Agency
A Montana seller's agent who discovers that the seller is concealing a known septic system failure should:
AHelp the seller conceal the defect to facilitate the sale
BDisclose the known defect to prospective buyers as a material fact✓ Correct
CRemain silent since the seller is the client
DOnly disclose if the buyer's inspector discovers the issue
Explanation
A known septic system failure is a material defect that must be disclosed to prospective buyers, even by the seller's agent. Montana law prohibits concealment of material facts, and the agent's duty to disclose overrides their duty of seller confidentiality.
Related Montana Agency Questions
- An agency relationship can be created by all of the following EXCEPT:
- A seller's agent who discovers the buyer is unrepresented must:
- A buyer's agent who reveals to the seller that the buyer must purchase a home within 30 days or lose relocation benefits has violated which duty?
- A Montana seller's agent discovers a material defect during a showing. The agent's duty to the buyer is to:
- A cooperating broker who works with a buyer but is a subagent of the listing broker owes fiduciary duties to:
- The Montana Broker Disclosure Form must be provided at first substantive contact. 'First substantive contact' in Montana typically means:
- When does a listing agency agreement typically terminate?
- In Montana, a licensee who is found to have made misrepresentations to a buyer about a property's condition may face:
Practice More Montana Real Estate Questions
1,500+ questions covering all exam topics. Start free — no signup required.
Take the Free Montana Quiz →