ALJDEC - Licensing

2025A-13169-CHC-ROC · Registrar of Contractors · 2026-06-10

IN THE OFFICE OF ADMINISTRATIVE HEARINGS

Sue Scehnet,

COMPLAINANT,

Elite Home Builders, LLC,

License No. ROC 337328,

RESPONDENT.

No. 2025A-13169-CHC-ROC

ADMINISTRATIVE LAW JUDGE DECISION

HEARING: May 28, 2026

APPEARANCES: Complainant Sue Scehnet appeared on her own behalf with her daughter, Jennifer Scehnet. Jairo Aparicio appeared on behalf of Respondent Elite Home Builders, LLC. Arizona Registrar of Contractors Investigator Doug Barrett appeared as a witness.

ADMINISTRATIVE LAW JUDGE: Sondra J. Vanella

EXHIBITS ADMITTED INTO EVIDENCE: None; Administrative Notice was taken of the Agency Record

FINDINGS OF FACT

Elite Home Builders, LLC (“Respondent”) is the holder of License Number 337328 issued by the Arizona Registrar of Contractors (“Registrar”).

On or about June 16, 2024, Sue Scehnet (“Complainant”) contracted with Respondent for Respondent to perform a kitchen, bathroom, and foyer remodel. Complainant has paid Respondent approximately $30,000.00.

On or about December 17, 2025, the Registrar received a Complaint against Respondent from Complainant alleging abandonment of the project.

The Registrar assigned the Complaint to Investigator Doug Barrett. After a February 9, 2026 Jobsite Inspection, at which both parties were present, Investigator Barrett issued a Written Directive to Respondent dated February 9, 2026, that provided as follows:

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 Monday, March 2, 2026.

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

Complaint Item: 1 - Foyer: paint touch up, finish baseboards, remove old

light fixtures and close up the holes.

Investigator’s Observation: Verified. I observed the front entry foyer and

there was wall paint on the ceiling and AC return grate along with runs in the paint on the trim behind the return grate. The baseboards were not finished with caulking and paint and there was rough peeled paint where the old baseboards were attached. I observed two light fixture locations that needed the junction boxes closed off. Contractor should correct by appropriate means.

Complaint Item: 2 - Family room: finish the proper drywall of the window

that was closed in.

Investigator’s Observation: Verified. I observed the area where a window was deleted and you could see the outline of the window along with cracking in the drywall. Contractor should correct by appropriate means.

Complaint Item: 3 - Kick plate in the kitchen island not installed.

Investigator’s Observation: Verified. I observed the kitchen island and

there was a kick plate missing in the middle of the island. Contractor should correct by appropriate means.

Complaint Item: 5 - Finish paint in kitchen.

Investigator’s Observation: Verified. I observed the kitchen ceiling and

there were streaks throughout along with color variations. I also observed the kitchen wall pointed out by the complainant but did not see a workmanship issue. Contractor should correct the kitchen ceiling paint by appropriate means.

Complaint Item: 6 - Broom closet.

Investigator’s Observation: Verified. I observed the space next to the

microwave where a broom closet is supposed to be installed. Both parties stated the supplies are on site and it just hasn't been completed. Contractor should correct by appropriate means.

Complaint Item: 7 - Finish the window behind the sink so it's finished

looking.

Investigator’s Observation: Verified. I observed the old window cut out in the kitchen behind the sink and it was still a rough opening. Contractor should correct by appropriate means.

Complaint Item: 8 - Quartz countertops and marble backsplash not done.

Investigator’s Observation: Verified. I observed the counters and

backsplash and they were not installed. Contractor should correct by

appropriate means.

Complaint Item: 10 - New plug in island.

Investigator’s Observation: Verified. Both parties agreed there was

supposed to be an outlet installed on the end of the island and there was not. Contractor should correct by appropriate means.

Complaint Item: 12 - Finish hood installation.

Investigator’s Observation: Verified. I observed the range hood in the

kitchen and it was not completed along with drywall unfinished around the top. Contractor should correct by appropriate means.

Complaint Item: 13 - Proper installation of the microwave and shelf above the microwave and sides need finishing.

Investigator’s Observation: Verified. I observed the microwave area and

the cabinets were not complete along with the microwave installation.

Contractor should correct by appropriate means.

Complaint Item: 14 - Under mount lighting for cabinets as well as the island and all countertops.

Investigator’s Observation: Verified. I observed no under cabinet lighting installed. As for the island and countertops, there is no contract showing these areas and the respondent disputed those locations. Contractor should install the under cabinet lighting by appropriate means.

Complaint Item: 15 - Finish baseboards in kitchen.

Investigator’s Observation: Verified. I observed the baseboards in the

kitchen and they were not finished with caulking and paint. Contractor should correct by appropriate means.

Complaint Item: 16 - Jenn's bathroom: finish the surround sturdy shelf

around tub.

Investigator’s Observation: Verified. I observed the bathroom and the shelf area around the tub was not complete and was partially demoed. Contractor should correct by appropriate means.

Complaint Item: 17 - Outlet installed behind bathroom door and light

fixture is upside down.

Investigator’s Observation: Verified. There is no contract or agreement for the outlet to be installed behind the bathroom door. The light fixture has a hole below it that is not repaired and painted. Contractor should correct the light fixture hole by appropriate means.

Complaint Item: 18 - Baseboards and door trim not completed in bathroom.

Investigator’s Observation: Verified. I observed some old baseboard

behind the bathroom door and missing door trim. Contractor should complete the baseboards and door trim by appropriate means.

Complaint Item: 20 - Chipped tile in the bathroom.

Investigator’s Observation: Verified. I observed a chipped/cracked tile on the left side of the step in the bathroom. Contractor should correct by

appropriate means.

ITEMS NOT REQUIRING CORRECTION

The following complaint items require no action by the Respondent:

Complaint Item: 4 - Shelves need different mounts, shelves missing in

cabinets above fridge, island and right of sink.

Investigator’s Observation: Unverified. I observed the cabinets and they

were installed within standards. There are no specific plans for the shelf layout in the various cabinets. In response to this complaint item: There is not sufficient evidence to find that the Respondent Failed to meet minimum workmanship standards per A.A.C. R4-9-108.

Complaint Item: 9 - Change outlets to USB, install charging ring in

countertop.

Investigator’s Observation: Unverified. These items are not in the contract. In response to this complaint item: There is not sufficient evidence to find that the Respondent Failed to meet minimum workmanship standards per A.A.C. R4-9-108.

Complaint Item: 11 - Back of island is supposed to have ornate finish & on side of island is supposed to have a waterfall edge.

Complaint Item: 19 - Laundry closet, lighting, trim and switches changed.

Investigator’s Observation: Unverified. The laundry area is disputed by the respondent and there is not a contract for it. In response to this complaint item: There is not sufficient evidence to find that the Respondent Failed to meet minimum workmanship standards per A.A.C. R4-9-108.

After the March 2, 2026 deadline for compliance with the Written Directive, Investigator Barrett scheduled a Compliance Jobsite Inspection for March 9, 2026, at which both parties were present. Investigator Barrett’s Compliance Notes indicate the following:

Compliance Jobsite General Notes: Very minimal work was started or completed.

Compliance Findings:

Complaint Item: 1 - Foyer: paint touch up, finish baseboards, remove old light fixtures and close up the holes.

Investigator’s Initial Observation: Verified. I observed the front entry foyer and there was wall paint on the ceiling and AC return grate along with runs in the paint on the trim behind the return grate. The baseboards were not finished with caulking and paint and there was rough peeled paint where the old baseboards were attached. I observed two light fixture locations that needed the junction boxes closed off. Contractor should correct by appropriate means.

Compliance Observation: The only item corrected were the two light fixtures being plated off.

☐ CORRECTED ☒ NOT CORRECTED

Complaint Item: 2 - Family room: finish the proper drywalling of the window that was closed in.

Investigator’s Initial Observation: Verified. I observed the area where a window was drywalled in and you could see the outline of the window along with cracking in the drywall.

Contractor should correct by appropriate means.

Compliance Observation: Item was corrected

☒ CORRECTED ☐ NOT CORRECTED

Complaint Item: 3 - Kick plate in the kitchen island not installed.

Investigator’s Initial Observation: Verified. I observed the kitchen island and there was a kickplate missing in the middle of the island. Contractor should correct by appropriate means.

Compliance Observation: Not started or completed.

☐ CORRECTED ☒ NOT CORRECTED

Complaint Item: 5 - Finish paint in kitchen.

Investigator’s Initial Observation: Verified. I observed the kitchen ceiling and there were streaks throughout along with color variations. I also observed the kitchen wall pointed out by the complainant but did not see a workmanship issue. Contractor should correct the kitchen ceiling paint by appropriate means.

Compliance Observation: Ceiling not started, wall not completed at baseboards.

☐ CORRECTED ☒ NOT CORRECTED

Complaint Item: 6 - Broom closet.

Investigator’s Initial Observation: Verified. I observed the space next to the microwave where a broom closet is supposed to be installed. Both parties stated the supplies are on site and it just hasn't been completed. Contractor should correct by appropriate means.

Compliance Observation: Not started or completed.

☐ CORRECTED ☒ NOT CORRECTED

Complaint Item: 7 - Finish the window behind the sink so it's finished looking.

Investigator’s Initial Observation: Verified. I observed the old window cut out in the kitchen behind the sink and it was still a rough opening. Contractor should correct by appropriate means.

Compliance Observation: Not started or completed.

☐ CORRECTED ☒ NOT CORRECTED

Complaint Item: 8 - Quartz countertops and marble backsplash not done.

Investigator’s Initial Observation: Verified. I observed the counters and backsplash and they were not installed. Contractor should correct by appropriate means.

Compliance Observation: Not started or completed.

☐ CORRECTED ☒ NOT CORRECTED

Complaint Item: 10 - New plug in island.

Investigator’s Initial Observation: Verified. Both parties agreed there was supposed to be an outlet installed on the end of the island and there was not. Contractor should correct by appropriate means.

Compliance Observation: Not started or completed.

☐ CORRECTED ☒ NOT CORRECTED

Complaint Item: 12 - Finish hood installation.

Investigator’s Initial Observation: Verified. I observed the range hood in the kitchen and it was not completed along with drywall unfinished around the top. Contractor should correct by appropriate means.

Compliance Observation: Not started or completed.

☐ CORRECTED ☒ NOT CORRECTED

Complaint Item: 13 - Proper installation of the microwave and shelf above the microwave and sides need finishing.

Investigator’s Initial Observation: Verified. I observed the microwave area and the

cabinets were not complete along with the microwave installation. Contractor should correct by appropriate means.

Compliance Observation: Not started or completed.

☐ CORRECTED ☒ NOT CORRECTED

Complaint Item: 14 - Undermount lighting for cabinets as well as the island and all

countertops.

Investigator’s Initial Observation: Verified. I observed no under cabinet lighting installed. As for the island and countertops, there is no contract showing these areas and the respondent disputed those locations. Contractor should install the under cabinet lighting by appropriate means.

Compliance Observation: Not started or completed.

☐ CORRECTED ☒ NOT CORRECTED

Complaint Item: 15 - Finish baseboards in kitchen.

Investigator’s Initial Observation: Verified. I observed the baseboards in the kitchen and they were not finished with caulking and paint. Contractor should correct by appropriate means.

Compliance Observation: Baseboards were painted.

☒ CORRECTED ☐ NOT CORRECTED

Complaint Item: 16 - Jenn's bathroom: finish the surround sturdy shelf around tub.

Investigator’s Initial Observation: Verified. I observed the bathroom and the shelf area around the tub was not complete and was partially demoed. Contractor should correct by appropriate means.

Compliance Observation: Not completed.

☐ CORRECTED ☒ NOT CORRECTED

Complaint Item: 17 - Outlet installed behind bathroom door and light fixture is upside down.

Investigator’s Initial Observation: Verified. There is no contract or agreement for the outlet to be installed behind the bathroom door. The light fixture has a hole below it that is not repaired and painted. Contractor should correct the light fixture hole by appropriate means.

Compliance Observation: Not completed.

☐ CORRECTED ☒ NOT CORRECTED

Complaint Item: 18 - Baseboards and door trim not completed in bathroom.

Investigator’s Initial Observation: Verified. I observed some old baseboard behind the bathroom door and missing door trim. Contractor should complete the baseboards and door trim by appropriate means.

Compliance Observation: Not started or completed.

☐ CORRECTED ☒ NOT CORRECTED

Complaint Item: 20 - Chipped tile in the bathroom.

Investigator’s Initial Observation: Verified. I observed a chipped/cracked tile on the left side of the step in the bathroom. Contractor should correct by appropriate means.

Compliance Observation: Not started or completed.

☐ CORRECTED ☒ NOT CORRECTED

Thereafter, Investigator Barrett forwarded the Complaint to the Registrar’s Legal Department. The Registrar issued a Citation against Respondent charging possible violations of A.R.S. § 32-1154(A)(3), namely A.A.C. R4-9-108(A), and A.R.S. § 32-1154(A)(22).

Respondent timely filed a written Answer to the Citation and the matter was referred to the Office of Administrative Hearings, an independent State agency, for an administrative hearing.

Investigator Barrett testified consistently with the findings contained in the Written Directive and Compliance Notes. Investigator Barrett referenced the photographs he took during the Jobsite Inspection to illustrate to the state of Respondent’s work as well as the deficiencies therewith.

Investigator Barrett testified that at the Compliance Jobsite Inspection, he verified that only item numbers 2 and 15 had been corrected. Investigator Barrett also testified that Respondent did not request an extension of the deadline for compliance with the Written Directive. Investigator Barrett further testified that in the event Respondent had made such request, he would have denied an extension based upon the fact that Respondent had accomplished minimal work during the period for compliance, as well as the fact that it has been two years since the commencement of project, which is an excessive amount of time for the scope of this project. Moreover, during both inspections, the only item of Complaint that Respondent took issue with was the countertops. Therefore, the remainder of the work should have been completed.

Complainant agreed with Investigator Barrett’s testimony. Complainant testified that she paid for the countertops, however Respondent did not order the countertops. Complainant asserted that she provided every opportunity, over a two year period, for Respondent to complete the project, yet Respondent failed to do so.

Jairo Aparicio, an employee of Respondent, testified that the Written Directive encompassed “minor things” with the exception of the countertops. Mr. Aparicio testified that the countertops were two and half times the price the parties had agreed upon, Respondent did not have the money to cover the difference in price, and Complainant did not want to pay the price difference.

Administrative notice is taken of Respondent’s prior License record on June 2, 2026. Such prior License record reflects that Respondent’s License Number 337328 was first issued on March 25, 2022, and is active. Such prior License record also reflects that there is only the instant open Complaint, one disciplined complaint, and one resolved/settled complaint against Respondent’s license.

CONCLUSIONS OF LAW

This matter lies within the Registrar’s jurisdiction.

Complainant bears the burden of proof to establish Respondent’s statutory violations by a preponderance of the evidence. “A preponderance of the evidence is such proof as convinces the trier of fact that the contention is more probably true than not.”

The evidence established that Respondent’s work was not in conformity with the Registrar’s standards. Therefore, Complainant established that Respondent did not complete the project in a professional and workmanlike manner in violation of A.R.S. § 32-1154(A)(3), namely A.A.C. R4-9-108(A).

The evidence established that Respondent did not complete the corrective work following the Written Directive being issued and Respondent acknowledged such. Further, Respondent failed to establish any affirmative defense to establish valid justification for such failure. Therefore, Complainant established that Respondent failed to take appropriate corrective action following a Written Directive from the Registrar in violation of A.R.S. § 32-1154(A)(22).

RECOMMENDED ORDER

Based on the foregoing, it is recommended that on the effective date of the Order, the Registrar shall suspend Respondent’s License Number 337328 for a period of seven (7) days.

It is further recommended that the Registrar require Respondent to pay the sum of $500.00 as a civil penalty pursuant to A.R.S. § 32-1154(E).

It is further recommended that if Respondent fails to pay the entire amount of the civil penalty on or before thirty (30) days following the effective date of the Registrar’s final order, the Registrar revoke Respondent’s license, effective on such deadline date. No future license shall be issued to any entity consisting of persons associated with Respondent, as defined in A.R.S. § 32-1101(A)(7), unless Respondent tenders payment of any outstanding prior civil penalty.

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, June 10, 2026.

/s/ Sondra J. Vanella

Administrative Law Judge

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

Tom Cole, Director

Registrar of Contractors

Doug Barrett

[email redacted]

Elite Home Builders, LLC

[email redacted]

Sue Scehnet

[email redacted]

By: OAH Staff