Bemenderfer v. Department of Business & Professional Regulation

955 So. 2d 659, 2007 Fla. App. LEXIS 7118, 2007 WL 1342705
CourtDistrict Court of Appeal of Florida
DecidedMay 9, 2007
DocketNo. 4D05-4162
StatusPublished

This text of 955 So. 2d 659 (Bemenderfer v. Department of Business & Professional Regulation) is published on Counsel Stack Legal Research, covering District Court of Appeal of Florida primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Bemenderfer v. Department of Business & Professional Regulation, 955 So. 2d 659, 2007 Fla. App. LEXIS 7118, 2007 WL 1342705 (Fla. Ct. App. 2007).

Opinion

FARMER, J.

In this license disciplinary hearing the Department of Business and Professional Regulation, Division of Real Estate (DBPR-DRE), charged a real estate broker with five counts of technical accounting violations not involving any defalcation.1 After a formal hearing, the administrative law judge (ALJ) found her guilty only on counts (4) and (5), exonerating her of the other charges. The ALJ recommended a penalty of suspension for one year, probation for one year, a fine and remedial education. The Florida Real Estate Commission (FREC) adopted all of DBPR-DRE’s exceptions, as well as its recom[661]*661mendation that the suspension be reduced to 90 days because of mitigating circumstances. On appeal we reverse an increased penalty improperly imposed during a relinquishment of our jurisdiction to the agency for the limited purpose of correcting the final order. We remand with instructions to FREC to enter an order restoring the penalty initially imposed after the final hearing on the recommended order.

DBPR-DRE had filed 13 exceptions to the ALJ’s recommended order. More specifically, DBPR-DRE had objected to the ALJ’s exoneration of the licensee on counts (1) and (8). DBPR-DRE also objected to the recommended penalty on the grounds that it was a departure from the agency’s penalty guidelines. At the final hearing before FREC, DBPR-DRE requested that the licensee be found guilty of all charges except count (2). Conceding that a guidelines penalty of one-year as found by the ALJ would amount to a “severe hardship” on the licensee, DBPR-DRE also requested only a 90-day suspension, a longer probation, and a greater fine.

FREC adopted all of DBPR-DRE’s exceptions. A number of these exceptions, however, involved the agency reweighing the evidence and altering findings of fact of the ALJ supported by evidence. Inexplicably FREC found her guilty on all charges. For the penalty, however, FREC adopted the recommendation of DBPR-DRE and imposed only a 90-day suspension, two-years of probation, a larger fine and remedial education.

Acting pro se, the licensee appealed the final order to this court. Shortly after the appeal was filed, however, DBPR-DRE prepared and filed a joint motion to relinquish jurisdiction to FREC. The stated purpose was to “correct” the final order. No longer represented by counsel, the licensee was said to have authorized DBPR-DRE to say that she joined in the motion. We granted the motion and specified a period of relinquishment.

Upon relinquishment, DBPR-DRE then filed a motion for reconsideration with FREC, the material part of which says:

7. A review of the records of the proceedings reveals that ... [FREC] weighed the evidence and substituted [FREC’s] own evaluation of the evidence for the findings of fact made by the ALJ. In addition, [FREC] made supplemental findings of fact without sufficiently articulating in the Final Order the basis for the actions of [FREC].
8. It is black letter law that an agency may not reweigh evidence ..., judge the credibility of witnesses, or otherwise interpret evidence anew. Brown v. Criminal Justice Standards and Training Comm., 667 So.2d 977 (Fla. 4th DCA 1996).
9. An administrative agency is not permitted to weigh the evidence, judge the credibility of witnesses, or interpret the evidence to fit its ultimate conclusions. Moreover, an agency may not rely on its own expertise to reverse the administrative law judge’s finding that a particular statute was not violated. Gross v. Department of Health, 819 So.2d 997 (Fla. 5th DCA 2002).
10. Thus, a rehearing on the consideration of the Recommended Order and Petitioner’s Exceptions to the Recommended Order is proper.

DBPR-DRE’s motion closed with a prayer that FREC:

“grant the Petitioner’s Motion for Reconsideration, vacate the Final Order, reconsider the Recommended Order and enter an Amended Final Order, together [662]*662with any other such relief deemed just and proper.”

On the same day as this motion was filed, DBPR-DRE served the licensee with a notice scheduling a hearing before FREC twelve days later. She promptly faxed a letter to DBPR-DRE advising that she would be undergoing surgery, and it was unlikely that she could attend.

Treating her letter as a request for a continuance, FREC proceeded with the hearing in her absence. Counsel for DBPR-DRE advised FREC that if the continuance were granted, the agency might lose jurisdiction because the period of relinquishment was soon to' expire.2 One member moved to deny the motion for a continuance, stating:

“We’re liable to lose jurisdiction if we grant it.... We’re not going outside the record. It’s not as though she’s prejudiced by not being here. She’s not an attorney, not that non-attorneys can’t make persuasive arguments. But I don’t think there’s prejudice to her by denying it.”

FREC denied a continuance. At that point DBPR-DRE withdrew all of its exceptions to the recommended order of the ALJ and requested that FREC simply adopt the ALJ’s findings of fact and conclusions of law as to all counts. FREC proceeded to do so. DBPR-DRE requested that the original suspension of 90 days be readopted, together with the period of probation, the fine, and the remedial education. At this point, however, things went strangely awry.

Counsel for FREC “advised” the commission that an eight-year suspension is the guideline penalty for a violation based on section 475.25(1)(e) (authorizing punishment for any violation of chapter 475 or of any rule or order arising under chapter 455 or chapter 475). Thereupon, a commissioner immediately moved for an 8-year suspension. The motion did not consider the stipulation of DBPR-DRE that even a one-year suspension would be a severe hardship on the licensee, that in moving for reconsideration the agency had not sought to change the penalty in any way, and the licensee has been given no notice that the original penalty was subject to, or might be, increased upon reconsideration.3 The motion was summarily adopted. A written order was entered several weeks later, which we now review as the final order in the case after it was returned to this court.

There are a number of reasons why we cannot accept FREC’s modification of the final order’s penalty during relinquishment. First, neither the motion for relinquishment filed in this court, nor the companion motion for reconsideration filed with FREC, gave the licensee any notice or warning that an increase in the penalty would be sought or considered. To the contrary, the motion for reconsideration conveyed only a request that the original final order be modified to restore the findings of fact of the ALJ, which supported guilt on only counts (4) and (5) of the five charges against her. As the motion itself made clear, FREC had no authority to substitute its own fact-finding [663]*663for the ALJ’s. Djokic v. Dep’t Bus. & Prof. Reg., 875 So.2d 693 (Fla. 4th DCA 2004). FREC is not empowered to bypass the ALJ’s factual exoneration on three of the five charges simply by reweighing the evidence and making contrary findings. Gross v. Dep’t of Health, 819 So.2d 997 (Fla. 5th DCA 2002); Brown v. Criminal Justice Standards & Training Comm’n, 667 So.2d 977 (Fla. 4th DCA 1996).

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Brown v. CRIM. JUST. STAND. & TRAINING
667 So. 2d 977 (District Court of Appeal of Florida, 1996)
RU v. Department of Children & Families
782 So. 2d 1024 (District Court of Appeal of Florida, 2001)
Djokic v. DEPARTMENT OF BUS. AND PROF. REG.
875 So. 2d 693 (District Court of Appeal of Florida, 2004)
Celaya v. DEPT. OF PRO. REGULATION, BOARD OF MEDICINE
560 So. 2d 383 (District Court of Appeal of Florida, 1990)
Gross v. Department of Health
819 So. 2d 997 (District Court of Appeal of Florida, 2002)
Chrysler v. DEPT. OF PRO. REGULATION
627 So. 2d 31 (District Court of Appeal of Florida, 1993)

Cite This Page — Counsel Stack

Bluebook (online)
955 So. 2d 659, 2007 Fla. App. LEXIS 7118, 2007 WL 1342705, Counsel Stack Legal Research, https://law.counselstack.com/opinion/bemenderfer-v-department-of-business-professional-regulation-fladistctapp-2007.