he i i ae eR eo Me ee STATE OF FLORIDA DEPARTMENT OF BUSINESS AND PROFESSIONA FLORIDA REAL ESTATE COMMISSI FLORIDA DEPARTMENT OF BUSINESS AND PROFESSIONAL REGULATION, DIVISION OF REAL ESTATE, Petitioner, O O ~ a / / / vs. FDBPR Case N° 99-82380 99-82381 DALE E. PETERSON AND DALE E. PETERSON REAL ESTATE, INC., Respondents. / ADMINISTRATIVE COMPLAINT State of Florida, Department of Business and Professional Regulation, Division of Real Ble Estate (hereinafter "Petitioner") files this Administrative Complaint against Dale E. Peterson and — Dale E. Peterson Real Estate, Inc. (hereinafter "Respondents") 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, im particular § 20. 165, Fla. ‘Stat., Chapters 120, 455 and 475, Fla. Stat., and the rules promulgated pursuant thereto. | 22. Respondent Dale E. Peterson i is sand w was at all times material hereto a a licensed Florida real estate broker, issued license number 0136898 in accordance with Chapter 475, Fla. Stat. The last license issued was as a broker c/o Dale E. Peterson Real Estate, Inc., 180 Poinciana Blvd. #6, Destin, Florida 32541-2323. FDBPR vs Dale E. Peterson FDBPR Case N° 99-82380 Administrative Complaint 3. Respondent Dale E. Peterson Real Estate, Inc. is and was at all times material hereto a corporation registered as a Florida real estate broker having been issued license number 0249452 in accordance with Chapter 475, Fla. Stat. The last license issued was at the address of 180 Poinciana Blvd. #6, Destin, Florida 32541-2323. 4. At all times material hereto, Respondent Dale E. Peterson was licensed and operating as qualifying broker and officer of Respondent Dale E. Peterson Real Estate, Inc. 5. On or about January 25, 1999, Respondent filed with Petitioner and the FREC a Request for Escrow Disbursement Order regarding a $1,000.00 earnest money deposit held in Respondents’ escrow account in a transaction between Curtis and Sandra Deal, as sellers, and Rick Bane and Don Sinkhorn, as buyers. A copy of the request is attached hereto, incorporated herein and made a part hereof by reference as Administrative Complaint Exhibit 1. 6. By letter dated March 22, 1999, sent via United States mail on same date, the Office of the Attorney General advised Respondents that FREC would not issue an escrow disbursement order and that Fla. Admin. Code R. 61J2-10.032(2)(b), obligates Respondents to institute one of several specified settlement procedures within thirty (30) business days of receipt of the letter. A copy of the letter is attached hereto, ‘incorporated herein and made a part hereof by reference as Administrative - Complaint Exhibit 2. : . . 7. Respondents failed to institute one of the required settlement procedures within thirty business days of receipt of the March 22, 1999 letter. FDBPR vs Dale E. Peterson FDBPR Case N° 99-82380 Administrative Complaint : 9. On or about May 5, 1999, Respondents, without the consent of the buyers, released the earnest money deposit to the sellers. A copy of the check to the sellers is attached hereto, incorporated herein and made a part hereof by reference as Administrative Complaint Exhibit 3. 10. On or about June 3, 1999, Respondent initiated an interpleader action in the county court of Okaloosa County, Florida, regarding the $1,000.00 earnest money deposit. A copy of the interpleader action is attached hereto, incorporated herein and made a part hereof by reference as Administrative Complaint Exhibit 4. 11. Rule 61J2-10.032, Fla. Admin. Code, which bears the title “Notice Requirements” states: (1)(a) A real estate broker, upon receiving conflicting demands for any trust funds being maintained in the broker’s escrow account, must provide written notification to the Commission within 15 business days of the last party’s demand, and the broker must institute one of the settlement procedures as set forth in s. 475.25(1)(d)1., Florida Statutes, within 30 business days after the last demand. (b) A broker, who has a good faith doubt as to whom is entitled to any trust fund held in the broker’s escrow account, must provide written notification to the Commission within 15 business days after having such doubt and must institute one of the settlement procedures as set forth in s. 475.25(1)(d)1., Florida Statutes, within 30 business days after having such doubt. The determination of good faith doubt is based upon the facts of each case brought before the Commission. Based upon prior decisions of the Commission, good faith doubt shall be deemed to exist in the following situations: 1. the closing or consummation date of the sale, lease or other real estate - on has passed, and the broker has not received conflicting or identical instructions from all the parties concerning the disbursement of the escrowed funds; 2. the closing or consummation of the date of the sale, lease, or other transaction has not passed, but one or more of the parties has expressed its intention not to close or consummate the transaction and the broker has not received conflicting or 3 FDBPR vs Dale E. Peterson FDBPR Case N° 99-82380 Administrative Complaint identical instructions from all parties concerning disbursement of the escrowed funds. 12. Rule 61J2-10.032(2)(b), Fla. Admin. Code states: (b) If the broker has requested an Escrow Disbursement Order and the broker is notified in writing that no Escrow Disbursement Order will be issued, then the broker shall institute another settlement procedure and so notify the Commission within 30 business days after the broker’s receipt of such notification. 13. Section 475.25(1)(d)1, Fla. Stat. states: Has failed to account or deliver to any person, including a licensee under this chapter, at the time which has been agreed upon or is required by law or, in the absence of a fixed time, upon demand of the person entitled to such accounting and delivery, any personal property such as money, fund, deposit, check, draft, abstract of title, mortgage, conveyance, lease, or other document or thing of value, including a share of a real estate commission if a civil judgment relating to the practice of the licensee’s profession has been obtained against the licensee and said judgment has not been satisfied in accordance with the terms of the judgment within a reasonable time, or any secret or illegal profit, or any divisible share or portion thereof, which has come into his hands and which is not his property or which he is not in law of equity entitled to retain under the circumstances. However, if the licensee, in good faith, entertains doubt as to what person is entitled to the accounting and delivery of the escrowed property, or if conflicting demands have been made upon him for the escrowed property, which property he still maintains in his escrow or trust account, the licensee shall promptly notify the commission of such doubt or conflicting demands... . COUNT I Based upon the foregoing, Respondent Dale E. Peterson is guilty of failure to provide notification to the Commission, within thirty business days of the broker’s receipt of notification FDBPR vs Dale E. Peterson FDBPR Case N° 99-82380 Administrative Complaint that no Escrow Disbursement Order will be issued, of the procedure instituted to resolve the escrow fund dispute in violation of R. 61J2-10.032(2)(b), Fla. Admin. Code, and, therefore, in violation of § 475.25(1)(e), Fla. Stat. COUNT II Based upon the foregoing, Respondent Dale E. Peterson Real Estate, Inc. is guilty of failure to provide notification to the Commission, within thirty business days of the broker’s receipt of notification that no Escrow Disbursement Order wiill be issued, of the procedure instituted to resolve the escrow fund dispute in violation of R. 61J2-10.032(2)(b), Fla. Admin. Code and, therefore, in violation of § 475.25(1)(e), Fla. Stat. COUNT Ii Based upon the foregoing, Respondent Dale E. Peterson is guilty of failure to maintain trust funds in the real estate brokerage escrow bank account or some other proper depository until disbursement thereof was properly authorized in violation of § 475.25(1)(k), Fla. Stat. COUNT IV Based upon the foregoing, Respondent Dale E. Peterson Real Estate, Inc. is guilty of failure to maintain trust funds in the real estate brokerage escrow bank account or some other proper depository until disbursement thereof was properly authorized in violation of § 475.25(1)(k), Fla. Stat. WHEREFORE, Petitioner respectfully requests the Florida Real Estate Commission, or FDBPR vs Dale E. Peterson FDBPR Case N° 99-82380 Administrative Complaint 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, Fla. Stat., 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 $1,000 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 permitee to complete and pass additional real estate education courses; publication; or any combination of the foregoing which may apply. See § 475.25(1), Fla. Stat. and Rule 61J2-24.001, Fla. Admin. Code. The penalties which may be imposed for violation(s) of Chapter 455, Fla. Stat., 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; imposition of investigative costs; issuance of a reprimand; imposition of probation subject to terms including, but not limited to, requiring the licensee, registrant, or permitee to complete and pass additional real estate education courses; publication; restriction of practice; injunctive or mandamus relief; imposition of a cease and desist order; or any combination of the foregoing which may apply. See § 455.227, Fla. Stat. and Rule 61J2-24.001, Fla. Admin. Code. FDBPR vs Dale E. Peterson FDBPR Case N° 99-82380 Administrative Complaint SIGNED this Loa, of pil , 2000. Department 0 of Pre Opyision of By: Herbert S. Fecker, Jr. Director, Division of Real Estate ATTORNEY FOR PETITIONER Nancy P. Campiglia Florida Bar N° 0164259 Senior Attorney Department of Business and Professional Regulation, » Legal Section - Suite N 308 Hurston Bidg. North Tower 400 West Robinson Street “Orlando, Florida 32801-1772 = =" (407) 481-5632 - OD 317- 7260 FAX NPC/k PCP: TR/IR 4/00 NOTICE TO RESPONDENTS PLEASE BE ADVISED that mediation under § 120.573, Fla. Stat, is not 7 Ww Nod FDBPR vs Dale E. Peterson FDBPR Case N° 99-82380 Administrative Complaint 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 proscribed, a hearing to be conducted in this matter in accordance with Sections 120.569 and 120.57, Fla. Stat.; 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) davs 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. comers eek. | Bane + dackhorne 2 LiSeRDBP 7 $62UY.. + DEPARTM IT OF BUSINESS AND PRO_SSIONAL REGULATION . aad DIVISION OF REA, ESTAT HUR ORTH TOWER, 400 W. RO! INSON Sr. P.O. ) ECEIVED ORLANDO, FLORIDA 32892-1772 RECENES g HM Ze JAN 25 1999 REQUEST FoR ESCROW DISBURSEMENT JAN 25 1999 fy, OI OF REAL estate ESCROW (PLEASE PRINT OR TY: ~ DIVISION OF REAL ESTATE Ady AN 1. PROFILE INFORMATION t Name of Requesting Broker Dale £. Peterson Realty, Inc. Street or Box No. CHECK ONE OR BOTH C7] Listing Office [J Selling off Telephone (850) 654-4747 City . State Destin Name of Co-Broker (if any) Abbott Realty Street or Box No. 35000 Emerald Coast Parkway City State Zip Destin FL 32541 Name of Purchaser/Lessee Rick Bane & Don Sinkhorn Address Street or Box No. City W Listing Office O Selling off Telephone "50! 837-4774 Broker License No. Teléphone '812) 288-4901 State Zip 625 North Poplar St. Seymour IN 47274 Name of Seller/Lessor T ‘elephone { ) Curtis & Sandra Deal. | —____ Address Street or Box No. City State Zip DIRECTIONS TO BROKER 1. THIS FORM ST_BE COMPLET FIL oO AND COP OF A PORTIN Ss Cc: CORRESPONDENCE ATTACHED. Incomplete or undocumented requests will be returned. The completed form shoulc | be returned to the Division of Real Estate, P.O. Box 1900, Orlando, Florida 32802. Refer to the number assigned to thi: request which appears on the cover fetter on ail correspondence sent to this agency. 2. The signature of the requesting broker and the date of request must appear. THE SIGNATURE MUST BE THAT OF THE REQUESTING BROKER. 3. Each question must be answered fully. Do not leave any question unanswered. 4. Copies of supporting documents verifying mortgage approval or disapproval should be attached. 5. This request will be reviewed by the Attorney Generai's Office, Legal counsel for the Florida Real Estate Commission before final Commission action. Please direct any future correspondence concerning this request to address reflectec : above. In any inquiries include your escrow disbursement request number and the names of the parties. 6. If the parties elect to arbitrate, mediate or litigate this matter in court, or if the matter is resolved by mutual agreement the requesting broker must immediately notify this office in writing. 7. Abiding by an order issued by the Commission pursuant to this request will relieve the requesting broker from ar administrative complaint, but will not provide immunity to civil liability arising from this matter. DAINTY 2, FUNDS AND FINANCING , (Use additional sheets if necessary) A. AMOUNT OF FUNDS HELD BY BROKER: $ 8B. Total Purchase/Lease Price: 5 1,000.00 © Sales deposit Os Security deposit O Advance rent $172,850.00 C. Funds Are Held in (Check One): C1 Listing Office or EX Selling Office 01 Other, Please Explain in Detail Below: Trust Account Trust Account D. HAVE PURCHASE/LESSEE AND SELLER/LESSOR EXECUTED A SALES CONTRACT OR OTHER AGREEMENT? O Yes 1 No If No, Explain in Detail Below: IF YES, ATTACH A COMPLETE tecie COPY OF SUCH CONTRACT OR AGRESHENT WITH ADDENDUMS/RIDERS. Date of Contract or Agreement: Date(s) Depositis) Were Made: Scheduled Closing Date: —. Type of Real Property Under Contract/Lease: Condominium F. Location or Street Address of Property: 604A Enclave Destin, FL. 32541 G. If Mortgage Financing is involved, Did Purchaser Make Application For Financing? 4 Yes, Complete The Questions Below: OQ No, Please Explain In Detail Below: Amount Applied For$ 155,000 Date: 11/12/98 Type of Financing: Conventional Application Was: Date: O Approved XB Denied Reasons For Denial And Subsequent Financial History: Destin Bank denied because of Mr. Sinkhorn's lack of income. ——we 3. AREA OF DISPUTE A. \s Purchaser/Lessee Willing To Close Under The Terms of The Contract/Lease? O Yes ® No If No, Please Explain in Detail Below: Buyer was short on down payment money. B. Date When You First Learned That The Transaction Would Not Close? Date: 11/2 Please Describe Below: C. Has Purchaser/Lessee Requested (Of You Or Of Co-Broker) The Return Of The Deposit? O yes No If Yes, Please Give Date and Purchaser's/Lessee'’s Reason For Requesting Such Refund. (Attach Copies of Relevant Correspondence) Buyer would not sign release Date: Reason: to seller. D. Has Seller/Lessor Made Demand (Of You Or Of Co-Broker) Of Forfeiture Of Deposit? M Yes O No If Yes, Please Give Date And Seller's/Lessor's Reason For Claiming Forfeiture. (Attach Copies Of Relevant Correspondence} > Date: 12/4/98 Reason: r (Use additional sheets if necessary) 29 if a ~ E. In Your Opinion, What is/Ar The Reasonis) That The Transaction Has Not ‘sed. If The Transaction Failed To Close Becaus ~ Of A Dispute As To The P., Terms, Conditions, Or Contingencies Of Thesfontract, Explain in Detail. Mr. Bane & Mr. Sinkhorn applied for a mortgage with Destin Bank. The loan was not approved due to qualifing with Mr. Sinkhorn on the loan. The contract was then taken to lst South Mortgage. Jase Holly said he could approve the mortgage with Mr. & Mrs. Bane only and needed additional information to approve and take Don Sinkhorn off the contract. Mr. Bane did not respond and said he could not come up with the total down payment money. F. Please List The Names, Addresses And Telephone Numbers Of Anyone Who May Have Additional information Relative To Th: Matter. Include Any Com ments You Feel May Assist The Commission in The Determination Of This Matter. Jessica Abbott Muller(listing agent) - (850) 837-4774 Jase Holly(1lst South Mortgage) - (850) 650-3011 Destin Bank(Susie Dodson) - (850) 837-8100 Debby Wright(Dale E. Peterson Realty) - (850) 654-4747 eee 4. CERTIFICATION eee : ' Hereby Certify That The Forgoing And All Attachments included Herein Are True And Correct. 1 Understand That M_ Representations Have Been Made For The Express Purpose Of Securing An Escrow Disbursement Order From The Florida Real Estat _Commission. 1 Further Understand That Any False Statements Shall Subject Me To The Provisions Of Section 475.25 F.S. And Ma . Be Punishable Under The Provisions Of Section 837.06 F.S, Ur Date: Revised 10-96 ignature of Requesting Broker 7 OFFICE OF THE ATTORNEY GENERAL *™ om THE CAPITOL) 121) Reply to: 4 4:03 _ TALLAHASSEE, FLORIDA 32869-4080 eT eeeemeY Geseral . ; cs 400 West Robinson Street none rman QL ane Riess State of Florida AD WE RINGS om 245-0508; Fert (aoy 245-4575 March 22, 1999 Mr. Dale E. Peterson Dale E. Peterson Reaity, Inc. 321 Highway 98 East Destin, Florida 32541 RE: ESCROW DISBURSEMENT ORDER REQUEST #986-2445 BANE-SINKHORN/DEAL TRANSACTION Dear Mr. Peterson: The Florida Real Estate Commission will not issue an Escrow Disbursement Order in the subject dispute for the following reason: Unable to make determination because of conflicting, incomplete and contradictory information on record, i.e.: The buyers’ (undated) offer provided that accept- ance was to occur no later than in the afternoon/evening of October 17, 1998; however, the buyers’ offer was signed on November 9, 1998, without there being any written, signed agreement of the parties changing the terms of the original offer. oe - Also, there is a Comprehensive Addendum where _.the buyers appear signing on October 29, 1998, and still no ocument, signed by aii parties, changing the acceptance date by the sellers. «3+. There is a letter from FIRST SOUTH BANK, of ecember 2, 1998, stating that the bank/lender was Prepared to provide financing,” but there is no evidence that this lender ever issued a loan commitment and, if it did, ‘when and under what conditions: nor, is there any evidence sto when was the loan applied for, in what amount and shat terms the buyers made their application. _ The requesting broker alleged that the above oned lender did not approve one of the buyers. There is no evidence supporting said statement which contradicts that of this lender. rr beat AN AFFIRMATIVE ACTION/EQUAL OPPORTUNITY EMPLOYER ; 2) u re Mr. Dale E. Peterson March 22, 1999 Page Two 5. The broker also reported that an application was made with a second lender, but there is no evidence in that regard, nor if both buyers applied or only one, nor of the identity of that applicant, nor as to the amount of the loan applied for, nor of the terms and conditions set in this second (?) application. An evidentiary hearing would be necessary prior to a final determination. The Commission is not empowered to hold hearings in this type of case. Therefore, pursuant to Rule 61J2-10.032(2)(b), Florida Administrative Code, within thirty (30) business days from receipt of this letter, and in accordance with » §.475,25(1}(d)1, Florida Statutes, the BROKER, by interpleader or other judicial proceeding, Must seek adjudication by a court; or the BROKER, with the written consent of all parties, must submit the matter to arbitration. Pursuant to Rule 61J2-1 0.032(2)}(b), Florida Administrative Code, you must notify the Commission, in writing, as to which of the alternative procedures you have followed. Further, upon final disposition of the matter, you are required to notify the Commission, within ten (10) business days, regarding the final accounting and disbursement of the trust funds. See Rule 61J2-10.032(2)(e), Florida Administrative ‘ode. If we may assist you with other matters, please contact us. The Commission will clos its file on the subject case. “Oliv. "Assistant Attorney General . Counsel for Florida Real _ Estate Commission MO:ijk cc: Buyers and Sellers Rick Bane Don Sinkhorn 625 N. Poplar Street Seymour IN 47274 Curtis and Sandra Deal 5072 Cahaba Valley Trace Birmingham AL 35242 05-05- B t 99 08:35AM = FROM-DEP REALTY MAIN SALES OFFICE 8506503095 T-407P.03/03 Fg; Me : } - . F-881 DALE E PETERSON ALT Y ug : Escrow Account §9-1011/632 3 98 E ge t a pe SNe 22 Destin, Fl 32541 rine 5 a9 eens |) HAY PH |: ent S OER OF wchs wa Sandra D a 00 fh can . i$ |, 000,22- Ee en one. theusand and sh See "potas AES ’ AmSouth Sank of Florida orEscrew) Visbursomen t 99¢-244F “Mac Que T. Man. moo cheer HOBIZ1O RL 2H 34020523 270 dec nk nerhnen nent a nt 8 Re AA RAE A AAPA OE OS suse aque tea neta stamens pencanere tite pene ane se figs mee ne aneh mete e meng emerge PAF —encenaneittene erat esorts tnt-g, y UIRES UO. VAY 98 EAST * Desi, FI, 32841 Dale E. Peterson Curtis and Sandra Deal 5072 Cahaba Valley Trace Birmingham, AL 35242 or eeeme ae we bad “CIVIL covek suetr : IN THE C NTY COURT IN AND FOR OKALOOSA COUNTY, FLORIDA DALE E. PETERSON REALTY, INC., Plaintiff, v. Case No. 99- LITT4-<¢cA CURTIS DEAL, and his wife SANDRA DEAL, and RICK A. BANE, and DONALD SINKHORN. Defendants. a Il. TYPE OF CASE (Place an X in one box only. If the case fits more than one type of case, select the most definitive.) eee ; Domestic Relations Torts Other Civil Simplified dissolution : X) Contracts Dissolution Condominium Professional Malpractice P ) ) Real property ) ) () () ( () (_) Products liability ( (_) Support-lV-D ( ) Auto negligence ( { ) Support-Non- IV-D ( ) Other negligence (_) Eminent Domain () () ( () () URESA-NON-IV-D Other Domestic violence Other domestic relations eee i 5 Jury Trial Demanded in Complaint? () Yes (X) No eee Date: June 2, 1999 Signature of Attorney for Party Initiating Action afta. _ Kanne M. Brown ; sat er, Wingard, Barr & Fleet, P.A. ae glin Parkway os ‘Shaline: Florida 32579 (850) 651-9944 ' Florida Bar No. 0148695 Attorney for Plaintiff

Docket for Case No: 00-002111