I have 2016 Nissan Altima, it smells bad for first 1 minute when I turn the fan on, but after its good. Checked with the dealership, they say AC has water and it sticks around and creates a bad smell. Can you help me understand, what's wrong with it?

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heck, that's too new to have any problems. Let them take apart the evaporator and clean it out if it's not draining right, being that new Under warranty