Licensee Tara represents seller Phil. During the inspection period, the buyer's inspector discovers significant water damage that Tara was previously unaware of. What is Tara's primary obligation under Ohio agency law now that she has knowledge of this condition?

Correct Answer

C) She must disclose this known material fact to the current buyer and, if the damage remains unrepaired, in any future transactions involving this property

Under Ohio law, a licensee must disclose all known material facts that could affect the transaction, regardless of how that knowledge was acquired. Once Tara learns of the water damage — even through the buyer's inspector — it becomes a known material fact she is obligated to disclose. That duty is not limited to the current transaction; if the damage remains unrepaired, Tara must disclose it in any future transaction involving the property. ORC 4735.67 and Ohio's agency disclosure framework both support this continuing obligation.