Agency

A South Dakota buyer's agent discovers that the seller's property has an undisclosed drainage problem. The buyer's agent should:

AKeep the information confidential to maintain goodwill with the seller's agent
BDisclose the defect to the buyer client immediately✓ Correct
CReport the issue only if the buyer directly asks
DWait until after the inspection period to disclose

Explanation

A buyer's agent owes fiduciary duties to the buyer, including the duty to disclose all material facts affecting the property's value or desirability. Discovering a drainage problem that is not disclosed requires immediate disclosure to the buyer client.

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