Agency

In Minnesota, a seller's agent who learns that the seller's roof has a known leak must:

AKeep it confidential to protect the seller
BDisclose it to potential buyers because it is a material fact✓ Correct
COnly disclose it if the buyer's agent asks directly
DReport it to the Department of Commerce

Explanation

While a seller's agent owes loyalty to the seller, Minnesota law requires disclosure of material facts—conditions that would affect a reasonable buyer's decision. A known roof leak is a material defect that must be disclosed regardless of who the agent represents.

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