Agency
A listing agent in Colorado learns that the home's basement floods every spring. The seller asks the agent not to mention it. The agent should:
AHonor the seller's request and say nothing
BDisclose the flooding as an adverse material fact to potential buyers✓ Correct
CDisclose only if the buyer specifically asks about flooding
DWithdraw from the listing to avoid liability
Explanation
Colorado law requires brokers to disclose adverse material facts to all parties regardless of the seller's wishes. Flooding is clearly an adverse material fact that must be disclosed to potential buyers.
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