Pirkig

This is an appeal from the trial court’s decision awarding costs and attorney fees to respondents in an action arising from the sale of real estate.

I. Background Facts

In March 1982 plaintiffs Gary and Kathy Pirkig (respondents) purchased a home in Benicia, California, from James Cook and Joseph Eystad (sellers). Respondents were represented in the transaction by defendant Jeffrey Dennis, a real estate broker (appellant), while the sellers enlisted the aid of two other real estate brokers, Gay Turner and Cindy Rogers. To facilitate the sale, the sellers accepted a note secured by a second deed of trust for a portion of the purchase price.

After moving into the house, respondents discovered numerous defects that had not been disclosed to them by any of the defendants. The roof leaked, the garage flooded and moisture seeped through the windows causing damage to the structure and the interior of the house. It was further discovered that the garbage disposal was broken, the swimming pool did not work, and the house was infested with rodents and insects.

Approximately one year later, in March 1983, respondents brought an action against defendant sellers and real estate…