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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

  1. Which statement about OMVIC's jurisdiction over curbsiding is accurate?

    Answer: OMVIC has authority to investigate and take action against unregistered individuals who trade in motor vehicles

    The MVDA 2002 gives OMVIC authority over all persons who trade in motor vehicles in Ontario, including those who are unregistered and operating illegally.

  2. When is a person selling a motor vehicle in Ontario EXEMPT from MVDA registration requirements?

    Answer: When selling a vehicle they personally owned and used for personal purposes

    A genuine private seller disposing of a personally owned and used vehicle is exempt from MVDA registration; the exemption does not apply based on price or vehicle age.

  3. Which of the following best describes a 'ghost dealer' in Ontario's used vehicle market?

    Answer: A curbsider who uses a fictitious or borrowed registered dealer name to appear legitimate

    Ghost dealers misuse registered dealer identities to lend false legitimacy to their unregistered sales activities.

  4. A consumer checking OMVIC.ca for a dealer's registration finds the dealer is listed as 'suspended.' What does this mean for a potential transaction?

    Answer: The dealer's registration is not currently active and transactions during suspension may lack full MVDA protections

    A suspended registration means the dealer is not in good standing; consumers should be cautious as MVDA protections may be affected for transactions during a suspension period.

  5. Why must used vehicle dealers be registered with OMVIC rather than simply complying with general consumer protection laws?

    Answer: The MVDA creates a specialized regulatory regime with sector-specific rules for the unique risks of vehicle trading

    The MVDA 2002 creates a specialized registration and regulatory regime recognizing that motor vehicle transactions involve unique consumer risks including liens, odometer fraud, and vehicle history misrepresentation.

  6. A curbsider sells 12 cars in one year but claims each was a 'personal vehicle.' Under MVDA enforcement, this claim is:

    Answer: Likely insufficient — regulators look at patterns of trade rather than individual explanations

    Enforcement focuses on patterns of commercial activity; claiming personal use for multiple rapidly resold vehicles is unlikely to defeat an MVDA prosecution.

  7. What is the role of the Ontario Motor Vehicle Arbitration Plan (OMVAP) in the context of illegal sales practices?

    Answer: OMVAP provides an arbitration process for disputes between consumers and registered dealers

    OMVAP provides a lower-cost dispute resolution mechanism for consumers and registered dealers, but is not available for transactions with unregistered sellers.