Those are all excellent questions.
1. You may need to clarify this question, because I'm not clear on what you're asking. The simple answer is "yes", Flash's sire and dam, as his parents, are both his bloodline. If you're asking how closely his sire and dam are related to one another, examination of his pedigree should provide you with additional information in that regard.
2. I personally feel that titles are important, as objective indicators of the quality of a stud dog. If the stud dog has a conformation championship, he has been evaluated by multiple judges and has been found to conform closely to the ideal physical appearance and structure desired in a basset hound. If the stud dog has performance titles (field, obedience, tracking, etc.), those titles suggest that the dog has a good brain and nose, both of which are important to me. Although not foolproof, they also suggest desirable temperament.
3. Your vet can draw blood for von Willebrand's testing and a full thyroid panel. S/he can probably perform necessary hip and elbow x-rays for OFA evaluation. OFA won't provide a hip clearance until a dog is at least 2 years old. A veterinary ophthalmologist can perform a gonioscopic examination for changes in your dog's eyes that may predispose him to the development of glaucoma later on in life. There is an additional bleeding disorder found in bassets, basset hound thrombopathia, which can only be tested for in a handful of laboratories. The dog must be transported to the lab for testing.
4. Faults and virtues generally refer to physical deficiencies and attributes possessed by a dog. Examples of faults might be low tail set, light pigment, etc.
I don't see the breeder you mentioned listed on the Basset Hound Club of America's web site.
[This message has been edited by Betsy Iole (edited 12-07-2000).]