04-S4q7PL STATE OF FLORIDA hy DEPARTMENT OF BUSINESS AND PROFESSIONAL REGULATION “> FLORIDA REAL ESTATE COMMISSION a2 FLORIDA DEPARTMENT OF BUSINESS AND PROFESSIONAL REGULATION, DIVISION OF REAL ESTATE, Petitioner, Vv. 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. H:\ac\SUTTERac.doc 3 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 6132-24.001. 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 61J2-24.001. 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 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 ai lis Exclusive Right of Sale Listing Agreement (“Agreement”) is between SUSAN KE. CARASEA ET AL ae 1S ‘7 oe fea feat AUTHORITY TO SELL PROPERTY: Seller gives Broker the EXCLUSIVE RIGHT TO SELL the real any aks | prope ollectively “Property"} described below, at the price and terms described below, inning the __ 26% —-dayof “Vv ——___January ___—, _2006_, and terminating at 11:59 p.m. the ly of August , 2006 fermination Date”). Upon full execution of a contract for sale and purchase of the Property, all rights and obligations of this . jreemnent 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 ¥she/it is legally entitled 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 385 Q See Attachment (b) Personal Property, including appliances: Ger €T° VE/OYEY , DISA QATNER aw ASTISA & DREFR | UNIO TREAT, Leni FANS © See Attachment {c) Occupancy: Property Q is Wis 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: Bi Cash ®{ Conventional G VA G FHA Gi Other Q Seller Financing: Seller wit hold a purchase money mortgage in the amount of $_—SS—S™S~SCSswith the following terms: & Assumption of Existing Mortgage: Buyer may assume existing mortgage for $. plus an assumption feeof$__o. sss. The mortgages foratermof_ years beginning in. =, at an interest rate of % Oi fixed O variable (describe) : Lender approval of assumption (i is required Gi 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. Selier 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 __9__% 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, including “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; ib) Obtain information relating to the present mortgage(s) on the. I c) Place the property in a multiple listing service(s) (MLS). Seller authorizes Broker to report to the MLS/Association of Realtors® his listing information and price, terms and financing information on any resulting sale. Seller authorizes Broker, the MLS and/or Association 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) {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 all liability and responsibility in connection with any loss that occurs Withhold verbal offers. }{ Withhold ail 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 aquiries 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 auailabie dor Brokerto ehpwesiuringmasonable times. ow 10tb Rev. 10/03 ©2003 Florida Association of Reactors’ All Rights Reserved (c) Inform Broker prior to ieasing, mort, 1g or otherwise encumbering the Property _ (d) To indemnify Broker and hold Broker harmless from losses, damages, costs and épenses of any nature, including attorney's fees, and irom 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, (8) 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 sales tax): - SELL (a)____5 __% of the total purchase price OR $ J % S) UTTER , nel tater than the date of closing specified in the sales contract. However, closing is not a prerequisite for Brokér's fee being earned. (b} NA ($ 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. {c) 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, regardiess 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. 280 ___ 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 reéai esiate 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 50 % of all deposits that Seller retains as liquidated damages for a buyer's default in a transaction, not to exceed the Paragraph 6(a) 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: }X and to offer compensation in the amount of 2.5, % of the purchase price or —___________ to Buyer's agenis, 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 2.2% of the purchase price or $ to a broker who has no brokerage ationship with the Buyer or Seller; }& and to offer compensation in the amount of 2-5 _% of the purchase price or : to Transaction brokers for the Buyer: Qa None of the above (f this is checked, the Property cannot be placed in the MLS.) BROKERAGE RELATIONSHIP: : ‘ IMPORTANT NOTICE petit tow REQUIRES THAT REAL ESTATE LICENSEES PROVIDE THIS NOTICE TO POTENTIAL SELLERS AND BUYERS . ATE. u should not assume that any real estate broker or sales associate represents you unless you agree to engage a real estate licensee in 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 aresentation that includes the following duties: 1. Dealing honestly and fairly: 2. Accounting for all funds: 3. Using skill, care, and diligence in the transaction; 4. Disclosing all known facts that materially affect the value of residential real Property and are not readily observable to the‘buyer; 3. Presenting all offers and counteroffers in a timely manner, unless a party has previously directed the licensee otherwise in writing: notivai tion of any party for selling or buying , that a seller or buyer will io ing terms other than those offered, or of any property AG ther information requested by a party to remain confidential; and NISTRATIVE COMPLA 7, Any additional duties that are entered into by this or by separate written agredfoept! 7 Ht _. -1Mbh Raw 19/nR G1 90N2 Finriria Assnriatinn nf Reattare? All Ridht< Reserved Py Ake 5 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 limiteo-- Scesy RNAncy oe bese he tie taser se rr gen Ryq2seeeng es Nee Wee a ent a tame ee ee en heck pee sere eres enamnerty lar lamas ey. BRE AE SGRaER EER ee caResnsRzaszy id d2eea ELS 1084 “fe i 5 e/a = zehit Vero Cotes! ectteaes eryopaton tates th ket coer OPER. Plans Mat Wtl alow oe Bar Oy Eechaas DOLEd Ab NONDONNDS TUN an ood WET Pee at tie eee ANAS an ag ADMINISTRATIVE COMPLAINT aT # “s Page BES 35: 003 Hy ELSL2306 21:85 AM FROM: Fax3$2-597-2323 EXIT SUCTZSS REALTY 70: 1813 6f3-2122 PASE: 003 OF 00 FROM (RUTH HERSH-ExtT SUCCESS REALTY Fex NO, : SS2e977113 Nov. 0B 2886 G?7:43—y pI 187 cane tne en sere tent ci and ag enon eater ln trtonn, deverneere, TID hens executed ty Ot Dome coiation. RescoMINCiONs. supphink sett matedaleren in ark ics to Boeri ter aftdentt sotto toth tha carves ol 88 euch gore Tél Soar eo aa Sat ee UR SEIU Pe carps or eters or noe aa ase OS 178 conmpructon lien & 0 calm {or dactagree teive beer nod cr wil De peid at the Caomitp of ther reer 178 Ane) cei be So Sage ee ipl eas Xe ce tary war deny get room, Agen} bneursetce, oy Seker. INISTRATIVE COMPLAINT, 2 * ALI9/20CE 41:55 SM FROM: Far432-3¢7-2325 EXIT success REALTY Tor 1 $i> 5#3-2125 PAGE: 904 OF 005. FROM SRUTH HERSH-EXIT SUCCESS REGLTY FAK NO, : 3525977141 Nov. 88 2886 O7:45M Pe i i i i li [ Ht | i H p tities i i i i rss Wie il H i a] i ll il mere nary nnn ctangana enna aes aan s per cotave Se mah pany. FY ed: pectin, Upon netting ok putin concemed onrtion. ablity ce; thee past of Agere shal maiiaias, exccépt ts the eeeont Bamrionsty Oorcply wits oncvtshora of Chagaer 475. FS, wn amonctecl, TERNCBPEROBBH ETRE | | E § RRARE OF SERFCEMANCE: F Eine tain to patorm Mis Gomme Wire ee et Buyer and depose sgacet tobe pid, may De recovcend tre relied fy ae! Sea ca moe oumms cers asta otra ay a eo ey date owen: ed Baby Sort meses Sect: or Bates, ot Sater’ onion, mey peas in acuy io entore Saher’ napus undec tia Contract. tee ery reason ether tran tates of Salter to enciar Beliars Use seag- Malaita iter Gliqerd alter, Séter fake. en giects or eshasce patois bei Bares may seek specific pertormmance Gs ect to secehee Phe Reimar Buyers bebdcds, SLE; Relies (ia Contact nor ney notice Gtk shat te menesiod ery pute Shed a RNS Sal bid ara tute to the Donat of tw partes and sar encom oe’ Vinenever the content peirtils, aageler sal inchise Sthel ind one gerciee shat nels a3. jae oy Do nade ye eo her Mane ary pty Panes eich eae laceente copy of fis Contenct. QEURSERES See Ry a | CELLED EEE DDS gage LY u | i I i a ¥ ! i unde Secton {at ene oT ee 8 CORE Bat Sel convmatn as ents eer = = ‘ Bxchenge, incest Spero cana ae ay Wo emer ee Ree ee eee

Docket for Case No: 09-002497PL

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.
Jul. 02, 2009	Order (Respondent Sutter's request that the cases be severed is denied).
Jun. 30, 2009	Notice of Objection to Respondent William Sutter's Letter Dated 6/17/09 filed.
Jun. 22, 2009	Letter to Judge Nelson from W. Sutter regarding objection to cases being consolidated filed.
Jun. 12, 2009	Letter to Judge Nelson from J. Blakeman regarding request to have bank account information redacted in Exhibit 1 filed.
Jun. 11, 2009	Order Granting Continuance and Re-scheduling Hearing (hearing set for August 12, 2009; 10:00 a.m.; Brooksville, FL).
Jun. 10, 2009	Petitioner's Notice of Filing Petitioner's Exhibits (exhibits not available for viewing) filed.
Jun. 09, 2009	Petitioner's Dates of Availability for Formal Hearing filed.
Jun. 05, 2009	Petitioner's Notice of Filing Petitioner's Exhibits (exhibits not available for viewing).
Jun. 05, 2009	Index to Petitioner's Formal Hearing Exhibits filed.
Jun. 04, 2009	Petitioner's Motion for Continuance filed.
Jun. 02, 2009	Order of Pre-hearing Instructions.
Jun. 02, 2009	Notice of Hearing (hearing set for June 29, 2009; 11:00 a.m.; Brooksville, FL).
Jun. 02, 2009	Petitioner's Notice of Service of Petitioner's Request for Admissions to Respondent William Lance Sutter filed.
Jun. 02, 2009	Petitioner's Notice of Filing Petitioner's Interrogatories to Respondent William Lance Sutter filed.
Jun. 02, 2009	Petitioner's Notice of Filing Petitioner's Interrogatories to Respondent Ruth Ann Hersch filed.
Jun. 02, 2009	Petitioner's Notice of Service of Petitioner's Request for Admissions to Respondent Ruth Ann Hersch filed.
May 29, 2009	Order of Consolidation (DOAH Case Nos. 09-2493PL and 09-2497PL).
May 21, 2009	(Petitioner's) Motion to Consolidate filed.
May 19, 2009	(Petitioner`s) Unilateral Response to Initial Order filed.
May 13, 2009	Initial Order.
May 13, 2009	Administrative Complaint filed.
May 13, 2009	Election of Rights filed.
May 13, 2009	Agency referral