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Agency Medium
Q 7 / 20
A seller tells their agent the basement floods every spring but asks the agent to keep it secret. The agent should:
A
Respect the seller's wishes and say nothing
B
Disclose the defect to buyers as a known material fact
C
Only disclose if asked directly by the buyer
D
Advise the seller to reduce the price instead
💡 AI Explanation
Agents must disclose known material facts even if the seller instructs otherwise. A flooding basement directly affects the property's value and the buyer's decision — withholding it exposes both the agent and seller to legal liability.
Score: 6/7 correct (86%)
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🏠Property Ownership53q
📊Valuation48q
💰Financing52q
🤝Agency48q
📝Contracts48q
🔑Title Transfer49q
⚖️Practice & Laws166q
🔢Math55q
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