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Car failed MOT. How does part exchange work?

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Hi! Hope someone can help!
My car failed its MOT and the garage can't get the parts for it (needs new brakes). They've advised me to part exchange it as it's a City Rover and spare parts are v. rare. It's still got 2 weeks left on its current MOT. When I part exchange it should I tell the car dealer that it failed its MOT? Would I get a lot less for it? Any advice would be greatly appreciated!

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