ALJDEC

98F-257-ROC · Registrar of Contractors · 1998-08-04

IN THE OFFICE OF ADMINISTRATIVE HEARINGS

HEARING: July 15, 1998 in Prescott, Arizona. APPEARANCES: Plaintiff Orlando G. Thoma appeared. Defendant HTS Builders, Inc. did not appear. ADMINISTRATIVE LAW JUDGE: Kay A. Abramsohn _____________________________________________________________________ The hearing in this matter was scheduled to commence on July 15, 1998, at 8:00 a.m. in Prescott, Arizona. At that time, and for the next half hour, no person on behalf of Defendant arrived for the hearing. Evidence and testimony were presented and, based upon the entire record in this matter, the following Findings of Fact, Conclusions of Law and Recommended Order are made: FINDINGS OF FACT 1. This matter came on for a hearing requested by Defendant to contest a claim by Plaintiff for an administrative payout from the Residential Contractors Recovery Fund pursuant to Arizona Revised Statutes (A.R.S.) §32-1154(E). 2. The parties were previously involved in an administrative disciplinary action in Registrar’s case number A98-0030 before the Registrar of Contractors. The Defendant did not file its answer to the Registrar’s Citation and Complaint, and the Registrar determined that the License would be revoked effective January 7, 1998 unless Defendant accomplished the directed corrective work in that matter and notified the Registrar that the work was accomplished in a workmanlike manner. 3. The records of the Registrar of Contractors indicate that Defendant’s Class B license was revoked on January 15, 1998.

4. Plaintiff recites that basic problems which Defendant did not correct were broken roof tiles and repairs to the roof. Plaintiff is seeking payout with regard to these items and other repair costs incurred to prevent further damage. 5. The Defendant’s failure to comply with Registrar’s Corrective Work Orders and the Registrar’s Orders to perform the corrective work determined by Registrar’s Inspector supports a finding that Defendant is unwilling or unable to perform the corrective work ordered by the Registrar necessary to remedy Defendant’s violation of the State’s contracting laws which gave rise to the instant claim for damages. 6. Plaintiff is found to be an injured person as defined in the statute and is entitled to receive payment from the Residential Contractors’ Recovery Fund for damages sustained as a result of Defendant’s acts or omissions. 7. The weight of credible and reliable evidence of record supports a finding that Plaintiff has suffered damages in a minimum amount of $14,111.70 as a result of Defendant’s failure to perform the corrective work ordered by the Registrar. 8. The Registrar of Contractors conducted an investigation of Plaintiff’s claim for damages and concluded that an award to Plaintiff in the amount of $14,111.70 is justified. 9. Plaintiff has established an entitlement to an award from the Residential Contractors’ Recovery Fund in the amount of $14,111.70. CONCLUSIONS OF LAW 1. The Registrar of Contractors is empowered to determine and award proper payment to Plaintiff from the Residential Contractors’ Recovery Fund pursuant to A.R.S. §32-1154(E). 2. The Registrar of Contractors may award the Plaintiff an amount of not more than $20,000.00 from the Residential Contractors’ Recovery Fund for damages in these matters. A.R.S. §32-1132(A). 3. The evidence of record supports an award to Plaintiff in the amount of $14,111.70, all of which shall be appropriately chargeable against Defendant and/or persons on the license as set forth in A.R.S. §32-1139 (B). RECOMMENDED ORDER In view of the foregoing, it is recommended commencing on the effective date of the Order entered in this matter that the Registrar of Contractors shall commence and finalize payment procedures from the Residential Contractors’ Recovery Fund to Plaintiff in the amount of $14,111.70. RECOMMENDED and DATED this day, August 4, 1998.

_________________________________ Kay A. Abramsohn Administrative Law Judge

Original transmitted by mail this ____ day of August, 1998, to:

Michael P. Goldwater, Director Registrar of Contractors 800 West Washington, 6th Floor Phoenix, AZ 85007

ATTN: Joyce Armijo

By ________________________

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Office of Administrative Hearings 1700 West Washington, Suite 602 Phoenix, Arizona 85007 (602) 542-9826