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OMVIC Code of Ethics Scenarios Flashcards

7 cards from real OMVIC practice questions. Tap to flip, then mark Knew It or Still Learning โ€” missed cards come back until you master them.

Read the first 7 OMVIC Code of Ethics Scenarios flashcards as text
  1. A salesperson at a dealership discovers that a used vehicle they are about to sell has undisclosed previous frame damage. The manager says to ignore it and close the deal. What is the ethically required action under the OMVIC Code of Ethics?

    Answer: Disclose the frame damage to the buyer before the sale proceeds

    The OMVIC Code of Ethics requires registrants to deal honestly and fairly; concealing known material defects violates the duty of honesty regardless of management pressure.

  2. A dealership salesperson is negotiating with a buyer and knows the vehicle was previously used as a daily rental. Under the OMVIC Code of Ethics, the salesperson must:

    Answer: Disclose the prior daily-rental use to the buyer before purchase

    Prior use as a daily rental is a mandatory disclosure under MVDA regulations, and the Code of Ethics requires registrants to comply fully with all disclosure obligations.

  3. A registered motor vehicle dealer receives a written complaint from a consumer alleging misrepresentation. According to the OMVIC Code of Ethics, the dealer should:

    Answer: Respond to the complaint promptly and professionally, attempting fair resolution

    The Code of Ethics requires registrants to handle consumer complaints professionally and make reasonable efforts to resolve disputes fairly.

  4. A salesperson is also a part-owner of an auto auction business. A customer is considering buying a vehicle that the salesperson recently sourced from that auction. What does the OMVIC Code of Ethics require?

    Answer: Disclose the conflict of interest to the customer before completing the sale

    The Code of Ethics requires registrants to disclose any personal financial interest or conflict of interest that could affect their dealings with a consumer.

  5. A customer becomes upset during negotiation and raises their voice. The salesperson, to end the confrontation quickly, tells the customer the vehicle has never been in an accident, which the salesperson has not confirmed. This conduct violates the OMVIC Code of Ethics because:

    Answer: Making unverified representations about vehicle history is misrepresentation

    The Code of Ethics prohibits registrants from making false or misleading statements; stating unverified facts as truth constitutes misrepresentation.

  6. A dealership's finance manager presents a consumer with an extended warranty that has been automatically included in the contract without prior discussion. When the consumer questions it, the finance manager says it is mandatory. This behaviour violates the OMVIC Code of Ethics because:

    Answer: Including unauthorized products in a contract without consent is deceptive and unethical

    The Code of Ethics requires honest dealing; adding undisclosed charges to a contract without consent is deceptive conduct prohibited under the Code.

  7. During a trade-in appraisal, a salesperson notices the customer's vehicle has significant rust damage that the customer has not mentioned. The salesperson plans to use this undisclosed information to lowball the trade-in without telling the customer what was found. Is this consistent with the OMVIC Code of Ethics?

    Answer: No, because registrants must deal honestly and not exploit information asymmetry to the consumer's detriment

    The Code of Ethics requires fair dealing; withholding inspection findings to gain an unfair advantage in a trade-in negotiation is contrary to honest and ethical conduct.