40. Settlements

60 DOS 91 Matter of DOS v. Thomas - stipulation of settlement, unlicensed salesperson fined $1,500, agreed to manage office in accordance with RPL

85 DOS 91 Matter of DOS v. Brand Enterprises - settlement, licensee failed to notify change of association, plea of no contest

Case 173 Matter of DOS v. Marinelli, Consent Order - improper forms (no "explanations" of exclusive listings, no attorney approval clauses or joint approval forms with caption), improper practice (duplicate original not furnished and listings not submitted to MLS, alteration of expiration date, unauthorized practice of law, unlicensed name) - $500 fine and corrective actions affidavit

Case 189 Matter of DOS v. Ltd. Grant Realty, Consent Order - dual agency and failure to inform principals - sales associate suspended 60 days, broker fined $1,000

Case 222 Matter of DOS v. Lewis, Consent Order -licensee obtained tenant for apartment in violation of certificate of occupancy and local zoning - fined $250 and refunded commission received

CRC #268 Matter of DOS v. Nothnagle, Consent Order - failure to ascertain if required deposits were made by buyer and failure to advise seller of such failure; $1,500 fine, 1-month suspension

Case #138 Matter of DOS v. Cooper, Consent Order - receipt of commission in excess of legal maximum rent for rent stabilized apartment - $3,000 and 6­-month suspension

CRC #228 Matter of DOS v. Goblet, Consent Order -failure to obey seller client's instruction to retain purchaser's deposit and conversion of deposit as unearned commission - restitution of deposit and surrender with prejudice all licenses

CRC #286 (273, 253) Matter of DOS v. Rotonde, Consent Order - failure to respond to DOS investigator's inquiry as required by RPL §442-e - $1,000

CRC #273 (286, 253) Matter of DOS v. Robert DiDonato, Consent Order - held salesperson's license while serving as corporate officer

CRC #273 (286, 253) Matter of DOS v. Gena DiDonato, Consent Order - availed license to unlicensed person, allowed conversion of escrow monies; allowed unlicensed person to serve as officer of licensee corporation for whom respondent was representative broker - $4,000

CRC #287 Matter of DOS v. Lowe, Consent Order - availed license to unlicensed person, 2 x $5,000 fine, sales associate license, but 1 year delay before seeking broker's license

CRC #333 Matter of DOS v. Warwick, Consent Order -failure to promptly account, restitution and $2,500 fine

CRC #410 Matter of Ashrey, Consent Order - false application for renewal of real estate course approval (fails to disclose applicant is licensed broker); fine of $3,000 and 1-month suspension of approval to conduct real estate continuing education courses

CRC #226 Matter of Kane, Consent Order - commission received as result of activities of unlicensed salesperson; failure to promptly file change of association application; fine $2,500

CRC #378 Matter of Skydell, Consent Order excessive rents and fees charged, failure to advise of broker's interest in premises (19 NYCRR §175.6); failure to advise DOS of relocation of office (RPL §441-a[5]); failure to furnish duplicate original of lease (19 NYCRR §175.2); 3-month suspension

CRC #409 Matter of DOS v. Heinemann, Consent Order - advertising of "free appraisals" in "The Real Estate Book" which was expected to be distributed in a non-solicitation area, violates non-solicitation order; $3,000 fine

CRC #275 Matter of DOS v. Baker, Consent Order - misleading advertising; conversion of deposit monies; $2,500 fine and restitution of $20,000 under payment schedule enforced by confession of judgment

CRC #365 Matter of DOS v. Bellezza, Consent Order - failure to use separate escrow account; failure to use RPL §443 disclosure notice; failure to return brokerage commission; 1-month suspension and $975.14 restitution

142 DOS 93 Matter of Tannenbaum - corporation which manages real property, collects rents and cooperative apartment building maintenance charges requires a license; unlicensed salesperson and unlicensed corporation precludes legitimate claim for brokerage fee; settlement of civil suit between tenant and unlicensed corporation is not a defense to charge of unlicensed activity; corporation's failure to pay judgment where individual respondent is not a party is not considered in disciplinary case against said individual; deposit monies should be returned, as no viable lease was entered into and no lawful brokerage commission could be claimed; restitution of entire deposit ordered (civil action settlement provided for return of $600 of $900), as no licensed real estate services were rendered; however, retention of deposit is not conversion or illegal retention of deposit monies, but is unlawful claim for commission by non-licensee; broker's failure to file termination of association notices violates RPL §441-a(5); respondent's cooperation during investigation considered, as is testimony that action resulted from lack of knowledge and negligent, not deliberate attempt to violate licensing law

CRC #454 Matter of DOS v. Valladares, Consent Order - payment of buyer's closing costs out of commission proceeds is unlawful commission splitting RPL §442; unlicensed business name; failure to make clear agency relationship; restitution of $9,600 plus $1,100 interest; fine of $1,000 or suspension until compliance

CRC #292 Matter of DOS v. Skverchak, Consent Order - unlicensed real estate activities; sales associate receipt of compensation from person other than broker with whom associated; restitution of unearned commission and $3,000 fine

CRC #304 Matter of DOS v. Gregory, Consent Order - dual agency; failure to resign agency when licensee purchase for own account; illegal commission; restitution and two-month suspension

CRC #465 Matter of DOS v. Rubino, Consent Order - failure to provide RPL §443 disclosure notice; $500 fine

CRC #441 Matter of DOS v. Sopher, Consent Order - unlicensed salesperson negotiates rental; failure to file change of association card; restitution ($925) and $500 fine

CRC #383 Matter of DOS v. Graham, Consent Order - commingling security deposits in operating account; presentation of checks which could not be negotiated; conversion and failure to make clear (175.7); restitution ($1,547 and $1,466) and $2,000 fine

CRC #372 Matter of DOS v. Martin, Consent Order - failure to pay judgment; failure to honor personal guarantee to repay note; restitution ($1,049) and $300 fine

CRC #493 and #497 Matter of DOS v. Siony, Consent Order - illegal retaining of deposit; retaining of unearned commission; failure to make clear (175.7); unlicensed salesperson; restitution ($2,888 and $663) and $5,000 fine

CRC #308 Matter of DOS v. Gomez, Consent Order - failure to place deposit in escrow account (175.1); conversion of rent, security deposit and commission; breach of fiduciary duty; restitution ($1,840) and $500 fine

CRC # 363 Matter of DOS v. Curanaj, Consent Order - violation of Housing Maintenance Code and Multiple Dwelling Law; failure to pay Dept. of Housing Preservation and Development judgment; 2-month suspension; $1,500 fine; pay $21,190 judgment

CRC #327 Matter of DOS v. Sullivan, Consent Order - conversion of deposit; restitution of $6,500 plus 9% interest; fine of $1,000

CRC #469 Matter of DOS v. Lynn Emmerling, Consent Order - dual agent without full disclosure and informed consent; restitution of $841.25; fine of $3,500

CRC #469 Matter of DOS v. Craig Emmerling, Consent Order - dual agent without full disclosure and informed consent; restitution of $841.25; fine of $1,500

CRC #469 Matter of DOS v. Rowley, Consent Order - dual agent without full disclosure and informed consent; restitution of $3,776.59; fine of $500

CRC #375 Matter of DOS v. Murat, Consent Order - failure to hold deposit in escrow (Regulation 175.1); failure to pay judgment; unauthorized practice of law by drafting binder without attorney approval clause (Judiciary Law §478); restitution of $2,800; fine of $2,500

CRC #586 Matter of DOS v. Sbarra, Consent Order - falsifying information in applying for mortgage; misrepresentation by omission of disqualifying information; invasion of client escrow accounts; commingling escrow deposits; forgery; 6-month suspension and fine of $10,000; upon timely payment, complaint in this matter and other matter (CRC #309) withdrawn and discontinued without prejudice

CRC #309 Matter of DOS v. Chatterton, Consent Order - dual agent without full disclosure and informed consent; fine of $500

CRC #375 Matter of DOS v. Murat, Consent Order - failure to hold deposit in escrow violation 19 NYCRR §175.1; failure to pay judgment violation RPL §441-c; drafting binder is unauthorized practice of law and violates Judiciary Law §478; restitution of $2,800; fine of $2,500

CRC #387 Matter of DOS v. O'Hanlon [North Shore MLS], Consent Order - illegal business practices of North Shore MLS; decision to list with MLS must be made by property owner; principal must be free to choose which broker will act as owner's agent or subagent; delete provisions for commission split to be negotiated between listing and selling brokers; enforcement of arbitration by CPLR Article 75, not expulsion; disciplinary enforcement by DOS, not MLS; overrules arbitration decision re: retaliation against complaint

CRC #414 Matter of DOS v. Desgranges, Consent Order - violation of Executive Law §130 by notarizing signature without person appearing; surrender of commission as notary as revocation

3 DOS 95 Matter of Tucci - licensee as partner in entity selling property to builder does not come within 19 NYCRR §175.6; dual agency found where licensee represents seller in real estate transaction and serves as mortgage broker for buyer; failure to make agency relationships clear violates 19 NYCRR §175.7; pre-hearing and post-hearing motions; restitution of $1,081; fine of $1,000; DOS determination vacated by stipulation of settlement; non-admission, restitution of earned mortgage broker fee

50 DOS 95 Matter of Romano - relocation of principal business address without notice results in automatic suspension; illegal to demand and receive commissions while licensed salesperson; restitution of illegal commissions; failure to settle, so proper to impose higher fine

77 DOS 95 Matter of DOS v. Deppoliti, et al. - settlement by stipulation; 30 day suspension; two $5,000 fines

CRC #490 Matter of DOS v. Krueger, Consent Order - fraudulent holding self out as broker and REALTOR; $4,000 fine

CRC #590 Matter of DOS v. Loretta, Consent Order - Commingling and conversion of deposits; $1,500 fine, required to deposit funds with County Clerk and commence interpleader (stakeholder) action

CRC #620 Matter of DOS v. Stein, Consent Order - failure to renew; sales when had expired license; $5,000 fine

CRC #95-0360 Matter of DOS v. Schmidt, Consent Order - licensee unlawfully received a real estate commission from someone other than his employing broker in violation of RPL §442-a; restitution of $7,875.00, plus interest; $1,000 fine

CRC #95-0486 Matter of DOS v. Ogden, Consent Order - broker allows individual to act and hold herself out as a real estate broker associated with him at such time when she was not so licensed; restitution of $2,330.00; $1,000 fine

CRC #95-0860 Matter of DOS v. Roe, Consent Order - licensee breaches his fiduciary duties of full disclosure, obedience, good faith, undivided loyalty, reasonable care, skill, diligence and judgment to his principal/landlord where licensee negligently failed to inform principal that licensee had placed tenant in commercial space on the property and failed to acquire consideration from tenant for their occupancy of the property; license suspension for nine months; restitution of $45,000.00, plus interest; licensee required to attend and complete a course in the law of agency

CRC #96-0551 Matter of DOS v. Pollack, Consent Order - representative broker and corporate broker consent to pay fine in the amount of $500 and restitution in the amount of $240.00, plus interest

CRC #96-0729 Matter of DOS v. Real Property Enterprises, Inc., Consent Order - corporate broker, by its representative broker, failed to properly supervise sales associates with respect to their negotiation and preparation of contract addendum; sales associates demonstrated incompetence in negotiating and preparing addendum to sales contract; corporate broker reprimanded; each sales associate fined $250.00

CRC #96-2306 Matter of DOS v. Alexis, Consent Order - licensee fails to return commission for the rental of an apartment; $250.00 fine; restitution of $682.84

CRC #96-2314 Matter of DOS v. Witt, Consent Order - licensee fails to inform of the existence of a mortgage; $2,000.00 fine; licensee agrees to indemnify, defend and hold parties harmless from any liabilities or damages which may result from claims, demands, costs or judgments arising out of the undisclosed mortgage (mortgage amount of $11,250.00)

CRC #96-3969 Matter of DOS v. Landsman, Consent Order - licensee fails to verify the actual tax assessment on property submitted for multiple listing (licensee is owner of subject property); $350.00 fine; restitution of $797.35

CRC #95-0105 Matter of DOS v. Diaz, Consent Order - broker demonstrated untrustworthiness by failing to satisfy a lawfully obtained judgment; $500 fine; restitution of the judgment amount ($1,683.43) plus interest

CRC #95-0140 Matter of DOS v. Kambanis, Consent Order - broker demanded and retained an unearned commission; six months license suspension; restitution of $6,350.00 to be paid monthly; any monthly payment not received by the 7th day of the month will cause additional suspension for the period in which the payment is delinquent

CRC #96-0444 Matter of DOS v. Figueroa, Consent Order - respondent consents to pay $750 fine, without admission of the charges and without specification of the offense(s) for which the fine is imposed

97 DOS 99 Matter of DOS v. Majestic - failure to appear at hearing; failure to cooperate with DOS investigation; proof of qualifying experience; settlement; ex parte hearing may proceed upon proof of proper service; licensee previously entered into two consent agreements with DOS stating he had not completed the continuing education requirements, would pay a fine of $500.00 and would provide proof that he completed the continuing education requirements; licensee timely paid the fine but failed to present proof that he had complied with the continuing education requirements; DOS fails to prove that licensee failed or refused to cooperate with an investigation for failure to submit proof of compliance with continuing education requirements; failure to submit proof of compliance with prior consent agreements; salesperson’s license revoked

CRC #98-1156 Matter of DOS v. Allspach, Consent Order - consent order without admission to charges; fines of $1,000.00 and $2,000.00

CRC #98-1206 Matter of DOS v. Halili, Consent Order - restitution of $1,442.50; withdrawal of complaint without prejudice to refile pending disposition of civil action

CRC #99-3567 Matter of DOS v. Loretta, Consent Order - payment of the sum of $1,500.00

489 DOS 00 Matter of DOS v. Bhagwandin - decision (317 DOS 97) after a default hearing vacated upon licensee’s motion that charges were brought in error as a prior settlement of the matter was entered into

634 DOS 01 Matter of DOS v. Charles - failure to pay judgment; settlements; unlicensed activity; failure to pay judgment without a showing that broker is unable to do so is a demonstration of untrustworthiness; broker is guilty of a misdemeanor, RPL §442-c, when broker has an unlicensed salesperson associated with him, her or it (temporary letter of authorization to act as salesperson expired); proper to impose a more stringent penalty than that which was asked for in settlement offer where settlement offer has been refused or its acceptance has not been finalized; $1,000.00 fine and satisfaction of judgment

707 DOS 06 DOS v. Roopnaraine- cease and desist; settlements; broker admitted to having mailed a solicitation to a home on the cease and desist list claiming that the mailing was done in error; broker’s defense is at best an admission of incompetency; tribunal considers fact that prior to scheduling of the hearing, broker was offered to resolve the matter through the payment of a fine of $500.00; it is proper to impose a fine higher than that which was asked for in the settlement offer; broker fined $1,000.00

719 DOS 06 DOS v. Gabelli Realty LLC- duty to disclose agency relationships; settlements; at the time of taking a listing, broker had homeowner sign an agency relationship disclosure form on which the broker checked as the applicable relationship both that the broker was the seller’s agent and an agent of the buyer; broker did not give the homeowner copies of the disclosure documents at the time of signing but rather mailed them to the seller days later; broker was offered the opportunity to resolve the matter by paying a fine of $700.00 but refused the offer; thereafter, broker faxed an altered copy of the disclosure form to DOS’s investigator, having removed the check mark next to the language “an agent of the buyer/tenant;” thereafter, broker was offered an additional opportunity to resolve the matter by signing a consent order admitting the charges and paying a fine of $1,000.00; it is clear that broker was aware of the wrongfulness of his misconduct as demonstrated by his obvious attempt to mislead DOS by submitting to it an altered copy of the disclosure statement; broker fined $2,000.00

745 DOS 06 DOS v. Albarracin- disclosure of agency relationships; failure to appear at hearing; settlements; ex parte hearing may proceed upon proof of proper service; salesperson failed to provide agency disclosure form to either landlord or tenant when showing a one family house for rent to tenant; salesperson offered the opportunity to resolve the matter by paying a fine of $700.00 but refused; salesperson further provided the opportunity to resolve the matter by admitting to the allegations in the complaint and paying a fine of $1,000.00 and did not accept that offer; proper for tribunal to impose a fine higher than that which was asked for in the settlement offer; salesperson fined $2,000.00

961 DOS 06 DOS v. Catarine- prior misconduct violation of consent order; failure to make restitution; practice of real estate brokerage while unlicensed; revocation

987 DOS 06 DOS v. Chachami- proof of qualifying experience, failure to complete continuing education, false statement, decline of offer to settle, more stringent penalty appropriate, $1,000.00 fine

1 DOS 07 Matter of Ali – appraiser allowing appraiser assistant to affix signature to report which he did not review, settlement offers declined, no fine authorized, 3-month suspension

21 DOS 07 Matter of Geoghan – appraiser, continuing education, inadvertent violation, opportunity to settle, no authority to impose fine, reprimand

22 DOS 07 Matter of Marshall – appraiser, continuing education, inadvertent violation, opportunity to settle, no authority to impose fine, reprimand

580 DOS 07 Matter of Herzog- broker fails to comply with terms of consent order (failure to pay fine and restitution); license revoked

1940 DOS 07 Matter of Conde- salesperson; failure to provide agency disclosure form; failure to execute consent order; $1,000 fine

466 DOS 08 Matter of Peretz – salesperson; cease and desist; refused opportunity to settle for $750; $1,000 fine

479 DOS 08 Matter of Panzarella – appraiser assistant; continuing education; refusal of offer to settle; revocation

481 DOS 08 Matter of Spina – appraiser; continuing education; refusal of offer to settle; revocation

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Second quarter Legal Lines now available

The second quarter 2019 edition of NYSAR’s Legal Lines is now available online at This edition covers who needs to sign a listing agreement, the issue of websites and accessibility for individuals protected under the Americans with Disabilities Act, a broker was not found liable for fraud to to a disclaimer in the purchase contract and more. Learn more