Advertising and Disclosure Rules Flashcards
7 cards from real OMVIC practice questions. Tap to flip, then mark Knew It or Still Learning — missed cards come back until you master them.
Read the first 7 Advertising and Disclosure Rules flashcards as text
Under OMVIC regulations, a dealer must proactively disclose to a buyer if a used vehicle was previously used as:
Answer: A taxi, police cruiser, or daily rental unit
Previous use as a taxi, police vehicle, or rental is a material fact that must be disclosed under OMVIC's Code of Ethics because it can significantly affect vehicle value and reliability.
When is a dealer required to disclose that a used vehicle was involved in a collision?
Answer: When the damage or repair materially affects the vehicle's value or safety
OMVIC requires disclosure of any material fact, including collision damage, that could reasonably influence a buyer's decision to purchase or the price they pay.
A dealer discovers there is a lien registered against a used vehicle on their lot. Their obligation under OMVIC's Code of Ethics is to:
Answer: Disclose the lien to the buyer before completing the sale
An existing lien is a material fact that must be disclosed to the buyer before the sale, as it could affect their ability to obtain clear title.
Under Ontario law, which document must a registered dealer provide to a buyer before the sale of a used vehicle to disclose its history?
Answer: A Used Vehicle Information Package (UVIP)
The Used Vehicle Information Package (UVIP) is a mandatory disclosure document that dealers must provide to buyers before completing a used vehicle sale in Ontario.
A dealer sells a used vehicle 'as-is.' Under OMVIC standards, does an 'as-is' designation eliminate the dealer's obligation to disclose known material defects?
Answer: No, dealers must still disclose known material defects even in as-is sales
An 'as-is' clause does not relieve dealers of their obligation to disclose known material defects; concealing known problems remains a violation of OMVIC's Code of Ethics.
A dealer suspects a used vehicle's odometer has been tampered with before it arrived on their lot. Under OMVIC obligations, the dealer should:
Answer: Disclose the suspected odometer irregularity to the buyer
Suspected odometer tampering is a material fact; OMVIC requires dealers to disclose known or suspected issues that could affect the buyer's decision.
Under OMVIC's Code of Ethics, a dealer's responsibility to disclose material facts about a vehicle applies:
Answer: Both proactively and in response to direct buyer questions
Dealers must proactively disclose material facts they are aware of and must also answer buyer questions honestly; disclosure is not limited to reactive responses.