Agency

Under South Dakota law, a listing agent who knows the basement has a history of flooding but does not disclose this to the buyer has committed:

ALegitimate non-disclosure
BFraudulent concealment of a material fact✓ Correct
CAn agency violation only (no civil liability)
DPuffing

Explanation

Knowingly concealing a material fact (such as recurring flooding) from a buyer constitutes fraudulent concealment and can result in civil liability, license discipline, and rescission of the contract.

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