Estate Planning Lawyer
We get a lot of phone call from people whose businesses are regulated by some type of agency. Usually these business owners receive a financial audit or check the wrong box on the renewal, thus causing a violation.
What should a business do if they receive a violation notice?
If an agency is going to propose a violation, then the business will have a certain time frame to request an agency hearing. The proposed violation will let the business know how to request a hearing and the deadline for requesting a hearing. If the business does not respond, then eventually the business will receive a Default Order that basically says that the business was guilty of the violation and the business has to pay the proposed penalty, serve suspension, or revocation of the license, etc.
The hearing is the business’s opportunity to dispute the violation. Usually the agency and business settle before going to a full hearing. Settlement is usually the most cost effective way to deal with proposed violations. Even if you are 100% certain you are not guilty, are you willing to pay a lot of money to prove you are right? Most business will choose to pay a penalty and move forward.
If you decide to go through with a hearing, there will be different deadlines that will be outlined and agreed to by all parties, such as when your discovery requests must be done by.
If you go through with an agency hearing and lose, you will have some appeal rights. Often with agencies, you are allowed to appeal to the Director of the agency. If you still lose your appeal to the Director, then you will be able to sue in district court.