ALJDEC - Licensing
24F-034-REL · Department of Real Estate · 2024-01-10
IN THE OFFICE OF ADMINISTRATIVE HEARINGS
In the Matter of the Real Estate License of:
MYERS, CORINNA, holder of license number BR628929000,
Respondent
No. 24F-034-REL
ADMINISTRATIVE LAW JUDGE DECISION
HEARING: December 29, 2023
APPEARANCES: Assistant Attorney General James Rolstead appeared on behalf of the Arizona Department of Real Estate, along with witnesses Steven Hooper and Deborah Gilliland. Respondent Corinna Myers appeared on her own behalf.
ADMINISTRATIVE LAW JUDGE: Amy M. Haley
EXHIBITS ADMITTED INTO EVIDENCE: The Departments Exhibits 1 through 14 were admitted.
_____________________________________________________________________
FINDINGS OF FACT
On or about September 12, 2008, the Arizona Department of Real Estate (Department) issued Real Estate Broker License No. BR628929000 to Corinna Myers (Respondent). That license is currently on inactive status and expires on September 30, 2024.
On or about May 17, 2023, the Department received a complaint against Respondent via the Department’s message center from Heather Bull of The Families Advocate, LLC (TFA). Ms. Bull was the designated principle for TFA. Through the complaint and additional documentation, Ms. Bull alleged the following:
Respondent was involved in dishonest dealings regarding the sale of Ruth Young’s (Young) home to Respondent’s ex-husband, Charles Myers (Charles) and that Respondent demonstrated “a willingness to exploit a senior citizen with dementia.”
Young had been diagnosed with dementia since 2013 and was actively being treated for her dementia. Young had impaired memory, problem solving, and reasoning; impaired safety and judgment; and was incapable of performing her activities of daily living.
After Young’s diagnosis of dementia, her late husband took care of the subject property located at 2029 W. Allens Peak Drive, Queen Creek, Arizona 85142 (Property) until his death on May 3, 2021.
Following the death of Young’s husband, Respondent became the primary caretaker of Young and resided in the Property.
Respondent “inappropriately procured an alleged durable Power of Attorney (POA)” from Young on August 3, 2021.
The POA contained a clause prohibiting the transfer or conveyance of the Property to Respondent’s family members or any associate without full and adequate consideration.
On February 4, 2022, Respondent used that POA to sell Young’s Property to Charles. The property was sold for $345,000 when its market value at that time was estimated to be $441,000 based on comparative market analysis and internet listings. Further terms of the sale were as follows:
The Purchase Agreement was a seller carryback financing agreement in which Respondent, on behalf of Young, agreed to finance Charles’s purchase of the Property.
The Agreement contemplated a monthly payment of $1,500.00, but did not charge Charles any interest for the money being carried by Young.
Charles never made any payments to Young for the 10 months he resided in the Property.
The Property was sold with all of Young’s personal property contained therein.
The Contract for Deed was recorded on February 10, 2022.
On May 27, 2022, Young’s daughter, Shelly Young (Shelly), filed an Emergency Petition for Appointment of Temporary Guardian With Mental Health Powers and Conservator for an Adult in Maricopa County Superior Court (Court).
On June 9, 2022, the Court appointed Shelly the temporary guardian and TFA the temporary conservator of Young. The Court ordered that “any and all existing Powers of Attorney given by or pertaining to Ruth Young” be terminated. The Court further ordered that TFA record a Lis Pendens on the Property, which occurred on June 14, 2022.
On June 29, 2022 Charles admitted that he had not paid any money to Young for the purchase of the Property, that all payments had been paid to Respondent, and that none of the checks had been cashed.
On October 5, 2022, Charles signed an Affidavit of Memorandum of Agreement for the Cancellation of Contract for Deed regarding the Property. The Affidavit was recorded in Pinal County on October 11, 2022.
On April 6, 2023, the Property was sold by TFA to Yamasa Co., LTD for $365,000.
The cost to Young to “unwind” all of the transactions completed by Respondent was in excess of $100,000.00.
On or about June 5, 2023, the Department sent a letter to Respondent via the message center and her address of record, the same address of the Property, informing her of the allegations in the Complaint and requesting a response by June 12, 2023.
Also on June 5, 2023, the Department sent a letter to Respondent’s designated broker, Stephanie Sandoval (Sandoval), informing her of the Complaint and requesting that she provide any information she had regarding the allegations against Respondent.
On June 9, 2023, Sandoval responded that she was unaware of the allegations against Respondent until receiving the Department’s letter and that she had made several attempts to contact Respondent, to no avail. She also stated she did not have any records with regard to the purchase of the Property, indicating the sale of the Property did not take place through Sandoval’s brokerage.
Sandoval severed Respondent’s license from the brokerage effective June 5, 2023.
On September 27, 2023, the Department’s Enforcement and Compliance Division Manager issued a Notice of Hearing and Complaint (Notice of Hearing) in Docket No. 24F-034-REL that gave notice that an evidentiary hearing was scheduled before the Office of Administrative Hearings. In the Notice of Hearing, the Department alleged violations of Ariz. Rev. Stat. § 32-2153(B)(5), Ariz. Rev. Stat. § 32-2153(B)(10), and Ariz. Rev. Stat. § 32-2153(A)(3). The Notice of Hearing informed Respondent that the Department was seeking the revocation of her real estate broker’s license.
The Department presented its case through the testimony of Steven Hooper, Senior Investigator, and submitted fourteen exhibits. Respondent testified on her own behalf.
During Respondent’s testimony, she stated that, after hearing Mr. Hooper testify, she understood how it looked and could understand where the Department “was coming from.” Given that, she chose not to give any testimony.
CONCLUSIONS OF LAW
The Commissioner has jurisdiction over Respondent and the subject matter in this case.
Pursuant to Ariz. Rev. Stat. § 41-1092.07(G)(2) and Ariz. Admin. Code R2-19-119(B), the Department has the burden of proof in this matter. The standard of proof is by a preponderance of the evidence. See Ariz. Admin. Code R2-19-119(A).
The evidence of record established that Respondent inappropriately procured a POA from Young, that Respondent knowingly and inappropriately conveyed the Property to her associate for under market value, and therefore without full and accurate consideration and in violation of the POA, and failed to respond to the Department in the course of an investigation by providing documents or written statements.
The practice of real estate is governed by adherence to statutes and rules and requires the utmost care by a licensed real estate agent. Respondent’s actions demonstrate her unwillingness or inability to appreciate the consequences of her actions, and her continued pose of danger to the community.
The evidence of record established that grounds exist to discipline Respondent’s real estate brokerage license pursuant to Ariz. Rev. Stat. § 32-2153(A)(3), Ariz. Rev. Stat. § 32-2153(B)(5), and Ariz. Rev. Stat. § 32-2153(B)(10).
RECOMMENDED ORDER
Respondent’s real estate broker’s license shall be revoked on the effective date of the Order entered in this matter.
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, January 10, 2024.
/s/ Amy M. Haley
Administrative Law Judge
Transmitted by either mail, e-mail, or facsimile to:
Susan Nicolson, Commissioner
Arizona Department of Real Estate
Corinna Myers
2029 W. Allens Peak Dr.
Queen Creek, AZ 85142
[email redacted]
James Rolstead
Attorney General's Office
2005 N. Central Ave.
Phoenix, AZ 85004
[email redacted]
By: OAH Staff