Legal Question in Real Estate Law in California

Re: Liability after sale

Wow! That's a broad question.

First, I would recommend that you make sure the buyer waives his/her right to have the home inspection in writing.

Second, "as is" does not absolve you of the duty to disclose. If you have reason to believe that conditions on the property (i.e, electrical problems) might lead to a fire make sure you disclose it! You must disclose any "material fact" that "effects the value or desirability" of the property. This means that you should go beyond the items listed in the TDS if approrpriate.

As to whether you can be liable to tenant, there is case law that states a seller is not liable to third parties for injuries they sustain on the property after the purchase. In that case, the guests were party-goers who were injured when a balcony collapsed. That is not to say that you can't be liable to the buyer of the property.

Good luck.

Re: Liability after sale

You've made the disclosures, which is good, and you should be sure the sales contract has an inspection provision allowing the buyer to inspect the property or waive the right within a certain period of time. If this isn't addressed, you should have the inspection waiver in writing if he really doesn't want to have it. This would minimize your liability after the sale. Unfortunately, the buyer can always sue you, but he'd have a difficult case if all disclosures were made and he had ample opportunity to inspect the property.