OMVIC ALL
Ch.1 - What is the primary legislation governing Ontario's retail automotive sector? -
ANS-The Motor Vehicle Dealers Act, 2002
see 1.04
Ch.1 - Which body or agency enforces the MVDA?
a. Ministry of Government and Consumer Services
b. TADA
c. OMVIC
d. Automotive Business School of Canada - ANS-c. OMVIC
see 1.04
Ch.1 - List three functions carried out by OMVIC. - ANS-Any three of the following:
- Administers and enforces the MVDA
- Inspects dealers
- Maintains a complaint line for consumers
- Conducts investigations
- Conducts disciplinary hearings
-Conducts prosecutions
- Administers the Compensation Fund
see 1.07
Ch.1 - How many people compose OMVIC's Board of Directors? Of these, how many
represent the industry and how many represent the consumers? - ANS-Twelve total,
nine dealers and three consumer reps
see 1.07
Ch.1 - Briefly explain the "Transaction Fee Program." - ANS-Under the transaction fee
program, dealers are required to remit $10 for each vehicle sold or leased (including
fleet and "as is" transactions) to OMVIC. These funds are remitted annually with the
dealer's registration renewal fee.
see 1.08
,Ch.1 - True of False: Under the Transaction Fee Program, dealers are required to remit
$10 (to OMVIC) for each retail vehicle sold or leased. - ANS-True
see 1.08
Ch.1 - True or False: The transaction fee can be passed along to the customer. -
ANS-True
see 1.08
Ch.1 - What information is OMVIC required to make available to the public?
a. A dealer's business name, address and phone number
b. A Salesperson's name
c. Any proposal to refuse to renew, suspend or revoke the registration of a dealer or a
salesperson
d. All of the above - ANS-d. All of the above
see 1.12
Ch.1 - Should OMVIC determine a dealer's advertising to be false or misleading, what
powers does OMVIC have to stop or correct it? - ANS-OMVIC may issue an order
requiring the dealer to cease publication and/or issue a retractions or correction.
see 1.12
Ch.1 - If an order is used to stop or correct false advertising, for how long may the
dealer need to seek OMVIC's pre-approval for future advertising? - ANS-Up to two
years
see 1.09
Ch.1 - List two possible situations which could result in OMVIC applying to a court to
appoint a receiver and manager to assume temporary control of a dealership. -
ANS-This action might be taken:
- If there has been an investigation
- If the dealership is about to fail
- If OMVIC is proposing to revoke a registration
- If a freeze order is about to be made
,see 1.10
Ch.2 - What is the minimum age requirement to become a dealer? - ANS-18
see 2.05
Ch.2 - List three requirements that must be met when applying to become a
salesperson. - ANS-Three requirements are:
- Complete/pass certification course
- Pay fee
- Be employed or retained by a registered dealer to act as a salesperson
see 2.07
Ch.2 - True or False: All dealer and salesperson applicants undergo a Canada-wise
criminal record search as part of the application screening process. - ANS-True
see 2.03
Ch.2 - Which of the following must be registered with OMVIC (select all that apply):
a. Dealers
b. Salespersons
c. Business managers
d. Finance managers
e. Service managers - ANS-a. Dealers
b. Salespersons
c. Business managers
d. Finance managers
see 2.04
Ch.2 - List two reasons why OMVIC might refuse the registration of a dealer or
salesperson. - ANS-Any two of:
- Past conduct
- False statement on application
- Failed to comply with terms
- Cannot be expected to be financially responsible
- The Compensation Fund has paid out a claim and has not been reimbursed
, see 2.05 and .10
Ch.2 - If a person has been refused registration, what is one condition that has to be
met before the person can reapply? - ANS-One of the following:
- Two years have passed
- New evidence to demonstrate circumstances have changed
see 2.13
Ch.2 - Should OMVIC issue a proposal to refuse (or revoke) registration, to whom can
the applicant appeal? - ANS-License Appeal Tribunal (LAT)
see 2.12
Ch.2 - List four "classes" of dealers. - ANS-Any four classes listed in 2.16
- General dealer, consisting of the following subclasses
++ New and used motor vehicles
++ Used motor vehicles
- Broker
- Wholesaler
- Exporter
- Outside Ontario dealer
- Lease finance dealer
- Fleet lessor, O. Reg. 333/08, s. 18(1), O. Reg 377/09, s 2.
see 2.16
Ch.2 - List three examples of individuals or business that are exempt from registration. -
ANS-Any three from 2.14
1. Wholesale auction
2. Wrecker
3. Person selling a vehicle used for family or for a sole proprietorship business.
4. Selling a power-assisted bicycle equipped with both a pedal and auxiliary motor.
5. Registered charity
6. Heavy truck dealer
7. Bus or commercial vehicle dealer
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