Petitioner: DEPARTMENT OF BUSINESS AND PROFESSIONAL REGULATION, DIVISION OF REAL ESTATE
Respondent: RUTH ANN HERSCH
Judges: LISA SHEARER NELSON
Agency: Department of Business and Professional Regulation
Locations: Brooksville, Florida
Filed: May 13, 2009
Status: Closed
Settled and/or Dismissed prior to entry of RO/FO on Friday, October 2, 2009.
Latest Update: Dec. 22, 2024
i: a ADPL
STATE OF FLORIDA Sry,
DEPARTMENT OF BUSINESS AND PROFESSIONAL REGUBATEON
FLORIDA REAL ESTATE COMMISSION “AY eh
FLORIDA DEPARTMENT OF BUSINESS
AND PROFESSIONAL REGULATION,
DIVISION OF REAL ESTATE,
Petitioner,
v. DBPR Case NO. 2008015307
2008017340
WILLIAM LANCE SUTTER AND
RUTH ANN HERSH,
Respondents.
/
ADMINISTRATIVE COMPLAINT
State of Florida, Department of Business and Professional
Regulation, Division of Real Estate (“Petitioner”) files this
Administrative Complaint against William Lance Sutter and Ruth Ann
Hersh(“Respondent”) and alleges:
ESSENTIAL ALLEGATIONS OF MATERIAL FACT
1. Petitioner is a state government licensing and regulatory
agency charged with the responsibility and duty to prosecute
Administrative Complaints pursuant to the laws of the State of
Florida, in particular Section 20.165 and Chapters 120, 455 and
475, of the Florida Statutes and the rules promulgated pursuant
thereto.
2. Respondent William Lance Sutter is and was at all times
material hereto a licensed Florida real estate broker, issued
H:\ac\SUTTERac.doc
FDBPR v. William Lance Sutter Case No. 2008015307
Administrative Complaint
license number 652655 in accordance with Chapter 475 of the Florida
Statutes. The last license issued was as an active broker
associate with Success Realty Group, Inc., 13113 Spring Hill Drive,
Spring Hill, Florida 34609.
3. Respondent Ruth Ann Hersh is and was at all times material
hereto a licensed Florida real estate sales associate, issued
license number 700852 in accordance with Chapter 475 of the Florida
Statutes. The last license issued was as an active sales associate
with Success Realty Group, Inc., 13113 Spring Hill Drive, Spring
Hill, Florida 34609.
4. On or about January 12, 2006 Respondent, Ruth Ann Hersh
and Respondent William Lance Sutter, the qualifying broker for
Success Realty Group Inc., entered into a listing agreement with
Susan E. Carasea (Seller) for a property known as 3448 Eagle Nest
Drive, Hernando Beach, FL 34607 (Subject Property) for $799,000. A
copy of the agreement is attached hereto and incorporated herein as
Administrative Complaint Exhibit 1.
5. On or about November 9, 2006 Respondents presented an
offer to purchase from G & H Investment Properties (Buyer) to
Seller, for the Subject Property. A copy of the offer is
attached hereto and incorporated herein as Administrative
Complaint Exhibit 2.
H:\ac\SUTTERac.doc 2
FDBPR v. William Lance Sutter Case No. 2008015307
Administrative Complaint
6. Respondents represented in the sale and purchase
contract that Sun Mark Title held in escrow a deposit from Buyer,
in the amount of $2,000, for the purchase of the Subject
Property.
7. Respondent knew or should have known that in reliance on
Respondents’ representation, the Seller accepted the Buyer’s
offer to purchase the Subject Property.
8. Respondents misrepresented to Seller that Buyer for the
Subject Property had placed an escrow deposit with Sun Mark Title
for the purchase of the Subject Property.
COUNT ONE ©
Based upon the foregoing, Respondent William Lance Sutter is
guilty of fraud, misrepresentation, concealment, false promises,
false pretenses, dishonest dealing by. trick, scheme or device,
culpable negligence, or breach of trust in any business transaction
in violation of Section 475.25(1)(b), Florida Statutes.
COUNT TWO
Based upon the foregoing, Respondent Ruth Ann Hersh is guilty
of fraud, misrepresentation, concealment, false promises, false
pretenses, dishonest dealing by trick, scheme or device, culpable
negligence, or breach of trust in any business transaction in
violation of Section 475.25(1) (b), Florida Statutes.
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FDBPR v. William Lance Sutter Case No. 2008015307
Administrative Complaint
WHEREFORE, Petitioner respectfully requests the Florida Real
Estate Commission, or the Department of Business and Professional
Regulation, as may be appropriate, to issue a Final Order as final
agency action finding the Respondent(s) guilty as charged. The
penalties which may be imposed for violation(s) of Chapter 475 of
the Florida Statutes, depending upon the severity of the
offense(s), include: revocation of the license or registration or
permit; suspension of the license, registration or permit for a
period not to exceed ten (10) years, imposition of an
administrative fine of up to $5,000 for each count or offense;
imposition of investigative costs; issuance of a reprimand;
imposition of probation subject to terms including, but not limited
to, requiring the licensee, registrant or permittee to complete and
pass additional real estate education courses; publication; or any
combination of the foregoing which may apply. See Section
475.25(1), Florida Statutes and Florida Administrative Code Rule
61J2-24.001. The penalties which may be imposed for violation(s)
of Chapter 455 of the Florida Statutes, depending upon the severity
of the offense(s), include: revocation of the license,
registration, or permit; suspension of the license, registration,
or permit for a period not to exceed ten (10) years; imposition of
an administrative fine of up to $5,000 for each count or offense;
H.\ac\SUTTERac.doc 4
FDBPR v. William Lance Sutter Case No. 2008015307
Administrative Complaint
imposition of investigative costs; issuance of a reprimand;
imposition of probation subject to terms including, but not limited
to, requiring the licensee, registrant, or permittee to complete
and pass additional real estate education courses; publication;
restriction of practice; injunctive or mandamus relief; imposition
of a cease and desist notice; or any combination of the foregoing
which may apply. See Section 455.227, Florida Statutes and Florida
Administrative Code Rule 61J32-24.001.
Signed this day of , 2009.
eigh Blakeman
Serfior Attorney
Florida Bar No. 506877
Division of Real Estate
Department of Business and
Professional Regulation,
Legal Section - Suite N 801
Hurston Bldg. North Tower
400 West Robinson Street
Orlando, Florida 32801-1757
(407) 481-5632
(407) 317-7260 FAX
/k
PCP: RD/NH 2/09
H:\ac\SUTTERac.doc 5
FDBPR v. William Lance Sutter Case No. 2008015307
Administrative Complaint
NOTICE TO RESPONDENTS
PLEASE BE ADVISED that mediation under Section 120.573 of
the Florida Statutes, is not available for administrative disputes
involving this type of agency action.
PLEASE BE FURTHER ADVISED that pursuant to this
Administrative Complaint you may request, within the time allowed
by law, a hearing to be conducted in this matter in accordance with
Sections 120.569 and 120.57 of the Florida Statutes; that you have
the right, at your option and expense, to be represented by counsel
or other qualified representative in this matter; and that you have
the right, at your option and expense, to take testimony, to call
and cross-examine witnesses, and to have subpoena and subpoena
duces tecum issued on your behalf if a formal hearing is requested.
PLEASE BE FURTHER ADVISED that if you do not file an
Election of Rights form or some other responsive pleading with the
Petitioner within twenty-one (21) days of receipt of this
Administrative Complaint, the Petitioner will file with the Florida
Real Estate Commission a motion requesting an informal hearing and
entry of an appropriate Final Order which may result in the
suspension or revocation of your real estate license or
registration. Please see the enclosed Explanation of Rights and
Election of Rights form.
H:\ac\SUTTERac.doc 6
lis Exclusive Right of Sale Listing Agreement ("Agreement") is between
SUSAN E. CARASEA ET AL (‘Seller’) and
3 A i yy (‘Broker’).
EXIT SUCCESS REALTY
ane
A
ollectively “Property") described below, at the price and terms described below, inning the A :
January, _2006_, and terminating at 11:59 p.m. the __. y of t ___, _2006__
fermination Date"). Upon full execution of a contract for sale and purchase of the Property, all rights and obligations of this
jreement will automatically extend through the date of the actual closing of the sales contract. Seller and Broker acknowledge that
is Agreement does not guarantee a sale. This Property will be offered to any person without regard to race, color, religion, sex,
indicap, familial status, national origin or any other factor protected by federal, state or local law. Seller Certifies and represents that
Yshe/it is legally entitied to convey the Property and all improvements.
DESCRIPTION OF PROPERTY:
{a) Real Property Street Address: 3448 EAGLE NEST DRIVE, HERNANDO BEACH, FL 34607
Legal Description: GULF COAST RETREATS UNIT 1 BLK 16 LOT 4 ORB 317 PG 3685
_ _ 1 See Attachment
(b) Personal Property, including appliances: « EF €TSVE / OYEY , DISA Artie ; HATTHIR &
ORYFR , YNIO TREAT Cie FANS «See Attachment
{c) Occupancy: Property Gi is }€is not currently occupied by a tenant. if occupied, the lease term expires
PRICE AND TERMS: The property is offered for sale on the following terms, or on other terms acceptable to Seller:
(a) Price: 799,000.00 —
{b) Financing Terms: 3€ Cash Mf Conventional G VA U1 FHA G Other :
Q Seller Financing: Seller will hold a purchase money mortgage in the amount of $ with the following
terms:
& Assumption of Existing Mortgage: Buyer may assume existing mortgage for §. plus an assumption
fee of $. . The mortgage is for a term of years beginning in . at an interest rate of
% Q fixed © variable (describe)
Lender approval of assumption O is required Q is not required Q unknown. Notice to Seller: You may remain liable for an assumed
mortgage for a number of years after the Property is sold. Check with your lender to determine the extent of your liability. Seiler will
ensure that all mortgage payments and required escrow deposits are current at the time of closing and will convey the escrow
deposit to the buyer at closing. :
(c) Seller Expenses: Seller will pay mortgage discount or other closing costs not to exceed _0__% of the purchase price: and
any other expenses Seller agrees to pay in connection with a transaction.
BROKER OBLIGATIONS AND AUTHORITY: Broker agrees to make diligent and continued efforts to sell the Property until a sales
ntract is pending on the Property. Seller authorizes Broker to:
fa) Advertise the Property as Broker deems advisable in newspapers, publications, computer networks, including the Internet and
other media; place appropriate transaction signs on the Property, inciuding “For Sale" signs and “Sold” signs (once Seller signs a
sales contract); and use Seller's name in connection with marketing or advertising the Property;
(b) Obtain information relating to the present mortgage(s) on the Property.
(c) Place the property in a muttiple listing service(s) (MLS). Seller authorizes Broker to report to the MLS/Association of Realtors®
this listing information and price, terms and financing information on any resulting sale. Seller authorizes Broker, the MLS and/or
ssociation of Realtors® to use, license or sell the active listing and sold data.
'd) Provide objective comparative market analysis information to potential buyers; and
‘e) (Check if applicable) B Use a lock box system to show and access the Property. A lock box does not ensure the Property’s
security; Seller is advised to secure or remove valuables. Seller agrees that the lock box is for Seller’s benefit and releases Broker,
dersons working through Broker and Broker’s local Realtor Board /Association from alt liability and responsibility in connection with
any loss that occurs,4! Withhold verbal offers. 3{ Withhold all offers once Seller accepts a sales contract for the. Property.
‘f) Act as a transaction broker. :
SELLER OBLIGATIONS: in consideration of Broker’s obligations, Seller agrees to: . :
a) Cooperate with Broker in carrying out the purpose of this Agreement, including referring immediately to Broker all
nquiries regarding the Property’s transfer, whether by purchase or any other means of transfer.
b) Provide Broker with keys to the Property and make the Property ayaliasie dar Brakento ehawesiuringrpasonable times.
Donn tat 3
. Ex
3-10tb Rev. 10/03 © 2003 Florida Association of Reattors* All Rights Reserved
(c) Inform Broker prior to leasing, mort, _1g or otherwise encumbering the Property
(d) To indemnify Broker and hold Broker harmless from losses, damages, costs and expenses of any nature,
including attorney's fees, and from liability to any person, that Broker incurs because of (1) Seller's negligence, representations,
misrepresentations, actions or inactions, (2) the use of a lock box, (3) the existence of undisclosed material facts about the
Property, or (4) a court or arbitration decision that a broker who was not compensated in connection with a transaction is entitled to
compensation from Broker. This clause will survive Broker’s performance and the transfer of title.
{e) To perform any act reasonably necessary to comply with FIRPTA (Internal Revenue Code Section 1445).
(f) Make all legally required disclosures, including all facts that materially affect the Property's value and are not readily
observable or known by the buyer. Seller represents there are no material facts (building code violations, pending code citations,
unobservable defects, etc.) other than the following:
Seller will immediately inform Broker of any material facts that arise after signing this Agreement.
(g) Consult appropriate professionals for related legal, tax, property condition, environmental, foreign reporting requirements and
other specialized advice. .
. COMPENSATION: Seller will compensate Broker as specified below for procuring a buyer who is ready, willing and able to
archase the Property or any interest in the Property on the terms of this Agreement or on any other terms acceptable to Seller.
eller will pay Broker as follows (plus applicable sates tax): - SELL
fa)____5 _% of the total purchase price OR $ Fh SUTTER | a tater than the date of closing specified
in the sales contract. However, closing is not a prerequisite for Brokér's fee being earned.
fb) NAB or %) Of the consideration paid for an option, at the time an option is created. If the option is exercised,
Seller will pay Broker the paragraph 6{a) fee, less the amount Broker received under this subparagraph.
()____ NA or %) of gross lease value as a leasing fee, on the date Seller enters into a lease or agreement to lease, whichever is
soonest. This fee is not due if the Property is or becomes the subject of a contract granting an exclusive right to lease the Property.
(d) Broker's fee is due in the following circumstances: (1) If any interest in the Property is transferred, whether by sale, lease, exchange,
governmental action, bankruptcy or any other means of transfer, regardless of whether the buyer is secured by Broker, Seller or any
other person. (2) If Selier refuses or fails to sign an offer at the price and terms stated in this Agreement, defaults on an executed sales
contract or agrees with a buyer to cancel an executed sales contract. (3) If, within 180 __ days after Termination Date (“Protection
Period”), Seller transfers or contracts to transfer the Property or any interest in the Property to any prospects with whom Seller, Broker
Or any reai estate licensee communicated regarding the Property prior to Termination Date. However, no fee will be due Broker if the
Property is relisted after Termination Date and sold through another broker.
(e) Retained Deposits: As consideration for Broker’s services, Broker is entitled to receive so % of all deposits that Seller
retains as liquidated damages for a buyer's defauit in a transaction, not to exceed the paragraph 6(9) fee.
COOPERATION AND COMPENSATION WITH OTHER BROKERS: Broker's office policy is to cooperate with all other brokers
‘cept when not in Seller's best interest: Ja and to offer compensation in the amount of 2.5, % of the purchase price or
—____________. to Buyer's agents, who represent the interest of the buyers, and not the interest of Seller in a transaction; G and to
fer compensation in the amount of 2.22 % of the purchase price or $ to a broker whe has no brokerage
lationship with the Buyer or Seller; 2 and to offer compensation in the amount of 2.5 % of the purchase price or
——_______ to Transaction brokers for the Buyer; Q None of the above (f this is checked, the Property cannot be placed in the MLS)
BROKERAGE RELATIONSHIP: ‘ :
iMPORTANT NOTICE
-ORIDA LAW REQUIRES THAT REAL ESTATE LICENSEES PROVIDE THIS NOTICE TO POTENTIAL SELLERS AND BUYERS
= REAL ESTATE.
authorized brokerage relationship, either as a single agent or as a transaction broker. You are advised not to disclose any information
U want to be held in confidence until you make a decision On representation.
TRANSACTION BROKER NOTICE
ORIDA LAW REQUIRES THAT REAL ESTATE LICENSEES OPERATING AS TRANSACTION BROKERS DISCLOSE TO
JYERS AND SELLERS THEIR ROLE AND DUTIES IN PROVIDING A LIMITED FORM OF REPRESENTATION.
a transaction broker, EXIT SUCCESS REALTY and its associates, provides to you a limited form of
dresentation that includes the following duties:
1. Dealing honestly and fairly;
2. Accounting for alf funds:
Tativation of any party for selling or buying property, that a seller or buyer will ANG IR Taps omer than those offered, or of any
‘ be COMPLAINT, :
S4Mth Rav 10/02 G20 Fiewida Assneiation of Reatteac® All Plinkte Recenuad PAGE L
Limited representation means that ‘yer or seller is not responsible for the acts he licensee. Additionally, parties are
giving up their rights to the undividec.oyalty of the licensee. This aspect of limitec--zpresentation allows a licensee to facilitate
a real estate transaction by assisting both the buyer and the seller, but a licensee will not work to represent one party to the
detriment of the other party when acting as a transaction broker to both parties.
f12-06 som AIC o/
Date Sig re Signature
9. CONDITIONAL TERMINATION: At Seller's request, Broker may agree to conditionally terminate this Agreement. If Broker
agrees to conditional termination, Seller must sign a withdrawal agreement, reimburse Broker for all direct expenses incurred
in marketing the Property and pay a cancellation fee of $. 0.00 plus applicable sales tax. Broker may void the
conditional termination and Seller will pay the fee stated in paragraph 6(a) less the cancellation fee if Seller transfers or ;
contracts to transfer the Property or any interest in the Property during the time period from the date of conditional termination
to Termination Date and Protection Period, if applicable. ;
10. DISPUTE RESOLUTION: This Agreement will be construed under Florida law. All controversies, claims and other matters in
question between the parties arising out of or relating to this Agreement or the breach thereof will be settled by first attempting
mediation under the rules of the American Arbitration Association or other mediator agreed upon by the parties. ff litigation arises out
of this Agreement, the prevailing party will be entitled to recover reasonable attorney's fees and costs, unless the parties agree that
” disputes wil! be settled by arbitration as follows: Arbitration: By initialing in the space provided, Seller ( )( ), Listing
Associate (___) and Listing Broker ( ) agree that disputes not resolved by mediation will be settled by neutral binding arbitration
in the county in which the Property is located in accordance with the rules of the American Arbitration Association or other arbitrator
agreed upon by the parties. Each party to any arbitration or litigation (including appeats and interpleaders) will pay its own fees, costs
and expenses, including attorney's fees, and will equally split the arbitrators’ fees and administrative fees of arbitration.
11. MISCELLANEOUS: This Agreement is binding on Broker’s and Seller's heirs, personal representatives, administrators,
successors and assigns. Broker may assign this Agreement to another listing office. Signatures, initials and modifications
communicated by facsimile will be considered as originals. The term “buyer” as used in this Agreement includes buyers,
tenants, exchangors, optionees and other categories of potential or actual transferees.
12. ADDITIONAL TERMS: :
SELLER MAY CANCEL CONTRACT AT ANY TIME WITH NO PENALTY. SALES COMMISSTOW Ts 5% IF PROPERTY
IS SOLD BY ANOTHER AGENT IN THE MLS SYSTEM; OR 3% IF SOLD BY LANCE SUTTER.
pate:_!/ [#/ D6 stor Nin (O10 TxIDNo
Telephone #’s: Hbme Cell "Fax:
Address: _ E-mail:
Date: Seller: Tax ID No: _- -
Telephone #'s: Home. : Work Cell Fax:
Address: E-mail:
Date: Authorized Listing Associate or Broker: Wm. Lance Sutter
Brokerage Firm Name: EXIT SUCCESS REALTY Telephone: 352-585-7113
Address: 3436 Shoal Line Blvd. Hernando Beach, 34607
Copy retumed to Seller on the day of _
The copyright laws of the United States (17 U.S. Code) forbid the unauthorized reproduction of this form by any
reyy f
ERS-10tb Rev. 10/03 ©2003 Florida Association of Reators* All Rights negefed 2 iT te
SEsES20UB Litas AM Fh: Fas tad-554-8923 EXIT SUCCESS REALTY Tr L $13 689-2279 PASE: OG: OF 308
FROM :RUTH HERSH-EXIT GUCCESS SER TY FRX NO, 55595977123 Mov. SS 22M O7:42arPm PZ
> PARTIES: ;
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betas R —_— te Gopnsit) wil, at Boyes’ cguion, bs nctuened ord this offer witktawn, URLESSOTH-
GRAIG GTATED, THE SOCEPTINGE OF ANY COUNTEROFPERS SHALL GE 2 DAS FROM THE DATE THE Cour
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shell be reladit the deposits). Unies this financing ceneinganay tes boan waleed, thin Donvect shal arti aubiect to the walistiction,
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SHOR, 2 te te cus te Cligent efloxt to-ccerect detectisy within
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ADMINISTRATIVE COMPLAINT... (
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TU/9/2006 11:55 aM FROM: Fax352-5$7-2323 EXIT SUCCESS REALTY To:
FROM 3RUTH HERSH-EXIT SUCCESS REALTY FAK ND, S3S28977111
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217 of vesmeatios atat te sn obligation oF tnter and Casing iedonad pursuers restoration costs socuwed at Gosing. Fite
218 Oast of ettonsion ecasce 3.5% of the Puctaes Price, Poe eth meee ee ee 8, Homer with thar te SY or ey exmaance proceeds
® “ihe 6a0d thell be mectied gpon ciaarance of Senda. Fie tite apart insures actvarse watiorn urna to Gactnn 627 7841, FS_
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ATTORNEY'S FEES COSTS: i any Rigaicn, Poluting breach wiooomen sterzataion, ofbg on of tie Cantact. te porsing te
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Docket for Case No: 09-002493PL
Issue Date |
Proceedings |
Oct. 02, 2009 |
Order Closing Files. CASE CLOSED.
|
Oct. 01, 2009 |
Motion to Relinquish Jurisdiction filed.
|
Sep. 25, 2009 |
Petitioner's Second Motion for Continuance filed.
|
Sep. 22, 2009 |
Petitioner's Filing of Additional Witness filed.
|
Jul. 17, 2009 |
Petitioner's Notice of Filing Additional Exhibits (exhibits not available for viewing) filed.
|
Jul. 17, 2009 |
Order Granting Continuance and Re-scheduling Hearing (hearing set for October 8, 2009; 11:00 a.m.; Brooksville, FL).
|
Jul. 15, 2009 |
Letter to Judge Nelson from W. Sutter regarding dates for hearing filed.
|
Jul. 15, 2009 |
Petitioner's Dates of Availability for Formal Hearing filed.
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Jul. 02, 2009 |
Order (Respondent Sutter's request that the cases be severed is denied).
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Jun. 30, 2009 |
Notice of Objection to Respondent William Sutter's Letter Dated 6/17/09 filed.
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Jun. 22, 2009 |
Letter to Judge Nelson from W. Sutter regarding objection to cases being consolidated filed.
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Jun. 12, 2009 |
Letter to Judge Nelson from J. Blakeman regarding request to have bank account information redacted in Exhibit 1 filed.
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Jun. 11, 2009 |
Order Granting Continuance and Re-scheduling Hearing (hearing set for August 12, 2009; 10:00 a.m.; Brooksville, FL).
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Jun. 10, 2009 |
Petitioner's Notice of Filing Petitioner's Exhibits (exhibits not available for viewing) filed.
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Jun. 09, 2009 |
Petitioner's Dates of Availability for Formal Hearing filed.
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Jun. 05, 2009 |
Petitioner's Notice of Filing Petitioner's Exhibits (exhibits not available for viewing).
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Jun. 05, 2009 |
Index to Petitioner's Formal Hearing Exhibits filed.
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Jun. 04, 2009 |
Petitioner's Motion for Continuance filed.
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Jun. 02, 2009 |
Order of Pre-hearing Instructions.
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Jun. 02, 2009 |
Notice of Hearing (hearing set for June 29, 2009; 11:00 a.m.; Brooksville, FL).
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Jun. 02, 2009 |
Petitioner's Notice of Service of Petitioner's Request for Admissions to Respondent William Lance Sutter filed.
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Jun. 02, 2009 |
Petitioner's Notice of Filing Petitioner's Interrogatories to Respondent William Lance Sutter filed.
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Jun. 02, 2009 |
Petitioner's Notice of Filing Petitioner's Interrogatories to Respondent Ruth Ann Hersch filed.
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Jun. 02, 2009 |
Petitioner's Notice of Service of Petitioner's Request for Admissions to Respondent Ruth Ann Hersch filed.
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May 29, 2009 |
Order of Consolidation (DOAH Case Nos. 09-2493PL and 09-2497PL).
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May 21, 2009 |
(Petitioner's) Motion to Consolidate filed.
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May 19, 2009 |
(Petitioner`s) Unilateral Response to Initial Order filed.
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May 13, 2009 |
Initial Order.
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May 13, 2009 |
Administrative Complaint filed.
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May 13, 2009 |
Election of Rights filed.
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May 13, 2009 |
Agency referral
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