Does the statute of limitations apply to the disclosure of secret profits?

In Eckert v. Schaal (1967) 251 A.C.A. 1, 58 Cal.Rptr. 817, the attorney-defendant was employed to form a joint venture among the plaintiffs to purchase certain real property and then to convey it to a corporation to be formed. After the property was purchased the attorney advised the joint venturers that in turning the property over to the corporation they need not disclose to other subscribers to the stock of the corporation that they were making a secret profit. Certain of the stockholders brought a derivative action against the joint venturers to recover the secret profit. The latter filed a cross-complaint against the attorney for malpractice in misadvising them. The trial court sustained a demurrer to the cross-complaint on the ground that the statute of limitations had run as the advice was given more than two years prior to the filing of the cross-complaint and entered judgment on the cross-complaint in favor of the attorney.