For years inspectors have asked and debated on this forum (and others) about just what happens with an inspection report when a home falls out of escrow.
The California Association of Realtors December 2018 revision of the California Residential Purchase Agreement makes it clear, and the revision gives home inspectors a boost.
A seller has to disclose previous reports to the buyer
The buyer has to sign a Receipt for Reports that acknowledges the new buyer cannot hold the previous inspector liable for errors.
C.A.R. is actively encouraging buyers to always get their own inspections!