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Car failed MOT. How does part exchange work?

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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