OMVIC Licensing Requirements 5

Question 1

A registered dealer wishes to open a second sales location in Ontario. What must they do regarding OMVIC registration?

Accepted Answer

Register the additional location as a branch under their existing dealer registration

Answer

Each additional sales location must be registered as a branch premise with OMVIC, as registrations are location-specific under the MVDA.

Question 2

Which of the following is a mandatory condition that ALL registered motor vehicle dealers in Ontario must maintain throughout the period of their registration?

Accepted Answer

Adequate premises appropriate for the class of registration

Answer

Registered dealers must continuously maintain premises that meet OMVIC's standards appropriate for their registration class as a condition of ongoing registration.

Question 3

What action must an OMVIC-registered dealer take if they decide to permanently close their business?

Accepted Answer

Return their registration certificate and notify OMVIC of the closure

Answer

Dealers who permanently cease operations must surrender their registration certificate and formally notify OMVIC to avoid ongoing obligations and regulatory issues.

Question 4

An OMVIC-registered salesperson wants to operate as an independent contractor rather than an employee of a dealership. How does OMVIC treat this arrangement?

Accepted Answer

Not permitted — salespersons must be registered under a specific licensed dealer

Answer

Under the MVDA, salespersons cannot operate independently and must be registered under a specific licensed dealer who acts as their sponsor.

Question 5

Which of the following scenarios would trigger OMVIC to investigate whether an unregistered person is illegally trading in motor vehicles?

Accepted Answer

Someone consistently advertising and selling multiple vehicles for profit

Answer

Consistent, repeated vehicle sales conducted for profit are the hallmark of trading in vehicles and trigger OMVIC investigation for unregistered dealer activity.

OMVIC (Ontario Motor Vehicle Industry Council) Practice Test

OMVIC (Ontario Motor Vehicle Industry Council) Practice Test

OMVIC Licensing Requirements 5