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Part#: 696854 filter? The old gasket was not left under the new filter?
By engine model, it shows the 696854 filter not the 492932.??
Briggs parts book for the engine you named, shows the other filter. I would get one and try it!
After checking the filters, they are interchangeable. Same thread and gasket pattern. Engine has not been overfilled and the oil is coming out from excessive crankcase pressure?