Seller Disclosure: Non-Disclosure of Squatters Living in a Home

Saw a house I was considering buying with the owner still living in the house. Two additional women living in the property were represented as the owner’s girlfriend and her friend. After entering escrow and the inspection period I find out the two women don’t want to leave the property and the owner allegedly served them incorrectly to vacate the property contradicting the timeline where he misrepresented them as his girlfriend and her friend without mentioning they were squatters or unwilling to leave after they were served. At one point the owner invited them but overstayed their welcome. I was not disclosed any of this information before bidding on the house and entering escrow. Does this constitute a violation of california disclosure laws and even potentially involve fraud? What are the sections of the law applicable in this case? Are there court precedents involving the nondisclosure of squatters or people who overstay their welcome?

Seller Disclosure: Non-Disclosure of Squatters Living in a Home