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When a buyer reports a non-conformance to the federal standards, what is the dealer's obligation?

  1. Notify HUD

  2. Instruct the buyer to notify the manufacturer

  3. Notify the local enforcement agency for installation

  4. Refer the matter to the manufacturer

The correct answer is: Refer the matter to the manufacturer

When a buyer reports a non-conformance to federal standards, the dealer's primary obligation is to refer the matter to the manufacturer. This is essential because the manufacturer is responsible for ensuring that the homes they produce meet all applicable federal standards. By directing the complaint to the manufacturer, the dealer ensures that the issue is addressed by the party best equipped to handle it, particularly in terms of repairing or remedying any issues related to construction, safety, or compliance. Furthermore, while the dealer may have the responsibility to inform other parties depending on the situation, such as local enforcement agencies or HUD, the direct link between the non-conformance and the manufacturer’s responsibilities makes the referral to the manufacturer the most critical step in addressing the buyer's concern. It helps facilitate a resolution and maintain compliance with federal housing standards.