OMVIC Curbsiding and Illegal Sales Practices 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 OMVIC Curbsiding and Illegal Sales Practices flashcards as text
Under the Ontario Motor Vehicle Dealers Act 2002, what is 'curbsiding'?
Answer: An unregistered individual selling motor vehicles for profit on a repeated basis
Curbsiding occurs when an unregistered person repeatedly sells vehicles for profit, which is illegal under the MVDA 2002 without OMVIC registration.
Which of the following is the most reliable indicator that a seller may be a curbsider?
Answer: The seller lists multiple different vehicles for sale simultaneously from the same phone number
Multiple simultaneous listings from the same contact strongly suggests a pattern of trade, a key sign of curbsiding.
What is the maximum fine an individual can face for curbsiding under the MVDA 2002?
Answer: $50,000
Under the MVDA 2002, an individual convicted of acting as an unregistered dealer can face fines up to $50,000.
Why do consumers face greater risk when buying from a curbsider compared to a registered dealer?
Answer: Curbsiders are not subject to OMVIC's Code of Ethics and offer no consumer protections under the MVDA
Consumers lose all MVDA protections — including the right to a written contract, disclosure, and OMVIC dispute resolution — when purchasing from an unregistered seller.
Under the MVDA 2002, which party is legally required to be registered with OMVIC in order to sell motor vehicles in Ontario?
Answer: Any person who sells motor vehicles in the course of trade as a business
Anyone who trades in motor vehicles as a business — regardless of volume or structure — must be registered under the MVDA 2002.
A curbsider commonly disguises their activity as a private sale. Which tactic is most commonly used?
Answer: Claiming each vehicle is a personal vehicle no longer needed
Curbsiders frequently claim vehicles are personal-use to avoid appearing as a business, thereby evading MVDA registration requirements.
Which action should a consumer take if they suspect they have purchased a vehicle from a curbsider?
Answer: Report the activity to OMVIC for investigation
OMVIC is the regulatory body empowered to investigate unregistered trade, and consumers should file complaints directly with OMVIC.