Davied Broderick (“Broderick”), Daniel Howden (“Howden”), and Beach Grove Properties Ltd. (“BGPL”), contrary to section 14(1) of the Homeowner Protection Act (the “Act”), conducted the business of a residential builder without a valid Homeowner Protection Office (“HPO”) Residential Builder Licence between the period of, or about, June 12, 2012, and April 26, 2013, regarding a new home development in Tappen, B.C. (the “Property”), and contrary to section 22 of the Act, built and offered for sale 13 new homes on the Property (the “New Homes”), between the dates of April 24, 2013, and April 26, 2013, without each of the New Homes being registered for coverage by home warranty insurance provided by a warranty provider. On April 26, 2013, the HPO issued Compliance Order 13-0020 to Broderick, Howden, and BGPL directing that Broderick, Howden, and BGPL:
- Immediately cease carrying on the business of a residential builder as defined in the Act;
- (a) Immediately become an HPO Licensed Residential Builder pursuant to section 14 of the Act and enrol each of the New Homes in home warranty insurance pursuant to Section 22(1) of the Act, or
(b) immediately arrange for a restrictive covenant to be registered on the title to the Property restricting the sale or other disposition of any dwelling unit on the Property for 10 years from the date of first occupancy of one of the dwelling unit pursuant to section 2(2.1) of the Homeowner Protection Act Regulation (the “Regulations”);
- Immediately cease the offering for sale, marketing, completion of any Purchase/Sale Agreement that may be in place, or already is in place, and/ or actual sale of the New Homes; and
- Provide the HPO evidence of all sale offering cancellation and any Purchase and Sale Agreements for the New Homes already being in place, proof that the Purchase and Sale Agreements will not become a legally binding contract until such time as the Act and the Regulations are complied with.