EX 10 - Complaint & Service Packet- Terran Jones.pdf

2024A-02160-CHC-ROC · Registrar of Contractors · 2026-02-18

Clerk of the Superior Court *** Electronically Filed *** C. McWhorter, Deputy 5/17/2024 3:59:00 PM Filing ID 17843131

Joshua Ernst (029855) ERNST, BROWN & DRAPER, PLLC 1930 S. Alma School Road, SuiteA200 Mesa, Arizona 85210 Telephone: (602) 324-9673 [email redacted] Attorneys for the Plaintiff IN THE SUPERIOR COURT OF THE STATE OF ARIZONA IN AND FOR THE COUNTY OF MARICOPA Valley Fire and Water Restorations, Inc. dba Case No. CV2024-012357 Valley Services Restoration, Plaintiff, COMPLAINT

vs. Terran and Ray Jones, a married couple, Defendants. For its Complaint against Defendants Terran and Ray Jones, Plaintiff Valley Fire and Water Restorations, Inc. dba Valley Services Restoration (“Valley Services”) alleges as follows: PARTIES, JURISDICTION AND VENUE 1. Plaintiff Valley Services is an Arizona corporation. 2. Defendants Terran and Ray Jones are a married couple who reside at 40302 W. Helen Ct., Maricopa, AZ 85138, in Maricopa County, Arizona. 3. This Court has jurisdiction over this action pursuant to A.R.S. § 12-123 and the Arizona Constitution Article VI § 14. 4. Venue is proper before this Court pursuant to A.R.S. § 12-401. 5. The estimated value of Plaintiff’s claim is less than $50,000 and thus this case is appropriate for a “Tier 1” designation under Rules 8 and 26.2 of the Arizona Rules of Civil Procedure and is subject to compulsory arbitration. GENERAL ALLEGATIONS 6. Valley Services provides, among other things, restoration work to damaged properties, residences, and other buildings in Maricopa County and elsewhere. 7. When a residential property (which is the type of building at issue here) is damaged, the residence owner submits a claim to their homeowners insurance company. 8. The insurance company informs the homeowners that they can pick the restoration company with whom they choose to work. 9. Valley Services has developed and maintained excellent relationships with the major insurance carriers in Maricopa County. 10. If retained, Valley Services inspects the premises, performs an evaluation of the repairs that are needed, and provides that estimate and repair plan to the homeowner and the insurance company. 11. The insurance company approves the plan or requests revisions / additional inspections, and once the insurance company’s questions are answered, the insurance company agrees to release a certain amount of money for the restoration repair. 12. The homeowners also sign an agreement with Valley Services to pay for the repairs to be done at their residence and, because most homeowners do not have funds for major restoration repairs at their disposal, the standard practice is for the homeowners to use the insurance company’s claim funds to pay Valley Services. 13. On August 17, 2023, the Joneses signed an agreement authorizing Valley Services to begin restoration work at their home located at 40302 W. Helen Ct., Maricopa, AZ 85138 (the “Residence”) following extensive fire damage to the Residence. A copy of the contract, entitled “Authorization for Repair” is attached as Exhibit 1. 14. Under the Authorization for Repair, the Joneses agreed that “any claim payments issued will include, or (go directly to) my independent contractor and/or independent service

provider(s) and my mortgage holder(s) if applicable.” (Ex. 1.) The independent contract is Valley Services. 15. The Joneses also “agree[d] to pay [their] independent contractor and/or independent service provider(s) for any repairs or additional improvements made at my direction that are not covered under my policy.” (Ex. 1.) 16. The Joneses’ insurance company was American Family Insurance. 17. Valley Services began working on the Joneses’ home on September 12, 2023. 18. The cost of the work performed by Valley services totaled $43,186.58. 19. Additionally, the Joneses requested that Valley Services execute and complete multiple change orders to the scope of work, which required the Joneses to spend additional funds for the change order work. 20. Valley Servies performed the work and completed the job on December 11, 2023. 21. After final inspection and approval, American Family Insurance released the final $11,757.73 to the Joneses. At the time of release, the amount owed to Valley Services was $10,757.73. 22. After the Joneses received the funds from American Family, they did not pay Valley Services. 23. Valley Services made multiple requests for the funds but the Joneses ignored those requests and refused to pay. CLAIM ONE – Breach of Contract 24. Valley Services incorporates the allegations made in the paragraphs above as though fully set forth herein. 25. The Joneses and Valley Services entered into a contract wherein Valley Services agreed to perform work at the Residence and the Joneses agreed to pay Valley Services the contractually agreed-upon amounts. 26. Following the completion of Valley Services’ work at the Residence, American

Family released the final $11,757.73 to the Joneses, of which $10,757.73 which amount was due and owing to Valley Services. 27. The Joneses were contractually obligated to pay the $10,757.73 funds to Valley Services. 28. The Joneses failed to pay those funds and instead kept the funds released by American Family. 29. The Joneses’ actions constitute a breach of the contract between the parties. 30. The Joneses’ actions have caused damages to Valley Services in an amount of $10,757.73. 31. In addition, this amount was due and owing on December 11, 2023 and has incurred an interest of 1.5%, totaling $645.46 of interest through April 11, 2024 (and which amount continues to accrue daily at a rate of $5.31 a day). 32. This totals $11,403.19 through April 11, 2024, plus $5.31 each day in interest. 33. Additionally, Valley Services seeks its attorney’s fees and costs under A.R.S. § 12-341.01(A). CLAIM TWO – Breach of Covenant of Good Faith and Fair Dealing 34. Valley Services incorporates the allegations made in the paragraphs above as though fully set forth herein. 35. Every contract contains an implied covenant of good faith and fair dealing in which a party will not do anything to deny the other party to the contract of that other party’s reasonably expected benefits under the contract. 36. Defendants’ conduct denied Valley Services its reasonably expected benefits under the agreement between the parties. 37. Under the agreement, Valley Services reasonably expected to receive the full payment of amounts owed, totaling $10,757.73 plus $645.46 in interest. 38. Defendants failed to pay these funds to Valley Services.

39. Defendants’ actions denying Valley Services its reasonably anticipated benefits under the parties’ contract have damaged Valley Services in an amount of $10,757.73, plus $645.46 in interest through April 11, 2024 with $5.31 in interest accruing each day. 40. Valley Services is entitled to recover its attorney’s fees and costs under A.R.S. § 12-341.01. CLAIM THREE – Unjust Enrichment 41. Valley Services incorporates the allegations made in the paragraphs above as though fully set forth herein. 42. Defendants have been enriched and Valley Services has been impoverished by Defendants’ refusal and failure to pay the amounts owed to Valley Services under the parties’ agreement. 43. Additionally, Defendants have been enriched by receiving repair and restoration work on their Residence without a corresponding final payment to Valley Services. 44. Defendants’ enrichment and Valley Services’ impoverishment are inextricably connected and intertwined. 45. There is no justification for Defendants’ failure and refusal to pay Valley Services the amounts owed. 46. As an alternative claim for relief, Valley Services has no adequate remedy provided by law. PRAYER FOR RELIEF WHEREFORE, Plaintiff requests that the Court enter Judgment in Plaintiff’s favor and against Defendants as follows: A. For direct damages against Defendants for breach of contract in the amount of $10,757.73, plus $645.46 in interest through April 11, 2024, with $5.31 in interest accruing each day. B. For direct damages against Defendants for breach of implied covenant of good

faith and fair dealing in the amount of $10,757.73, plus $645.46 in interest through April 11, 2024, with $5.31 in interest accruing each day. C. For direct damages against Defendants for their unjust enrichment. D. For statutory interest as applicable under Arizona law. E. For an award of attorney’s fees and costs under A.R.S. § 12-341.01. F. For such other relief as this Court may deem just and appropriate. RESPECTFULLY SUBMITTED on May 17, 2024. ERNST, BROWN & DRAPER, PLLC By: ________________________________ Joshua M. Ernst Attorney for Plaintiff

Person Filing: Joshua Ernst Clerk of the Superior Court *** Electronically Filed *** Address (if not protected): 1930 S Alma School Road Suite A200 C. McWhorter, Deputy City, State, Zip Code: Mesa, AZ 85210 5/17/2024 3:59:00 PM Filing ID 17843134 Telephone: (602)324-9640 Email Address: [email redacted] Representing [☐ ] Self or [☐ ] Attorney for: Lawyer’s Bar Number: 029855, Issuing State: AZ

SUPERIOR COURT OF ARIZONA IN MARICOPA COUNTY Case Number: CV2024-012357 Valley Fire and Water Restorations, Inc. dba Valley Services Restoration Name of Plaintiff SUMMONS AND

Terran Jones, et al. Name of Defendant

WARNING: This is an official document from the court that affects your rights. Read this carefully. If you do not understand it, contact a lawyer for help.

FROM THE STATE OF ARIZONA TO: Terran Jones Name of Defendant

1. A lawsuit has been filed against you. A copy of the lawsuit and other court papers are served on you with this “Summons”. 2. If you do not want a judgment or order taken against you without your input, you must file an “Answer” or a “Response” in writing with the court and pay the filing fee. If you do not file an “Answer” or “Response” the other party may be given the relief requested in his/her Petition or Complaint. To file your “Answer” or “Response” take, or send, the “Answer” or “Response” to Clerk of the Superior Court, AZturboCourt.gov Form Set #9030070

or electronically file your Answer through one of Arizona’s approved electronic filing systems at http://www.azcourts.gov/efilinginformation. Mail a copy of your “Response” or “Answer” to the other party at the address listed on the top of this Summons. Note: If you do not file electronically you will not have electronic access to the document in this case.

Arizona Supreme Court Page 1 of 2 EFCV11f-042523 Summons 3. If this “Summons” and the other court papers were served on you by a registered process server or the Sheriff, within the State of Arizona, your “Response” or “Answer” must be filed within TWENTY (20) CALENDAR DAYS from the date you were served, not counting the day you were served. If this “Summons” and the other papers were served on you by a registered process server or the Sheriff outside the State of Arizona, your Response must be filed within THIRTY (30) CALENDAR DAYS from the date you were served, not counting the day you were served. Service by a registered process server or the Sheriff is complete when made. Service by Publication is complete thirty (30) days after the date of the first publication. 4. You can get a copy of the court papers filed in this case from the Petitioner at the address at the top of this paper, or from the Clerk of the Superior Court. 5. Requests for reasonable accommodation for persons with disabilities must be made to the office of the judge or commissioner assigned to the case, at least ten (10) judicial days before your scheduled court date. 6. Requests for an interpreter for persons with limited English proficiency must be made to the office of the judge or commissioner assigned to the case at least ten (10) judicial days in advance of your scheduled court date.

SIGNED AND SEALED this Date: May 17, 2024

JEFF FINE Clerk of Superior Court

By: C. MCWHORTER Deputy Clerk

Requests for an interpreter for persons with limited English proficiency must be made to the division assigned to the case by the party needing the interpreter and/or translator or his/her counsel at least ten (10) judicial days in advance of a scheduled court proceeding. If you would like legal advice from a lawyer, contact Lawyer Referral Service at 602-257-4434 or https://maricopabar.org. Sponsored by the Maricopa County Bar Association. AZturboCourt.gov Form Set #9030070

Arizona Supreme Court Page 2 of 2 EFCV11f-042523 Summons Clerk of the Superior Court *** Electronically Filed *** C. McWhorter, Deputy 5/17/2024 3:59:00 PM Person/Attorney Filing: Joshua Ernst Filing ID 17843133 Mailing Address: 1930 S Alma School Road Suite A200 City, State, Zip Code: Mesa, AZ 85210 Phone Number: (602)324-9640 E-Mail Address: [email redacted] [ ☐ ] Representing Self, Without an Attorney (If Attorney) State Bar Number: 029855, Issuing State: AZ

IN THE SUPERIOR COURT OF THE STATE OF ARIZONA IN AND FOR THE COUNTY OF MARICOPA Valley Fire and Water Restorations, Inc. dba Valley Services Plaintiff(s), Case No. CV2024-012357 v. Terran Jones, et al. CERTIFICATE OF Defendant(s). COMPULSORY ARBITRATION

I certify that I am aware of the dollar limits and any other limitations set forth by the Local Rules of Practice for the Maricopa County Superior Court, and I further certify that this case IS subject to compulsory arbitration, as provided by Rules 72 through 77 of the Arizona Rules of Civil Procedure.

RESPECTFULLY SUBMITTED this

By: Joshua Ernst /s/ Plaintiff/Attorney for Plaintiff AZturboCourt.gov Form Set #9030070