OSPF Distribute-List Filtering

Hello Rene,
Thanks for your reply. However, I still have a confusion. How does distribute-list work? does it filter LSAs or it resists routes from being installed in the routing table? Let’s say we are looking at topology like below and they are running OSPF:

Router A------------Router B-(inbound distribute-list)---------------Router C

Let’s say, Router C has a loopback 1.1.1.1 and it is advertised in OSPF. So if I apply an inbound distribute-list to block 1.1.1.1 on Router B, it does not install 1.1.1.1 route in its routing table. However, it passes the 1.1.1.1 route out to Router A. That means it is not filtering LSAs. It’s just not installing that route in its own routing table. So when a distribute-list is applied on Router C to the outbound direction, why would it filter LSAs? Please shed some light on it. Thank you so much in advance.

Best Regards,
Az

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