Anderson

BACKGROUND

In February 2007, Anderson executed an agreement with Maryanne Lataif to purchase an undeveloped residential lot in an unincorporated area of Malibu (hereafter the Malibu lot), with the intent to build a house there (hereafter Lataif-Anderson purchase). At the time, Lataif was still in escrow to purchase the Malibu lot from the estate of Diana Cap (hereafter Cap-Lataif purchase). After escrow closed on the Cap- Lataif purchase, the Lataif-Anderson purchase was effected through two deed transfers. Moss, a real estate agent with Coldwell Banker Residential Brokerage Company, represented all parties in the Cap-Lataif and Lataif-Anderson purchases. The Lataif-Anderson purchase agreement—a form agreement issued by the California Association of Realtors—provided that “seller shall . . . disclose known material facts and defects affecting the property . . . .” The agreement “strongly advised [the buyer] to investigate the condition . . . suitability . . . and all matters affecting the value or desirability of the property,” and stated that the broker does not “guarantee, and in no way assume responsibility for, the condition of the Property.” The agreement provided that the…