S Development Co. v. Pima Capital Management Co.

OPINION

GARBARINO, Presiding Judge.

¶ 1 We are called upon to determine the effect, if any, that a disclaimer of warranties, or an “as is” provision, in a purchase contract for commercial property has on a vendor’s duty'to disclose defects in the physical condition of a property being sold. We hold that latent defects in a property sold “as is” that are known to the vendor must be disclosed to the purchaser. We also hold that a vendor may be held liable for negligent nondisclosure of facts basic to the transaction when the purchaser is precluded by the vendor from discovering those facts.

¶ 2…