allegation that wires in the attic were not attached correctly. Certificate of occupancy has been issued by the local jurisdiction and the homeowner should reach out to this department if they feel it was issued incorrectly. Allegation is not verified. Governing Rule:

Compliance Item: 11 - Tiles uneven and loose on front patio. Investigator’s Observation: Corrected prior to the inspection. Governing Rule:

Compliance Item: 13 - Bedroom on east side doesn't cool properly. Investigator’s Observation: At the time of the inspection the complainants stated that they did not feel the room was cooling adequately. They did not bring forth any evidence to support the allegation that any issues with the cooling of the room were due to the workmanship of the respondent or that the respondent did not meet his contractual obligations or intended design of the system. Allegation is not verified. Governing Rule: 1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812 602.542.1525 · Toll Free 877.692.9762 · roc.az.gov C011 12/23

Compliance Item: 14 - Water temp in primary shower inconsistent. Investigator’s Observation: This allegation was addressed in a previous allegation pertaining to the failed recirculating pump. Governing Rule:

Steven Avila Steven Avila, Investigator 602 7716772 [email redacted] 1700 W Washington St, Suite 105 Phoenix, AZ 85007

1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812 602.542.1525 · Toll Free 877.692.9762 · roc.az.gov C011 12/23

P 1 JSI PHOTOS J P 2 JSI PHOTOS J

Wood flooring that shows separation and lifting P 3 JSI PHOTOS J

View of flooring in which lifting of the flooring can be seen. P 4 JSI PHOTOS J

Lippage and lifting of wood flooring P 5 JSI PHOTOS J

Photograph of ceiling trim that appears to be sagging and exposing unpainted surface P 6 JSI PHOTOS J

Second view of ceiling that exposes unpainted surface P 7 JSI PHOTOS J

Location of failed recirculating pump P 8 JSI PHOTOS J

Door jamb with cracking finish P 9 JSI PHOTOS J

Same door jam to exterior of residence with cracking finish and corner appears uncaulked P 10 JSI PHOTOS J

Same door in which corner time appears to be uncaulked P 11 JSI PHOTOS J

Same exterior door with crack and failing finish on door jamb P 12 JSI PHOTOS J

Void in exterior stucco P 13 JSI PHOTOS J

Damaged electrical panel. Inside panel bent and creased P 14 JSI PHOTOS J

Top of electrical panel showing voids P 15 JSI PHOTOS J

Bedroom window which had difficulty functioning P 16 JSI PHOTOS J

Shower drain that had standing water due to a raise lip near the drain P 17 JSI PHOTOS J

Level placed in shower to show dip in tiles near drain. This location is where the standing water formed. Complainant: Rebecca Eckelberg 4313 N Deserts Gate Mesa, AZ 85207

1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812 602.542.1525 · Toll Free 877.692.9762 · roc.az.gov C009 12/23 Respondent: Regal Homes LLC 6338 E Orion St Mesa, AZ 85215

1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812 602.542.1525 · Toll Free 877.692.9762 · roc.az.gov C009 12/23 February 12, 2024

License No. ROC 326542

Re:Complaint No. 2023-12248

WRITTEN DIRECTIVE FROM THE REGISTRAR

Dear Respondent:

After investigation, the Registrar determined that you failed to meet the requirements of A.R.S. § 32-1154(A), and now issues this Directive requiring you to take appropriate corrective action. Failure to comply with this Directive constitutes a violation of A.R.S. § 32-1154(A)(22) and may result in the issuance of a citation, discipline of your license, and a civil penalty pursuant to A.R.S. § 32-1154(E) of up to $500.00. You must notify the Registrar’s assigned Investigator of your compliance with this Directive prior to 5:00 p.m. on March 1, 2024.

RESTRICTIONS  You may not perform or hire other contractors to perform work that is outside the scope of your license.  If your license is currently suspended for administrative reasons1, or is inactive, expired, or cancelled, you may not perform any corrective work nor contract in any manner, which includes hiring other contractors to perform work, until the suspension of your license(s) has been lifted or your license(s) has been reactivated.

DIRECTIVE REQUIREMENTS You are directed to remedy the following violations by the appropriate means:

This means the license is suspended for lack of qualifying party, lack of bond, nonrenewal, Recovery Fund payout, or for any reason listed in A.R.S. § 32-1124(F).

1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812 602.542.1525 · Toll Free 877.692.9762 · roc.az.gov C009 12/23 Governing Rule: Violation of any rule adopted by the Registrar; Namely A.A.C. R4-9-108(a): A contractor shall perform all work in a professional and workmanlike manner.

Compliance Item: 4 - Detached ceiling trim, exposing unfinished areas. Multiple locations interior and exterior. Investigator’s Observation: At the time of the inspection there were areas of the patio ceiling in which separation between the trim and the ceiling could be seen. This separation revealed unpainted areas of the ceiling. Allegation is verified. Governing Rule: Violation of any rule adopted by the Registrar; Namely A.A.C. R4-9-108(a): A contractor shall perform all work in a professional and workmanlike manner.

1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812 602.542.1525 · Toll Free 877.692.9762 · roc.az.gov C009 12/23 Namely A.A.C. R4-9-108(a): A contractor shall perform all work in a professional and workmanlike manner.

ITEMS NOT REQUIRING CORRECTION The following complaint items require no action by the Respondent:

Compliance Item: 2 - Broken blind adjuster on primary bedroom exterior door. Investigator’s Observation: Completed prior to inspection. Governing Rule: N/A

Compliance Item: 3 - Blotched paint (THIS HAS BEEN REPAIRED and is no longer a concern). Investigator’s Observation: Completed prior to the inspection. Governing Rule: N/A

1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812 602.542.1525 · Toll Free 877.692.9762 · roc.az.gov C009 12/23 incorrectly. Allegation is not verified. Governing Rule:

Compliance Item: 11 - Tiles uneven and loose on front patio. Investigator’s Observation: Corrected prior to the inspection. Governing Rule:

Please direct all questions regarding this Directive to the undersigned Investigator.

Sincerely,

Steven Avila Steven Avila, Investigator 602 7716772 [email redacted] 1700 W Washington St, Suite 105 Phoenix, AZ 85007

CC: Choose an item.

1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812 602.542.1525 · Toll Free 877.692.9762 · roc.az.gov C009 12/23 Choose an item. Choose an item. Choose an item.

1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812 602.542.1525 · Toll Free 877.692.9762 · roc.az.gov C009 12/23 (DELETE THIS ADDRESS/PAGE IF NOT WARRANTED)

Complainant Attorney:

1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812 602.542.1525 · Toll Free 877.692.9762 · roc.az.gov C009 12/23 (DELETE THIS ADDRESS/PAGE IF NOT WARRANTED)

Respondent Attorney:

1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812 602.542.1525 · Toll Free 877.692.9762 · roc.az.gov C009 12/23 Complainant: Rebecca Eckelberg 4313 N Deserts Gate Mesa, AZ 85207

1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812 602.542.1525 · Toll Free 877.692.9762 · roc.az.gov

C012 12/23 Respondent: Regal Homes LLC 6338 E Orion St Mesa, AZ 85215

1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812 602.542.1525 · Toll Free 877.692.9762 · roc.az.gov

C012 12/23 April 17, 2024

Compliance Jobsite Inspection Notice Re: Complaint No. 2023-12248

Dear Complainant and Respondent:

A Compliance Inspection has been scheduled for Tuesday, April 23, 2024 at 09:00 AM to determine the current status of the items listed on the issued Directive.

The Complainant is required to be present for this inspection. The Respondent is encouraged to be present but is not required to attend.

Complainant: SAFE ACCESS IS REQUIRED TO ANY AREA TO BE INSPECTED.

Sincerely,

Steven Avila Steven Avila, Investigator 602 7716772 [email redacted] 1700 W Washington St, Suite 105 Phoenix, AZ 85007

1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812 602.542.1525 · Toll Free 877.692.9762 · roc.az.gov

C012 12/23 P 1 AJSI PHOTOS J

Ceiling trim on patio. Caulking is peeling and failing and gaps can be seen. P 2 AJSI PHOTOS J

Ceiling trim on patio. Caulking is peeling and failing and gaps can be seen. P 3 AJSI PHOTOS J

Long gap on ceiling trim. Exposed fasteners can also be seen. P 4 AJSI PHOTOS J

Paint on ceiling trim is streaky and patchy where repairs were made. P 5 AJSI PHOTOS J

Ceiling trim caulking failing and paint coverage issues. P 6 AJSI PHOTOS J

Ceiling trim has a multitude of exposed fasteners and streaking in painted areas. P 7 AJSI PHOTOS J

Door trim with paint issues and separation P 8 AJSI PHOTOS J

Bubbling and clump on exterior trim. P 9 AJSI PHOTOS J

Exterior door casing with large divot. P 10 AJSI PHOTOS J

Ends of patio ceiling trim with exposed fasteners and sagging present. P 11 AJSI PHOTOS J

Ends of patio ceiling trim with exposed fasteners and sagging present. P 12 AJSI PHOTOS J

Ceiling trim with exposed fasteners and gaps appearing. End of trim has poor paint coverage. P 13 AJSI PHOTOS J

Exterior door trim with bubbling P 14 AJSI PHOTOS J

Ceiling trim with poor paint coverage P 15 AJSI PHOTOS J

Exterior door trim paint is failing. P 16 AJSI PHOTOS J

Exterior trim with poor paint coverage. P 17 AJSI PHOTOS J

Exterior porch ceiling trim with paint flashing. Complainant: Rebecca Eckelberg 4313 N Deserts Gate Mesa, AZ 85207

1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812 602.542.1525 · Toll Free 877.692.9762 · roc.az.gov C013 12/23 Respondent: Regal Homes LLC 6338 E Orion St Mesa, AZ 85215

1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812 602.542.1525 · Toll Free 877.692.9762 · roc.az.gov C013 12/23 Case No.: 2023-12248 Investigator: Steven Avila Inspection Date: Tuesday, April 23, 2024 Inspection Time: 09:00 AM

Compliance Jobsite General Notes: Present at the inspection: Homeowners were present at the inspection. Respondent did not attend. Investigator Avila performed CJSI for the Registrar.

Homeowners concerns and reason for the request of the CJSI was that the ceiling trim in multiple areas continues to sag. Homeowner also brought up additional issues with the ceiling that are now present after repairs were attempted and exterior door trim has remaining blemishes. These are line items number 4 and 6 and attempted repairs did not remedy the shortfalls.

Compliance Findings:

Compliance Item findings: At the time of the compliance inspection the respondent had repaired the flooring and homeowner was happy with the results. Flooring meets industry standards.

Governing Rule: Violation of any rule adopted by the Registrar; Namely A.A.C. R4-9-108(a): A contractor shall perform all work in a professional and workmanlike manner.

Compliance Item: 4 - Detached ceiling trim, exposing unfinished areas. Multiple locations interior and exterior.

1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812 602.542.1525 · Toll Free 877.692.9762 · roc.az.gov C013 12/23 Investigator’s Observation: At the time of the inspection there were areas of the patio ceiling in which separation between the trim and the ceiling could be seen. This separation revealed unpainted areas of the ceiling. Allegation is verified.

Compliance Item findings: At the time of the compliance inspection repairs to the decorative trim had attempted. The trim at the time of the inspection still had slats that continued to droop and gaps could be seen. Caulking installed during the repairs is failing in various areas and paint repairs in the repaired areas pertaining to line item 4 no appear streaky and have coverage issues. Exposed fastener holes could be seen throughout the ceiling trim installation. It has been determined that the repairs made do not meet industry standards as the trim continues to sag and now has additional issues due repairs.

Governing Rule: Violation of any rule adopted by the Registrar; Namely A.A.C. R4-9-108(a): A contractor shall perform all work in a professional and workmanlike manner.

Compliance Item findings: At the time of the compliance inspections repairs had been made to the exterior door jams. Homeowner stated that sanding and painting had taken place. The exterior door jams at the time of the inspection had missing paint,

1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812 602.542.1525 · Toll Free 877.692.9762 · roc.az.gov C013 12/23 cracking was still present and paint had variations in texture and application. Repairs for this line item do not meet industry standards.

Governing Rule: Violation of any rule adopted by the Registrar; Namely A.A.C. R4-9-108(a): A contractor shall perform all work in a professional and workmanlike manner.

Compliance Item findings: Shower area repaired prior to compliance inspection and homeowner is happy with the results. Line item completed.

Governing Rule: Violation of any rule adopted by the Registrar; Namely A.A.C. R4-9-108(a): A contractor shall perform all work in a professional and workmanlike manner.

Compliance Item findings: Completed prior to the inspection.

Governing Rule: Violation of any rule adopted by the Registrar; Namely A.A.C. R4-9-108(a): A contractor shall perform all work in a professional and workmanlike manner. 1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812 602.542.1525 · Toll Free 877.692.9762 · roc.az.gov C013 12/23 Compliance Item: 9 - Electric panel damaged and not properly installed. Investigator’s Observation: At the time of the inspection the electrical panel contained damage to the inside panel. There was also voids present in the stucco surrounding the panel. Allegation is verified. Respondent shall correct by the appropriate means.

Compliance Item findings: Completed prior to the inspection.

Governing Rule: Violation of any rule adopted by the Registrar; Namely A.A.C. R4-9-108(a): A contractor shall perform all work in a professional and workmanlike manner.

Compliance Item findings: Completed prior to the inspection.

Governing Rule: Violation of any rule adopted by the Registrar; Namely A.A.C. R4-9-108(a): A contractor shall perform all work in a professional and workmanlike manner.

Note:

1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812 602.542.1525 · Toll Free 877.692.9762 · roc.az.gov C013 12/23 Please review the complaint items listed above. If any of the items have not been corrected at the time of the compliance inspection this complaint will be forwarded to the Registrar’s legal department and a citation may be issued.

If all items are corrected after receipt of this letter, please notify the Registrar’s legal department by sending a notice of compliance signed by the complainant to fax number (602) 364-0416 or by mail to: Arizona Registrar of Contractors, P.O. Box 18244, Phoenix, Arizona 85005-8244. Sincerely,

Steven Avila, Investigator (602) 771-6772 [email redacted] 1700 W Washington St, Suite 105 Phoenix, AZ 85007

1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812 602.542.1525 · Toll Free 877.692.9762 · roc.az.gov C013 12/23 REGISTRAR OF CONTRACTORS OF THE STATE OF ARIZONA

Rebecca Eckelberg Case No. 2023-12248 COMPLAINANT, v. Regal Homes LLC CITATION License No. ROC 326542,

RESPONDENT.

The Registrar issues this Citation to Regal Homes LLC (“Respondent”) under A.R.S. § 32-1155(A). If Respondent fails to answer this Citation by June 26, 2024, 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 26, 2023, Rebecca Eckelberg (“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)(3) - R4-9-108(a) Violation of any rule adopted by the Registrar; Namely A.A.C. R4-9-108(a): A contractor shall perform all work in a professional and workmanlike manner.

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1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812 602.542.1525 · Toll Free 877.692.9762 · roc.az.gov Lg101 8/21 Charge 2: A.R.S. § 32-1154(A)(22) Failure to take appropriate corrective action to comply with this chapter or with rules adopted pursuant to this chapter without valid justification within a reasonable period of time after receiving a written directive from the Registrar. The written directive shall set forth the time within which the contractor is to complete the remedial action. The time permitted for compliance shall not be less than fifteen days from the date of issuance of the directive. A license shall not be revoked or suspended nor shall any other penalty be imposed for a violation of this paragraph until after a hearing has been held. 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:

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. 2023-12248.

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1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812 602.542.1525 · Toll Free 877.692.9762 · roc.az.gov Lg101 8/21 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, Arizona, 85007-2812 Mail: P.O. Box 18244, Phoenix, Arizona, 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 June 26, 2024.

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

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).

INVESTIGATOR’S APPEARANCE AS A WITNESS

The Registrar’s assigned investigator will appear as a witness at the hearing. If either

party demands the attendance at the hearing of any other person, that party must obtain and

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1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812 602.542.1525 · Toll Free 877.692.9762 · roc.az.gov Lg101 8/21 serve a subpoena in compliance with the rules and processes established by the Office of Administrative Hearings. 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). 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

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1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812 602.542.1525 · Toll Free 877.692.9762 · roc.az.gov Lg101 8/21 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 June 11 2024. By: /s/ Madelyn Hayes Madelyn Hayes Legal Assistant II Legal Department Arizona Registrar of Contractors COPY of the foregoing mailed by Certified Mail, Return Receipt Requested, June 11, 2024 to:

Respondent Certified Mail No: [number redacted]

Regal Homes LLC 6338 E Orion St Mesa, AZ 85215 Copy mailed by USPS First Class mail this same date to:

Regal Homes LLC 6338 E Orion St Mesa, AZ 85215 Complainant Rebecca Eckelberg 4313 N Deserts Gate Mesa, AZ 85207 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. 2023-12248 / MTH 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 Licensed Complaint Form Departmental Use Only For Current or Suspended Licensees

Person Filing Complaint Full Name (First Middle Last) Business Name (if a licensed contractor or supplier) ROC License Number(s) (if any)

Rebecca Eckelberg Mailing Address (Enter jobsite in Contract/Project section) City State Zip

4313 N Deserts Gate Mesa Arizona 85207 Phone Number Email

[number redacted] [email redacted] I consent to receive communications electronically in connection with this case Name of Attorney (if any)

Street Address of Attorney City State Zip

Phone Number of Attorney Email of Attorney

Contractor Information Name (as shown on contract/invoice) ROC License Number(s)

Regal Homes LLC ROC 326542 Street Address City State Zip

6338 E Orion St Mesa AZ 85215 Phone Number Email

[number redacted] [email redacted] Name of Person(s) Representing License

Gary Crosby Contract/Project Information Contract Date Contract Amount Amount Paid

Date Work Started Date Work Stopped Date Work Was Completed

Close of Escrow (New Home) Move-In Date (New-Home)

Jobsite Street Address City State Zip

Name of Construction Site Owner Construction Site Name (if applicable)

Phone Number of Construction Site Owner Email of Construction Site Owner

This complaint is for Abandonment;Poor Work I have contacted the contractor by Have you filed a complaint in court? No Has any work been corrected?

RCC099 12/05/18 Page 1 of 2 Licensed Complaint Form Departmental Use Only For Current or Suspended Licensees

The contract was All change orders were This project was This project involved New Home

A building permit was obtained by N/A List and briefly describe each complaint item (Please do not write "see attached" or use additional pages unless necessary to further describe issues or list more complaint items) (limited to 100 characters per line)

Wood flooring lifted due to water underneath.;Broken blind adjuster on primary bedroom exterior door.;Blotched paint.

Signature I declare under penalty of perjury that the information and documents contained on this Complaint Form, included with this complaint, or hereafter submitted in support of this complaint are true and 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. Printed Name Signature Date

Rebecca Eckelberg \complainant1\ \complainantd1\

RCC099 12/05/18 Page 2 of 2 Security Title Agency, Inc 2913 N Power Rd, Suite 105, Mesa, AZ 85215 Phone: 480-325-4744 | Fax: 480-325-1159

FINAL MASTER STATEMENT Settlement Date: June 30, 2023 Escrow Number: ST61230179 Disbursement Date: June 30, 2023 Escrow Officer: Mark C Woodworth Email: [email redacted] Buyer: Timothy Eckelberg and Rebecca Eckelberg 9350 1st Street NW Halliday, ND 58636 Seller: Accent Management Company LLC 6338 E Orion St Mesa, AZ 85215 Property: 4313 N Deserts Gate Mesa, AZ 85207-7252 Hidden Canyon At Las Sendas Mcr 593-33 Lender: FineMark National Bank & Trust 20909 N 90th Place Suite 105 Scottsdale, AZ 85255 Loan Number: 204509-1

SELLER BUYER $ DEBITS $ CREDITS $ DEBITS $ CREDITS

FINANCIAL CONSIDERATION 2,890,000.00 Sale Price of Property 2,890,000.00 Earnest Money 50,000.00 Deposit 75,000.00 Loan Amount 1,800,000.00 Buyer’s funds to close 907,971.93 5,000.00 Seller Credit 5,000.00 Buyer’s funds to close 63,000.00 PRORATIONS/ADJUSTMENTS 1,202.56 County Taxes at $1,209.28 1,202.56 01/01/23 to 06/30/23 4.47 HOA Proration-Buyer Debit/Credit Seller 4.47 Quarterly at $402.00 06/30/23-07/01/23 402.00 HOA 3rd Qrt Dues: -Buyer Debit/Credit Seller 402.00 COMMISSIONS 101,150.00 Real Estate Commission to KOR Properties $2,890,000.00 @ 3.5000% = $101,150.00 72,250.00 Real Estate Commission to KOR Properties $2,890,000.00 @ 2.5000% = $72,250.00 NEW LOAN CHARGES - FineMark National Bank & Trust Total Loan Charges: $3,054.50 Document Preparation Fee to FineMark National 1,200.00 Bank & Trust Appraisal Fee to Phoenix Valuations, LLC 1,125.00 Credit Report Fee to Xactus 78.50 Flood Certification Fee to Lereta LLC 10.50 Tax Service Fee to Lereta LLC 218.00

CERTIFIED COPY Page 1 of 3 (ST61230179/75) June 30, 2023 04:24 PM FINAL MASTER STATEMENT - Continued

SELLER BUYER $ DEBITS $ CREDITS $ DEBITS $ CREDITS

NEW LOAN CHARGES - FineMark National Bank & Trust Total Loan Charges: $3,054.50 Appraisal Review to The Appraisal Department 85.00 LLC Prepaid Interest to FineMark National Bank & 337.50 Trust $337.50 per day from 06/30/23 to 07/01/23 FineMark National Bank & Trust TITLE & ESCROW CHARGES ALTA 8.1-06 - Environmental Protection Lien 100.00 (CLTA 110.9-06) to Security Title Agency, Inc ALTA 9-06 - Restrictions, Encroachments, 100.00 Minerals to Security Title Agency, Inc ALTA 5-06 - Planned Unit Development (CLTA 100.00 115.2-06) to Security Title Agency, Inc ALTA 6-06 - Variable Rate (CLTA 111.5-06) to 100.00 Security Title Agency, Inc Title - Closing Protection Letter Fee - Buyer to 25.00 Security Title Agency, Inc Title - Escrow Fee - Buyer to Security Title 1,548.00 Agency, Inc 1,548.00 Title - Escrow Fee - Seller to Security Title Agency, Inc Title - Lender's Title Insurance to Security Title 2,928.00 Agency, Inc 62.50 Title - Recording Fees - Recording Service Fee to 62.50 Security Title Agency, Inc 5,305.00 Title - Owner's Title Insurance to Security Title Agency, Inc Policies to be issued: Owners Policy Coverage: $2,890,000.00 Premium: $5,305.00 Version: ALTA Homeowner's Policy of Title Insurance 2021 Loan Policy Coverage: $1,800,000.00 Premium: $2,928.00 Version: ALTA Loan Policy 2006 HOA CHARGES HOA 3rd Qrt Dues- Prepaid by seller to Las Sendas Community Association $402.00 paid outside closing by Seller 18.00 HOA Disclosure/Service Fee to HomeWiseDocs.com 382.00 HOA Resale Disclosure Fee to CCMC HOA Transfer Fee to Las Sendas Community 804.00 Association MISCELLANEOUS CHARGES Homeowner's Insurance Premium to USAA 2,946.02 Property Taxes 2nd Half 2022 to Maricopa County Treasurer $1,209.28 paid outside closing by Seller

CERTIFIED COPY Page 2 of 3 (ST61230179/75) June 30, 2023 04:24 PM FINAL MASTER STATEMENT - Continued

SELLER BUYER $ DEBITS $ CREDITS $ DEBITS $ CREDITS

MISCELLANEOUS CHARGES 1,231.95 Home Warranty to RWC - Residential Warranty Company $595.00 paid outside closing by Seller 16,806.50 Agent Credit to Seller

188,150.01 2,907,212.97 Subtotals 2,902,174.49 2,902,174.49 2,719,062.96 Balance Due TO Seller 2,907,212.97 2,907,212.97 TOTALS 2,902,174.49 2,902,174.49

THIS IS A CERTIFIED COPY OF THE ORIGINAL DOCUMENT(S) BY SECURITY TITLE AGENCY, INC

Security Title Agency, Inc, Settlement Agent

CERTIFIED COPY Page 3 of 3 (ST61230179/75) June 30, 2023 04:24 PM Received 6/26/2024 ROC Legal

LANG THAL KING & HANSON PC 6730 N. SCOTTSDALE RD., SUITE 101 SCOTTSDALE, ARIZONA 85253 TELEPHONE (480) 534-4900 Please e-serve filings on: [email redacted] KENT A. LANG, #010041 [email redacted] (not for e-service) ANDREW J. WENKER, #034719 [email redacted] (not for e-service)

Attorneys for Regal Homes, LLC ARIZONA REGISTRAR OF CONTRACTORS Rebecca Eckelberg, Case No.: 2023-12248 Complainant, REQUEST TO DISMISS CITATION FOR MODIFICATION AND ABNORMAL USE v. Regal Homes LLC License No. ROC 326542, Respondent. Respondent hereby requests that the Registrar dismisses the Complaint and Citation because Complainant modified Respondent’s work, thereby precluding discipline. I. Factual Background Respondent was the general contractor on the underlying project. Through her Complaint, Complainant asserted about twelve workmanship issues. Notably, Complainant filed the Complaint at the suggestion of Respondent so that a third-party could review Respondent’s workmanship. The Registrar’s investigator subsequently issued a Directive. Respondent worked to correct each of the items listed in the Directive. Following the close of the Directive period, the Registrar’s assigned investigator reviewed the work. According to the investigator, Respondent did in-fact satisfactorily complete the majority of the issues. Below are photos from after the third time Respondent repaired and repainted the patio area: [photos on following page] Received 6/26/2024 ROC Legal

Nevertheless, after Respondent kept redoing the work, the same issues would arise again, which necessitated the Compliance Inspection. Through his Compliance Jobsite Notes, the investigator summarized the remaining issues as follows: Homeowners concerns and reason for the request of the CJSI was that the ceiling trim in multiple areas continues to sag. Homeowner also brought up additional issues with the ceiling that are now present after repairs were attempted and exterior door trim has remaining blemishes. These are line items number 4 and 6 and attempted repairs did not remedy the shortfalls.

Received 6/26/2024 ROC Legal

Exhibit 1. Nothing in the notes suggest that the investor went onto the roof to see if there was anything on there causing the sag. Presumably, he would have reviewed it if the Complainant told him anything was on the roof. Based upon the “sagging,” the Registrar issued a Citation for (a) failure to perform work in a workmanlike manner; and (b) failure to comply with the Directive based upon the first charge. However, why did the investigator include the general notes regarding “sagging,” when not a single Complaint item referenced sagging? The likely reason for this is because of the significant weight Complainant placed on her roof without Respondent’s knowledge or approval after Respondent completed its work. The picture below shows the new large solar panel array on the roof: Exhibit 2. Additional photos of the solar panels are included in the exhibit. Notably, at the initial jobsite inspection, Complainant accused Respondent of lying when Respondent raised the possibility of there being something on the roof (which Respondent later confirmed to be the case with the drone photos in Exhibit 2). Below are plans showing the affected trusses: [photo on following page]

Received 6/26/2024 ROC Legal

A review of the Registrar’s files in this matter shows that at no point was installing the solar panels included in Respondent’s scope of work, nor was Respondent ever consulted on the solar panels. Had Respondent been consulted, it would have informed Complainant that the as- built roof could not support the solar panels in this manner. The reason for this is because it is a foam roof, which means that solar panel supports cannot be drilled into it, like they would be with a normal residential solar panel array. Because the separate solar contractor cannot drill into the foam, to keep the panels from moving, they instead weighed down the solar array. Predictably, this is an extremely large additional weight to keep the panels still.

Received 6/26/2024 ROC Legal

With the roof not being designed to hold this unexpected weight, it is now “sagging” per the Complainant – which is why they requested the above Compliance Inspection.1 II. Legal Argument a. Complainant’s modification requires the Registrar to dismiss the Citation. The state legislature precludes the Registrar from issuing a citation for workmanship if the “contractor's work has been subject to neglect, modification or abnormal use.” A.R.S. § 32- 1155(D)(2). Consistent with the statutory edict, the Registrar recently reiterated the rule in its 2024 Workmanship Standards for Licensed Contractors: “Contractor responsibility under these standards should not extend to items which have been subject to owner neglect, modification or abnormal use.” Standards, at p. 1. Here, without permission (or even notice), Complainant unilaterally installed the weighted solar panels, which damaged Respondent’s work. But for Complainant’s installation of the heavy solar array, there would be no “sagging” at the property. As such, because the owner modified Respondent’s work, the Registrar is statutorily precluded from maintaining the Citation against Respondent.2 b. Complainant has the means to prosecute their own interests. To start, nothing is precluding Complainant from seeking recourse against the proper contractor – which is the solar contractor that sold Complainant a weighted system without first ensuring that the as-built structure could bear such a load. Presumably, whoever the solar contractor was, is licensed with the Registrar, such that the Registrar could maintain jurisdiction over that matter. Any such investigation would seemingly be straightforward in the sense that:  The solar contractor installed a weighted solar system on Complainant’s roof; Because Respondent is requesting that the Citation be dismissed, Respondent is not filing a separate Answer. Nevertheless, out of an abundance of caution, to the extent the Registrar still requires an Answer, Respondent provides the following Answer to the Citation: Respondent denies the allegations in the Citation. Although not at issue in this case, Respondent does wish to note that, in addition to the solar panel array on the roof, Complainant also has since modified the electrical, the front retaining wall, landscaping, and yard drainage.

Received 6/26/2024 ROC Legal

 The solar contractor would not be able to show any engineering for the specific roof (nor presumably any warning to Complainant to obtain engineering);  As provided by the Registrar’s Compliance Jobsite Inspection Notes, the house now shows “sagging” after installation of the heavy solar panel; and therefore;  The solar contractor is responsible for the sagging. This would hold the proper contractor responsible, while still providing Complainant access to the Registrar. Without proceeding against the solar contractor, there is nothing stopping the solar contractor from continuing to do the same on other projects. Moreover, if the Registrar refuses to dismiss this Citation here, Complainant would have no reason to proceed against the solar contractor, and the solar contractor would be free to continue harming other owners in this manner. With that said, as suggested by the photo above, this is a multi-million-dollar property. As such, Complainant has the means to prosecute this case on their own in Superior Court if for whatever reason they chose not to file a Complaint against the solar contractor with the Registrar. c. The request to close the administrative case without prejudice is reasonable. Respondent is asking the Registrar to close the administrative complaint without prejudice. If Complainant chooses to file a lawsuit against Respondent, and if the litigation yields a determination that Respondent acted in a way that deserves discipline against the license, then that judicial determination can be filed with the Registrar and disciplinary action can be taken at that time. Respondent would even stipulate that closure of the administrative case does not affect the limitation period in A.R.S. § 32-1155. III. Conclusion For the reasons provided above, Respondent requests that the Registrar dismiss the Citation.

Received 6/26/2024 ROC Legal

DATED this 26th day of June, 2024. LANG THAL KING & HANSON PC By: /s/ Andrew J. Wenker Kent A. Lang Andrew J. Wenker Attorneys for Regal Homes, LLC ORIGINAL sent via e-mail this 26th day of June, 2024, to: Arizona Registrar of Contractors 1700 W. Washington Street, Ste. 105 Phoenix, AZ 85007 [email redacted] COPY emailed this day to: Rebecca Eckelberg 4313 N. Deserts Gate Mesa, AZ 85207 [email redacted] by: /s/ Amanda Smith

Received 6/26/2024 ROC Legal

EXHIBIT Received 6/26/2024 ROC Legal

Complainant: Rebecca Eckelberg 4313 N Deserts Gate Mesa, AZ 85207

1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812 602.542.1525 · Toll Free 877.692.9762 · roc.az.gov C013 12/23 Received 6/26/2024 ROC Legal

Respondent: Regal Homes LLC 6338 E Orion St Mesa, AZ 85215

1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812 602.542.1525 · Toll Free 877.692.9762 · roc.az.gov C013 12/23 Received 6/26/2024 ROC Legal

Case No.: 2023-12248 Investigator: Steven Avila Inspection Date: Tuesday, April 23, 2024 Inspection Time: 09:00 AM

Compliance Jobsite General Notes: Present at the inspection: Homeowners were present at the inspection. Respondent did not attend. Investigator Avila performed CJSI for the Registrar.

Compliance Findings:

Compliance Item findings: At the time of the compliance inspection the respondent had repaired the flooring and homeowner was happy with the results. Flooring meets industry standards.

Governing Rule: Violation of any rule adopted by the Registrar; Namely A.A.C. R4-9-108(a): A contractor shall perform all work in a professional and workmanlike manner.

Compliance Item: 4 - Detached ceiling trim, exposing unfinished areas. Multiple locations interior and exterior.

1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812 602.542.1525 · Toll Free 877.692.9762 · roc.az.gov C013 12/23 Received 6/26/2024 ROC Legal

Investigator’s Observation: At the time of the inspection there were areas of the patio ceiling in which separation between the trim and the ceiling could be seen. This separation revealed unpainted areas of the ceiling. Allegation is verified.

Governing Rule: Violation of any rule adopted by the Registrar; Namely A.A.C. R4-9-108(a): A contractor shall perform all work in a professional and workmanlike manner.

1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812 602.542.1525 · Toll Free 877.692.9762 · roc.az.gov C013 12/23 Received 6/26/2024 ROC Legal

cracking was still present and paint had variations in texture and application. Repairs for this line item do not meet industry standards.

Governing Rule: Violation of any rule adopted by the Registrar; Namely A.A.C. R4-9-108(a): A contractor shall perform all work in a professional and workmanlike manner.

Compliance Item findings: Shower area repaired prior to compliance inspection and homeowner is happy with the results. Line item completed.

Governing Rule: Violation of any rule adopted by the Registrar; Namely A.A.C. R4-9-108(a): A contractor shall perform all work in a professional and workmanlike manner.

Compliance Item findings: Completed prior to the inspection.

Governing Rule: Violation of any rule adopted by the Registrar; Namely A.A.C. R4-9-108(a): A contractor shall perform all work in a professional and workmanlike manner.

Compliance Item findings: Completed prior to the inspection.

Governing Rule: Violation of any rule adopted by the Registrar; Namely A.A.C. R4-9-108(a): A contractor shall perform all work in a professional and workmanlike manner.

Note:

1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812 602.542.1525 · Toll Free 877.692.9762 · roc.az.gov C013 12/23 Received 6/26/2024 ROC Legal

Please review the complaint items listed above. If any of the items have not been corrected at the time of the compliance inspection this complaint will be forwarded to the Registrar’s legal department and a citation may be issued.

Steven Avila, Investigator (602) 771-6772 [email redacted] 1700 W Washington St, Suite 105 Phoenix, AZ 85007

1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812 602.542.1525 · Toll Free 877.692.9762 · roc.az.gov C013 12/23 Received 6/26/2024 ROC Legal

EXHIBIT 2 Received 6/26/2024 ROC Legal Received 6/26/2024 ROC Legal Received 6/26/2024 ROC Legal Received 6/26/2024 ROC Legal Received 6/26/2024 ROC Legal Received 6/26/2024 ROC Legal Received 6/26/2024 ROC Legal Received 6/26/2024 ROC Legal Received 6/26/2024 ROC Legal Received 6/26/2024 ROC Legal Received 6/26/2024 ROC Legal Received 6/26/2024 ROC Legal Received 6/26/2024 ROC Legal Received 6/26/24, 1:49 PM State of Arizona Mail - Regal Homes, LLC adv. Rebecca Eckelberg (ROC Case No. 2023-12248) / Request to 6/26/2024 Dismiss Citation for … ROC Legal

Answers - AZROC <[email redacted]>

Regal Homes, LLC adv. Rebecca Eckelberg (ROC Case No. 2023-12248) / Request to Dismiss Citation for Modification and Abnormal Use message

Amanda Smith <[email redacted]> Wed, Jun 26, 2024 at 1:28 PM To: "[email redacted]" <[email redacted]>, "[email redacted]" <[email redacted]> Cc: Andrew Wenker <[email redacted]>, "[email redacted]" <[email redacted]>

Good Afternoon,

For filing, please see attached Request to Dismiss Citation for Modification and Abnormal Use, regarding the above-referenced matter. Please contact our office if you have any questions.

Thank you,

Amanda

Amanda Smith Legal Assistant Direct: 480-534-4894 | Website | vCard 6730 N. Scottsdale Rd., Suite 101 | Scottsdale, AZ 85253 480-534-4900 NOTICE: This message and its attachments are confidential and may be attorney-client privileged. They are protected by law. If you are not the intended recipient, please destroy the message in both electronic and paper form and notify Lang Thal King & Hanson at 480-534-4900 or by email to the sender. Thank you.

Request to Dismiss Citation.pdf 9503K

https://mail.google.com/mail/b/AEoRXRRXSmi9Lzg70f0hcMCgzg0L2sQxsnDIqJeLwN39AROdZrYl/u/0/?ik=581c53cf5c&view=pt&search=all&permthid… 1/1 REGISTRAR OF CONTRACTORS OF THE STATE OF ARIZONA

Rebecca Eckelberg, Case No. 2023-12248 COMPLAINANT, v. Regal Homes LLC, ORDER DENYING REQUEST TO License No. ROC 326542, DISMISS RESPONDENT.

BACKGROUND

On June 11, 2024, the Registrar issued a citation against Respondent’s License No.

ROC 326542. Respondent filed its Answer on June 26, 2024 The Answer included a

request to dismiss the citation and close the complaint.

ORDER

IT IS ORDERED that Respondent’s request to dismiss is DENIED. The issues

underlying the Citation and Complaint are best suited for presentation before the Office of

Administrative Hearings. Respondent is free to raise the arguments and defenses presented

in its request to dismiss before the administrative law judge.

A Notice of Hearing will be issued in due course.

Dated August 16, 2024.

By: /s/ Robert Stirling Robert Stirling Assistant General Counsel Legal Department Arizona Registrar of Contractors

of 2 REGISTRAR OF CONTRACTORS 1700 W. Washington St.– Ste. 105 – Phoenix, AZ 85007-2812 Telephone (602)542-1525 Toll Free (877)692-9762 Lg127 5/21 Copy mailed via USPS First Class mail August 16, 2024 to: Respondent(s) Regal Homes LLC 6338 E Orion St Mesa, AZ 85215 Respondent’s Counsel Andrew Wenker Lang Thal King & Hanson PC 6730 N. Scottsdale Rd. Suite 101 Scottsdale, AZ 85253 Complainant(s) Rebecca Eckelberg 4313 N Deserts Gate Mesa, AZ 85207

Copy sent electronically this same date to: Respondent at email address on record with the Registrar Respondent’s Counsel at [email redacted] Complainant at email address on record with the Registrar Case No. 2023-12248/ GM

of 2 REGISTRAR OF CONTRACTORS 1700 W. Washington St.– Ste. 105 – Phoenix, AZ 85007-2812 Telephone (602)542-1525 Toll Free (877)692-9762 Lg127 5/21 Mediation Notice

Mediation Services Mediation services are available to the parties. What is Mediation? Mediation is a method of resolving disputes where the parties can end conflict without the expense and time associated with the full administrative process. Who Participates in During mediation, a mediator will attempt to help the Mediation? parties find an optimal solution to the conflict. Both parties must agree to participate in mediation, and both parties must bring a representative to mediation that has full authority to settle the entire matter. Mediation Is Not Neither the Registrar nor the Office of Administrative Mandatory Hearings will penalize a party for not agreeing to mediation. Where do the Parties The parties will meet at the Office of Administrative Meet for Mediation? Hearings to participate in mediation.

The Office of Administrative Hearings is located at 1400 West Washington, Suite 101, Phoenix, Arizona 85007. When does Mediation can occur after the Registrar issues a citation, but Mediation Occur? before the administrative hearing. Why Should Parties Mediation can be an alternative to the full administrative Consider Mediation? process. Mediation is beneficial because it is (1) time- efficient, (2) cost-effective, (3) confidential, and (4) capable of providing flexible solutions to complex problems. How to Request If the parties wish to mediate this case, they must file a Joint Mediation Request for Mediation with the Office of Administrative Hearings. A Joint Request for Mediation is included with this Mediation Notice. REGISTRAR OF CONTRACTORS OF THE STATE OF ARIZONA _________________________ Case No. _______________ COMPLAINANT,

v. JOINT REQUEST FOR MEDIATION _________________________ RESPONDENT.

REQUEST

The parties jointly request that this matter be referred to mediation in the Office of Administrative Hearings (OAH). ☐ This matter is set for hearing on __________________(date). ☐ This matter is not currently set for hearing. MEDIATION AGREEMENT By requesting this mediation and signing below, the parties understand, represent, and agree: 1. The parties are prepared to commence mediation and will be ready for mediation on _____________________(date); 2. The parties will participate in the mediation process in good faith; 3. This request for mediation is not intended to hinder or delay administrative proceedings; 4. No party will contend that the mediation limits the power of OAH and its administrative law judges to conduct an administrative hearing and issue decisions under A.R.S. §§ 41-1092 – 1092.12; 5. The parties will be courteous and respectful throughout the mediation process to all participants; 6. The mediation is completely voluntary and the principal purpose is to allow the parties a full and fair opportunity to discuss settlement; of 3 REGISTRAR OF CONTRACTORS 1700 W. Washington St. Suite 105 – PHOENIX, AZ 85007-2812 Telephone (602)542-1525 1-877-692-9762 7. The mediator may conduct joint and separate meetings with the parties and may suggest resolutions to the parties’ dispute, but the mediator has no authority to impose a settlement upon the parties; 8. The mediation process is confidential. Communications made, material created for or used during, and acts occurring during mediation are confidential and may not be discovered or admitted into evidence in any proceeding except as provided by A.R.S. § 12-2238; 9. The mediator is not subject to service of process or a subpoena to produce evidence or to testify regarding any evidence or occurrence relating to the mediation except as provided in A.R.S. § 12-2238(C); 10. Neither the mediator, nor the Registrar of Contractors, nor the Office of Administrative Hearings is subject to civil liability for any act or omission in connection with any mediation service or activity except for acts involving

intentional misconduct or reckless disregard of a substantial risk of injury to the rights of others; 11. Throughout the mediation process, each party must have a representative present who will have full settlement authority to settle all claims at issue in the administrative

proceeding. 12. The mediation process will terminate when: a. The parties reach settlement; b. The mediator determines that further efforts at mediation are no longer likely

to achieve a settlement; or c. One of the parties withdraws from mediation. _____________________________________ _______________________ Complainant (or representative) Date

_____________________________________ _______________________ Respondent (or representative) Date

of 3 REGISTRAR OF CONTRACTORS 1700 W. Washington St. Suite 105 – PHOENIX, AZ 85007-2812 Telephone (602)542-1525 1-877-692-9762 PREHEARING DISCLOSURE STATEMENT INSTRUCTIONS ***DO NOT SUBMIT THESE INSTRUCTIONS WITH THE PREHEARING DISCLOSURE FORM***

ADMINISTRATIVE RULES A copy of the Arizona Administrative Code’s Rules for the Registrar of Contractors can be located on the Registrar’s Website.

PREHEARING DISCLOSURE REQUIREMENT Under A.A.C. R4-9-118(A), before a hearing, the parties must prepare a disclosure statement. The disclosure statement must contain: • A list of all the witnesses the party will call to testify, including the witnesses’ contact information and a brief description of the subject matter of the witnesses’ expected testimony; and • A list of all the exhibits that the party will use at the hearing.

FILE PREHEARING DISCLOSURE STATEMENTS • The Prehearing Disclosure Statements and Exhibits may be submitted to the Arizona Office of Administrative Hearings using any of the following: • Electronically: https://portal.azoah.com/submission/ • In-Person or by Mail: 1740 West Adams Street, Lower Level, Phoenix, Arizona 85007

EXCHANGING DISCLOSURE STATEMENTS AND EXHIBITS Under A.A.C. R4-9-118(B) (effective November 5, 2017), a party to the hearing must serve on every other party and file with the Office of Administrative Hearings a copy of: • The disclosure statement; and, • Any exhibit that the party will use at the hearing. Service: The disclosure statement and exhibits must be served on all parties in accordance with Arizona Administrative Code R2-19-108 Filing Documents. Under A.A.C. R2-19-108, service is completed by: • Personal delivery; • 1st class, certified or express mail; or • Facsimile. Timing: The disclosure statement and the exhibits must be served and filed not less than seven calendar days before the date of the hearing. Under A.A.C. R2-19-108, a document is served on a party: • On the date it is personally served; • Five days after it is mailed by express or 1st class mail; • On the date of the return receipt if it is mailed by certified mail; or • On the date indicated on the facsimile transmission.

CONSEQUENCES FOR FAILING TO DISCLOSE Under A.A.C. R4-9-108(C), if a witness or an exhibit is not timely disclosed as required the rules, and good cause for the failure to disclose is not shown, then the administrative law judge may: • Order that certain witnesses or exhibits not be used at the hearing; • Order that a particular fact is or is not established for the record; or, • Order that a charge, a defense, a claim, or some portion thereof, be dismissed.

Form RC-L-800A Prehearing Disclosure Statement Rev. 10/08/2019 Instructions Form PREHEARING DISCLOSURE STATEMENT FORM RC-L-800A

PART 1: WITNESS LIST DOCKET NO. Under A.A.C. R4-9-118(A), before a hearing, a party must prepare a disclosure statement containing a list of all the witnesses the party will call to testify, including the witnesses’ contact information and a brief description of the subject matter of the witnesses’ expected testimony. If you need additional space to list all witnesses, complete and attach additional Witness Lists. Example 1. Name 2. Telephone Number 3. Email Address

John Doe (123) 456-7890 [email redacted] 4. Subject Matter of Expected Testimony

John Doe will testify regarding the poor workmanship and poor installation of the Garage Door. Mr. Doe will also testify regarding the invoices and change orders for the project.

Witness 1. Name 2. Telephone Number 3. Email Address

4. Subject Matter of Expected Testimony

Witness 1. Name 2. Telephone Number 3. Email Address

4. Subject Matter of Expected Testimony

Witness 1. Name 2. Telephone Number 3. Email Address

4. Subject Matter of Expected Testimony

Witness 1. Name 2. Telephone Number 3. Email Address

4. Subject Matter of Expected Testimony

Form RC-L-800A Prehearing Disclosure Statement Rev. 1/15/2019 Page 1 of 3 PART 2: EXHIBIT LIST DOCKET NO. Under A.A.C. R4-9-118(A), before a hearing, a party must prepare a disclosure statement containing a list of all the exhibits that the party will use at the hearing. Note: All exhibits listed below must be provided to all parties to the hearing. See A.A.C. R4-9-118(B). If you need additional space to list all witnesses, complete and attach additional Exhibit Lists. Example Contract for new garage door. Invoice #10001 – Cost for garage door replacement.

Exhibit Exhibit Name

Form RC-L-800A Prehearing Disclosure Statement Rev. 1/15/2019 Page 2 of 3 PART 3: ACKNOWLEDGEMENT & SIGNATURE I certify that the above information is true and correct and that I will serve a copy of this disclosure statement and any exhibits listed in Part 2 to all parties to the hearing in accordance with A.A.C. R4-9-118. I acknowledge and understand that if I fail to properly disclose a witness or exhibit, the administrative law judge may: • Order that certain witnesses or exhibits not be used at the hearing; • Order that a particular fact is or is not established for the record; or, • Order that a charge, a defense, a claim, or some portion thereof, be dismissed.

I am the (check one):  Complainant  Respondent Docket No.

Print Name Signature Date

Form RC-L-800A Prehearing Disclosure Statement Rev. 1/15/2019 Page 3 of 3