2023A-13632-NPC-ROC Notice of Hearing and Packet MAILED

2023A-13632-NPC-ROC · Registrar of Contractors · 2024-01-25

REGISTRAR OF CONTRACTORS OF THE STATE OF ARIZONA

Ace Build & Remodel LLC, Case No. 2023-13632 COMPLAINANT, Docket No. 2023A-13632-NPC-ROC v. NOTICE OF HEARING ON CONTESTED CASE Castle Core LLC License No. ROC 319382,

RESPONDENT.

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

HEARING INFORMATION The hearing is set for:

March 7, 2024 9:00 AM Jenna Clark 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 December 26, 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/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 January 25, 2024.

By: /s/ Erika Hoskin Erika Hoskin Legal Secretary Legal Department Arizona Registrar of Contractors Copy mailed via USPS First Class mail January 25, 2024 to: Respondent(s) Castle Core LLC 6313 E Telegraph St Yuma, AZ 85365

Complainant(s) Ace Build & Remodel LLC PO Box 15034 San Luis, AZ 85349

David Rogers 1405 W 16th Street, Ste. A Yuma, AZ 85364

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 Complainant’s Attorney at email address of record with Registrar

Case No. 2023-13632 /

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

December 5, 2023

Via U.S. Mail and Email

Complainant Ace Build & Remodel LLC PO Box 15034 San Luis, AZ 85349

Via U.S. Mail and Email

Complainant’s Attorney of Record David G. L. Rogers 1405 W. 16th Street, Ste. A Yuma, AZ 85364

Via U.S. Mail and Email

Respondent Castle Core LLC 6313 E Telegraph St Yuma, AZ 85365

Re: Complaint No. 2023-13632

Dear Complainant and Respondent:

The Registrar received a complaint filed against Castle Core LLC 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 December 15, 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, Arizona, 85005-8244 In-Person: 1700 W. Washington St., Ste. 105, Phoenix, Arizona, 85007-2812 Email: [email redacted]

The Registrar will not issue a citation before December 15, 2023 and will review Respondent’s response, if one is submitted.

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

602.542.1525 · Toll Free 877.692.9762 · roc.az.gov Lg100 4/21 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.

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

602.542.1525 · Toll Free 877.692.9762 · roc.az.gov Lg100 4/21 Sincerely,

/s/ Mary Coyne

Mary Coyne, CP Paralegal Manager Legal Department 1700 W Washington St., Ste. 105 Phoenix, AZ 85007

Via U.S. Mail and Email to: Complainant Attorney at the addresses on record with the Registrar

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

602.542.1525 · Toll Free 877.692.9762 · roc.az.gov Lg100 4/21 Non-Payment Complaint Form Departmental Use Only Complaint Number: Mail to: Registrar of Contractors 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) Adrian Juarez Street Address City State Zip Code 1405 W 16th Street, Ste. A Yuma Arizona 85364 Phone Number Email Address (928) 343-9447 [email redacted] I consent to receive communications electronically in connection with this case

Name of Attorney (if any) David G. L. Rogers Attorney’s Street Address City State Zip Code 1405 W. 16th Street, Ste. A Yuma Arizona 85364 Attorney’s Phone Number Attorney’s Email Address [number redacted] [email redacted] Licensee Information (Payer) Name (as shown on contracts, invoices, etc.) ROC License Number(s) Castle Core LLC ROC 319382 Street Address City State Zip Code 6313 E Telegraph St Yuma AZ 85365 Phone Number Email Address

Name of Person(s) Representing License Jimmy Riley Complaint Information Principal Amount Due (excluding interest and fees) Contract Date (if applicable) $30,930.00 March 15, 2023 Have you filed a civil complaint? No List all specific invoices which have not been paid. Attach additional pages if necessary. Invoice # 1027 in the amount of $13,500.00.; Invoice # 1028 in the amount of $19,100.00.; Invoice # 1029 in the amount of $49,500.00.; Invoice # 1030 in the amount of $7,500.00.

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 Adrian Juarez 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. Printed Name Signature Date Adrian Juarez REGISTRAR OF CONTRACTORS OF THE STATE OF ARIZONA

Case No. 2023-13632 Ace Build & Remodel LLC,

COMPLAINANT, v. CITATION Castle Core LLC License No. ROC 319382,

RESPONDENT.

The Registrar issues this Citation to Castle Core LLC (“Respondent”) under A.R.S. § 32-1155(A). If Respondent fails to answer this Citation by January 6, 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 November 29, 2023, Ace Build & Remodel LLC (“Complainant”) filed a written complaint with the Registrar. A copy of that Complaint is attached to this Citation.

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. 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 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: 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. 2023-13632. 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 January 6, 2024. 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 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). 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). 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 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 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 December 26, 2023. By: /s/ Robert Stirling Robert Stirling Assistant General Counsel Legal Department Arizona Registrar of Contractors

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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 COPY of the foregoing mailed by Certified Mail, Return Receipt Requested, December 26, 2023 to: Respondent Certified Mail No: [number redacted] Castle Core LLC 6313 E Telegraph St Yuma, AZ 85365

Copy mailed by USPS First Class mail this same date to:

Castle Core LLC 6313 E Telegraph St Yuma, AZ 85365 Complainant Ace Build & Remodel LLC PO Box 15034 San Luis, AZ 85349 David Rogers 1405 W 16th Street, Ste. A Yuma, AZ 85364 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 Complainant’s Attorney at email address of record with Registrar [email redacted]

Case No. 2023-13632 / MTH

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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 Non-Payment Complaint Form Departmental Use Only Complaint Number: Mail to: Registrar of Contractors P.O. Box 18243 Phoenix, AZ 85005-8243

Because Every Building is a Castle at Its Core January 2024 Via Email @ [email redacted] And [email redacted] And [email redacted]

ARIZONA REGISTRAR OF CONTRACTORS PO Box 18244 Phoenix, Arizona 85005 ATTENTION: Madelyn Hayes

REFERENCE: Written Answer to Citation & Complaint Complaint Number 2023-13632 ACE Build & Remodel LLC

Greetings Ms. Hayes,

We are in receipt of your 26 December 2023 correspondence in which you informed us ACE Build & Remodel, LLC filed a Non-Payment Complaint against Castle Core, LLC.

ARS 32-1154(A)(10) states: “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.”

Castle Core, LLC has not received sufficient monies as payment for the particular construction work project for which ACE Build & Remodel, LLC is demanding payment. Castle Core has an arbitration claim against Dr. Askari in the amount of $994,208 [copy attached for reference]. Which is currently set for a weeklong arbitration commencing 25 March 2024. A copy of Castle Core’s Arbitration Page 1

Claim is attached for your reference. 928.376.7100 Office [email redacted] 928.580.7100 Cell Phone ROC No: KB-1 319382 RECEIVED LEGAL 1/05/2024

Castle Core, LLC is a small company which lacks the capacity to pay ACE Build & Remodel, LLC without the funds from Dr. Askari.

Without the funds from the doctor, Castle Core, LLC is not in the financial position to provide any additional payments to ACE Build & Remodel, LLC. According to ARS 32-1154(A)(10), Castle Core, LLC cannot be censored or cited when Castle Core lacks the ability to pay because Dr. Askari has failed to provide payment to Castle Core, LLC.

Any funds due to ACE Build & Remodel, LLC are associated with work performed at Dr. Askari’s Office.

1) ACE Build & Remodel, LLC is aware Dr. Askari has failed to pay Castle Core, LLC for work performed by ACE Build & Remodel, LLC and Castle Core, LLC. On numerous occasions, Castle Core, LLC has made ACE Build & Remodel, LLC aware of Dr. Askari’s failure to pay. a. Reference Castle Core’s 29 March 2023 letter RE Askari Building TI – West Side to ACE Build & Remodel – attached and highlighted for your reference. b. Reference Castle Core’s 29 March 2023 letter RE Askari Building TI – East Side to ACE Build & Remodel – attached and highlighted for your reference. c. Reference Castle Core’s 07 July 2023 letter to Noble Law Office [ACE Build & Remodel’s Attorney] – attached and highlighted for your reference.

2) Dr. Askari failed to pay a significant amount due to Castle Core, LLC. As a result of Askari’s failure to pay, Castle Core filed a Demand for Arbitration on 19 April 2023 [copy attached for reference]. Askari filed suit and pleaded with the Yuma County Superior Court to litigate the issue in lieu of arbitrate the issue. Castle Core filed a motion to compel arbitration. On 19 June 2023, the Yuma County Superior Court Ordered the issue to be resolved via Arbitration. A copy of the Court’s Order is attached for your reference. a. Reference Castle Core’s 19 April 2023 Demand for Arbitration – attached and highlighted for your reference. b. Reference Yuma County Superior Court’s ORDER case Number S1400CV202300177 – attached and highlighted for your reference.

3) ACE Build & Remodel, LLC is fully aware of the fact that Castle Core, LLC filed a Demand for Arbitration against Dr. Askari and that Dr. Askari filed suit to prevent the arbitration and force litigation. ACE Build & Remodel is also aware the Yuma County Superior Court ordered the issue be arbitrated. Page 2

928.376.7100 Office [email redacted] 928.580.7100 Cell Phone ROC No: KB-1 319382 RECEIVED LEGAL 1/05/2024

a. Reference Castle Core’s 07 July 2023 letter to Noble Law Office [ACE Build & Remodel’s Attorney] – attached and highlighted for your reference.

4) Currently, Castle Core, LLC is in the process of moving along the arbitration, which is a much swifter method than litigation. ACE Build & Remodel, LLC is completely aware of the arbitration and the date [25 March 2024] on which the arbitration is to commence. ACE Build & Remodel is also aware as soon as Dr. Askari pays his bill, Castle Core, LLC will settle its account with ACE Build & Remodel, LLC. a. Reference Castle Core’s 02 November 2023 email to Noble Law Office [ACE Build & Remodel’s Attorney] – attached and highlighted for your reference.

5) While we are sorry for the difficulties the doctor’s lack of payment has caused ACE Build & Remodel, LLC, we are vigorously pursuing payment from Dr. Askari so Castle Core, LLC can pay ACE Build & Remodel, LLC.

6) It should be noted Castle Core paid ACE Build & Remodel, LLC a substantial amount of money during the course of Dr. Askari’s office remodel. In fact, Castle Core paid ACE Build & Remodel, LLC prior to ACE Build & Remodel, LLC ever submitting any invoices to Castle Core. a. Reference Castle Core’s 29 March 2023 letter RE Askari Building TI – West Side to ACE Build & Remodel – attached and highlighted for your reference. b. Reference Castle Core’s 29 March 2023 letter RE Askari Building TI – East Side to ACE Build & Remodel – attached and highlighted for your reference.

7) ACE Build & Remodel, LLC did not submit any invoices to Castle Core, LLC until seven weeks after ACE Build & Remodel, LLC stopped performing work on the Askari project. a. ACE Build & Remodel, LLC worked on the project from 29 November 2022 until 25 January 2023. Castle Core’s first payment to ACE Build & remodel was a $5,000 cash payment on 02 December 2022. Castle Core’s first payment to ACE Build & remodel was 5 days after ACE Build & Remodel commenced work. ACE Build & Remodel’s only invoice to Castle Core was submitted on 15 March 2023. i. Reference Castle Core’s 29 March 2023 letter RE Askari Building TI – West Side to ACE Build & Remodel – attached and highlighted for your reference. ii. Reference Castle Core’s 29 March 2023 letter RE Askari Building TI – East Side to ACE Build & Remodel – attached Page 3

and highlighted for your reference.

928.376.7100 Office [email redacted] 928.580.7100 Cell Phone ROC No: KB-1 319382 RECEIVED LEGAL 1/05/2024

Castle Core, LLC cannot be cited by the ROC for non-payment as Castle Core, LLC is in full compliance with ARS 32-1154(A)(10) which states, “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.”

As is evidenced by our demand for Arbitration and subsequent arbitration claim, Dr. Askari owes Castle Core, LLC $994,208. Without the funds from the doctor, Castle Core, LLC is not in the financial position to provide any additional payments to ACE Build & Remodel, LLC. According to ARS 32-1154(A)(10), Castle Core, LLC cannot be censored or cited when Castle Core lacks the ability to pay because Dr. Askari has failed to provide payment to Castle Core, LLC.

We trust the above and attached will resolve any issue associated with any funds due ACE Build & Remodel, LLC, and that the ROC will appropriately dismiss ACE Build & Remodel, LLC’s claim for non-payment.

Thank you for your courtesy.

Very Truly Yours, castle core construction

Jimmy Riley, P.E. General Manager

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928.376.7100 Office [email redacted] 928.580.7100 Cell Phone ROC No: KB-1 319382 RECEIVED LEGAL 1/05/2024

ASKARI BUILDING, TI 2475 South Avenue A, Yuma, Arizona

ARBITRATION DEMAND (Amended)

EAST SIDE TI $ 232,981 $297,981 Total Cost of Work ($65,000) Amount Paid by Dr. Askari $232,981 Amount Due East Side TI

WEST SIDE TI $ 406,002 $449,783 Original Proposal - Value Completed $211,219 Work Not Shown on Plans - ($255,000) Amount Paid by Dr. Askari $406,002 Amount Due West Side TI

$ 150,000 Askari's Additional Fee Promised

$ 122,000 Additional Damages Claimed $ 910,983 Subtotal Direct Damage Claim $ 5,500 Arbitration Demand Fee Paid to Chris Thompson $ 916,483

Interest from Feb/3/2023 to Dec/10/2023 - 310 Days $ 19,787 East Side $ 34,482 West Side $ 12,740 Additional Fee Promised $ 10,362 Additional Damages Claimed

$ 354 Interest - Fee Paid to Thompson from Apr/19/2023 to Dec/10/2023 - 235 Days ** Per Diem Interest from Dec/11/2023 until Paid $ 251.09

$ 994,208 Total Direct Claim + Interest to Dec/10/2023

TBD Attorney's Fees TBD Arbitrator Fee, Expert Witness Fees, Other Expenses of Arbitration

Castle Core - Arbitration Demand Page 1 of 1 RECEIVED LEGAL 1/05/2024

Because Every Building is a Castle at Its Core March 2023

Via Email @ [email redacted]

ACE BUILD & REMODEL, LLC PO Box 15034 San Luis, Arizona 85349 ATTENTION: Adrian Juarez

REFERENCE: Invoices #1027,1028 & 1030 Askari Building TI – West Side

Good Afternoon Adrian,

We are in receipt of your invoices #1027, 1028 & 1030 dated 15 March 2023 for the work you performed at the Askari Building TI – West Side.

As you know, we worked together on several projects during the time the work associated with this invoice was performed. While you were performing work, we paid you in cash and checks to make certain we were paying for work we received.

The financial status associated with this invoice is as follows:

ASKARI BUILDING TI Cash Paid Out 2-Dec-22 Adrian Demo Askari ($5,000) 9-Dec-22 Adrian Demo - Askari ($4,500) 19-Jan-23 Adrian Askari - Framing ($8,500) 19-Jan-23 Adrian Askari - Steel ($500) 27-Jan-23 Adrian Askari Framing $1,800 ($1,800)

Checks Paid Out 288 21-Dec-22 ACE Askari ($5,000) 282 12-Dec-22 ACE Askari ($4,000)

Invoice Presented by ACE 15-Mar-23 Adrian Demolition Phase I $13,500 Page 1

15-Mar-23 Adrian Demolition Phase II & Extra Work $19,100

928.376.7100 Office [email redacted] 928.580.7100 Cell Phone ROC No: KB-1 319382 RECEIVED LEGAL 1/05/2024

15-Mar-23 Adrian Framing $7,500

AMOUNT DUE $10,800

As you know we left this project because Dr. Askari refused to pay his bill.

You should be aware we are in a legal contest with the doctor. As soon as Dr. Askari pays his bill, we will settle our account with you and/or ACE. Until that time, you should not expect any funds in addition to the funds we paid previously for the work you performed on this project.

While we are sorry for the difficulties the doctor’s lack of payment cause you and/or ACE, rest assured we will vigorously pursue payment from Dr. Askari.

Thank you for your work on the Askari Building TI – West Side.

Very Truly Yours, castle core construction

Jimmy Riley, P.E. General Manager

Page 2

928.376.7100 Office [email redacted] 928.580.7100 Cell Phone ROC No: KB-1 319382 RECEIVED LEGAL 1/05/2024

ACE Build & Remodel, LLC. INVOICE Adrian Juarez PO Box 15034 San Luis, AZ 85349 Phone: 928.304.9527 Email: [email redacted] INVOICE #1027 MARCH 15, 2023

TO: JOB SITE / LOCATION: Castle Core Construction 2475 S. Avenue A Yuma, AZ Attn: Jimmy Riley Dr. Askari (Clinic)

DESCRIPTION Quantity Unit Price Total Demolition Phase I West Side: $13,500 1. Demo center rooms including old roof, tile floor, doors, trim, cabinets, plumbing accessories, old light fixtures, and electrical wires, A/C ducts, drywall, framing, and insulation.

TOTAL $13,500 RECEIVED LEGAL 1/05/2024

ACE Build & Remodel, LLC. INVOICE Adrian Juarez PO Box 15034 San Luis, AZ 85349 Phone: 928.304.9527 Email: [email redacted] INVOICE #1028 MARCH 15, 2023

TO: JOB SITE / LOCATION: Castle Core Construction 2475 S. Avenue A Yuma, AZ Attn: Jimmy Riley Dr. Askari (Clinic)

DESCRIPTION Quantity Unit Price Total Demolition Phase II West Side: $11,800 1. Cut stucco to identify finish floor @ existing building. 2. Removed door, suspended ceiling, removed brick wall, and make opening for new door @ Northwest room. 3. Removed brick wall, suspended ceiling and roof @ Southwest room. 4. Removed big window @ South wall. 5. Removed brick main wall-West side. 6. Make opening for door @ brick wall-oxygen room. 7. Removed all duct vents @ center room. 8. Fire wall, frame, drywall, and seal with fire tape. 9. Cut 2 holes for ducts @ main brick wall coming from new building. Demolition Phase II West Side: EXTRAS 1. Removed floor tile @ 6 rooms. $7,300 2. Removed doors and jams @ 4 rooms. 3. Removed window @ future lead room. 4. Build up fire wall @ future lead room. 5. Reframe 6 door headers.

TOTAL $19,100 RECEIVED LEGAL 1/05/2024 RECEIVED LEGAL 1/05/2024

ACE Build & Remodel, LLC. INVOICE Adrian Juarez PO Box 15034 San Luis, AZ 85349 Phone: 928.304.9527 Email: [email redacted] INVOICE #1030 MARCH 15, 2023

TO: JOB SITE / LOCATION: Castle Core Construction 2475 S. Avenue A Yuma, AZ Attn: Jimmy Riley Dr. Askari (Clinic)

DESCRIPTION Quantity Unit Price Total New Framing Westside: $7,500 1. Furr out all exterior walls. 2. Frame wall for new rooms. 3. Frame rooms @ old center area. All according to plans.

TOTAL $7,500 RECEIVED LEGAL 1/05/2024

Because Every Building is a Castle at Its Core March 2023

Via Email @ [email redacted]

ACE BUILD & REMODEL, LLC PO Box 15034 San Luis, Arizona 85349 ATTENTION: Adrian Juarez

REFERENCE: Invoice #1029 Askari Building TI – East Side

Good Afternoon Adrian,

We are in receipt of your invoice #1029 dated 15 March 2023 for the work you performed at the Askari Building TI – East Side.

The financial status associated with this invoice is as follows:

ASKARI BUILDING TI - EAST SIDE Cash Paid Out 16-Dec-22 Adrian Askari -Drywall - East Side ($220.00) 21-Dec-22 Adrian Askari - East Side ($5,000.00) 29-Dec-22 Adrian Askari - East Side ($5,000.00) 4-Jan-23 Adrian Askari - East Stay Late ($100.00) 4-Jan-23 Adrian Askari - East Stay Late ($100.00) 13-Jan-23 Adrian Askari - East Side ($7,000.00)

Checks Paid Out 295 6-Jan-23 ACE Askari - East Side ($7,000.00) 289 3-Jan-23 ACE Askari - East Side ($5,000.00)

Invoice Presented by ACE Page 1

15-Mar-23 Adrian Renovation - East Side $22,500

928.376.7100 Office [email redacted] 928.580.7100 Cell Phone ROC No: KB-1 319382 RECEIVED LEGAL 1/05/2024

15-Mar-23 Adrian Renovation - East Side Extras $27,050

AMOUNT DUE $20,130

As you know we left this project because Dr. Askari refused to pay his bill.

While we are sorry for the difficulties the doctor’s lack of payment cause you and/or ACE, rest assured we will vigorously pursue payment from Dr. Askari.

Thank you for your work on the Askari Building TI – East Side.

Very Truly Yours, castle core construction

Jimmy Riley, P.E. General Manager

Page 2

928.376.7100 Office [email redacted] 928.580.7100 Cell Phone ROC No: KB-1 319382 RECEIVED LEGAL 1/05/2024

ACE Build & Remodel, LLC. INVOICE Adrian Juarez PO Box 15034 San Luis, AZ 85349 Phone: 928.304.9527 Email: [email redacted] INVOICE #1029 MARCH 15, 2023

TO: JOB SITE / LOCATION: Castle Core Construction 2475 S. Avenue A Yuma, AZ Attn: Jimmy Riley Dr. Askari (Clinic)

DESCRIPTION Quantity Unit Price Total RECEIVED LEGAL 1/05/2024 Renovation/Remodeling Eastside: $22,500.00 1. Demolition, removed cabinets, counter tops, doors @ North rooms. 2. Demolition of center bathroom to make hallway to connect to South rooms. 3. Demolition of mechanical room to make hallway to connect to lobby. 4. Removed all fixtures @ future Dr’s bathroom. 5. Closed 2 exterior doors with drywall. 6. Drywall @ bottom of windows in 4 rooms. 7. Tile walls @ Dr’s bathroom up to 5’ height. 8. Frame walls and door openings @ new center exam rooms. 9. Make opening at wall to main office. 10. Frame header for 4’ door @ wall-hallway to lobby.

Renovation/Remodeling Eastside: EXTRAS $27,050.00 1. Adjust door handle @ main office, assemble chairs, move patient bed, relace doorknob, @ Dr’s house. 2. Drywall repair due to relocate drinking fountain. 3. Removed counter tops @ back rooms, replace angle stops. 4. Removed tall cabinet and cover brick wall with drywall and removed suspended ceiling @ back room. 5. Removed suspended ceiling @ south hallways. 6. Make 2 door frame for entry door to existing office. 7. Build header @ center hallway and removed joist. 8. Install 6 steel commercial doors. 9. Install formaica for sink cabinets in South rooms. 10. Install new base cabinets with formaica in North rooms. 11. Stain all new base and upper cabinets. 12. Paint 19 metal door jams and 5 metal window frames. 13. Tile walls up to 8’ @ Dr’s bathroom. 14. Tile walls up to 5’ @ 2 hall bathrooms. 15. Modify vanity (cut cabinet @granit) for hall bath. 16. Modify and install new vanity @ Dr’s bathroom. 17. Modify desk @ office. 18. Replace doorknobs @ South rooms. 19. Stain new 4’ entry doors to office and lobby. 20. Install 6 blinds. 21. Fix-repair tile floor @ center hallway. 22. Paint walls @ South halls, hall baths, and South rooms.

TOTAL $49,500.00 RECEIVED LEGAL 1/05/2024

Because Every Building is a Castle at Its Core July 2023

Via Email @ [email redacted]

NOBLE LAW OFFICE 1405 West 16th Street, Suite A Yuma, Arizona 85364 ATTENTION: David Rogers

REFERENCE: ACE Build & Remodel, LLC Askari Building TI

Good Morning Mr. Rogers,

We are in receipt of your 22 June 2023 correspondence regarding ACE Build & Remodel and the Askari Building TI.

Your letter stated, “Recently, ACE learned that the Property owner made payment to Castle Core in full.” As I explained to you on the phone, Dr. Askari failed to pay a significant amount due to Castle Core, LLC.

As a result of Askari’s failure to pay, Castle Core filed a Demand for Arbitration on 19 April 2023. Askari filed suit and pleaded with the Yuma County Superior Court to litigate the issue in lieu of arbitrate the issue. Castle Core filed a motion to compel arbitration. On 19 June 2023, the Yuma County Superior Court Ordered the issue to be resolved via Arbitration. A copy of the Court’s Order is attached for your reference.

Currently we are in the process of moving along the arbitration. As you know, arbitration is much swifter than litigation.

As soon as Dr. Askari pays his bill, we will settle our account with ACE.

While we are sorry for the difficulties the doctor’s lack of payment has caused ACE, rest assured we will vigorously pursue payment from Dr. Askari. Page 1

928.376.7100 Office [email redacted] 928.580.7100 Cell Phone ROC No: KB-1 319382 RECEIVED LEGAL 1/05/2024

Please thank your client for his courtesy and for his work on the Askari Building TI.

Very Truly Yours, castle core construction

Jimmy Riley, P.E. General Manager

Page 2

928.376.7100 Office [email redacted] 928.580.7100 Cell Phone ROC No: KB-1 319382 RECEIVED LEGAL 1/05/2024 RECEIVED LEGAL 1/05/2024 RECEIVED LEGAL 1/05/2024

Because Every Building is a Castle at Its Core

April 2023

Via Hand Delivery & Email @ [email redacted]

THOMPSON DESIGN ARCHITECTS, PC 675 West 16th Street Yuma, Arizona 85364

ATTENTION: Chris Thompson, AIA

REFERENCE: Demand for Arbitration Askari Building T.I. & Askari Building East Side T.I.

Greetings Mr. Thompson,

Please accept this correspondence as our Official Demand for Arbitration regarding the above referenced project.

Our Claim is in the amount of $661,400.00.

The basis of our claim is:

Castle Core, LLC performed the work in accordance with Dr. Askari's direction. Castle Core, LLC invoiced Dr. Askari for the work performed. Dr. Askari failed to provide payment. Castle Core, LLC informed Dr. Askari that Castle Core, LLC will not continue to perform work without payment for the work previously performed. Dr. Askari failed to pay Castle Core, LLC. Dr. Askari removed Castle Core, LLC from the permit and hired another GC to perform the work.

The Respondent, Dr. Askari, and the Respondent’s Attorney, Rob Rutila, are both aware of and familiar with our outstanding invoices, and the reason for our Demand for Arbitration, as is evidenced by the correspondence attached hereto as Page 1

Claimant’s Exhibit C4. 928.376.7100 Office [email redacted] 928.580.7100 Cell ROC No: KB-1 319382 RECEIVED LEGAL 1/05/2024

As is customary with the Arbitration proceeding, we will provide you, as the Arbitrator, and the Respondent with our exhibits prior to the Arbitration.

Enclosed is the first payment of the Arbitration Administration Fee in the amount of $5,500.00 [Reference Claimant’s Exhibit C3]. The final payment of the Arbitration Administration Fee in the amount of $6,825.00 will be provided by Castle Core, LLC after the Arbitration has been scheduled and at least two weeks before the commencement of the Arbitration.

We recognize the Arbitration Administration Fee does not include your fee as the Arbitrator. We recognize your fee as an Arbitrator will be in the range of $1,000.00 per hour invested in resolving the dispute. We also recognize your fees as the Arbitrator will be paid evenly by each party at least two weeks prior to the date of the Arbitration.

Attached as Claimant’s Exhibit C1 is the contract for the work associated with the Askari Building T.I. Attached as Claimant’s Exhibit C2 is the contract for the work associated with the Askari Building East Side T.I. A review of Section 7 of each of the contracts will prove the only method of dispute resolution is Arbitration, with you as the Arbitrator. Specifically, Section 7 of the contracts reads:

“SECTION 7. DISPUTE RESOLUTION. In the event of a dispute which cannot be resolved, either party may elect to demand Arbitration. The Arbitrator shall be a neutral third party as selected by Chris Thompson Architect. The Arbitrator’s decision shall be final and binding on the Owner and the Contractor. Arbitration shall be the only method of dispute resolution.”

The location of the construction project is 2475 South Avenue A, Yuma, Arizona 85364.

The Respondent’s information is as follows:

Hassan Askari, M.D. & Cardiovascular Center of Yuma 2475 South Avenue A, Yuma, Az 85364 Phone: 928.344.9000 Email: [email redacted]

The Respondent is Represented by an Attorney. The Respondent’s Counsel’s information is as follows:

Robert Rutila Rutila, Seibt & Nash, PLLC 6803 East Main Street, Suite 1116 Scottsdale, Arizona 85251 Page 2

Phone: 480.712.0035 Email: [email redacted]

928.376.7100 Office [email redacted] 928.580.7100 Cell ROC No: KB-1 319382 RECEIVED LEGAL 1/05/2024

As is appropriate in an Arbitration proceeding Castle Core, LLC will provide Respondent’s Counsel with an exact replica of this correspondence, including all its attachments.

We appreciate your services as Arbitrator.

Thank you for your courtesy.

Very Truly Yours, castle core construction

Jimmy Riley, P.E. General Manager

Page 3

928.376.7100 Office [email redacted] 928.580.7100 Cell ROC No: KB-1 319382 RECEIVED LEGAL 1/05/2024

Claimant’s

Exhibit

“C1” RECEIVED LEGAL 1/05/2024 RECEIVED LEGAL 1/05/2024 RECEIVED LEGAL 1/05/2024 RECEIVED LEGAL 1/05/2024 RECEIVED LEGAL 1/05/2024 RECEIVED LEGAL 1/05/2024 RECEIVED LEGAL 1/05/2024 RECEIVED LEGAL 1/05/2024

Claimant’s

Exhibit

“C2” RECEIVED LEGAL 1/05/2024 RECEIVED LEGAL 1/05/2024 RECEIVED LEGAL 1/05/2024 RECEIVED LEGAL 1/05/2024 RECEIVED LEGAL 1/05/2024

Claimant’s

Exhibit

“C3” RECEIVED LEGAL 1/05/2024 RECEIVED LEGAL 1/05/2024

Claimant’s

Exhibit

“C4” RECEIVED LEGAL 1/05/2024

Because Every Building is a Castle at Its Core

March 2023 Via Email @ [email redacted]

RSN ATTORNEYS Rutila, Seibt & Nash, PLLC 6803 East Main Street, Suite 1116 Scottsdale, Arizona 85251

ATTENTION: Robert P. Rutila

REFERENCE: DEMAND FOR PAYMENT Askari Building TI

Dear Mr. Rutila,

It remains our understanding that you, and/or the law firm of RSN Attorneys, Rutila, Seibt & Nash, PLLC, represent Hassan Askari, MD.

On 13 February 2023, we provided your client, Hassan Askari, MD, a recap of all the invoices due and payable to Castle Core, LLC. A copy of that correspondence and its attachments are included as an attachment to this correspondence.

All of Castle Core, LLC’s invoices have been certified as due and payable in accordance with ARS 32-1182 D. All of Castle Core, LLC’s invoices are past due in accordance with ARS 32-1182 A.

Please accept this correspondence as our official Demand for Payment.

Please have your client, Hassan Askari, MD, provide payment on or before the end of the day on Monday, 06 March 2023. Should your client be unable to make payment in full, we will make payment arrangements.

Please be advised, should your client fail to provide us with payment in full or fail to provide partial payment with the balance due on an acceptable payment arrangement, we will be forced to pursue any and every available avenue to obtain the funds due to Castle Core, LLC by Hassan Askari, MD, Claudia Dima, MD, and/or Yuma Cardiovascular.

[email redacted] 928.376.7100 ROC No: KB-1 319382 RECEIVED LEGAL 1/05/2024

Thank you for your courtesy.

Very Truly Yours, castle core construction

Jimmy Riley, P.E. General Manager

[email redacted] 928.376.7100 ROC No: KB-1 319382 RECEIVED LEGAL 1/05/2024

Because Every Building is a Castle at Its Core

February 2023 Via Email @ [email redacted]

CARDIOVASCULAR CENTER OF YUMA 2475 S Avenue A Yuma, Arizona 85364

ATTENTION: Hassan Askari, MD

REFERENCE: Invoices – Total All Invoices Due Askari Building TI

Dear Dr. Askari,

Please be advised, as of the date of this correspondence, the following is the total of all invoices due and payable to Castle Core, LLC.

West Side TI – Invoice Thru 27 January 2023 $222,700.00 East Side TI – Final Invoice $166,700.00 Askari’s Promise to Jimmy Riley $150,000.00 Askari’s Breach of Contract $122,000.00 Total Due $661,400.00

As stated previously, once you have paid all our invoices in full, should you desire to be released from your contractual obligation for us to complete the construction of your ambulatory surgery center, we will be glad to agree to a contract modification which would close out our contract and allow you to utilize the services of another General Contractor.

Thank you for your courtesy. Very Truly Yours, castle core construction

Jimmy Riley, P.E. General Manager

[email redacted] 928.376.7100 ROC No: KB-1 319382 RECEIVED LEGAL 1/05/2024

Invoice No. 712801221106X 04 Date: 27-Jan-23

INVOICE

Because Every Building is a Castle at Its Core ROC License # 319382

Customer Name HASSAN ASKARI, MD Askari Building TI - West Side Address 2475 Avenue A Yuma, Arizona 85364 Attn: Hassan Askari, MD

Description of Work Invoice Amount ASKARI BUILDING TI - WEST SIDE OF BUILDING Balance Due for Work Completed Through 27 January 2023 $222,700

NOTE: 1) This invoice is for the work which has been completed from the commencement of the project up to and through 27 January 2023. This invoice is for the balance due for the performance of such work. This invoice takes into consideration all previous payments for the work. This invoice is the balance due and not the total value of the work completed to date

2) The face value of the contract which exists for the work associated with the Askari Building TI is susbtantially less than the cost of the work Castle Core presented to Askari. Castle Core only signed the contract after Askari repeatedly told Castle Core that Askari would make certain Castle Core earned $150,000 in profit for performing the work regardless of the contract value.

3) Askari's financial commitment to Caste Core [see # 2 above] is not included in this invoice for the value of the work completed through 27 January 2023.

Remit To: Castle Core, LLC P.O. Box 4127 TOTAL DUE $222,700 Yuma, Arizona 85366

928.376.7100 RECEIVED LEGAL 1/05/2024

Invoice No. 712801221205X 03 Date: 27-Jan-23

INVOICE

Because Every Building is a Castle at Its Core ROC License # 319382

Customer Name HASSAN ASKARI, MD Askari Building - East Side TI Address 2475 Avenue A Yuma, Arizona 85364 Attn: Hassan Askari, MD

Invoice Description of Work Amount

TENANT IMPROVEMENTS - BLDG EAST SIDE Entire Scope of Work as Directed by Dr. Askari. $166,700

NOTE: This is the final invoice for the Tenant Improvement Work associated with the improvements which were performed to the east side of the Askari Building. This invoice is for the balance due for the performance of such work. This invoice takes into consideration all previous payments for the work. This invoice is the balance due and not the total value of the work completed. The Scope of Work was modified on a consistent and almost daily basis by Dr. Askari. Reference "Section 5 Payments" of the contract for additional information.

Remit To:

Castle Core, LLC P.O. Box 4127 TOTAL DUE $166,700 Yuma, Arizona 85366

928.376.7100 RECEIVED LEGAL 1/05/2024

Invoice No. 712801221106X Askari's Promise Date: 13-Feb-23

INVOICE

Because Every Building is a Castle at Its Core ROC License # 319382

Customer Name HASSAN ASKARI, MD Askari Building TI - West Side Address 2475 Avenue A Yuma, Arizona 85364 Attn: Hassan Askari, MD

Description of Work Invoice Amount

ASKARI BUILDING TI - WEST SIDE OF BUILDING Balance Due As a Result of Askari's Promise to Jimmy $150,000

NOTE: 1) This invoice is due and payable as the result of Hassan Askari, MD's promise to pay Jimmy $150,000. Reference Castle Core, LLC's correspondence of 29 January 2023 & 13 February 2023.

3) Askari's financial commitment to Caste Core [see # 2 above] is only included in this invoice and has not been included in any other invoice presented by Castle Core, LLC.

Remit To: Castle Core, LLC P.O. Box 4127 TOTAL DUE $150,000 Yuma, Arizona 85366

928.376.7100 RECEIVED LEGAL 1/05/2024

Invoice No. 712801221106X Breach Date: 13-Feb-23

INVOICE

Because Every Building is a Castle at Its Core ROC License # 319382

Customer Name HASSAN ASKARI, MD Askari Building TI - West Side Address 2475 Avenue A Yuma, Arizona 85364 Attn: Hassan Askari, MD

Description of Work Invoice Amount

ASKARI BUILDING TI - WEST SIDE OF BUILDING Balance Due As a Result of Askari's Breach of Contract $122,000

NOTE: 1) This invoice is due and payable as the result of Hassan Askari, MD's breach of contract. Reference Castle Core, LLC's correspondence of February 2023.

Remit To: Castle Core, LLC P.O. Box 4127 TOTAL DUE $122,000 Yuma, Arizona 85366

928.376.7100 RECEIVED LEGAL 1/05/2024 RECEIVED LEGAL 1/05/2024 Firefox https://outlook.office.com/mail/id/AAQkAGY1OWQzZmRmLTIyMjE... RECEIVED LEGAL 1/05/2024

Re: ACE Build & Remodel, LLC vs. Castle Core Construction, LLC Jimmy Riley <[email redacted]> Thu 11/2/2023 5:42 PM To:David <[email redacted]> Hello David,

We have yet to receive your le�er via mail. In the future, if you communicate via email, we are sure to receive your correspondence, and we will respond quickly.

Our a�orney was in town performing discovery the 16th through the 18th of October.

The Arbitra�on is set for the week of the 25th of March.

Enjoy your evening.

Jimmy

Castle Core Construction Jimmy Riley, P.E. General Manager Registered Professional Engineer AZ - 44857: CA 54811 Licensed General Contractor - AZ ROC 319382 KB-01 928.376.7100

Because Every Building is a Castle at Its Core

From: David <[email redacted]> Sent: Thursday, November 2, 2023 5:00 PM To: Jimmy Riley <jimmy@castlecoreconstruc�on.com> Cc: 'Liliana Padilla' <[email redacted]> Subject: RE: ACE Build & Remodel, LLC vs. Castle Core Construc�on, LLC

Good afternoon Mr. Riley,

I wanted to follow up on the Arbitration Hearing in your pending litigation with Dr. Askari. Attached is a letter our office mailed on October 16, 2023, requesting an update on the matter. To date we have not heard anything.

of 4 1/5/2024, 10:38 AM Firefox https://outlook.office.com/mail/id/AAQkAGY1OWQzZmRmLTIyMjE... RECEIVED LEGAL 1/05/2024 Please contact me to provide an update. Have a great evening.

Best regards, David

David G. L. Rogers, Esq. N�� L�� O�� 1405 W. 16th Street, Ste. A Yuma, Arizona 85364 928.343.9447 Telephone 928.343.9483 Facsimile

Please note our office hours have changed. Our new office hours are Monday - Thursday 8:00 a.m. to 5:00 p.m. and Fridays 8:00 a.m. to 12:00 p.m. If you call outside of the office hours, please leave a message.

This message is for the designated recipient only and may contain confidential, privileged, or proprietary information. If you have received it in error, please notify the sender immediately. Also, please delete the original and any copy or printout. Unintended recipients are prohibited from making any other use of this email. Although we have taken reasonable precautions to ensure no viruses are present in this email, we accept no liability for any loss or damage arising from the use of this email or its attachments, or for any delays, errors, or omissions in the contents which result from this email transmission.

From: david noblelaw.com Sent: Wednesday, July 12, 2023 9:05 AM To: Jimmy Riley <jimmy@castlecoreconstruc�on.com> Cc: Telma Monroy <[email redacted]> Subject: RE: ACE Build & Remodel, LLC vs. Castle Core Construc�on, LLC

Good morning Mr. Riley,

Thank you for your letter and some of the additional information. Let me speak with ACE and get back to you as soon as possible.

I look forward to getting this resolved quickly.

Have a great day!

Best regards, David

David G. L. Rogers, Esq. N�� L�� O�� 1405 W. 16th Street, Ste. A Yuma, Arizona 85364 928.343.9447 Telephone 928.343.9483 Facsimile

of 4 1/5/2024, 10:38 AM Firefox https://outlook.office.com/mail/id/AAQkAGY1OWQzZmRmLTIyMjE... RECEIVED LEGAL 1/05/2024 Please note our office hours have changed. Our new office hours are Monday - Thursday 8:00 a.m. to 5:00 p.m. and Fridays 8:00 a.m. to 12:00 p.m. If you call outside of the office hours, please leave a message.

From: Jimmy Riley <jimmy@castlecoreconstruc�on.com> Sent: Friday, July 7, 2023 10:12 AM To: david noblelaw.com <[email redacted]> Cc: liliana noblelaw.com <[email redacted]> Subject: Re: ACE Build & Remodel, LLC vs. Castle Core Construc�on, LLC

Good Morning David,

Thank you for your �me on the phone.

A�ached is correspondence recapping our discussion and a copy of the Court's Order.

Thank you for your courtesy.

Enjoy your weekend.

Jimmy

Castle Core Construction Jimmy Riley, P.E. General Manager Registered Professional Engineer AZ - 44857: CA 54811 Licensed General Contractor - AZ ROC 319382 KB-01 928.376.7100

Because Every Building is a Castle at Its Core

From: [email redacted] <[email redacted]> Sent: Friday, June 23, 2023 10:35 AM To: Jimmy Riley <jimmy@castlecoreconstruc�on.com> Cc: 'Liliana Padilla' <[email redacted]> Subject: ACE Build & Remodel, LLC vs. Castle Core Construc�on, LLC

of 4 1/5/2024, 10:38 AM Firefox https://outlook.office.com/mail/id/AAQkAGY1OWQzZmRmLTIyMjE... RECEIVED LEGAL 1/05/2024 Good morning Mr. Riley,

Attached within please find correspondence from Noble Law Office regarding the above referenced matter. If you have any trouble opening the attachment, please contact our office.

Have a great day.

Best regards, David

David G. L. Rogers, Esq. N�� L�� O�� 1405 W. 16th Street, Ste. A Yuma, Arizona 85364 928.343.9447 Telephone 928.343.9483 Facsimile

of 4 1/5/2024, 10:38 AM RECEIVED LEGAL 1/05/2024

Legal New Mail - AZROC <[email redacted]>

Complaint Number 2023-13632, Written Answer to Citation & Complaint message

Jimmy Riley <[email redacted]> Fri, Jan 5, 2024 at 1:04 PM To: "[email redacted]" <[email redacted]>, Legal New Mail - AZROC <[email redacted]>, "[email redacted]" <[email redacted]>

Greetings,

Please reference the attached.

Thank you.

Jimmy

Castle Core Construction Jimmy Riley, P.E. General Manager Registered Professional Engineer AZ - 44857: CA 54811 Licensed General Contractor - AZ ROC 319382 KB-01 928.580.7100 Cell 928.376.7100 Office

Because Every Building is a Castle at Its Core

ROC Complaint - No Pay 2023-13632 - 05 Jan 2024.pdf 4551K 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