Samuel M. Meyler
Meyler Legal, PLLC
8201 164th Ave. N.E., Suite 200
Redmond, WA 98052
425-881-3680
samuel@meylerlegal.com
» Understanding the structure of the DOL.
» Understanding DOL Procedure for handling and
investigating complaints.
» Recognize common issues that result in
disciplinary action.
» Understanding what sanctions are.
Pat Kohler
Department of Licensing
Business and Professions Division
Real Estate, Appraisers, Timeshares, Camp Resorts and
Home Inspectors Section
February 2014
Jerry McDonald
Administrator
70019373
Vacant
Mgmt Analyst 2
70018818
Sally Adams
Admin Asst 3
70019755
Terry Rodgers
WMS
Assistant Administrator
70019228
Real Estate Education
Home Inspectors
Timeshare/Camp Resorts
Rhonda Myers
WMS Mgr.
70018891
Dorothy Plunkett
Mgmt Analyst 2
70018734
Appraisers
Licensing / Customer Service
Dee Sharp
WMS Prog. Mgr.
70018762
Debbie Wright
Prof. Lic. Mgr. 2
70019375
Cust Svc Spec 2
70018738
Regulatory
Brittany Gilman
Cust Svc Spec 2
70018821
& Compliance
Karen Jarvis
WMS Prog.Mgr.
70019417
Audit / Investigations
Vacant
Admin Asst 3
71031450
Art Abrahamson
WMS Invest. Mgr.
70019521
Angela Hine
Admin Asst 3
70019316
Michael Leonard
John Guthrie
Lic. Svcs. Mgr. 1
70019397
Dolores Casitas
Prof. Lic. Mgr. 2
70019781
Tambra
McCowan
Prof. Lic. Mgr 1
70018928
Vacant
Cust Svc Spec 2
71009633
Georgia Schmidt
Cust Svc Spec 2
70019440
Jennifer Lingle
Vacant UF
Cust Svc Spec 2
Home Inspectors
Cust Svc Spec 2
70018760
Mary Chavez
Cust Svc Spec 2
70018764
Stacie Edwards
Cust Svc Spec 2
70018761
Lindsey Vanderlugt
Cust Svc Spec 2
70018914
Anthony Porter
Cust Svc Spec 2
70019234
Jill Kelley
Cust Svc Spec 2
70018917
Lynell McKnight
Prof. Lic. Mgr. 1
70019719
Ryan Grimes
Prof. Lic. Mgr. 2
70087409
Lona Price
Cust Svc Spec 2
70019720
Doug Gibb
Prof. Lic. Mgr. 1
70019237
Nathaniel Moore
Cust Svc Spec 2
71024595
Julie Hamilton
Prof. Lic. Mgr. 1
70018805
Bill Dutra
Investigator 4
70087401
Melicent Kiser
BPD Auditor 4
71014405
David Pierce
Investigator 3
70019711
Robin Jones
Investigator 3
70019652
Cathleen McDonald
BPD Auditor 3
71010926
Vacant
BPD Auditor 3
UF 70018892
Vacant
Investigator 3
70018913
Shannon Taylor
Investigator 3
70019420
Patrick Rusher
BPD Auditor 3
70018889
Sandra Howard
BPD Auditor 3
70018655
Michelle Yotter
Investigator 3
70018905
Mary Porter
Investigator 3
70019721
Doug Peterson
BPD Auditor 3
70018906
Sunny Wong
BPD Auditor 3
70018894
Bruce Slocum
Investigator 3
71010825
Vincent Lester
Investigator 3
71010826
Vacant
BPD Auditor 3
71010925
Jung Young Kim
BPD Auditor 3
70018890
V. Daniels Johnson
Vacant
UF Investigator 3
Home Inspector
Investigator 3
70019713
Trena Bradley
BPD Auditor 3
70019715
» In order to investigate a complaint it must fall
under the jurisdiction of the Real Estate Unit of
the Department of Licensing.
» Must be a violation of License Law or the Law of
Agency.
» Approx. 60% of complaints are closed before
investigation.
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Unlicensed Activity
Misrepresentation
Deal Honestly and In Good Faith
Exercise Reasonable Care and Skill
First Applicant/ Conviction
Civil
Failure to Respond to the Department
Property Management Agreements
Advertising without Company Name
Trust Account Prop Mgmt., Sales, General.
Ethics
Conversion
Statements/ Negligence
Fraudulent/Dishonest Dealing
Incompetency
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LICENSE HISTORY
HISTORY OF PREVIOUS VIOLATIONS; INCLUDING WHEN AND RELATIONSHIP TO
CURRENT ALLEGATIONS
HARM AND SEVERITY OF HARM TO CONSUMERS OR OTHERS
NATURE, EXTENT, AND TIME FRAMES OF THE ACTS
HOW VIOLATION WAS SOLVED AND/OR CORRECTED
EVIDENCE OF DUE DILIGENCE ON THE PART OF THE LICENSEE
LEVEL OF SUPERVISION INVOLVED FROM MANAGING OR DESIGNATED
BROKER(S)
LICENSEE INTENTION, ACCOUNTABILITY AND ACKNOWLEDGEMENT
PERSONAL GAIN OR BENEFITS OBTAINED BY LICENSEE OR OTHERS INVOLVED
COOPERATION BY RESPONDENT
CRIMINAL OR CIVIL JUDGMENTS/CONVICTIONS
MONETARY JUDGMENTS
OTHER MITIGATING CIRCUMSTANCES
OTHER AGGRAVATING CIRCUMSTANCES
» What is it?
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Statement regarding jurisdiction and venue
License History
Statement of Charges (Allegations)
Request for Sanctions
» Matters subject to B.A.P.
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Disciplinary Action to be taken
Reasons for disciplinary action
How to dispute
What happens if you don’t dispute
Compliance Statistics
104
44
51
42
28
26
29
1
3
Statement
of Charges
1
Final
Order
Agreed
Order
2012
Dismissal
SOC
2013
Cease &
Desist
Regulatory & Compliance Statistics
637
668
639
309
335
302
323
275
297
28
0
9
Complaints
Received
10
Complaints
Closed by
Program
2013
Complaints
Referred to
Investigations
2012
Complaints
Referred to
Audits
2011
3
14
Complaints
Referred to
Compliance
2013 Statistics for Investigations & Compliance
2
17
7
10
Timeshares/
Camp Resorts
4
4
76
6
7
77
Home
Inspectors
6
63
Appraisal
Mgmt
Companies
343
318
Appraisers
267
3
1
29
1
17
41
27
Cases Received
from Intake
Investigations
Closed / No Action
Investigations sent
to Legal
Investigations
Completed
Letters of
Education Issued
448
349
74
410
45
Real Estate
WAC 308-124I-050
Audits.
(1) Real estate firms are subject to routine audits. Routine audits are scheduled
approximately every three years.
(2) Audits will be conducted at the location the real estate firm is licensed to
conduct real estate brokerage activity or a facility chosen by the department.
(3) All requests for records will be issued by an authorized representative of the
director, such as auditors, investigators, program staff or other designee.
(4) An audit can be initiated at any time based upon the results of the previous
audit or complaint.
(5) Audits are not scheduled, but they are normally done between the hours of
8:00 a.m. and 5:30 p.m., Monday through Friday, excluding state holidays. An auditor may
not forcibly enter a licensed business location unless accompanied by law enforcement
personnel pursuant to a valid search warrant. Licensees are advised that refusal to permit
access may result in disciplinary action under chapters 18.85 and 18.235 RCW.
(6) An auditor may appear at a licensed business location, unannounced, during
the hours described above. A licensee may be required to produce to the auditor at that
time all records the licensee is required to keep by the statutes and rules governing
licensees. Licensees are advised that refusal to permit access may result in disciplinary action
under chapters 18.85 and 18.235 RCW.
(7) The department may not charge for the cost of routine audits to the licensee.
Audit costs may be charged to the licensee pursuant to RCW 18.235.110(2) when the
department has audited pursuant to a complaint, violations have been found, and the
director has issued an order imposing any of the sanctions described in RCW 18.235.110(1).
(8) An auditor and licensee may mutually agree to complete or continue an audit
outside the time and date limitations.
1272
Real Estate Audits Report
1042 1029
597
416
330 337
318
256 236
214
110 113
94
228
133
11
Earnest Money Total Audits
(late deposit)
Total Audits
No Violations
2011
1,272
Technical
Assistance
Property Mgmt
Trust Account
Violations
2012
1,042
Record
Keeping
2013
1,029
5
9
Unlicensed
» Failure to Maintain Transaction Records
» Failure to disclose relationship with service
providers
» Failure to Retain Records
» Failure to Notify office Change of Address
» Failure to keep records up to date.
» Failure to Perform Monthly Trial Balance
» Failure to Identify Client Funds as Trust
» Failure to do Business in the Name as Licensed
» Failure to keep the Trust Account in Balance
» Failure to Deliver Funds within One Banking Day
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What can they do to you and what are the considerations?
Goal to change licensee behavior.
Repeat or habitual offenders - Propensity to reoffend
Actions that are a high risk of harm to the:
˃ Public
˃ Agency
˃ Staff
˃ Industry
˃ Individuals
Nexus of actions to the program and their practice to the reason the program exists.
Identify who or what has been or may be harmed.
˃ Public at large
˃ Individual person
˃ Industry integrity
˃ Property
˃ Money
Identify the nature, extent, and time frames of the violation.
Previous investigations, inspections or audits
Following a consistent process used to determine sanctions.
Consistency within a program and the division.
collateral consequences of our decision or action.
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Fact pattern 1
Fact pattern 2
Fact pattern 3
Fact pattern 4