W. Va. Code R. § 42-19-14

Current through Register Vol. XLI, No. 45, November 8, 2024

Section 42-19-14 - Grounds for Discipline; Disciplinary Sanctions

14.1. The Board may impose disciplinary sanctions upon a licensee for any of the following reasons:

14.1.1. The manufacture, sale, lease, offer for sale or lease, or the introduction, delivery, or importation into this state of any manufactured home on or after the effective date of any applicable federal standards, provisions of the Act, or rules of the Board, which does not comply with that standard: Provided, however, That this subsection shall not apply to:

14.1.1.a. Any person who establishes that he or she did not have reason to know in the exercise of due care that the manufactured home is not in compliance with any applicable federal standards, provisions of the Act, or rules of the Board; or

14.1.1.b. Any person who, prior to the first purchase, holds a certificate by the manufacturer or importer of the manufactured home that the manufactured home complies with all applicable federal standards, unless the person knows that the manufactured home does not comply;

14.1.2. The failure to furnish notification and correction of any defect as required by 42 U.S.C. § 5414 and 24 C.F.R. § 3282.401 through § 3282.416;

14.1.3. The failure to issue a certification required by 42 U.S.C. § 5415, or to issue a certification that a manufactured home complies with all applicable federal standards if that person knows or in the exercise of due care has reason to know that the certification is false or misleading in a material respect;

14.1.4. The failure to establish and maintain records, make reports, and provide information as the Board requires under this rule, or the failure to permit, upon request of a person duly authorized by the Board, the inspection or copying of appropriate books, papers, records, or documents, or the failure to permit entry or inspection relative to determining whether a manufacturer, dealer, distributor, or contractor has acted or is acting in compliance with the federal standards, provisions of the Act, or rules of the Board;

14.1.5. The issuance of a certification pursuant to 42 U.S.C. § 5403(h) if that person knows or in the exercise of due care has reason to know that the certification is false or misleading in a material respect;

14.1.6. The submission of any information or statements to the Board, HUD, a DAPIA, or an IPIA, which are known by the person submitting the information to be false or misleading in a material respect;

14.1.7. The criminal conviction of any person by any competent state or federal court, which directly relates to the business of a manufacturer, dealer, distributor, or contractor;

14.1.8. The application to any person by any competent state or federal authority of any disciplinary action which directly relates to the business of a manufacturer, dealer, distributor, or contractor, including but not limited to, a fine, license suspension, license revocation, or license denial;

14.1.9. The operation of any business location engaged in business in the state as a manufacturer, dealer, distributor, or contractor without a license;

14.1.10. The failure to maintain adequate financial assurance as required by the Act and this rule;

14.1.11. The refusal to allow the Board to conduct inspections as permitted by the Act and this rule;

14.1.12. The failure to pay any fee required by law, this rule, or the federal standards;

14.1.13. The removal of any HUD certification label or HUD data plate from a new or used manufactured home;

14.1.14. The destruction or permanent removal by a manufacturer, dealer, distributor, or contractor of a HUD-approved consumer manual from a manufactured home, thereby depriving a consumer of the use of a manual;

14.1.15. The violation of the state or federal transportation or installation standard applicable to a new or used manufactured home;

14.1.16. Engaging in any deception or false or fraudulent representations or deceitful practices in selling, obtaining financing to consummate a sale, or representing a product whereby injury is or may be sustained by any consumer of a new or used manufactured home or the manufactured home industry. If the violation pertains to prohibited actions in obtaining financing, then the knowledge or complicity of the consumer shall not be considered as a defense to this violation;

14.1.17. The shipment of a manufactured home to a dealer and/or distributor not properly licensed by this state;

14.1.18. The acceptance of a manufactured home by a dealer and/or distributor from a manufacturer not properly licensed by this state;

14.1.19. The use of contract installation or repair services by a manufacturer, dealer, or contractor/installer that is not properly licensed by this state;

14.1.20. The misappropriation of funds of a consumer or prospective consumer of a new or used manufactured home;

14.1.21. The failure to fulfill any written or implied warranty obligation applicable to any new or used manufactured home;

14.1.22. The failure to comply with any order issued by the Board, or any settlement agreement with the Board or Division; or

14.1.23. The violation of any other rule promulgated by the Board.

14.2. Upon a determination by the Board that a person has committed any of the violations in 14.1 of this section, the Board may apply any one or more of the following sanctions:

14.2.1. A public reprimand;

14.2.2. An administrative penalty not to exceed $1,000 per violation;

14.2.3. Suspension of the license of a manufacturer, dealer, distributor, or contractor;

14.2.4. Revocation of the license of a manufacturer, dealer, distributor, or contractor; or

14.2.5. Denial of an application for licensure or licensure renewal filed by any manufacturer, dealer, distributor, or contractor.

14.3. The Board may impose an administrative penalty for each separate violation with respect to each manufactured home, except that the maximum penalty shall not exceed $1 million for any related series of violations occurring within one year from the date of the first violation.

14.4. A suspension may be issued by the Board for any period of time up to and including the remaining term of the current license of the manufacturer, dealer, distributor, or contractor in question. At the end of the designated suspension period, the manufacturer, dealer, distributor, or contractor may apply for reinstatement of a license pursuant to the provisions of subsections 4.3, 5.3, or 6.3 of this rule, as applicable.

14.5. A revocation may be issued by the Board for any period of not less than one nor more than five years. At the end of the designated revocation period, the manufacturer, dealer, distributor, or contractor may re-apply for a license pursuant to the provisions of subsections 4.3, 5.3, or 6.3 of this rule, as applicable.

14.6. A determination by the Board to deny an application for licensure disqualifies the applicant from re-applying at any time during the subsequent 12 month period immediately following the denial, unless the Board agrees to consider a re-application within a lesser time period by designating its willingness to consider a re-application within its order of denial.

14.7. Sanctions may be imposed by the Board only after the person to be disciplined has been afforded an opportunity for hearing.

14.8. Nothing in this rule shall be construed to limit or restrict in any manner other civil or criminal remedies available under law to any person.

W. Va. Code R. § 42-19-14