STATE OF FLORIDA

DIVISION OF ADMINISTRATIVE HEARINGS

FLORIDA REAL ESTATE COMMISSION ) ex rel. W. WESLEY WALLACE, )

)

Petitioner, )

)

vs. ) CASE NO. 76-457

) Progress Docket 2746

RICHARD D. REICHMAN, )

)

Respondent. )

)

RECOMMENDED ORDER

Pursuant to notice, the Division of Administrative Hearings, by its duly designated hearing officer, K. N. Ayers, held a public hearing in the above styled cause on March 26, 1976 at Ft. Lauderdale, Florida.

APPEARANCES

For Petitioner: Manuel E. Oliver, Associate Counsel

Florida Real Estate Commission 2699 Lee Road

Winter Park, Florida 32789

For Respondent: Richard D. Reichman was not present.

By Administrative Complaint filed October 1, 1975, the Florida Real Estate Commission ex rel. W. Wesley Wallace, seeks to revoke or suspend or otherwise discipline Richard D. Reichman, Respondent, for violation of Section 475.25(1)(a) F.S. on or about February 10, 1975 by forging a document purporting to be a listing agreement and presenting same to his employer, The Berg Agency, Inc. Five exhibits were submitted and three witnesses were called by Petitioner. After considering all the evidence, the following is submitted.

FINDINGS OF FACT

1. Richard D. Reichman is a registered real estate salesman holding license number 0072680. In February, 1975 he was employed by The Berg Agency, Inc., a registered real estate broker. Exhibits 2 and 2a, photocopies of registered letters with return receipts showing complaint and notice of hearing were mailed to Respondent's last address listed with the Real Estate Commission, were admitted into evidence. Accordingly proper service was obtained upon the Respondent.

   
   

2. Some two years ago in May, 1974 Mr. and Mrs. Schutte listed their home for sale through Respondent, Reichman, when he was working for Anaconda Realty. That listing expired; and when Respondent asked them to renew the listing in September, 1974, they declined and had no further contact with the Respondent until February, 1975.

3. Shortly after February 10, 1975 the Schuttes received a form letter from the Berg Agency, Inc. dated February 10, 1975 thanking them for listing their property with Berg. A copy of this letter with the listing agreement attached was submitted into evidence as Exhibit 5. The original listing agreement was admitted into evidence as Exhibit 4.

   
   

4. Realizing that they had not listed their property with anyone and that the signatures on the listing agreement were not theirs, Mrs. Schutte called the Chamber of Commerce, Better Business Bureau, Margate Police, and the Florida Real Estate Commission before being called by Berg. A man who identified himself as a member of the ethics committee advised Berg of the Schuttes complaint and Berg called Mrs. Schutte. Berg called back the following day to advise the Schuttes that Reichman had been fired.

   
   

5. Reichman visited the Schuttes a few days later to ask if they would sign an agreement not to prosecute him, which they declined. At this time Respondent told them that his quota had not been met so he "forged a few" agreements.

   
   

6. At this time the Berg Agency had its salesman on a draw against future commissions, depending upon the man's performance. Reichman acknowledged to the office manager at Berg after his forgery had been discovered that he was afraid he would be taken off the draw if he didn't bring in a lot of listings and acknowledged that he had prepared Exhibit 4 and forged the signatures thereon.

   
   

   CONCLUSIONS OF LAW

   
   

7. Respendent is charged with violating Section 475.25(1)(a) F.S. which provides in pertinent part:

   
   

   "The registration of a registrant may be suspended for a period not exceeding two years, or until compliance with a lawful order imposed in the final order of sus- pension or both, upon a finding of fact showing that the registrant has:

   
   

   1. Been guilty of fraud, misrepresentation, concealment, false promises, false pretenses, dishonest dealings, trick, scheme or device, culpable negligence, or breach of trust in any business transaction, . . ."

      
      

8. Here the evidence was unrebutted that Respondent forged a listing agreement. This involves a business transaction as listing agreements are contracts between the broker and the seller specifying the rights and obligations of each. Forging such a document constitutes fraud, misrepresentation, and dishonest dealing in a business transaction, and is the type of conduct the above quoted statute is designed to prevent.

   
   

9. From the foregoing it is concluded that Respondent, Richard D. Reichman, is guilty of fraud, misrepresentation, and dishonest dealing in a business transaction. It is therefore,

RECOMMENDED that the registration of Richard D. Reichman be suspended for a period of two years.

DONE and ENTERED this 30th day of April, 1976 in Tallahassee, Florida.

K. N. AYERS Hearing Officer

Division of Administrative Hearings Room 530, Carlton Building Tallahassee, Florida 32304

Docket for Case No: 76-000457

Orders for Case No: 76-000457