July 31, 2003
Sean Caine, 410-576-6357
HOME BUILDER DENIED REGISTRATION RENEWAL, ENTERS SETTLEMENT
General J. Joseph Curran, Jr. announced today that his Consumer
Protection Division has reached a settlement with the owners of
an Easton home builder whose application to renew registration was
denied by the Division's Home Builder Registration Unit. The settlement
will allow the builder, T.B. Passyn & Sons, Inc., to continue
building in Maryland if it resolves past consumer complaints and
posts a $200,000 bond with the Division to ensure that any future
complaints are addressed.
Maryland home builders are required to be registered with the Division.
The Division denied the renewal application of T.B. Passyn &
Sons, Inc. based upon the builder's alleged failure to disclose
lawsuits in which it was involved. The settlement resolves an administrative
hearing requested by the builder to challenge the denial of renewal.
"We believe the terms of this settlement will protect consumers
who encounter problems with homes constructed by this builder,"
The Consumer Protection Division, the builder and its principals,
Theodore B. Passyn, III, Theodore B. Passyn, Sr., and Julia Beall
Passyn, arrived at an agreement that would allow T.B. Passyn &
Sons, Inc. to renew its registration and resume building. The agreement
requires the builder and its principals to satisfy outstanding consumer
judgments and post a $200,000 surety bond payable to the State for
the benefit of any consumers who have problems with homes built
by T. B. Passyn & Sons. The builder must also arbitrate any
consumer complaints using the Division's arbitration program and
report to the Division any matters pertaining to new home building,
including complaints, warranty claims, stop work orders, permit
and environmental violations.
Curran said consumers can check whether a home builder is registered
by contacting his Home Builder Registration Unit at (410) 576-6573
or at www.oag.state.md.us/homebuilder.
Maryland consumers who have problems with homes built by T.B. Passyn
& Sons, Inc. and have not been contacted by the Division should
call (410) 576-6561.