Agency
Under Missouri law, a seller's agent must disclose to buyers the existence of any known material defects. What is the consequence if the agent knows of a defect but the seller asks them not to disclose it?
AThe agent should follow the seller's instructions since the seller is the client
BThe agent should disclose the defect despite the seller's instructions, as non-disclosure would be misrepresentation✓ Correct
CThe agent can keep the defect secret
DThe agent should only disclose if asked directly
Explanation
While Missouri agents follow client instructions, they cannot follow instructions to conceal known material defects from buyers. Non-disclosure of material facts the agent knows constitutes misrepresentation. The agent must disclose or withdraw from the representation.
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