Ethics and Professionalism Flashcards

A customer returns a vehicle two days after purchase claiming the salesperson misrepresented the vehicle's history. Under OMVIC's ethical standards, what is the registrant's responsibility?

Answer: Investigate the complaint fairly and attempt to resolve it in good faith

OMVIC's Code of Ethics requires registrants to address consumer complaints honestly and in good faith, treating post-sale issues with the same professional standards as the sale itself.

Which of the following practices would be considered a breach of OMVIC's professional ethics regarding vehicle condition disclosure?

Answer: Selling a vehicle 'as-is' without disclosing known structural damage

Selling a vehicle 'as-is' does not relieve a registrant of the duty to disclose known material defects; concealing structural damage violates OMVIC's disclosure requirements.

What ethical principle underlies OMVIC's requirement that registrants use plain language in contracts and communications with consumers?

Answer: Informed consent — consumers must understand what they are agreeing to

Plain language requirements exist to ensure consumers can give genuinely informed consent, which is a cornerstone of OMVIC's consumer protection mandate.

A dealership sales manager instructs a registrant to describe a rebuilt vehicle as 'like new' in advertising. What should the registrant do?

Answer: Refuse the instruction and explain that accurate status disclosure is legally required under OMVIC rules

Individual registrants are personally responsible for compliance with OMVIC rules and cannot use employer instructions as justification for misrepresentation.

Under OMVIC's standards, which behavior demonstrates a commitment to ongoing professional development?

Answer: Completing OMVIC-required training and staying current on changes to the Motor Vehicle Dealers Act

Professional development under OMVIC includes actively maintaining current knowledge of legislation, regulations, and industry standards that affect consumer protection.

A registrant is approached by a customer wanting to register a vehicle that is actually owned by someone else. The customer offers the registrant a cash incentive to process the paperwork. What must the registrant do?

Answer: Refuse and report the suspicious transaction as a potential fraud

Facilitating or ignoring potential title fraud violates OMVIC's ethical standards and may constitute a criminal offence; reporting is the required course of action.

Which of the following best describes the concept of 'fair dealing' as it applies to OMVIC-registered salespersons?

Answer: Treating all customers honestly and equitably without taking advantage of their lack of knowledge

Fair dealing under OMVIC means conducting all transactions with honesty and not exploiting information asymmetry between the registrant and the consumer.