Disciplinary Actions

KRISTINE YATES BOURGEOIS (RALEIGH) – By Consent, the Commission reprimanded Ms. Bourgeois effective March 10, 2021. The Commission found that Respondent acted as the buyer’s agent in the purchase of residential real property. After going under contract, the listing agent sent Ms. Bourgeois a text stating “new main water line will be installed due to slow leak somewhere in the main line.” Ms. Bourgeois failed to confirm that the water line was replaced prior to closing. The subject property closed without the water line being replaced. 

JOHN CARL CARMENATE (BURLINGTON) – By Consent, the Commission reprimanded Mr. Carmenate effective March 10, 2021. The Commission found that Mr. Carmenate, acting as the qualifying broker and broker-in-charge of a firm, failed to renew the Firm’s license with the Commission and failed to keep its Certificate of Authority active with the Secretary of State. Following expiration of the Firm’s license, Mr. Carmenate continued to manage properties in North Carolina and failed to respond to Letters of Inquiry and other communications from Commission staff.

STEPHANNIE ANNETH CHESLEY (MOORESVILLE) – By Consent, the Commission reprimanded Ms. Chesley effective March 10, 2021. The Commission found that Ms. Chesley acted as a co-listing agent for residential real property. The first buyer (“Buyer 1”) terminated the contract after having a home inspection performed. This inspection report was given to Ms. Chesley and noted certain material issues throughout the home. She took the home off the market while the sellers had their insurance company fix the leak in the kitchen and make extensive repairs to that area of the home as well as the crawlspace then placed the property back on the market and it went under contract with another buyer (“Buyer 2”). Buyer 2’s home inspection revealed some of the same material issues noted in Buyer 1’s inspection report. Buyer 2 terminated the contract and gave a copy of their inspection report to Ms. Chesley. The sellers addressed some, but not all, of the material issues noted in Buyer 2’s inspection report. Ms. Chesley placed the property back on the market and a few days later, it was under contract with another buyer (“Buyer 3”). Buyer 3 terminated before the end of the due diligence period and did not provide a copy of their inspection report to Ms. Chesley. She then placed the property back on the market and a few weeks later, it was under contract with another buyer (“Buyer 4”) who ultimately purchased it. Ms. Chesley failed to disclose the material issues noted on previous home inspection reports or other inspections performed, not corrected by the sellers, to Buyer 2, Buyer 3, and Buyer 4 or their agents at the time the offers were made. Ms. Chesley failed to advise her seller-clients to update their original answers on the property disclosure form.

MENATALLA EFFAT (CHARLOTTE) – The Commission accepted the voluntary surrender of the broker license of Ms. Effat effective February 17, 2021. The Commission dismissed without prejudice allegations that Ms. Effat violated provisions of the Real Estate License Law and Commission rules. Ms. Effat neither admitted nor denied misconduct.

JENNIFER PEARL GALLAGHER (RALEIGH) – By Consent, the Commission suspended the broker license of Ms. Gallagher for a period of twelve (12) months effective January 31, 2021. The Commission required the first sixty (60) days to be active and stayed the remainder of the suspension effective April 1, 2021, and placed Ms. Gallagher on probation until January 30, 2022. The Commission found that Ms. Gallagher was showing a residential property to her buyer-client and entered the subject property prior to her buyer-client arriving. A camera inside the subject property captured Ms. Gallagher consuming alcohol from some of the property owner’s bottles. Ms. Gallagher later sent a letter of apology to the property owner and has replaced the bottles. The Commission notes that Ms. Gallagher is remorseful for her actions.

STANLEY B MARTIN (HIGH POINT) – By Consent, the Commission reprimanded Mr. Martin effective March 9, 2021. The Commission found that in May 2018, Mr. Martin acting as the qualifying broker and the broker-in-charge for a firm, misrepresented the square footage for a property he listed. Mr. Martin listed the property as having 2,150 square feet. In fact, the property was only 1,590 square feet, a difference of approximately 36%.

LANE FRANKLIN MCKINNEY (MOORESVILLE) – By Consent, the Commission reprimanded Mr. McKinney effective March 10, 2021. The Commission found that Mr. McKinney acted as a co-listing agent for residential real property. The first buyer (“Buyer 1”) terminated the contract after having a home inspection performed. This inspection report was given to the co-listing agent and noted certain material issues throughout the home. The home was taken off the market while the sellers had their insurance company fix the leak in the kitchen and make extensive repairs to that area of the home as well as the crawlspace then the property was placed back on the market and it went under contract with another buyer (“Buyer 2”). Buyer 2’s home inspection revealed some of the same material issues noted in Buyer 1’s inspection report. Buyer 2 terminated the contract and gave a copy of their inspection report to the co-listing agent. The sellers addressed some, but not all, of the material issues noted in Buyer 2’s inspection report.  The property was placed back on the market and a few days later, it was under contract with another buyer (“Buyer 3”). Buyer 3 terminated before the end of the due diligence period and did not provide a copy of their inspection report to Mr. McKinney. The property was then placed back on the market and a few weeks later, it was under contract with another buyer (“Buyer 4”) who ultimately purchased it. Mr. McKinney failed to disclose the material issues noted on previous home inspection reports or other inspections performed, not corrected by the sellers, to Buyer 2, Buyer 3, and Buyer 4 or their agents at the time the offers were made. Mr. McKinney failed to advise his seller-clients to update their original answers on the property disclosure form.

TIFFANY ADAMS MYERS (FAYETTEVILLE) – The Commission accepted the permanent voluntary surrender of the broker license of Ms. Adams Myers effective February 17, 2021. The Commission dismissed without prejudice allegations that Ms. Adams Myers violated provisions of the Real Estate License Law and Commission rules. Ms. Adams Myers neither admitted nor denied misconduct.

NRT CAROLINAS LLC (CHARLOTTE) – By Consent, the Commission reprimanded NRT Carolinas LLC effective February 17, 2021. The Commission found that the acting broker-in-charge (“BIC”) failed to supervise two provisional brokers (“PB’s”) who acted as co-listing agents where they failed to ensure that their seller-clients had either repaired all material items identified on home inspection reports or updated their answers on the property disclosure form. The PB’s also failed to disclose any remaining material items to buyers at the time offers were made. The Commission notes that Respondent has updated their policy manual to include increased supervision and training of PB’s.

PIEDMONT REALTORS LLC (HIGH POINT) – By Consent, the Commission reprimanded Piedmont Realtors LLC effective March 9, 2021. The Commission found that in and May 2018, the firm misrepresented the square footage for a property it listed. Piedmont Realtors LLC listed the property as having 2,150 square feet. In fact, the property was only 1,590 square feet, a difference of approximately 36%.

RIVER WALK PROPERTIES (HAW RIVER) – The Commission accepted the permanent voluntary surrender of the broker license of River Walk Properties effective February 17, 2021. The Commission dismissed without prejudice allegations that River Walk Properties violated provisions of the Real Estate License Law and Commission rules. River Walk Properties neither admitted nor denied misconduct.

VICKI SMITH STOWE (WILMINGTON) – By Consent, the Commission reprimanded Ms. Stowe effective March 10, 2021. The Commission found that Ms. Stowe acted as the listing agent in a residential transaction where the seller had a home inspection performed prior to listing the property for sale, a copy of which was given to her. This inspection revealed material issues with the property. No repairs were made to the property and the RPOAD was completed by the seller with no issues noted. A few months later, Buyer #1 went under contract to purchase the subject property and had a home inspection performed. Ms. Stowe failed to disclose all material issues to Buyer #1. Similar material issues were noted on Buyer #1’s inspection report as were noted on the pre-listing inspection report and a copy of Buyer #1’s report was given to Ms. Stowe. Buyer #1 later terminated the contract. The seller addressed some, but not all, material issues noted in the previous inspection reports such as issues with the HVAC system and electrical. The next month, Buyer #2 went under contract to purchase the subject property and had a home inspection performed. Ms. Stowe failed to disclose all material issues to Buyer #2. Similar material issues were noted on Buyer #2’s inspection report as were noted on Buyer #1’s inspection report and the pre-listing inspection report. Buyer #2 terminated the contract and a copy of his inspection report was given to Ms. Stowe.  

THE KEY GROUP ENTERPRISES INC. (FAYETTEVILLE) – The Commission accepted the permanent voluntary surrender of the broker license of The Key Group Enterprises Inc. effective February 17, 2021. The Commission dismissed without prejudice allegations that The Key Group Enterprises Inc. violated provisions of the Real Estate License Law and Commission rules. The Key Group Enterprises Inc. neither admitted nor denied misconduct.