OMVIC Mandatory Disclosures and Consumer Protection Flashcards

A consumer is buying a used vehicle and the dealer offers to sell it without a Safety Standards Certificate (SSC). The consumer agrees to accept the vehicle without an SSC. Under the MVDA, this arrangement:

Answer: Is permitted only if the vehicle is sold unfit and the consumer receives a signed disclosure of unfit status

A used vehicle may be sold without an SSC under the MVDA provided it is sold 'unfit' with a written disclosure signed by the buyer acknowledging the vehicle does not meet safety standards.

A dealer advertises an 'all-in price' but adds $800 in government fees, registration, and licensing to the final invoice that were not shown in the advertised price. Under OMVIC advertising standards:

Answer: Government fees, licensing, and registration are exempt from all-in pricing and may be added separately

Under OMVIC's all-in pricing standard, HST and licensing/registration fees are the two exempted items; these specific government fees may be added separately from the advertised all-in price.

A consumer who signed a purchase agreement with a dealer wants to cancel the deal because they found the same model cheaper at another dealership. Under the MVDA, the dealer:

Answer: Is not legally required to cancel the agreement since there is no general cooling-off right for vehicle purchases

There is no statutory cooling-off right for motor vehicle purchases under the MVDA; a consumer who signs a purchase agreement is generally bound by it absent misrepresentation or other grounds.

Under the MVDA and OMVIC regulations, which of the following is a required pre-sale disclosure for a vehicle that was previously used as an emergency vehicle (ambulance)?

Answer: The dealer must disclose the vehicle's prior use as an emergency vehicle before any agreement is executed

Prior use as a police, emergency, or other specially designated vehicle is a mandatory disclosure under MVDA regulations, covering ambulances and other emergency vehicles.

A dealer promises a consumer that an optional rust protection coating will be installed before delivery. The consumer pays for it. On delivery day, the coating was not applied. Under OMVIC consumer protection rules:

Answer: The consumer is entitled to have the coating applied or receive a refund for the unprovided service

Failing to provide a paid-for service is a breach of contract and a consumer protection issue under OMVIC's purview; the consumer is entitled to delivery of what was paid for or a refund.

A registered dealer represents that a vehicle comes with a '90-day warranty' but fails to provide written warranty terms. Under the MVDA, the consumer:

Answer: Is entitled to receive the warranty terms in writing, and the verbal warranty offer remains enforceable

Under consumer protection principles, a dealer who offers a warranty must back it; the MVDA supports consumers who received a verbal warranty offer in receiving its benefits in writing.

The MVDA requires dealers to keep business records for a specified period so that OMVIC can audit them. How long must a registered dealer keep transaction records under the MVDA regulations?

Answer: At least three years

MVDA regulations require registered dealers to maintain transaction and business records for at least three years to support OMVIC's audit and compliance functions.