Agency
A North Dakota listing agent learns that the seller's home has a structural defect. The seller instructs the agent to not disclose it. The agent should:
AFollow the seller's instructions and remain silent
BRefuse to comply and disclose the material defect to potential buyers✓ Correct
COnly disclose the defect if the buyer specifically asks about it
DTransfer the listing to another agent
Explanation
Despite a client instruction, North Dakota law and ethical standards require licensees to disclose known material defects to buyers. Concealing material defects subjects the agent to liability and potential license discipline.
Related North Dakota Agency Questions
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- Under North Dakota agency law, a seller's broker who discovers a latent material defect not disclosed by the seller should:
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