I closed on a home in California in February and one month later our realtor disclosed that the house was involved in a class-action suit (s...

Question

I closed on a home in California in February and one month later our realtor disclosed that the house was involved in a class-action suit (seller as Plaintiff) with the builder, and was at the time of the sale. Are we now obligated to disclose this whenever we sell the home? Is there a time limitation on disclosures of certain information?

Answer

If you have knowledge that your home has a construction defect that would affect a person's decision to buy your house, you will have to disclose it, regardless of the amount of time involved.

Answer

Your disclosure obligation extends to anything of which you have knowledge, which reasonably could be presumed to affect the buyer's impression of the value of the property in a substantial negative way.