Agency
A Rhode Island listing agent discovers a material defect in the seller's property. What is the agent's obligation?
AKeep it confidential as it is the seller's information
BDisclose it to potential buyers as a known material fact✓ Correct
COnly disclose it if the buyer specifically asks about defects
DReport it to the city building department only
Explanation
Rhode Island listing agents have a duty to disclose known material defects to potential buyers. While the agent represents the seller, they cannot actively misrepresent or conceal material facts from buyers.
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