OMVIC OMVIC Curbsiding and Illegal Sales Practices 1

Question 1

Under the Ontario Motor Vehicle Dealers Act 2002, what is 'curbsiding'?

Accepted Answer

An unregistered individual selling motor vehicles for profit on a repeated basis

Answer

Curbsiding occurs when an unregistered person repeatedly sells vehicles for profit, which is illegal under the MVDA 2002 without OMVIC registration.

Question 2

Which of the following is the most reliable indicator that a seller may be a curbsider?

Accepted Answer

The seller lists multiple different vehicles for sale simultaneously from the same phone number

Answer

Multiple simultaneous listings from the same contact strongly suggests a pattern of trade, a key sign of curbsiding.

Question 3

What is the maximum fine an individual can face for curbsiding under the MVDA 2002?

Accepted Answer

$50,000

Answer

Under the MVDA 2002, an individual convicted of acting as an unregistered dealer can face fines up to $50,000.

Question 4

Why do consumers face greater risk when buying from a curbsider compared to a registered dealer?

Accepted Answer

Curbsiders are not subject to OMVIC's Code of Ethics and offer no consumer protections under the MVDA

Answer

Consumers lose all MVDA protections — including the right to a written contract, disclosure, and OMVIC dispute resolution — when purchasing from an unregistered seller.

Question 5

Under the MVDA 2002, which party is legally required to be registered with OMVIC in order to sell motor vehicles in Ontario?

Accepted Answer

Any person who sells motor vehicles in the course of trade as a business

Answer

Anyone who trades in motor vehicles as a business — regardless of volume or structure — must be registered under the MVDA 2002.

OMVIC (Ontario Motor Vehicle Industry Council) Practice Test

OMVIC (Ontario Motor Vehicle Industry Council) Practice Test

OMVIC OMVIC Curbsiding and Illegal Sales Practices 1