OMVIC OMVIC Trade-Ins, Liens and Vehicle Registration 3

Question 1

What is the term for a vehicle title in Ontario that has been designated due to significant damage, flood, or write-off?

Accepted Answer

A branded title

Answer

A 'branded title' in Ontario indicates the vehicle has been designated — for example, as irreparable, salvage, or rebuilt — due to significant damage or total loss.

Question 2

A consumer purchases a vehicle from a private seller without obtaining a UVIP. Who bears the risk of any undisclosed lien discovered after the sale?

Accepted Answer

The buyer, since purchasing without a UVIP means they assumed the risk of unknown encumbrances

Answer

Buyers who skip the UVIP in private transactions assume the risk of unknown liens; the UVIP is specifically designed to protect buyers from post-sale lien surprises.

Question 3

Under the MVDA 2002, which statement about 'as is' vehicle sales by registered dealers is correct?

Accepted Answer

An 'as is' sale still requires the dealer to disclose all known material defects in writing

Answer

Even in 'as is' transactions, dealers must disclose all known material defects; the 'as is' designation does not waive the dealer's duty of honesty.

Question 4

Which document must a private seller in Ontario provide to the buyer at the time of a used vehicle sale?

Accepted Answer

A Used Vehicle Information Package (UVIP)

Answer

Ontario law requires private sellers to provide the buyer with a UVIP from ServiceOntario at the time of the sale.

Question 5

A vehicle lien registered under the PPSA is 'perfected' when:

Accepted Answer

The lender files the security interest registration in the PPSA registry

Answer

A security interest in personal property (including vehicles) is perfected under the PPSA when the creditor registers the interest in Ontario's Personal Property Registry.

OMVIC (Ontario Motor Vehicle Industry Council) Practice Test

OMVIC (Ontario Motor Vehicle Industry Council) Practice Test

OMVIC OMVIC Trade-Ins, Liens and Vehicle Registration 3