Enforcement Action: Compliance OrderIssue Date: February 11, 2014
Shiqi Zhou (“S. Zhou”), Zongxum Zhou (“Z. Zhou”) and 0913443 B.C. Ltd. dba Arzone Real Estate Investment Ltd. (“AREIL”), contrary to section 14(1) of the Homeowner Protection Act (the “Act”), conducted the business of a residential builder without being a Homeowner Protection Office (“HPO”) Licensed Residential Builder (“LRB”), between the dates of, or about, January 14, 2013, and February 11, 2014, regarding a residential development in Blind Bay, B.C. (the “Property”), and contrary to section 22(1) of the Act, continued construction on 4 new homes on the Property (collectively, the “New Homes”) after the New Homes were de-enrolled from home warranty insurance coverage on January 14, 2013. On February 11, 2014, the HPO issued Compliance Order 14-0002 to S. Zhou, Z. Zhou and AREIL, directing that S. Zhou, Z. Zhou and AREIL:
- cease carrying on the business of a residential builder as defined in the Act; and
a. become an HPO LRB pursuant to section 14 of the Act and register each of the New Homes for coverage by home warranty insurance provided by a warranty provider and ensure that a policy of home warranty insurance is issued for each of the New Homes pursuant to Section 22(1) of the Act, or
b. ensure that all the dwelling units on the Property are owned under a single legal title, and immediately arrange for a restrictive covenant to be registered on the title to the Property restricting the sale or other disposition of any of the 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) of the Homeowner Protection Act Regulation.
S. Zhou, Z. Zhou and AREIL were directed to comply with Compliance Order 14-0002 by March 14, 2014.