ÿWPC1 WþA[°~d&ëkÃâµFÿ«h§°óÓ°~d&~Ü#©õw?àâ¬ÚÈøàÿÝuß:\à¡üÁ(ý1n]݃Tˆ©»¦ÄÞú€ƒ¦ú]£ø[s:ûŽÁ½(ÝÏüÉ%k–yyÃ<â]iR¨´1xYš62ŸÐœ^UgѶCѧü`0ˀĪvx·‡ ½×¤vµp~x!ì’Ù}-"ÆðŽ]æþM¯ï˜ DýƒÒtÓõÅÑ_—ÀÐ d] j´åÊUN…µŸƒp‡×‰¼eR3WaîRJÉUPW«t3y>Jw r|ð·Ú¹ÇYQôì8{±ˆ'Ì™+œ/®âë´¤Sî=—.ÇN`Ð>ùIz‰j–°ò€ì+®U‘Õ¹_ƒ¾éîP/¶ù÷…~ŸÐt±k"RíÂ\ÞæI SžÒô=´ ¬žé@œ®UñLÛ£º*TôŸ¸ÊzI~bž±œó“a n…ú"ùìy™ž¦²‹Ô%ˤ•\ßÙO†1Мƒ‹ƒ oZLæ7¥ô”AAí?@±ŸèMVD¡óS[Ôý‡«#–_Níƒc¡ÚH6B#Ñù9$–#÷`¹kÖcÊÁë®æFW`ÈZb %\^ b 0ˆnUNöwD4H\ zkÒå· m¹ #ÉÐ ¾™ ÆWÆÆãÆ© 1uoNä 72æ 0cE{c} 0Dààààààààààààààààààààààb$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$ 0ë,,,, B 0¤4 D5Ø D-  0K:: AS…ÆØ 0¤ž 0DB A«†»³uv1 (`£ª$¡¡Ñ€.ÑÑ8€½­»»d»»d8ÑÑ ý ÑÓ  Ó(í€"  Z6Times New Roman Regular„‚–0B011C83|x ˜C:\PROGRA~1\COREL\WORDPE~1\TEMPLATE\CUSTOM~1\REVISE~1.WPTC:\Program Files\Corel\WordPerfect Office 2000\Template\Custom WP Templates\revised standard opinion.wptÿU‹ÿÀÀÀ˜\\ib01s01\clerk1nasÈÈ,,,,ÈÈ0  COAHiestandRossvilleRinggoldLeolalicensureinsuredsT.C.A.Tenn.Ct.AppGulckGluckDePriestPuettTenn.AppCommn t]heKulkinBergland Butz S.CtS.E.C. G.H. ertRullelWoodard Moog USC USCS Agri WOKOHillerDlugashHardinAboudMadiganH.R.RepU.S.C.C.A.N. FNSC.F.R.CusimanoStrickland P.J. ALJEdmondson MabeBroadrick rehPatchettMobilphone L.EdAcevedoMosleyLevel 1Level 2Level 3Level 4Level 5‚Level 1Level 2Level 3Level 4Level 5„Level 1Level 2Level 3Level 4Level 5…Level 1Level 2Level 3Level 4Level 53#37=CIQYag­­1.a.i.(1)(a)(i)1)a)i)(;3£$´´Ô2#ÔÚ  Ú0Ú  Ú.Ô3  Ôà0  à YÝ ƒR<¯$ÝÓ  Óà  àòòÚ  Ú1Ú  ÚóóÔ€ô­ò»»ÔÝ  ÝÔ_Ô€€The€provisions€of€this€statute€were€in€effect€at€the€time€of€all€of€the€events€that€form€the€basis€for€theÐ ° Ðrevocation€of€the€license€of€Mr.€Mosley.€€Section€56„6„155€was€repealed€by€Chapter€798€of€the€Public€Acts€of€2002Ð tÄ Ðeffective€January€1,€2003.€€Section€13€of€Chapter€798€of€the€Public€Acts€of€2002€replaced€former€Tennessee€CodeÐ 8ˆ ÐAnnotated€section€56„6„155,€reiterating,€in€large€measure,€the€same€grounds€for€revocation€as€was€contained€in€theÐ üL Ðprevious€section.€€Section€13€is€codified€as€Tennessee€Code€Annotated€section€56„6„112€(2003).€€These€statutory€changesÐ À Ðare€not€deemed€to€materially€affect€the€outcome€of€this€case.(#Ã$òòÚ  Ú0Ú  Úóó- ù-(|G2<¯$¤¤Ý ƒ£ª!ÝÑ€.ÑÑ8€…»»dd8ÑÑ ý ÑÓ  ÓÝ  Ýà  àòòÚ  Ú0Ú  ÚóóÔ€ô­ò»»Ô d(|3¿l$££Ý ƒ£ª!ÝÑ€.ÑÑ8€…»»dd8ÑÑ ý ÑÓ  ÓÝ  ÝVVVV)ÿÿ!dxdx)!ÈÈÈÈdxdx( ±þ$’’ò òFigure€Ú  Ú1Ú  Úó ó^_X`YEþÿ<<CÿÿƒLevel 1Level 2Level 3Level 4Level 5(|3¿l$¢¢Ý ƒ£ª!ÝÑ€.ÑÑ8€…»»dd8ÑÑ ý ÑÓ  ÓÝ  Ý($$””ò òÚ  Ú1Ú  Úó óX[Z&OLE 2.0 Box <=8ÿÿÿÿÿÿÿÿÿÿCÿÿ HKKKKÝ ƒ£ª!ÝÑ€.ÑÑ8€…»»ddÈ8ÑÑ ý ÑÓ  ÓÝ  ÝÔ_ÔÑ  ÑÔ€¼…»»»ÔÑ8€YYXXdì»»d8ÑÑ  Ñà@ü ü ìàÔ‡îT…ÔIN€THE€COURT€OF€APPEALS€OF€TENNESSEEˆÐ ° Ðà@kk$ìàAT€NASHVILLEÔ#†¼…»îîT #ԈРÖ& ÐÓ  Ó€August€6,€2004€SessionÐ üL ÐÔ‡XYYX»¼…ÔÌò òÔ#†¼…»XXYYô#ÔGARY€MOSLEYòòóó€v.€TENNESSEE€DEPARTMENT€OF€Ð úJ ÐCOMMERCE€AND€INSURANCEÔ‡XYYX»¼…Ôó óÐ  ^ ÐÌAppeal€from€the€Chancery€Court€for€Davidson€CountyÐ  ^ Ðà@@øøìàNo.€€€02„1532„II€€€€€Carol€McCoy,€Chancellor€Ð ú J ÐÌÌà@@ìì*ìàßA€V) °°` d€÷E<½` AßÐ ¾  ÐÌà@@TTìàNo.€M2003„01998„Ô_ÔCOAÔ_Ô„R3„CV€„€ò òFiled€November€22,€2004ó óÐ ¹  ÐÌßA€V) °°` dE<”` AßÐ •å  ÐÌÓ  ÓThis€appeal€involves€a€decision€by€the€Tennessee€Department€of€Commerce€and€Insurance€to€revokeÐ à Ðthe€license€of€an€insurance€agent€after€finding€that€he€had€repeatedly€sold€insurance€policies€in€statesÐ |Ì Ðwhere€he€was€not€licensed.€€The€agent€filed€a€petition€for€review€in€the€Chancery€Court€for€DavidsonÐ h¸ ÐCounty€arguing€that€the€licensing€statute€was€unconstitutionally€vague€and€that€the€record€did€notÐ T¤ Ðsupport€the€Departmentððs€decision.€€The€trial€court€found€that€the€record€supported€the€DepartmentððsÐ @ Ðconclusion€that€the€agent€had€sold€policies€in€states€where€he€was€not€licensed€but€determined€thatÐ ,| Ðthe€agentððs€license€should€be€suspended€for€six€months€rather€than€revoked.€€The€DepartmentÐ h Ðappealed€to€this€court.€€We€reverse€the€judgment€and€reinstate€the€Departmentððs€revocation€order.Ð T ÐÌÓ¨Óò òTenn.€R.€App.€P.€3€Appeal€as€of€Right;€Judgment€of€the€Chancery€Court€Ð Ü, ÐReversed€and€Remanded€ó óÐ È ÐÌòòÓ  ÓÔ#†¼…»àXYY’#ÔÔ‡XYYX.¼…ÔWilliam€B.€Cain,óó€J.,€delivered€the€opinion€of€the€court,€in€which€òòóóWòòILLIAMóó€C.€KòòOCHóó,€JòòRóó.,€P.J.,€M.S.,Ð  ð Ðand€òòóóFòòRANKóó€G.€CòòLEMENTóó,€JòòRóó.,€J.,€joined.Ð ŒÜ ÐÌPaul€G.€Summers,€Attorney€General€&€Reporter;€Michael€E.€Moore,€Solicitor€General,€and€SarahÐ d!´  ÐAnn€Hiestand,€Senior€Counsel,€Financial€Division,€Office€of€the€Attorney€General,€for€the€appellant,Ð P" ! ÐTennessee€Department€of€Commerce€and€Insurance.Ð <#Œ" ÐÌErnest€W.€Williams,€Anna€Elizabeth€Freeman,€and€D.€Scott€Porch,€IV,€Franklin,€Tennessee,€for€theÐ %d $ Ðappellee,€Gary€Mosley.Ð &P!% Ðà  àà ` àà ¸ àà  à¹Ó ÓÌò òOPINIONó óÔ#†¼…»XXYYH #ÔÔ‡XYYX»¼…ÔÐ Ä($( ÐÌòòóóÔ#†¼…»XXYY #ÔÔ‡XYYX»¼…ÔÓ  Óà  àGary€Mosley,€at€the€time€of€the€events€involved€in€this€case,€was€a€licensed€insurance€agentÐ œ*ì%* Ðwith€more€than€twenty„five€years€experience.€€He€was€licensed€to€sell€insurance€in€Tennessee,Ð ˆ+Ø&+ ÐKentucky,€Mississippi,€and€Indiana;€however,€he€was€not€licensed€to€sell€insurance€in€the€states€ofÐ t,Ä', ÐVirginia€and€Georgia.€€As€far€as€this€record€shows,€Mr.€Mosley€had€no€record€of€prior€administrativeÐ `-°(-ý ÐÔ_Ôdiscipline€problems€or€any€other€activities€that€would€reflect€adversely€upon€him€in€his€profession.€Ð ° ÐÌà  àThe€Administrative€Law€Judge€(ALJ)€made€extensive€findings€of€fact€and€conclusions€of€lawÐ ˆØ Ðin€an€initial€Order€filed€March€15,€2002€following€a€hearing€on€October€16,€2001.€€No€application,Ð tÄ Ðpursuant€to€Tennessee€Code€Annotated€section€4„5„315,€for€a€review€of€the€initial€Order€by€theÐ `° Ðagency€was€filed,€and,€by€Order€of€April€2,€2002,€the€initial€Order€became€the€Final€Order€pursuantÐ L œ Ðto€Tennessee€Code€Annotated€section€4„5„318(f)(3).€€The€Order€of€the€ALJ€revoked€Mr.€MosleyððsÐ 8 ˆ Ðinsurance€license€and€assessed€penalties€in€the€amount€of€$25,000€against€him.Ð $ t ÐÌà  àMosley€filed€a€Petition€for€Judicial€Review€pursuant€to€Tennessee€Code€Annotated€sectionÐ ü L  Ð4„5„322,€which€was€heard€before€the€Chancery€Court€of€Davidson€County€on€September€20,€2002Ð è 8  Ðon€the€briefs€of€the€parties,€the€administrative€record,€and€the€statements€of€counsel.€€The€court,€onÐ Ô$  ÐMay€7,€2003,€entered€its€Memorandum€and€Order€finding€no€fault€with€the€facts€as€determined€byÐ À  Ðthe€ALJ€but€reducing€the€penalties€imposed€by€the€Administrative€Tribunal€stating:Ð ¬ü  ÐÌà8  àThe€Court€concludes€that€the€Petitionerððs€license€should€be€temporarily€suspendedÐ „Ô  Ðfor€a€period€of€six€(6)€months€from€the€date€of€the€ALJððs€order,€and€that€his€licenseÐ pÀ Ðshould€then€be€activated€at€the€conclusion€of€the€six€months.€€Further,€the€PetitionerÐ \¬ Ðshould€be€and€is€hereby€assessed€a€fine€in€an€amount€which€represents€the€totalÐ H˜ Ðcommissions€he€earned€on€the€aforementioned€policies.Ð4„Ð Ð  ÐÌà  àThe€facts€as€found€by€the€ALJ€are€in€all€essential€respects€conceded€by€Mosley€to€be€true.€Ð  \ ÐThese€findings€are:Ð øH ÐÌà8  àà ` à1.à ¸ àThe€Tennessee€Insurance€Law,€as€amended,€Tennessee€CodeÐ Ð  ÐAnnotated€Title€56€(hereinafter€referred€to€as€the€ð ðLawðð)€places€the€responsibility€forÐ ¼  Ðthe€administration€of€the€Law€on€the€Commissioner€of€Commerce€and€InsuranceÐ ¨ø Ð(hereinafter€referred€to€as€the€ð ðCommissionerðð).€€Tenn.€Code€Ann.€ðððð€56„1„202,€56„Ð ”ä Ð6„155.€€The€Division€is€the€lawful€agent€through€which€the€Commissioner€dischargesÐ €Ð Ðthis€responsibility.Ðl¼Ð Ð  Ðà8  àà ` à2.à ¸ àGary€C.€Mosley€(hereinafter€referred€to€as€ð ðMosleyðð),€is€a€citizen€ofÐ X ¨ Ðthe€State€of€Tennessee,€residing€at€817€Preston€Road,€Antioch,€Tennessee.€€Mosley,Ð D!” Ðat€all€times€relevant€to€the€events€herein,€has€been€licensed€by€the€Commissioner€toÐ 0"€  Ðsell€insurance€in€this€state€as€an€insurance€agent.€€Mr.€Mosley€has€held€an€insuranceÐ #l! Ðagentððs€license€since€1976.€€He€is€licensed€to€sell€insurance€in€Kentucky,€Mississippi,Ð $X" Ðand€Indiana€as€well.€€Mr.€Mosley€does€not€have€and€has€never€held€insurance€licensesÐ ô$D # Ðin€Georgia€or€Virginia.Ðà%0!$Ð Ð  Ðà8  àà ` à3.à ¸ àOn€or€around€November€27,€1995,€Mosley€went€to€the€house€of€BettyÐ Ì&"% ÐS.€Edmondson€(hereinafter€referred€to€as€ð ðB.€Edmondsonðð),€located€in€Rossville,Ð ¸'#& ÐGeorgia.€€While€at€B.€Edmondsonððs€home,€Mosley€sold€B.€Edmondson€a€replacementÐ ¤(ô#' Ðlife€insurance€policy€issued€by€Pyramid€Life€Insurance€Company€(hereinafter€referredÐ )à$( Ðâ âto€as€ð ðPyramidðð).Ð|*Ì%)Ð Ð  Ðà8  àà ` à4.à ¸ àOn€the€Application€for€Life€Insurance,€which€was€filled€out€byÐ ° Ðâ âMosley,€Mosley€noted€in€the€appropriate€box€that€the€application€was€signed€by€B.Ð œì ÐEdmondson€in€Chattanooga,€Tennessee.€€B.€Edmondson€actually€signed€theÐ ˆØ Ðapplication€in€Rossville,€Georgia.ÐtÄÐ Ð  Ðà8  àà ` à5.à ¸ àAs€of€the€date€of€the€hearing,€Mosley€has€received€commissions€fromÐ `° Ðthe€sale€of€this€policy€to€B.€Edmondson€in€the€amount€of€Four€Hundred€Eight€DollarsÐ L œ Ðand€eighty€cents€($408.80).Ð8 ˆÐ Ð  Ðà8  àà ` à6.à ¸ àMosley€testified€at€the€hearing€that€he€placed€ð ðChattanooga,Ð $ t ÐTennesseeðð€in€the€signed€at€box€because€he€was€in€a€suburb€of€Tennessee,€albeit€oneÐ  ` Ðin€the€State€of€Georgia,€and€that€B.€Edmondson€had€previously€purchased€a€PyramidÐ ü L  Ðinsurance€policy€by€someone€out€of€Pyramidððs€Chattanooga€office.Ðè 8 Ð Ð  Ðà8  àà ` à7.à ¸ àWhile€at€B.€Edmondsonððs€home€in€Rossville,€Georgia,€Mosley€alsoÐ Ô$  Ðsold€B.€Edmondson€a€Medicare€Supplement€policy€issued€by€Pyramid.€€This€was€notÐ À  Ðan€exchange€or€replacement€policy.Ьü Ð Ð  Ðà8  àà ` à8.à ¸ àOn€the€Application€for€Medicare€Supplement€Policy,€which€was€filledÐ ˜è  Ðout€by€Mosley,€Mosley€noted€in€the€appropriate€box€that€the€application€was€signedÐ „Ô  Ðby€B.€Edmondson€in€Chattanooga,€Tennessee.€€B.€Edmondson€actually€signed€theÐ pÀ Ðapplication€in€Rossville,€Georgia.Ð\¬Ð Ð  Ðà8  àà ` à9.à ¸ àAs€of€the€date€of€the€hearing,€Mosley€has€received€commissions€fromÐ H˜ Ðthe€sale€of€this€policy€to€B.€Edmondson€in€the€amount€of€Six€Hundred€FourteenÐ 4„ ÐDollars€and€forty„two€cents€($614.42).Ð pÐ Ð  Ðà8  àà ` à10.à ¸ àOn€or€around€November€27,€1995,€Mosley€went€to€the€house€of€EddieÐ  \ ÐE.€Edmondson€(hereinafter€referred€to€as€ð ðE.€Edmondsonðð),€located€in€Rossville,Ð øH ÐGeorgia.€€While€at€the€home€of€E.€Edmondson,€Mosley€sold€E.€Edmondson€aÐ ä4 Ðreplacement€life€insurance€policy€issued€by€Pyramid.ÐÐ Ð Ð  Ðà8  àà ` à11.à ¸ àOn€the€Application€for€Life€Insurance,€which€was€filled€out€byÐ ¼  ÐMosley,€Mosley€noted€in€the€appropriate€box€that€the€application€was€signed€by€E.Ð ¨ø ÐEdmondson€In€Chattanooga,€Tennessee.€€E.€Edmondson€actually€signed€theÐ ”ä Ðapplication€in€Rossville,€Georgia.ЀÐÐ Ð  Ðà8  àà ` à12.à ¸ àAs€of€the€date€of€the€hearing,€Mosley€has€received€commissions€fromÐ l¼ Ðthe€sale€of€this€policy€to€E.€Edmondson€in€the€amount€of€Five€Hundred€Forty„SixÐ X ¨ ÐDollars€($546.00).ÐD!”Ð Ð  Ðà8  àà ` à13.à ¸ àMosley€testified€at€the€hearing€that€he€placed€ð ðChattanooga,Ð 0"€  ÐTennesseeðð€in€the€signed€at€box€because€E.€Edmondson€had€previously€purchased€aÐ #l! ÐPyramid€insurance€policy€by€someone€out€of€Pyramidððs€Chattanooga€office,€and€was,Ð $X" Ðin€Mosleyððs€words,€a€ð ðChattanooga€policyholder.[ðð]€€Mosley€testified€that€he€read€thisÐ ô$D # Ðportion€of€the€application€before€he€signed€it,€and€that€he€incorrectly€filled€out€theÐ à%0!$ Ðð ðSigned€Atðð€box€anyway.€€Mosley€also€testified€that€he€knew€at€the€time€that€he€soldÐ Ì&"% ÐE.€Edmondson€this€policy€that€E.€Edmondson€had€to€be€in€Tennessee€for€Mosley€toÐ ¸'#& Ðlawfully€sell€him€this€policy.Ф(ô#'Ð Ð  Ðà8  àà ` à14.à ¸ àWhile€at€E.€Edmondsonððs€home€in€Rossville,€Georgia,€Mosley€alsoÐ )à$( Ðsold€E.€Edmondson€a€Medicare€Supplement€policy€issued€by€Pyramid.€€This€policyÐ |*Ì%) Ðdid€not€replace€or€exchange€any€policy€issued€by€Pyramid.Ðh+¸&*Ð Ð  Ðà8  àà ` à15.à ¸ àOn€the€Application€for€Medicare€Supplement,€which€was€filled€out€byÐ ° ÐMosley.€€Mosley€noted€in€the€appropriate€box€that€the€application€was€signed€by€E.Ð œì ÐEdmondson€in€Chattanooga,€Tennessee.€€E.€Edmondson€actually€signed€theÐ ˆØ Ðapplication€in€Rossville,€Georgia.ÐtÄÐ Ð  Ðà8  àà ` à16.à ¸ àAs€of€the€date€of€the€hearing,€Mosley€has€received€commissions€fromÐ `° Ðthe€sale€of€this€policy€to€E.€Edmondson€in€the€amount€of€Six€Hundred€Fifty€DollarsÐ L œ Ðand€thirty€cents€($650.30).Ð8 ˆÐ Ð  Ðà8  àà ` à17.à ¸ àMosley€testified€at€the€hearing€that€he€placed€ð ðChattanooga,Ð $ t ÐTennesseeðð€in€the€signed€at€box€because€E.€Edmondson€had€previously€purchased€aÐ  ` ÐPyramid€insurance€policy€by€someone€out€of€Pyramidððs€Chattanooga€office,€and€was,Ð ü L  Ðin€Mosleyððs€words,€a€ð ðChattanooga€policyholder.ðð€€Mosley€testified€that€he€read€thisÐ è 8  Ðportion€of€the€application€before€he€signed€it,€and€that€he€incorrectly€filled€out€theÐ Ô$  Ðð ðSigned€Atðð€box€anyway.€€Mosley€also€testified€that€he€knew€at€the€time€that€he€soldÐ À  ÐE.€Edmondson€this€policy€that€E.€Edmondson€had€to€be€in€Tennessee€for€Mosley€toÐ ¬ü  Ðlawfully€sell€him€this€policy.Иè Ð Ð  Ðà8  àà ` à18.à ¸ àOn€or€around€November€27,€1997,€Mosley€went€to€the€house€of€FayeÐ „Ô  ÐT.€Stephens€(hereinafter€referred€to€as€ð ðStephensðð),€located€in€Rossville,€Georgia.€Ð pÀ ÐWhile€at€Stephensðð€home,€Mosley€sold€Stephens€a€replacement€life€insurance€policyÐ \¬ Ðissued€by€Pyramid.ÐH˜Ð Ð  Ðà8  àà ` à19.à ¸ àOn€the€Application€for€Life€Insurance,€which€was€filled€out€byÐ 4„ ÐMosley,€Mosley€noted€in€the€appropriate€box€that€the€application€was€signed€byÐ  p ÐStephens€in€Chattanooga,€Tennessee.€€Stephens€actually€signed€the€application€inÐ  \ ÐRossville,€Georgia.ÐøHÐ Ð  Ðà8  àà ` à20.à ¸ àMosley€testified€at€the€hearing€that€he€was€aware€that€Stephens€hadÐ ä4 Ðto€be€in€the€State€of€Tennessee€in€order€to€legally€sell€her€this€policy.€€In€fact,€MosleyÐ Ð  Ðtestified€that€he€told€Stephens€that€technically€he€could€not€write€this€policy€for€herÐ ¼  Ðunless€she€was€located€in€the€State€of€Tennessee,€however,€he€wrote€it€anyway.ШøÐ Ð  Ðà8  àà ` à21.à ¸ àAs€of€the€date€of€the€hearing,€Mosley€has€received€commissions€fromÐ ”ä Ðthe€sale€of€this€policy€to€Stephens€in€the€amount€of€Five€Hundred€Forty„One€DollarsÐ €Ð Ðand€twenty„seven€cents€($541.27).Ðl¼Ð Ð  Ðà8  àà ` à22.à ¸ àOn€or€around€February€20,€1997,€Mosley€went€to€the€house€of€RichardÐ X ¨ ÐR.€Mabe€(hereinafter€referred€to€as€ð ðR.€Mabeðð),€located€in€Ringgold,€Georgia.€€WhileÐ D!” Ðat€R.€Mabeððs€home,€Mosley€sold€R.€Mabe€a€replacement€life€insurance€police€issuedÐ 0"€  Ðby€Pyramid.Ð#l!Ð Ð  Ðà8  àà ` à23.à ¸ àOn€the€Application€for€Life€Insurance,€which€was€filled€out€byÐ $X" ÐMosley,€Mosley€noted€in€the€appropriate€box€that€the€application€was€signed€by€R.Ð ô$D # ÐMabe€in€Chattanooga,€Tennessee.€€R.€Mabe€actually€signed€the€application€inÐ à%0!$ ÐRinggold,€Georgia.ÐÌ&"%Ð Ð  Ðà8  àà ` à24.à ¸ àMosley€testified€at€the€hearing€that€he€placed€ð ðChattanooga,Ð ¸'#& ÐTennesseeðð€in€the€signed€at€box€because€R.€Mabe€was€originally€from€Tennessee,€andÐ ¤(ô#' Ðthat€part€of€the€solicitation€and€sale€occurred€at€R.€Mabeððs€place€of€business€inÐ )à$( ÐChattanooga,€Tennessee.€€Mosley€also€testified,€however,€that€part€of€the€sale€tookÐ |*Ì%) Ðplace€in€Ringgold,€Georgia,€as€well.Ðh+¸&*Ð Ð  Ðà8  àà ` à25.à ¸ àAs€of€the€date€of€the€hearing,€Mosley€has€received€commissions€fromÐ ° Ðthe€sale€of€this€policy€to€R.€Mabe€in€the€amount€of€Six€Hundred€Fifty„Two€DollarsÐ œì Ðand€seventy„six€cents€($652.76).€€ÐˆØÐ Ð  Ðà8  àà ` à26.à ¸ àOn€or€around€April€2,€1997,€Mosley€went€to€the€house€of€R.€Mabe,Ð tÄ Ðlocated€in€Ringgold,€Georgia.€€While€at€R.€Mabeððs€home,€Mosley€attempted€to€sellÐ `° ÐR.€Mabeððs€daughter,€April€J.€Mabe€(hereinafter€referred€to€as€ð ðA.€Mabeðð),€a€lifeÐ L œ Ðinsurance€policy€issued€by€Pyramid.Ð8 ˆÐ Ð  Ðà8  àà ` à27.à ¸ àOn€the€Application€for€Life€Insurance,€which€was€filled€out€byÐ $ t ÐMosley,€Mosley€noted€in€the€appropriate€box€that€the€application€was€signed€by€A.Ð  ` ÐMabe€in€Chattanooga,€Tennessee.€€A.€Mabe€actually€signed€the€application€inÐ ü L  ÐRinggold,€Georgia.Ðè 8 Ð Ð  Ðà8  àà ` à28.à ¸ àMosley€testified€at€the€hearing€that€he€placed€ð ðChattanooga,Ð Ô$  ÐTennesseeðð€in€the€signed€at€box€because€A.€Mabe€was€working€in€Tennessee,€andÐ À  Ðthat€part€of€the€solicitation€and€sale€occurred€at€A.€Mabeððs€place€of€business€inÐ ¬ü  ÐChattanooga,€Tennessee.€€Mosley€also€testified,€however,€that€at€the€time€heÐ ˜è  Ðcompleted€this€application€for€A.€Mabe€he€knew€that€she€was€residing€in€Georgia,Ð „Ô  Ðand€that€the€application€was€being€filled€out€in€Georgia.ÐpÀÐ Ð  Ðà8  àà ` à29.à ¸ àOn€or€around€February€20,€1997,€Mosley€went€to€the€house€of€B.Ð \¬ ÐAlvin€Morgan€(hereinafter€referred€to€as€ð ðMorganðð)€located€in€Chickamauga,Ð H˜ ÐGeorgia.€€While€at€Morganððs€home,€Mosley€sold€Morgan€a€Medicare€SupplementÐ 4„ ÐPolicy€issued€by€Pyramid.Ð pÐ Ð  Ðà8  àà ` à30.à ¸ àOn€the€Application€for€Medicare€Supplement€Policy,€which€was€filledÐ  \ Ðout€by€Mosley.€€Mosley€noted€in€the€appropriate€box€that€the€application€was€signedÐ øH Ðby€Morgan€in€Chattanooga,€Tennessee.€€Morgan€actually€signed€the€application€inÐ ä4 ÐChickamauga,€Georgia.ÐÐ Ð Ð  Ðà8  àà ` à31.à ¸ àAt€the€hearing,€Mosley€failed€to€say€why€he€placed€ð ðChattanooga,Ð ¼  ÐTennesseeðð€in€the€signed€at€box.€€Mosley€did€state€that€neither€he€nor€Pyramid€hadÐ ¨ø Ðany€existing€relationship€with€Morgan,€as€opposed€to€some€of€the€other€policyholdersÐ ”ä Ðreferenced€herein.ЀÐÐ Ð  Ðà8  àà ` à32.à ¸ àAs€of€the€date€of€the€hearing,€Mosley€has€received€commissions€fromÐ l¼ Ðthe€sale€of€this€policy€to€Morgan€in€the€amount€of€Five€Hundred€Forty„One€DollarsÐ X ¨ Ðand€twenty„seven€cents€($541.27).ÐD!”Ð Ð  Ðà8  àà ` à33.à ¸ àOn€or€around€April€18,€1997,€Mosley€again€went€to€Morganððs€homeÐ 0"€  Ðin€Chickamauga,€Georgia.€€While€at€Morganððs€home,€Mosley€sold€Morgan€a€LongÐ #l! ÐTerm€Care€Policy€issued€by€Pyramid.Ð$X"Ð Ð  Ðà8  àà ` à34.à ¸ àOn€the€Application€for€Home€Health€Care€or€Long€Term€CareÐ ô$D # ÐCoverage,€which€was€filled€out€by€Mosley,€Mosley€noted€in€the€appropriate€box€thatÐ à%0!$ Ðthe€application€was€signed€by€Morgan€in€Chattanooga,€Tennessee.€€Morgan€actuallyÐ Ì&"% Ðsigned€the€application€in€Chickamauga,€Georgia.€€Mosley€testified€at€the€hearing€thatÐ ¸'#& Ðhe€knew€that€Morgan€had€to€come€to€Tennessee€in€order€to€lawfully€sell€Morgan€thisÐ ¤(ô#' Ðpolicy,€but€that€he€placed€ð ðChattanooga,€Tennesseeðð€in€the€signed€at€box€in€order€toÐ )à$( Ðâ âkeep€Morgan€from€having€to€drive€to€Tennessee€from€his€home€in€Georgia.Ð|*Ì%)Ð Ð  Ðà8  àà ` à35.à ¸ àAs€of€the€date€of€the€hearing,€Mosley€has€received€commissions€fromÐ ° Ðâ âthe€sale€of€this€policy€to€Morgan€in€the€amount€of€Two€Thousand€Nine€HundredÐ œì ÐSixty„Two€Dollars€and€eighteen€cents€($2,962.18).ЈØÐ Ð  Ðà8  àà ` à36.à ¸ àOn€or€around€April€2,€1997,€Mosley€went€to€the€house€of€MorganÐ tÄ Ðlocated€in€Chickamauga,€Georgia.€€While€at€Morganððs€home,€Mosley€sold€Leola€A.Ð `° ÐDunbar€(hereinafter€referred€to€as€ð ðDunbarðð)€a€replacement€life€insurance€policyÐ L œ Ðissued€by€Pyramid.Ð8 ˆÐ Ð  Ðà8  àà ` à37.à ¸ àOn€the€Application€for€Medicare€Supplement€Policy,€which€was€filledÐ $ t Ðout€by€Mosley.€€Mosley€noted€in€the€appropriate€box€that€the€application€was€signedÐ  ` Ðby€Dunbar€in€Chattanooga,€Tennessee.€€Dunbar€actually€signed€the€application€inÐ ü L  ÐChickamauga,€Georgia.Ðè 8 Ð Ð  Ðà8  àà ` à38.à ¸ àMosley€testified€at€the€hearing€that€he€was€aware€that€Dunbar€wasÐ Ô$  Ðliving€in€the€State€of€Georgia€with€her€daughter€and€son„in„law€when€he€sold€her€thisÐ À  Ðpolicy€in€Chickamauga,€Georgia.€€Mosley€testified€that€he€placed€ð ðChattanooga,Ð ¬ü  ÐTennesseeðð€in€the€signed€at€box€in€order€to€prevent€the€need€for€Dunbar€to€travel€toÐ ˜è  ÐTennessee€to€lawfully€enter€into€this€contract€of€insurance.€€As€of€the€date€of€theÐ „Ô  Ðhearing,€Mosley€has€received€commissions€from€the€sale€of€this€policy€to€Dunbar€inÐ pÀ Ðthe€amount€of€One€Thousand€One€Hundred€Ninety€Dollars€and€sixteen€centsÐ \¬ Ð($1,190.16).ÐH˜Ð Ð  Ðà8  àà ` à39.à ¸ àOn€or€around€December€16,€1997,€Mosley€went€to€the€house€of€DallasÐ 4„ ÐC.€Compton€(hereinafter€referred€to€as€ð ðComptonðð),€located€in€Cave€City,€Virginia.€Ð  p ÐWhile€at€Comptonððs€home,€Mosley€sold€Compton€a€Medicare€Supplement€PolicyÐ  \ Ðissued€by€Pyramid.ÐøHÐ Ð  Ðà8  àà ` à40.à ¸ àOn€the€Application€for€Medicare€Supplement€Policy,€which€was€filledÐ ä4 Ðout€by€Mosley,€Mosley€noted€in€the€appropriate€box€that€the€application€was€signedÐ Ð  Ðby€Compton€in€Kingsport,€Tennessee.€€Compton€actually€signed€the€application€inÐ ¼  ÐCave€City,€Virginia.ШøÐ Ð  Ðà8  àà ` à41.à ¸ àMosley€testified€at€the€hearing€that€he€was€aware€that€Compton€hadÐ ”ä Ðto€be€in€the€State€of€Tennessee€in€order€to€legally€sell€him€this€policy.ЀÐÐ Ð  Ðà8  àà ` à42.à ¸ àAs€of€the€date€of€the€hearing,€Mosley€has€received€commissions€fromÐ l¼ Ðthe€sale€of€this€policy€to€Compton€in€the€amount€of€Five€Hundred€Fifty„Seven€DollarsÐ X ¨ Ðand€ninety„six€cents€($557.96).ÐD!”Ð Ð  Ðà8  àà ` à43.à ¸ àOn€or€around€December€16,€1997,€Mosley€went€to€the€house€ofÐ 0"€  ÐGeorge€and€Allie€Carter€(hereinafter€collectively€referred€to€as€the€ð ðCartersðð),€locatedÐ #l! Ðin€Gate€City,€Virginia.€€While€at€the€Cartersðð€home,€Mosley€sold€the€Carters€aÐ $X" Ðreplacement€Medicare€Supplement€Policy€issued€by€Pyramid.Ðô$D #Ð Ð  Ðà8  àà ` à44.à ¸ àOn€the€Application€for€Medicare€Supplement€Policy,€which€was€filledÐ à%0!$ Ðout€by€Mosley.€€Mosley€noted€in€the€appropriate€box€that€the€application€was€signedÐ Ì&"% Ðby€the€Carters€in€Kingsport,€Tennessee.€€The€Carters€actually€signed€the€applicationÐ ¸'#& Ðin€Gate€City,€Virginia.Ф(ô#'Ð Ð  Ðà8  àà ` à45.à ¸ àMosley€testified€at€the€hearing€that€he€was€aware€that€the€Carters€hadÐ )à$( Ðâ âto€be€in€the€State€of€Tennessee€when€he€sold€them€this€policy.Ð|*Ì%)Ð Ð  Ðà8  àà ` à46.à ¸ àAs€of€the€date€of€the€hearing,€Mosley€has€received€commissions€fromÐ ° Ðâ âthe€sale€of€this€policy€to€the€Carters€in€the€amount€of€Seven€Hundred€Ninety€DollarsÐ œì Ðand€seven€cents€($790.07).ЈØÐ Ð  Ðà8  àà ` à47.à ¸ àMosley€has€never€been€licensed€as€an€insurance€agent€in€the€State€ofÐ tÄ ÐGeorgia€or€the€Commonwealth€of€Virginia.Ð`°Ð Ð  Ðà8  àà ` à48.à ¸ àPyramidððs€Agent€Underwriting€and€Administration€Manual€stated€thatÐ L œ Ðð ðThe€agent€must€be€properly€contracted€and€appointed€to€solicit€for€the€Company€andÐ 8 ˆ Ðproperly€licensed€in€the€state€of€solicitation.ðð€€The€Respondent€admitted€that€he€hadÐ $ t Ðread€this€document.€€Tr.,€at€55.Ð `Ð Ð  Ðà8  àà ` à49.à ¸ àGlenn€Parker,€Pyramidððs€Senior€Vice„President€of€Sales€and€theÐ ü L  ÐRespondentððs€supervisor,€testified€that€Pyramid€requires€its€agents€to€be€licensed€inÐ è 8  Ðthe€state€where€the€application€is€taken€or€the€business€is€transacted.€€Parker€definedÐ Ô$  Ðð ðwhere€the€application€is€takenðð€as€the€place€where€the€agent€meets€the€perspectiveÐ À  Ðinsured,€completes€the€necessary€forms€and€obtains€the€necessary€signatures.€€ParkerÐ ¬ü  Ðalso€testified€that€it€is€Pyramidððs€position€that€a€person€may€not€go€into€another€stateÐ ˜è  Ðto€obtain€a€signature€for€an€application€for€insurance,€if€that€agent€does€not€have€aÐ „Ô  Ðlicense€in€the€state€to€where€he/she€is€going.ÐpÀÐ Ð  Ðà8  àà ` à50.à ¸ àParker€testified€that€if€the€Respondent€had€placed€the€proper€state€onÐ \¬ Ðthe€applications€discussed€above,€Pyramid€would€have€returned€to€the€perspectiveÐ H˜ Ðinsured€both€the€premium€and€the€application.€€Parker€further€testified€that€theÐ 4„ ÐRespondent€would€not€have€received€a€commission€from€Pyramid€had€he€properlyÐ  p Ðdisclosed€the€state€in€which€the€above€policies€were€written.Ð \Ð Ð  Ðà8  àà ` à51.à ¸ àParker€testified€that€those€policies€that€were€sold€through€a€1035Ð øH ÐExchange€were€actually€replacement€policies€which€replaced€policies€which€theÐ ä4 Ðinsured€already€had€in€force.€€Parker€testified€that,€from€Pyramidððs€perspective,€theÐ Ð  Ðsale€of€these€replacement€policies€by€the€Respondent€did€not€have€any€effect€on€theÐ ¼  Ðlicensure€requirements€stated€above.ШøÐ Ð  Ðà8  àà ` à52.à ¸ àParker€testified€that,€in€his€opinion,€that€he€knew€the€Respondent€toÐ ”ä Ðbe€truthful.€€Parker€also€testified,€however,€that€should€the€facts€alleged€by€theÐ €Ð ÐDivision€be€true,€it€would€affect€his€opinion€as€to€whether€he€felt€the€Respondent€isÐ l¼ Ðtruthful.ÐX ¨Ð Ð  Ðà8  àà ` à53.à ¸ àThe€Respondent€conceded€the€substance€of€the€preceding€facts.€€In€hisÐ D!” Ðdefense,€he€asserted€that€he€was€sent€by€his€superiors€at€Pyramid€to€call€on€those€ofÐ 0"€  Ðthe€above„named€individuals€who€were€former€or€existing€clients€of€the€RespondentÐ #l! Ðand€Pyramid€and€who€formerly€received€services€from€Pyramid€out€of€theÐ $X" ÐChattanooga€or€Knoxville€Pyramid€offices.€€He€stated€that€he€met€with€theÐ ô$D # Ðindividuals€outside€of€Tennessee€as€an€accommodation€to€each€individual€on€accountÐ à%0!$ Ðof€the€individualððs€infirmity,€convenience€or€otherwise.€€At€the€time€of€the€hearing,Ð Ì&"% ÐPyramid€had€paid€the€Respondent€a€total€of€$9,161.71€in€commission€on€theÐ ¸'#& Ðtransactions€at€issue€here.Ф(ô#'Ð Ð  Ðà8  àà ` à54.à ¸ àThe€Respondent€objected€that€the€State€did€not€introduce€evidence€ofÐ )à$( Ðthe€laws€of€Virginia€or€Georgia.€€He€noted€that€none€of€the€policyholders€whoÐ |*Ì%) Ðtestified€had€complaints€against€him,€and€most€of€the€applications€at€issue€wereÐ h+¸&* Ðexecuted€by€persons€already€Pyramid€policyholders€and€many€of€the€applicationsÐ ° Ðwere€exchanges€of€one€pyramid€policy€for€another.МìÐ Ð  ÐÌà  àIn€her€conclusions€of€law€based€upon€these€extensive€findings€of€fact,€the€Administrative€LawÐ tÄ ÐJudge€held€that€the€State€had€met€its€burden€of€proof€by€a€preponderance€of€the€evidence€that€theÐ `° Ðconduct€of€Mosley€warranted€revocation€of€his€license.€€In€summary€the€ALJ€held:Ð L œ ÐÌà8  àMosley€left€no€doubt€that€he€was€aware€he€was€supposed€to€be€conducting€businessÐ $ t Ðwithin€the€state€borders€of€Tennessee,€and€that€he€was€knowingly€falsifying€theÐ  ` Ðinsuredsðð€application€records€by€recording€the€place€of€the€transaction€as€inÐ ü L  ÐTennessee€when€it€was€not€so.€€In€so€doing,€he€intentionally€acted€in€a€manner€thatÐ è 8  Ðviolated€the€insurance€laws€of€the€states€of€Tennessee,€Georgia€and€Virginia€and€theÐ Ô$  Ðrequirements€of€his€company,€Pyramid.€€His€conduct€was€fraudulent,€dishonest,Ð À  Ðincompetent,€untrustworthy€and€financially€irresponsible€in€that€the€insureds€couldÐ ¬ü  Ðhave€lost€the€coverage€they€believed€they€had.Иè Ð Ð  ÐÌà  àIn€this€proceeding€under€the€Uniform€Administrative€Procedures€Act,€Tennessee€CodeÐ pÀ ÐAnnotated€ðððð€4„5„101€to€4„5„325,€this€Courtððs€review€of€the€facts€is€limited€to€a€determination€ofÐ \¬ Ðwhether€or€not€there€is€substantial€and€material€evidence€in€the€record€to€support€the€decision€of€theÐ H˜ Ðadministrative€agency.€€òòSee€Goldsmith€v.€Robertsóó,€622€S.W.2d€438€(Tenn.Ct.App.€1981).Ð 4„ ÐÌà  àTrial€and€appellate€standards€of€review€are€set€forth€in€òòGluck€v.€Civil€Service€Commissionóó,Ð  \ Ð15€S.W.3d€486€(Tenn.Ct.App.€1999)€wherein€it€is€held:Ð øH ÐÌà8  àThe€chancellorððs€review€of€the€Commissionððs€decision€is€governed€by€T.C.A.€ðð€4„5„Ð Ð  Ð322(h)€(1998),€which€sets€forth€the€standard€of€review€on€appeal€of€administrativeÐ ¼  Ðproceedings€as€follows:ШøÐ Ð  ÐÌà  àà8 ` à(h)à ¸ àThe€court€may€affirm€the€decision€of€the€agency€or€remand€theÐ €Ð Ðcase€for€further€proceedings.€€The€court€may€reverse€or€modify€theÐ l¼ Ðdecision€if€the€rights€of€the€petitioner€have€been€prejudiced€becauseÐ X ¨ Ðthe€administrative€findings,€inferences,€conclusions€or€decisions€are:ÐD!”` x` x Ðà  àà8 ` à(1)à0¸ ` x` xàIn€violation€of€constitutional€or€statutory€provisions;Ð0"€ ¸ x¸ x Ðà  àà8 ` à(2)à0¸ ` x` xàIn€excess€of€the€statutory€authority€of€the€agency;Ð#l!¸ x¸ x Ðà  àà8 ` à(3)à0¸ ` x` xàMade€upon€unlawful€procedure;Ð$X"¸ x¸ x Ðà  àà8 ` à(4)à ¸ àArbitrary€or€capricious€or€characterized€by€abuse€of€discretionÐ ô$D # Ðor€clearly€unwarranted€exercise€of€discretion;€orÐà%0!$` x` x Ðà  àà8 ` à(5)à ¸ àUnsupported€by€evidence€which€is€both€substantial€andÐ Ì&"% Ðmaterial€in€the€light€of€the€entire€record.и'#&` x` x Ðà  àà8 ` àIn€determining€the€substantiality€of€evidence,€the€court€shall€take€intoÐ ¤(ô#' Ðaccount€whatever€in€the€record€fairly€detracts€from€its€weight,€but€theÐ )à$( Ðcourt€shall€not€substitute€its€judgment€for€that€of€the€agency€as€to€theÐ |*Ì%) Ðweight€of€the€evidence€on€questions€of€fact.Ðh+¸&*` x` x Їà8  àà ` àThe€scope€of€review€in€this€Court€is€the€same€as€in€the€trial€court,€to€reviewÐ ° Ðfindings€of€fact€of€the€administrative€agency€upon€the€standard€of€substantial€andÐ œì Ðmaterial€evidence.€€òòDePriest€v.€Puettóó,€669€S.W.2d€669€(Tenn.Ct.App.€1984).€Ð ˆØ ÐAlthough€what€amounts€to€ð ðsubstantial€and€materialðð€evidence€provided€for€in€T.C.A.Ð tÄ Ððð€4„5„322(h)€is€not€clearly€defined.€€It€is€generally€understood€that€ð ðit€requiresÐ `° Ðsomething€less€than€a€preponderance€of€the€evidence,€(citations€omitted)€but€moreÐ L œ Ðthan€a€scintilla€or€glimmer.ðð€€òòWayne€County€v.€Tennessee€Solid€Waste€DisposalÐ 8 ˆ ÐControl€Bd.óó,€756€S.W.2d€274,€280€(1988).€Ð$ tÐ Ð  ÐÌà8  àà ` àWhile€this€Court€may€consider€evidence€in€the€record€that€detracts€from€itsÐ ü L  Ðweight,€the€court€is€not€allowed€to€substitute€its€judgment€for€that€of€the€agencyÐ è 8  Ðconcerning€the€weight€of€the€evidence.€€T.C.A.€ðð€4„5„322(h),€òòPace€v.€GarbageÐ Ô$  ÐDisposal€Dist.óó,€54€Tenn.App.€263,€266,€390€S.W.2d€461,€463€(1956).€€The€evidenceÐ À  Ðbefore€the€tribunal€must€be€such€relevant€evidence€as€a€reasonable€mind€might€acceptÐ ¬ü  Ðas€adequate€to€support€a€rational€conclusion€and€such€as€to€furnish€a€reasonablyÐ ˜è  Ðsound€basis€for€the€action€under€consideration.€€òòPaceóó,€54€Tenn.App.€at€267,€390Ð „Ô  ÐS.W.2d€at€463.ÐpÀÐ Ð  ÐÌòòGluckóó,€15€S.W.3d€at€489„90.Ð H˜ ÐÌà  àWhile€the€extensive€recitation€of€the€findings€of€fact€made€by€the€Administrative€Law€JudgeÐ  p Ðis€not€necessary€to€our€decision€under€this€limited€standard€of€review,€we€recognize€that€by€thisÐ  \ Ðdecision€we€are€reversing€the€decision€of€the€chancellor€and€reinstating€the€administrative€tribunalððsÐ øH Ðimposition€of€the€ultimate€sanction,€the€revocation€of€the€license€of€an€insurance€agent€with€a€28€yearÐ ä4 Ðpreviously€unblemished€record.€€Since€the€chancellor€found,€and€indeed€Mr.€Mosley€conceded,€thatÐ Ð  Ðthe€facts€as€found€by€the€ALJ€were€essentially€true,€the€case€narrows€down€to€the€propriety€of€theÐ ¼  Ðsanctions€imposed€on€Mr.€Mosley€by€the€administrative€tribunal.€€The€chancellor€felt€that€theÐ ¨ø Ðsanctions€were€too€drastic€and€reduced€the€judgment€of€the€administrative€tribunal€to€a€six€monthÐ ”ä Ðsuspension€and€a€fine€limited€to€the€actual€amount€of€the€commissions€paid€to€Mr.€Mosley€for€theÐ €Ð Ðsales€of€the€policies€in€issue€in€the€case.€€The€State€appeals€the€chancery€courtððs€reduction€of€theÐ l¼ Ðsanctions.Ð X ¨ ÐÌà  àMr.€Mosley€asserts€that€Tennessee€Code€Annotated€section€56„6„155€is€unconstitutional€asÐ 0"€  Ðbeing€vague€and€indefinite€because€it€does€not€clearly€define€the€terms€ð ðfraudulent,ðð€ð ðdishonest,ðð€andÐ #l! Ðð ðdemonstratively€incompetent.ðð€€This€contention€is€without€merit:€€ð ðThe€basic€concept€behind€theÐ $X" Ðvagueness€doctrine€is€the€idea€of€fairness,€and€that€the€statute€should€be€sufficiently€specific€toÐ ô$D # Ðprovide€notice€of€the€type€of€conduct€expected.€€The€doctrine€should€not€be€used€to€create€aÐ à%0!$ Ðconstitutional€dilemma€out€of€the€practical€difficulties€in€drawing€statutes.ðð€€€òòState€v.€Stricklandóó,€532Ð Ì&"% ÐS.W.2d€912,€921€(Tenn.€1975).Ð ¸'#& ÐÌà  àFor€a€legislative€body€to€attempt€to€define€every€word€used€in€a€statute,€particularly€suchÐ )à$( Ðwords€as€ð ðdishonestðð€and€ð ðfraudulent,ðð€which,€as€used€in€almost€any€non„criminal€context,€have€aÐ |*Ì%) Ðwell€understood€meaning,€is€too€much€to€expect.Ð h+¸&* Їà8  àà ` àThere€is€a€presumption€of€the€constitutionality€of€a€statute.€€A€non„criminalÐ ° Ðstatute€is€not€unconstitutionally€vague€where€the€statute€is€set€out€in€terms€that€anÐ œì Ðordinary€person€exercising€ordinary€common€sense€can€sufficiently€understand€andÐ ˆØ Ðcomply.€€òòUnited€States€Civil€Service€Commission€v.€National€Association€of€LetterÐ tÄ ÐCarriersóó,€413€U.S.€548,€93€S.Ct.€2880,€37€L.Ed.2d€796€(1973).€€òòSee€also€BroadrickÐ `° Ðv.€Oklahomaóó,€413€U.S.€601,€93€S.Ct.€2908,€37€U.S.€134,€94€S.Ct.€1633,€40€L.Ed.2dÐ L œ Ð15,€òòreh.€deniedóó€417€U.S.€977,€94€S.Ct.€3187,€41€L.Ed.2d€1148€(1974).Ð8 ˆÐ Ð  ÐÌòòBig€Fork€Mining€Co.€v.€Tenn.€Water€Quality€Control€Bd.óó,€620€S.W.2d€515,€519€(Tenn.€1981).€€TheÐ  ` ÐSupreme€Court€of€Illinois€made€short€work€of€such€a€contention€in€òòPatchett€v.€Bayloróó,€343€N.E.2dÐ ü L  Ð484€(Ill.€1976).Ð è 8  ÐÌà  àCiting€òòJackson€Mobilphone€Co.,€Inc.€v.€Tennessee€Public€Service€Commissionóó,€876€S.W.2dÐ À  Ð106€(Tenn.Ct.App.€1993),€Mr.€Mosley€asserts€that€the€action€of€the€administrative€tribunal€wasÐ ¬ü  Ðð ðarbitrary€or€capriciousðð.€€In€that€case,€this€Court€held:€€Ð ˜è  ÐÌà8  àAgency€decisions€not€supported€by€substantial€and€material€evidence€are€arbitraryÐ pÀ Ðand€capricious.€€However,€agency€decisions€with€adequate€evidentiary€support€mayÐ \¬ Ðstill€be€arbitrary€and€capricious€if€caused€by€a€clear€error€in€judgment.€€€€ÐH˜Ð Ð  ÐÌà8  àà ` àA€reviewing€court€should€not€apply€Tenn.€Code€Ann.€ðð€4„5„322(h)(4)ððsÐ  p Ðððarbitrary€and€capriciousðð€standard€of€review€mechanically.€€In€its€broadest€sense,€theÐ  \ Ðstandard€requires€the€court€to€determine€whether€the€administrative€agency€has€madeÐ øH Ða€clear€error€in€judgment.€€An€arbitrary€decision€is€one€that€is€not€based€on€any€courseÐ ä4 Ðof€reasoning€or€exercise€of€judgment,€or€one€that€disregards€the€facts€orÐ Ð  Ðcircumstances€of€the€case€without€some€basis€that€would€lead€a€reasonable€person€toÐ ¼  Ðreach€the€same€conclusion.ШøÐ Ð  ÐÌòòJackson€Mobilphoneóó,€876€S.W.2d€at€110„111€(citations€omitted).Ð €Ð ÐÌà  àThe€undisputed€facts€of€this€case€establish€that€Mr.€Mosley€knew€that€he€was€repeatedlyÐ X ¨ Ðviolating€the€laws€of€Georgia€and€Virginia€and€that€he€was€exceeding€the€authority€of€his€TennesseeÐ D!” Ðlicense€by€his€deliberate€actions€in€this€case.€€No€ð ðclear€error€in€judgmentðð€by€the€administrativeÐ 0"€  Ðtribunal€has€occurred€in€this€case.Ð #l! ÐÌà  àWe€now€address€the€controlling€issue.€€The€Uniform€Administrative€Procedures€Act,€firstÐ ô$D # Ðadopted€in€Tennessee€by€Chapter€725€of€the€Public€Acts€of€1974,€superceded€and€repealed€earlierÐ à%0!$ Ðprocedural€statutes€applicable€to€state€agencies,€with€few€exceptions.€€òòOgden€v.€Kelleyóó,€594€S.W.2dÐ Ì&"% Ð702€(Tenn.€1980).€€This€act,€at€least€as€nearly€as€differing€state€government€organization€will€allow,Ð ¸'#& Ðis€patterned€after€the€Federal€Administrative€Procedures€Act.€€5€U.S.C.A.€ðð€551,€et€seq.€Ð ¤(ô#' ÐÌà8  àToday€every€state€has€a€body€of€legislation€dealing€with€administrative€procedure€andÐ |*Ì%) Ðcontrol.€.€.€.Ðh+¸&*Ð Ð  Їà  àà ` à.€.€.€.Ð ° ÐÌà8  àà ` àThe€state€systems€have€much€in€common,€especially€in€terms€of€generalÐ ˆØ Ðprinciples.€€The€fundamental€principles€have,€over€time,€been€guided€by€the€generalÐ tÄ Ðlaw€based€on€both€federal€and€state€developments.€€It€must€be€remembered€that€in€anyÐ `° Ðcontext,€the€basic€concepts€and€principles€must€be€adjusted€to€the€particularÐ L œ Ðadministrative€scheme€whether€state€or€federal.Ð8 ˆÐ Ð  ÐÌCharles€H.€Koch,€Jr.,€Administrative€Law€and€Practice€ðð€2.31€(2nd€ed.€1997).Ð  ` Ðà  àÌà  àTennessee€Code€Annotated€section€4„5„103€(1998)€provides,€in€pertinent€part:Ð è 8  ÐÌà8  àà ` à(a)à ¸ àThis€chapter€shall€not€be€construed€as€in€derogation€of€the€commonÐ À  Ðlaw,€but€as€remedial€legislation€designed€to€clarify€and€bring€uniformity€to€theÐ ¬ü  Ðprocedure€of€state€administrative€agencies€and€judicial€review€of€their€determination;Ð ˜è  Ðand€this€chapter€shall€be€given€a€liberal€construction€and€any€doubt€as€to€the€existenceÐ „Ô  Ðor€extent€of€a€power€conferred€shall€be€resolved€in€favor€of€the€existence€of€theÐ pÀ Ðpower.Ð\¬Ð Ð  ÐÌà  àIn€appellate€application€of€this€ð ðsubstantial€and€material€evidenceðð€standard€of€review,€it€hasÐ 4„ Ðbeen€held:Ð  p ÐÌà8  àà ` àWe€use€the€same€standard€to€review€administrative€decisions€that€trial€courtsÐ øH Ðuse.€€òòSee€Estate€of€Street€v.€State€Bd.€of€Equalizationóó,€812€S.W.2d€583,€585Ð ä4 Ð(Tenn.Ct.App.€1990).€€When€we€are€reviewing€the€evidentiary€foundation€of€anÐ Ð  Ðadministrative€decision€under€Tenn.€Code€Ann.€ðð€4„5„322(h)(5),€we€are€not€permittedÐ ¼  Ðto€weigh€factual€evidence€and€substitute€our€own€conclusions€and€judgment€for€thatÐ ¨ø Ðof€the€agency,€even€if€the€evidence€could€support€a€different€determination€than€theÐ ”ä Ðagency€reached.€€òòSeeóó€Tenn.€Code€Ann.€ðð€4„5„322(h);€òòHumana€of€Tenn.€v.€TennesseeÐ €Ð ÐHealth€Facilities€Commððnóó,€551€S.W.2d€664,€667€(Tenn.€1977).€€Ðl¼Ð Ð  ÐÌòòWare€v.€Greeneóó,€984€S.W.2d€610,€614€(Tenn.Ct.App.€1998).€€Applying€this€standard€to€theÐ D!” Ðundisputed€evidence€in€this€case,€it€is€difficult€to€envision€a€basis€upon€which€the€administrativeÐ 0"€  Ðtribunal€could€have€reached€any€other€conclusion€than€that€which€it€did€reach€as€to€the€guilt€ofÐ #l! ÐMosley.Ð $X" ÐÌà  àThe€controlling€issue€in€this€case,€which€involves€the€propriety€of€the€sanctions€imposed€byÐ à%0!$ Ðthe€administrative€tribunal,€is€subject€to€an€even€more€restrictive€standard€of€appellate€review.€€TheÐ Ì&"% ÐSupreme€Court€of€Tennessee€has€observed:Ð ¸'#& ÐÌà8  àà ` àAs€noted€by€the€learned€Chancellor:€ð ð[t]he€appropriate€remedy€is€peculiarlyÐ )à$( Ðwithin€the€discretion€of€the€[agency]€.€.€.ðð€€Having€found€grounds€to€affirm€theÐ |*Ì%) Ðprocedures€employed,€facts€found,€and€conclusions€reached,€we€will€not€interfereÐ h+¸&* Ðwith€the€sanctions€imposed€upon€Dr.€McClellan.€€We€remand€for€the€appropriateÐ ° Ðimposition€of€those€sanctions€and€tax€the€costs€of€this€appeal€to€Dr.€McClellan.МìÐ Ð  ÐÌòòMcClellan€v.€Bd.€of€Regentsóó,€921€S.W.2d€684,€693€(Tenn.€1996).Ð tÄ ÐÌà  àIn€reversing€the€United€States€District€Court€for€the€Middle€District€of€Tennessee,€the€UnitedÐ L œ ÐStates€Court€of€Appeals€for€the€Sixth€Circuit€held:€Ð 8 ˆ ÐÌà8  àà ` àDetermination€of€a€sanction€to€be€applied€by€an€administrative€agency,€ifÐ  ` Ðwithin€bounds€of€its€lawful€authority,€is€subject€to€very€limited€judicial€review.€Ð ü L  ÐòòKulkin€v.€Berglandóó,€626€F.2d€181,€184€(1st€Cir.€1980).€€ð ð€ððThe€relations€of€remedyÐ è 8  Ðto€policy€is€peculiarly€a€matter€of€administrative€competence.ðð€ðð€€òòButz€v.€GloverÐ Ô$  ÐLivestock€Commission€Co.óó,€411€U.S.€182,€185,€93€S.Ct.€1455,€1458,€36€L.Ed.2d€142Ð À  Ð(1973)€(quoting€òòAmerican€Power€Co.€v.€S.E.C.óó,€329€U.S.€90,€112,€67€S.Ct.€133,€146,Ð ¬ü  Ð91€L.Ed.€103€(1946)).€€The€reviewing€courtððs€function€is€only€to€ð ðdetermine€theÐ ˜è  Ðvalidity€of€the€questioned€administrative€action,ðð€not€to€review€the€sanctions.€€òòMartinÐ „Ô  Ðv.€United€Statesóó,€459€F.2d€at€302;€òòG.H.€Miller€&€Co.€v.€United€Statesóó,€260€F.2d€286,Ð pÀ Ð296€(7th€Cir.€1958)€(òòen€bancóó)€òòcert.€deniedóó,€359€U.S.€907,€79€S.Ct.€582,€3€L.Ed.2d€572Ð \¬ Ð(1959).ÐH˜Ð Ð  ÐÌà  àà8 ` àWhile€the€de€novo€provision€of€the€Food€Stamp€Act€raises€certainÐ  p Ðproblems,€it€does€not,€in€our€view,€call€for€a€departure€from€the€usualÐ  \ Ðstandard€of€review€concerning€sanctions.ÐøH` x` x ÐÌà8  àà ` àòòKulkin€v.€Berglandóó€at€184;€òòsee€also€Broad€Street€Food€Market,€Inc.€v.€UnitedÐ Ð  ÐStatesóó,€720€F.2d€217€at€220€(1st€Cir.€1983).€€Once€the€trial€court€confirmed€that€thereÐ ¼  Ðwere€repeated€violations€of€the€law€and€regulations€as€determined€by€appellant,€ð ðtheÐ ¨ø Ðcourtððs€only€reasoning€task€is€to€examine€the€sanction€imposed€in€light€of€theÐ ”ä Ðadministrative€record€to€judge€whether€the€agency€properly€applied€the€regulations,Ð €Ð Ðòòi.e.óó,€whether€the€sanction€is€ððunwarranted€in€law€.€.€.€or€without€justification€in€fact.Ð l¼ Ð.€.€.ðð€ðð€€òòSee€Butz€v.€Glover€Livestock€Commission€Co.óó,€411€U.S.€182,€185„189,€93Ð X ¨ ÐS.Ct.€1455,€1457„1459,€36€L.Ed.2d€142€(1973),€cited€in€òòBroad€Street€Food€Market,Ð D!” Ðsupraóó,€at€220.€€We€agree€with€the€First€Circuitððs€rationale€in€this€respect.€€òòCf.€CrossÐ 0"€  Ðv.€United€Statesóó,€512€F.2d€1212,€1218€(4th€Cir.€1975)€(òòen€bancóó).€€òòSee€alsoóó€the€incisiveÐ #l! Ðdissent€by€Rullel,€J.,€in€the€latter€case€at€1222;€òòWolf€v.€United€Statesóó,€662€F.2d€676,Ð $X" Ð678€(10th€Cir.€1981).Ðô$D #Ð Ð  ÐÌòòWoodard€v.€U.€S.óó,€725€F.2d€1072,€1077€(6th€Cir.€1984).Ð Ì&"% ÐÌà  àThe€leading€case€relative€to€the€standard€of€judicial€review€of€sanctions€imposed€by€anÐ ¤(ô#' Ðadministrative€agency€is€òòButz€v.€Glover€Livestock€Commission€Co.óó,€411€U.S.€182,€36€L.Ed.2d€142,Ð )à$( Ð93€S.Ct.€1455€(1973).€€The€Court€declares:Ð |*Ì%) ÐÐ h+¸&* Ðà8  àà ` àThe€applicable€standard€of€judicial€review€in€such€cases€required€review€ofÐ ° Ðthe€Secretaryððs€order€according€to€the€ð ðfundamental€principle€.€.€.€that€whereÐ œì ÐCongress€has€entrusted€an€administrative€agency€with€the€responsibility€of€selectingÐ ˆØ Ðthe€means€of€achieving€the€statutory€policy€ððthe€relation€of€remedy€to€policy€isÐ tÄ Ðpeculiarly€a€matter€for€administrative€competence.ðð€ðð€€òòAmerican€Power€Co.€SECóó,€329Ð `° ÐUS€90,€112€(1946).€€Thus,€the€Secretaryððs€choice€of€sanction€was€not€to€be€overturnedÐ L œ Ðunless€the€Court€of€Appeals€might€find€it€ððunwarranted€in€law€or€.€.€.€withoutÐ 8 ˆ Ðjustification€in€fact€.€.€.€.ðð€€òòIdóó.,€at€112„113;€òòPhelps€Dodge€Corp.€v.€NLRBóó,€313€US€177,Ð $ t Ð194€(1941);€òòMoog€Industries,€Inc.€v.€FTCóó,€355€US€411,€413„414€(1958);€òòFTC€v.Ð  ` ÐUniversal„Rundle€Corpóó.,€387€US€244,€250€(1967);€4€K€Davis,€Administrative€LawÐ ü L  Ððð€30.10,€pp€250„251€(1958).€€The€Court€of€Appeals€acknowledged€this€definition€ofÐ è 8  Ðthe€permissible€scope€of€judicial€review€but€apparently€regarded€respondentððsÐ Ô$  Ðsuspension€as€ð ðunwarranted€in€lawðð€or€ð ðwithout€justification€in€fact.ðð€€We€cannotÐ À  Ðagree€that€the€Secretaryððs€action€can€be€faulted€in€either€respect€on€this€record.€€Ð¬ü Ð Ð  ÐÌà8  àà ` àWe€read€the€Court€of€Appealsðð€opinion€to€suggest€that€the€sanction€wasÐ „Ô  Ðð ðunwarranted€in€lawðð€because€ð ðuniformity€of€sanctions€for€similar€violationsðð€isÐ pÀ Ðsomehow€mandated€by€the€Act.€€We€search€in€vain€for€that€requirement€in€the€statute.€Ð \¬ ÐThe€Secretary€may€suspend€ð ðfor€a€reasonable€specified€periodðð€any€registrant€whoÐ H˜ Ðhas€violated€any€provision€of€the€Act.€€7€USC€ðð€204.€€Nothing€whatever€in€thatÐ 4„ Ðprovision€confines€its€application€to€cases€of€ð ðintentional€and€flagrant€conductðð€orÐ  p Ðdenies€its€application€in€cases€of€negligent€or€careless€violations.€€Rather,€the€breadthÐ  \ Ðof€the€grant€of€authority€to€impose€the€sanction€strongly€implies€a€congressionalÐ øH Ðpurpose€to€permit€the€Secretary€to€impose€it€to€deter€repeated€violations€of€the€Act,Ð ä4 Ðwhether€intentional€or€negligent.€òò€Hyatt€v.€United€Statesóó,€276€F.2d€308,€313€(CA10Ð Ð  Ð1960);€òòG.H.€Miller€&€Co.€v.€United€Statesóó,€260€F.2d€286€(CA7€1958);€òòIn€re€Silveróó,Ð ¼  Ð21€Agric.€Dec.€1438,€1452€(1962).€€The€employment€of€a€sanction€within€theÐ ¨ø Ðauthority€of€an€administrative€agency€is€thus€not€rendered€invalid€in€a€particular€caseÐ ”ä Ðbecause€it€is€more€severe€than€sanctions€imposed€in€other€cases.€€òòFCC€v.€WOKOóó,€329Ð €Ð ÐUS€223,€227„228€(1946);€òòFTC€v.€Universal„Rundle€Corp.óó,€387€US,€at€250,€251;€òòG.H.Ð l¼ ÐMiller€&€Co.€v.€United€States,€supraóó,€at€296;€òòHiller€v.€SECóó,€429€F.2d€856,€858„859Ð X ¨ Ð(CA2€1970);€òòDlugash€v.€SECóó,€373€F.2d€107,€110€(CA2€1967);€òòKent€v.€Hardinóó,€425Ð D!” ÐF.2d€1346,€1349€(CA5€1970).€€à À àÐ0"€ Ð Ð  Ðà  àÌà8  àà ` àMoreover,€the€Court€of€Appeals€may€have€been€in€error€in€acting€on€theÐ $X" Ðpremise€that€the€Secretaryððs€practice€was€to€impose€suspensions€only€in€cases€ofÐ ô$D # Ðð ðintentional€and€flagrant€conduct.ðð€€The€Secretaryððs€practice,€rather,€apparently€is€toÐ à%0!$ Ðemploy€that€sanction€as€in€his€judgment€best€serves€to€deter€violations€and€achieveÐ Ì&"% Ðthe€objectives€of€that€statute.€€Congress€plainly€intended€in€its€broad€grant€to€give€theÐ ¸'#& ÐSecretary€that€breadth€of€discretion.€€Therefore,€mere€unevenness€in€the€applicationÐ ¤(ô#' Ðof€the€sanction€does€not€render€its€application€in€a€particular€case€ð ðunwarranted€inÐ )à$( Ðlaw.ððÐ|*Ì%)Ð Ð  ÐÐ h+¸&* ÐòòButzóó,€411€U.S.€at€185„88.Ð ° ÐÌà  àIn€òòGoldstein€v.€United€Statesóó,€9€F.3d€521€(6thCir.€1993),€affirming€the€district€court€inÐ ˆØ Ðupholding€an€administrative€decision€disqualifying€a€store€from€participating€in€the€food€stampÐ tÄ Ðprogram,€the€court€held:Ð `° ÐÌà8  àà ` àWe€recently€examined€the€scope€of€judicial€review€under€7€U.S.C.€ðð€2023€in€Ð 8 ˆ ÐòòAboud€Market,€Inc.€v.€Madiganóó,€1991€WL€165656€No.€90„3695€(6thCir.€Aug.€29,Ð $ t Ð1991)€(unpublished),€and€take€this€opportunity€to€reiterate€that€scope.€Ð  ` Ðð ðDetermination€of€a€sanction€to€be€applied€by€an€administrative€agency,€if€withinÐ ü L  Ðbounds€of€its€lawful€authority,€is€subject€to€very€limited€judicial€review.ðð€€òòWoodardÐ è 8  Ðv.€United€Statesóó,€725€F.2d€1072,€1077€(6thCir.€1984)€(citing€òòKulkin€v.€Berglandóó,€626Ð Ô$  ÐF.2d€181,€184€(1stCir.€1980));€òòMartin€v.€United€Statesóó,€459€F.2d€300,€301„02Ð À  Ð(6thCir.),€òòcert.€deniedóó,€409€U.S.€878,€93€S.Ct.€129,€34€L.Ed.2d€131€(1972).€€Once€theÐ ¬ü  Ðtrial€court€has€confirmed€that€the€store€has€violated€the€statutes€and€regulations,€theÐ ˜è  Ðcourtððs€only€task€is€to€examine€the€sanction€imposed€in€light€of€the€administrativeÐ „Ô  Ðrecord€in€order€to€judge€whether€the€agency€properly€applied€the€regulations,€òòi.e.óó,Ð pÀ Ðwhether€the€sanction€is€ð ðunwarranted€in€lawðð€or€ð ðwithout€justification€in€fact.ðð€Ð \¬ ÐòòWoodardóó,€725€F.2d€at€1077€(quoting€òòButz€v.€Glover€Livestock€Commððn€Co.,€Inc.óó,€411Ð H˜ ÐU.S.€182,€185„89,€93€S.Ct.€1455,€1458„59,€36€L.Ed.2d€142€(1973)).€€If€the€agencyÐ 4„ Ðproperly€applied€the€regulations,€then€the€courtððs€job€is€done€and€the€sanction€mustÐ  p Ðbe€enforced.€€The€trial€òòde€novoóó€is€limited€to€determining€the€validity€of€theÐ  \ Ðadministrative€action;€the€severity€of€the€sanction€is€not€open€to€review.€€òòWoodardóó,Ð øH Ð725€F.2d€at€1078€(quoting€H.R.Rep.€No.€464,€95th€Cong.,€1st€Sess.€397„98,€òòreprintedÐ ä4 Ðinóó€1977€U.S.C.C.A.N.€1978,€2326„27).ÐÐ Ð Ð  ÐÌà8  àà ` àThus,€the€question€before€us€is€whether€the€FNS€acted€within€its€authority€inÐ ¨ø Ðpermanently€disqualifying€Goldstein€from€the€food€stamp€program.€€BecauseÐ ”ä ÐGoldstein€was€found€to€have€violated€the€regulations€by€trafficking€in€food€stamps,Ð €Ð Ðthe€penalty€of€permanent€disqualification€from€participation€in€the€program€wasÐ l¼ Ðimposed.€€7€C.F.R.€ðð€278.6(a)€states€that€the€FNS€may€impose€the€sanction€ofÐ X ¨ Ðdisqualification€for€a€violation€of€the€statutes€or€regulations;€such€disqualificationÐ D!” Ðshall€be€permanent€if€the€disqualification€is€based€on€trafficking.€€Further,€theÐ 0"€  Ðregulations€do€not€require€that,€before€permanent€disqualification€is€imposed,€a€storeÐ #l! Ðowner€receive€a€warning,€intend€to€violate€the€regulations,€or€benefit€from€theÐ $X" Ðtrafficking.€€òòSee€Woodardóó,€725€F.2d€at€1076€(sanction€for€trafficking€regardless€ofÐ ô$D # Ðownerððs€lack€of€knowledge€of€violation);€òòFreedman€v.€United€States€Dept.€ofÐ à%0!$ ÐAgricultureóó,€926€F.2d€252,€261€n.€13€(3d€Cir.€1991)€(noting€that€permanentÐ Ì&"% Ðdisqualification€of€even€an€ð ðinnocent€ownerðð€is€consistent€with€the€legislative€historyÐ ¸'#& Ðof€the€statutes€and€regulations).€€The€regulations€thus€authorize€the€FNS€to€prescribeÐ ¤(ô#' Ðthe€sanction€imposed€in€this€case.Ð)à$(Ð Ð  ÐÌòòGoldsteinóó,€9€F.3d€at€523„524.Ð h+¸&* Їà  àIn€a€similar€context,€the€United€States€Fifth€Circuit€Court€of€Appeals€explained€theÐ ° Ðappropriate€standard€of€review€as€to€administrative€sanctions.Ð œì ÐÌà8  àJudicial€review€of€an€administrative€sanction€is€extremely€limited.€€TheÐ tÄ Ðadministratorððs€selection€of€the€appropriate€sanction€to€effectuate€the€statutory€policyÐ `° Ðis€one€peculiarly€within€the€administrative€competence,€and€the€administrative€choiceÐ L œ Ðof€sanction€is€not€to€be€overturned€on€judicial€review€unless€found€to€be€eitherÐ 8 ˆ Ðunwarranted€in€law€or€else€without€justification€in€fact.€€òòButz€v.€Glover€LivestockÐ $ t ÐCommission€Co.,€Inc.óó,€411€U.S.€182,€185„186,€93€S.Ct.€1455,€1458,€36€L.Ed.2d€142Ð  ` Ð(1973);€òòJ.€Acevedo€and€Sons€v.€United€Statesóó,€524€F.2d€977€(5th€Cir.€1975).Ðü L Ð Ð  ÐÌòòWayne€Cusimano,€Inc.óó,€692€F.2d€at€1030.Ð Ô$  ÐÌà  àThe€Uniform€Administrative€Procedures€Act€is€applicable€to€proceedings€to€revoke€orÐ ¬ü  Ðsuspend€the€license€of€an€insurance€agent.€€Tenn.€Code€Ann.€ðð€56„6„161.€€Also,€Tennessee€CodeÐ ˜è  ÐAnnotated€section€56„6„155€provides:׃×Ý ƒ#ÃÝòòÚ  Ú1Ú  ÚóóÝ  Ý×  ×Ð „Ô  ÐÌà8  àà ` à(a)€€The€commissioner€may€suspend,€revoke,€or€refuse€to€issue€or€renew€anyÐ \¬ Ðlicense€under€this€part€for€any€one€(1)€or€more€of€the€following€causes:ÐH˜Ð Ð  ÐÌà  àà ` à.€.€.€.Ð  p ÐÌà8  àà ` à(7)à0¸ Ð Ð àCommitting€any€unfair€trade€practice€or€fraud€proscribed€in€this€code;ÐøH¸ Ð ¸ Ð  Ðà8  àà ` à(8)à ¸ àUsing,€in€the€conduct€of€affairs€under€such€license,€fraudulent,Ð ä4 Ðcoercive,€or€dishonest€practices;ÐÐ Ð Ð  ÐÌà  àà ` à.€.€.€.Ð ¨ø ÐÌà8  àà ` à(10)à ¸ àBeing€demonstrably€incompetent,€untrustworthy,€or€financiallyÐ €Ð Ðirresponsible;Ðl¼Ð Ð  ÐÌà  àà ` à.€.€.€.Ð D!” ÐÌà8  àà ` à(13)à ¸ àViolating,€or€failing€to€comply€with,€any€insurance€laws,€or€any€lawfulÐ #l! Ðrule€or€order€of€the€commissioner€or€of€a€commissioner€of€another€state;€orÐ$X"Ð Ð  Ðà8  àà ` à(14)à ¸ àAny€cause€for€which€issuance€of€he€license€could€have€been€refusedÐ ô$D # Ðhad€it€then€existed€and€been€known€to€the€commissioner€at€the€time€of€issuance.Ðà%0!$Ð Ð  Ðà8  àà ` à(b)à ¸ àIn€addition€to€or€in€lieu€of€any€denial,€suspension,€or€revocation€of€aÐ ° Ðlicense€hereunder,€the€commissioner€may€assess€a€civil€penalty€against€any€personÐ œì Ðviolating€this€part€in€an€amount€not€less€than€one€hundred€dollars€($100)€nor€moreÐ ˆØ Ðthan€one€thousand€dollars€($1,000)€for€each€violation.€ÐtÄÐ Ð  ÐÌTenn.€Code€Ann.€ðð€56„6„155€(2000).Ð L œ ÐÌà  àAt€the€conclusion€of€its€extensive€findings€of€fact,€the€administrative€tribunal€iteratedÐ $ t Ðconclusions€of€law,€among€which€were:Ð  ` ÐÌà8  àà ` à53.à ¸ àTenn.€Code€Ann.€ðð€56„6„155(a)(8)€states,€in€pertinent€part,€that€theÐ è 8  ÐCommissioner€may€suspend,€revoke,€or€refuse€to€issue€or€renew€any€license€underÐ Ô$  Ðthis€part€if€she€finds€that€one€holding€a€license€to€sell€insurance€has€used,€in€theÐ À  Ðconduct€of€affairs€under€such€license,€fraudulent,€coercive,€or€dishonest€practices.€€Ð¬ü Ð Ð  Ðà8  àà ` à54.à ¸ àTenn.€Code€Ann.€ðð€56„6„155(a)(10)€states,€in€pertinent€part,€that€theÐ ˜è  ÐCommissioner€may€suspend,€revoke,€or€refuse€to€issue€or€renew€any€license€underÐ „Ô  Ðthis€part€if€she€finds€that€one€holding€a€license€to€sell€insurance€has€been€shown€to€beÐ pÀ Ðdemonstrably€incompetent,€untrustworthy,€or€financially€irresponsible.Ð\¬Ð Ð  Ðà8  àà ` à55.à ¸ àTenn.€Code€Ann.€ðð€56„6„155(a)(13)€states,€in€pertinent€part,€that€theÐ H˜ ÐCommissioner€may€suspend,€revoke,€or€refuse€to€issue€or€renew€any€license€underÐ 4„ Ðthis€part€if€she€finds€that€one€holding€a€license€to€sell€insurance€has€violated,€or€failedÐ  p Ðto€comply€with,€any€insurance€laws,€or€any€lawful€rule€or€order€of€the€commissionerÐ  \ Ðor€of€a€commissioner€of€another€state.ÐøHÐ Ð  Ðà8  àà ` à56.à ¸ àThe€Tennessee€Rules€of€Evidence€state€in€Rule€202(a),€underÐ ä4 ÐMandatory€Judicial€Notice€of€Law,€that€ð ðThe€Court€shall€take€judicial€notice€of€(1)Ð Ð  Ðthe€common€law,€(2)€the€constitutions€and€statutes€of€the€United€States€and€of€everyÐ ¼  Ðstate,€territory€and€other€jurisdiction€of€the€United€States,€(3)€all€rules€adopted€by€theÐ ¨ø ÐUnited€States€Supreme€Court€or€by€the€Tennessee€Supreme€Court,€and€(4)€any€ruleÐ ”ä Ðor€regulation€of€which€a€statute€of€the€United€States€or€Tennessee€mandates€judicialÐ €Ð Ðnotice.ðð€€The€Respondentððs€argument€that€by€failing€to€enter€into€evidence€theÐ l¼ Ðinsurance€statutes€of€the€States€of€Georgia€and€Virginia€the€State€has€somehow€failedÐ X ¨ Ðto€meet€its€burden€is€without€merit.€€The€State€did€request€that€the€undersigned€takeÐ D!” Ðjudicial€notice€of€these€statutes,€and€provided€copies€with€its€post„trial€brief,€as€wasÐ 0"€  Ðarranged€at€the€hearing.Ð#l!Ð Ð  Ðà8  àà ` à57.à ¸ àThe€Code€of€Georgia€Annotated,€Section€33„23„4(a)€states,€inÐ $X" Ðpertinent€part,€that€no€person€shall€act€as€or€hold€himself€or€herself€out€to€be€an€agent,Ð ô$D # Ðsubagent,€counselor,€adjuster,€or€insurance€agency€in€the€State€of€Georgia€unless€suchÐ à%0!$ Ðperson€first€obtains€a€license€from€the€State€of€Georgia.ÐÌ&"%Ð Ð  Ðà8  àà ` à58.à ¸ àThe€Code€of€Virginia€Annotated,€Section€38.2„1822€states,€inÐ ¸'#& Ðpertinent€part,€that€no€person€shall€act€as€an€agent€in€the€transaction€of€insurance€inÐ ¤(ô#' Ðthe€Commonwealth€of€Virginia€unless€he€is€licensed€as€an€agent€in€theÐ )à$( Ðâ âCommonwealth.Ô#†¼…»XXYYí #ÔÔ‡XYYX»¼…ÔÐ|*Ì%)Ð Ð  Ðà8  àà ` à59.à ¸ àThe€State€has€met€its€burden€of€proof€by€a€preponderance€of€theÐ ° Ðâ âevidence€that€Mosley€violated€the€laws€of€the€commissioner€of€another€jurisdictionÐ œì Ðon€twelve€(12)€separate€occasions€by€acting€as€an€agent€in€the€states€of€Georgia€andÐ ˆØ ÐVirginia€on€a€total€of€twelve€(12)€different€occasions€without€being€licensed€as€anÐ tÄ Ðinsurance€agent€in€those€states,€as€required€by€the€laws€of€those€states.Ð`°Ð Ð  Ðà8  àà ` àÐ Ð Ð  Ðà  àThe€sanctions€imposed€by€the€administrative€tribunal€upon€Mr.€Mosley€were€clearlyÐ 8 ˆ Ðwarranted€in€law.€€In€view€of€the€essentially€undisputed€facts€as€found€by€the€ALJ,€no€basis€existsÐ $ t Ðfor€finding€that€the€sanction€of€revocation€of€license€was€ð ðwithout€justification€in€fact.ððÐ  ` ÐÌà  àIt€is€obvious€from€the€entire€administrative€record€and€from€argument€at€the€bar€of€this€CourtÐ è 8  Ðthat€Mosleyððs€repeated€transgressions€in€taking€applications€for€policies€of€insurance€in€the€states€ofÐ Ô$  ÐGeorgia€and€Virginia€while€indicating€that€such€applications€were,€in€fact,€executed€in€TennesseeÐ À  Ðwere€committed€intentionally€and€with€deliberation.€€He€considered€these€transgressions€to€be€ofÐ ¬ü  Ðminimal€significance€and,€in€fact,€to€be€merely€accommodations€to€policy€holders.€€However,€heÐ ˜è  Ðknew€that€he€was€not€licensed€to€act€as€an€insurance€agent€in€either€Georgia€or€Virginia,€and€it€isÐ „Ô  Ðclear€that€neither€the€State€of€Tennessee€nor€the€administrative€tribunal€considering€the€case€sharedÐ pÀ Ðhis€view€as€to€the€seriousness€of€his€actions.Ð \¬ ÐÌà  àNeither€the€chancery€court€nor€the€Court€of€Appeals€is€empowered€to€substitute€judicialÐ 4„ Ðjudgment€in€the€place€of€the€judgment€of€an€administrative€tribunal€acting€within€the€scope€of€itsÐ  p Ðstatutory€authority.€€Neither€the€chancellor€nor€this€Court€may€soften€the€sanctions€imposed€by€theÐ  \ Ðadministrative€tribunal€on€a€basis€that€either€court€feels€that€the€sanctions€imposed€are€too€harsh.€€TheÐ øH Ðfacts€of€the€case€are€essentially€undisputed,€and€the€sanctions€imposed€by€the€administrative€tribunalÐ ä4 Ðare€clearly€warranted€in€law€and€justified€in€fact.€€At€this€point,€the€judicial€inquiry€comes€to€an€end.Ð Ð  ÐÌà  àThe€trial€court€erred€in€modifying€the€sanctions€imposed€by€the€administrative€tribunal.€€TheÐ ¨ø Ðjudgment€of€the€Chancery€Court€of€Davidson€County€is€reversed,€and€the€judgment€of€theÐ ”ä Ðadministrative€tribunal€is€reinstated€in€its€entirety.Ð €Ð ÐÌà  àCosts€of€the€cause€are€assessed€against€Appellee,€and€the€case€is€remanded€to€the€trial€courtÐ X ¨ Ðfor€such€further€proceedings€as€may€be€necessary.à  àÐ D!” ÐÌÌÌà  àà ` àà ¸ àà  àà h àà À àà  àà p àà È àà  àà x àà Ð àà@ìì*ìàˆà0  à____________________________________Ðô$D #(#(# Ðà  àà ` àà ¸ àà  àà h àà À àà  àWILLIAM€B.€CAIN,€JUDGE