ALJDEC decisions subject to certification as final

20F-356-1-REL · Department of Real Estate · 2021-07-22

IN THE OFFICE OF ADMINISTRATIVE HEARINGS

In the Matter of the Real Estate License of:

MICHAELA HOPKINS, holder of License No. SA517842000,

Respondent

No. 20F-356-1-REL

ADMINISTRATIVE LAW JUDGE DECISION

HEARING: July 6, 2021

APPEARANCES: Respondent Michaela Hopkins appeared on her own behalf. The Arizona Department of Real Estate was represented by Assistant Attorney General Holly Wan.

ADMINISTRATIVE LAW JUDGE: Tammy L. Eigenheer

_____________________________________________________________________

FINDINGS OF FACT

On or about April 13, 2007, the Arizona Department of Real Estate (Department) issued Salesperson License No. SA517842000 to Respondent Michaela Hopkins. That license has been inactive since January 23, 2018, and expired on April 30, 2021.

From July 1, 2015, through January 23, 2018, Elite One Realty, LLC (Elite One), entitle license number LC [number redacted], employed Hopkins as a salesperson. Michelle Simonis was the designated broker of Elite One during that time.

Respondent’s license was schedule to renew on April 30, 2017, and again on April 30, 2019.

April 30, 2017 License Renewal

On or about January 23, 2017, Respondent entered into the Department’s database the following continuing education courses she claimed to have completed to satisfy the 24 hours of continuing education required for the April 30, 2017 renewal of her license:

Course ID From To Hrs. Real Estate School

cd2870 10/25/16 10/29/16 3 AZ School of Real Estate & Business

cd2789 10/26/16 10/29/16 3 AZ School of Real Estate & Business

cd2869 10/24/16 10/29/16 3 AZ School of Real Estate & Business

cd2840 10/30/16 10/30/16 3 AZ School of Real Estate & Business

cd2808 10/30/16 10/30/16 3 AZ School of Real Estate & Business

cd2404 10/28/16 10/30/16 3 AZ School of Real Estate & Business

cd2807 10/23/16 10/31/16 3 AZ School of Real Estate & Business

cd2787 10/30/16 10/30/16 3 AZ School of Real Estate & Business

The Arizona School of Real Estate & Business reported that they had no record of Respondent attending and/or completing the courses listed by Respondent for her April 30, 2017 license renewal.

April 30, 2019 License Renewal

On or about December 3, 2018, Respondent entered into the Department’s database the following continuing education courses she claimed to have completed to satisfy the 24 hours of continuing education required for the April 30, 2019 renewal of her license:

Course ID From To Hrs. Real Estate School

c2925 8/10/17 8/10/17 3 The Forum Real Estate School

3500 2/28/18 2/28/18 3 Westford College Inc.

cd0690 10/2/17 10/2/17 3 Training Cove

c3489 6/29/17 6/29/17 3 Advanced Real Estate Investment

cd3166 10/4/17 10/4/17 3 Training Cove

cd0689 10/3/18 10/3/18 3 Training Cove

cd1033 10/11/18 10/14/18 3 Training Cove

cd1401 10/17/18 10/17/18 3 Training Cove

The Department sent letters to the schools listed above to confirm whether Respondent had completed the courses she had listed for her April 30, 2019 license renewal. Westford College Inc. did not reply. All the other schools replied and reported that they had no record of Respondent attending and/or completing the listed courses.

On or about March 20, 2020, the Department sent Respondent a letter requesting that she provide a written statement regarding her continuing education certifications submitted to the Department for the last two renewal periods. The letter also requested that Respondent provide payment records and certificates of completion for each class reported to the Department.

In a letter to the Department dated March 30, 2020, Respondent stated the following:

I took these classes with my previous broker, Michele Simonis . . . who had told me that she is a licensed Teacher for the Dept. of Real Estate and therefore is authorized to teach the classes from home to licensees in need of education. Mrs. Simonis was paid in cash and she assured me that she would take care of registering my renewal classes with the AZ Department of Real Estate.

On or about April 16, 2021, the Department issued a Notice of Hearing and Complaint indicating Respondent’s conduct constituted violations of A.R.S. § 32-2130(A); A.R.S. § 32-2153(A)(3); A.R.S. § 32-2153(B)(1), (3), and (7); and A.A.C. R4-28-402(A)(2).

At hearing, Respondent testified that Ms. Simonis was her broker at the relevant time period. Respondent understood Ms. Simonis was an approved teacher through the Department, and Ms. Simonis informed Respondent that she could teach the continuing education classes at any time. Respondent stated she took the classes with Ms. Simonis as she reported and that Ms. Simonis did not provide the attendees with certificates of completion. Rather, Ms. Simonis represented to Respondent that she would notify the Department of Respondent’s attendance. Respondent questioned why the Department was pursuing disciplinary action against her when Ms. Simonis was still a broker and an approved teacher. Respondent requested that, if a civil penalty were imposed, that it would not be $6,000.00.

At hearing, Linda Bevins, Investigator, testified as to the Department’s investigation in this matter. Ms. Bevins stated that licensees have the responsibility for maintaining proof that they completed the required continuing education and have to provide that documentation to the Department upon request.

CONCLUSIONS OF LAW

The Commissioner has jurisdiction over Respondent and the subject matter in this case.

Pursuant to A.R.S. § 41-1092.07(G)(2) and A.A.C. R2-19-119(B), the Department has the burden of proof in this matter.

The standard of proof on all issues is by a preponderance of the evidence. See A.A.C. R2-19-119(A). 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).

Real estate salesperson licenses are renewed every two years. Salesperson licensees are required to complete 24 hours of continuing education each time they renew their license. A.R.S. § 32-2130(A).

The Department licenses all real estate schools and approves all courses taught by those schools. All of the schools are required to maintain records of attendance and completion for all courses. A.A.C. R4-28-404(D).

The evidence of record established that Respondent did not provide proof of completion of the required continuing education listed in the April 30, 2017 renewal or the April 30, 2019 renewal. While Respondent credibly testified that she was misled by Ms. Simonis regarding the classes she took, that does not negate Respondent’s obligation to maintain documentation of the completion of those courses.

Therefore, the Department established it had grounds to revoke Respondent’s license pursuant to A.R.S. § 32-2130(A); A.R.S. § 32-2153(A)(3); A.R.S. § 32-2153(B)(1), (3), and (7); and A.A.C. R4-28-402(A)(2).

Pursuant to A.R.S. § 32-2160.01, the Department may impose a civil penalty not to exceed $1,000.00 per violation for each violation of Title 32, Chapter 20.

Based on the evidence presented, the Administrative Law Judge must concludes that suspension of Respondent’s license for a period of 90 days, issuance of a provisional license for a period of two-years, and imposition of a $500.00 civil penalty is appropriate.

RECOMMENDED ORDER

Based on the foregoing,

IT IS RECOMMENDED that Respondent’s real estate salesperson’s license be suspended for a period of 90 days;

IT IS FURTHER RECOMMENDED that following the suspension, Respondent be issued a two-year provisional real estate salesperson’s license;

IT IS FURTHER RECOMMENDED that within 60 days of the effective date of the Order entered in this matter, Respondent shall pay to the Department a civil penalty in the amount of $500.00, and such payment shall be made by cashier’s check or money order made payable to the Department.

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 shall be five days from the date of the certification.

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-137160-45720000Done this day, July 22, 2021.

/s/ Tammy L. Eigenheer

Administrative Law Judge

Transmitted electronically to:

Judy Lowe, Commissioner

Arizona Department of Real Estate-54864001

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