ALJDEC - Licensing
2025A-00680-NPC-ROC · Registrar of Contractors · 2025-07-24
IN THE OFFICE OF ADMINISTRATIVE HEARINGS
Sunbelt Rentals, Inc,
COMPLAINANT
v.
The Villalpando Corporation, Inc
DBA: Villalpando Custom Homes Builders,
License No. ROC 195458,
RESPONDENT
No. 2025A-00680-NPC-ROC
ADMINISTRATIVE LAW JUDGE DECISION
HEARING: May 6, 2025 with the record held open until July 7, 2025
APPEARANCES: Lynn Welton appeared on behalf of Sunbelt Rentals, Inc. Cruz Villalpando appeared on behalf of Respondent The Villalpando Corporation.
ADMINISTRATIVE LAW JUDGE: Adam D. Stone
EXHIBITS ADMITTED INTO EVIDENCE:
_____________________________________________________________________
FINDINGS OF FACT
On March 26, 2025, the Registrar of Contractors (“ROC”) issued a Notice of Hearing on Contested Case setting the matter for hearing on June 12, 2025, at the Office of Administrative Hearings.
On January 21, 2025, the Complainant, Sunbelt Rentals, Inc., filed a complaint against Respondent alleging that Respondent owed Complainant monies on invoice [number redacted]-0001 dated November 20, 2023 in the amount of $6,108.37; invoice [number redacted]-0002 dated December 18, 2023 in the amount of $6,094.24; and invoice [number redacted]-0003 dated December 20, 2023 in the amount of $330.13. The total amount was $12,533.44.
Through the citation and Notice of Hearing, ROC alleges that Respondent may have violated Ariz. Rev. Stat. section 32-1154(A)(10).
Respondent holds License No. 339578 issued by ROC, and timely provided an Answer on April 29, 2025.
Complainant provided equipment on a project for which Respondent was the general contractor.
At hearing, Mr. Villalpando agreed that the amounts were due and owing, and the parties agreed to hold the record open until July 7, 2025 for Mr. Villalpando to satisfy the debt.
On July 16, 2025, Complainant informed the tribunal that the following payments were made: $3,000.00 on May 7, 2025; $1,500.00 on May 21, 2025; and $500.00 on June 20, 2025. The remaining balance was now $7,033.44.
CONCLUSIONS OF LAW
Unless otherwise provided by law, a party asserting a claim, right, or entitlement bears the burden of proof; a party asserting an affirmative defense has the burden of establishing the affirmative defense. The standard of proof on all issues in this matter is that of a preponderance of the evidence. Ariz. Admin. Code § R2-19-119.
“At a hearing on an agency action to suspend, revoke, terminate or modify on its own initiative material conditions of a license or permit, the agency has the burden of persuasion.” Ariz. Rev. Stat. § 41-1092.07(G)(2).
A preponderance of the evidence is:
The greater weight of the evidence, not necessarily established by the greater number of witnesses testifying to a fact but by evidence that has the most convincing force; superior evidentiary weight that, though not sufficient to free the mind wholly from all reasonable doubt, is still sufficient to incline a fair and impartial mind to one side of the issue rather than the other.
Black’s Law Dictionary 1373 (10th ed. 2014).
Statutes should be interpreted to provide a fair and sensible result. Gutierrez v. Industrial Commission of Arizona, 226 Ariz. 395, 249 P.3d 1095 (2011)(citation omitted); State v. McFall, 103 Ariz. 234, 238, 439 P.2d 805, 809 (1968) ("Courts will not place an absurd and unreasonable construction on statutes.").
“Statutes shall be liberally construed to effect their objects and to promote justice.” Ariz. Rev. Stat. § 1-211(B).
The purpose of the Registrar’s licensing statutes is to protect the public from unscrupulous, unqualified, and financially irresponsible contractors. See Aesthetic Property Maintenance v. Capital Indem. Corp., 183 Ariz. 74, 900 P. 2d 1210 (1995).
Among the grounds for suspension or revocation of a contractor’s license is a “[f]ailure by [the] licensee . . . 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 when the licensee has the capacity to pay or, if the licensee lacks the capacity to pay, when the licensee has received sufficient monies as payment for the particular construction work project or operation for which the services or materials were rendered or purchased.” Ariz. Rev. Stat. § 32-1154(A)(10).
The preponderance of the evidence shows that Respondent owes Complainant more than $750.00 for materials purchased and work performed in connection with Respondent’s operations as a contractor. From the credible evidence provided, the tribunal finds that the amounts had been due and that Respondent has failed to pay without a valid legal excuse.
Therefore, the preponderance of the evidence shows that Respondent has violated section 32-1154(A)(10).
Respondent’s license should be suspended until it pays to Complainant remaining $7,033.44
RECOMMENDED ORDER
IT IS RECOMMENDED that The Villalpando Corporation, Inc.’s license number 339578 be suspended until the Registrar receives proof that it has paid to Sunbelt Rentals Inc. $7,033.44.
Pursuant to A.R.S. § 41-1092.08(I), the licensee may accept the Administrative Law Judge Decision by advising the Office of Administrative Hearings in writing not more than ten (10) days after receiving the decision. If the licensee accepts the Administrative Law Judge Decision, the decision shall be certified as the final decision by the Office of Administrative Hearings.
In the event of certification of the Administrative Law Judge Decision by the Director of the Office of Administrative Hearings, the effective date of the Order will be forty (40) days from the date of that certification.
Done this day, July 24, 2025.
/s/ Adam D. Stone
Administrative Law Judge
Transmitted by either mail, e-mail, or facsimile to:
Tom Cole, Director
Registrar of Contractors
Lynne Welton
Sunbelt Rentals, Inc.
[email redacted]
The Villalpando Corporation, Inc.
[email redacted]
By: OAH Staff