OMVIC Legal Requirements 4

Question 1

Under OMVIC regulations, what is the maximum period a dealer can hold a deposit before returning it if a vehicle sale does not proceed?

Accepted Answer

As soon as reasonably possible

Answer

OMVIC requires dealers to return deposits as soon as reasonably possible when a sale does not proceed, with no set fixed maximum period.

Question 2

Which document must an OMVIC-registered dealer provide to a consumer before finalizing a used vehicle sale that discloses known defects?

Accepted Answer

Mechanical Fitness Assessment (MFA)

Answer

Dealers must offer consumers a Mechanical Fitness Assessment (MFA) for used vehicles to disclose the vehicle's mechanical condition.

Question 3

Under the Motor Vehicle Dealers Act (MVDA), what happens if a dealer fails to register with OMVIC and sells vehicles?

Accepted Answer

They may face fines and criminal prosecution

Answer

Operating as an unregistered dealer is illegal under the MVDA and can result in significant fines and criminal prosecution.

Question 4

When a dealer advertises a vehicle price, OMVIC rules require that the advertised price must:

Accepted Answer

Include all fees except government taxes

Answer

OMVIC's Truth in Advertising rules require that advertised prices include all fees and charges except government taxes.

Question 5

A consumer purchases a vehicle and later discovers the odometer was rolled back. Under OMVIC regulations, this constitutes:

Accepted Answer

A material misrepresentation and fraud

Answer

Odometer rollback is a serious offense constituting material misrepresentation and fraud under OMVIC and provincial law.

OMVIC (Ontario Motor Vehicle Industry Council) Practice Test