OMVIC FINAL EXAM 2026/2027 QUESTIONS AND
SOLUTIONS RATED A+
✔✔The OMVIC inspector: - ✔✔May use the dealer's own computer system to produce
required information
✔✔What is a curbsider? - ✔✔They are unlicensed dealers posing as private sellers
✔✔What are the common problems with the vehicles that curbsiders sell? - ✔✔Often
misinterpreted, accident-damaged, odometer-tampered, stolen or have liens
✔✔Studies have shown the percentage of "private" vehicle ads are actually placed by
curbsiders is - ✔✔25%
✔✔Curbsiders : - ✔✔ignore tax law, avoid overhead, have an unfair advantage over
registered dealers
✔✔Is the compensation fund available to all customers or only customers who are
consumers? - ✔✔consumers only
✔✔How much does each salesperson pay into the fund? - ✔✔Nothing
✔✔How much does each dealer pay into the fund? - ✔✔$300
✔✔T or F: the max individual claim from the fund is $15 000 - ✔✔False
✔✔T or F: The fund is similar to an insurance policy, so a dealer does not have to
reimburse the Fund should the Fund pay out a claim on behalf of a dealer - ✔✔False
✔✔T or F: Protections under the CPA would apply to a carpenter buying a van for his or
her small company - ✔✔False
✔✔T or F: CPA protects "consumers" only - ✔✔True
✔✔T or F: The CPA covers sales but not leases, and not services such as repairs -
✔✔False
✔✔T or F: the consumer can waive their right under the CPA, but they must be in
writing - ✔✔False
✔✔What is the maximum penalty for an individual convicted of an offence under the
CPA? - ✔✔A max of 2 years less a day in jail and or a fine of up to $50 000
, ✔✔T or F: in matter related to the CPA, courts will only consider the evidence that is
written into the contract - ✔✔False
✔✔T or F: if the consumer defaults on a loan/payment schedule but has paid off more
than two-thirds if the total purchase price, the dealer must get permission from the court
to repossess the vehicle - ✔✔True
✔✔What are the 2 types of unfair practices? - ✔✔Unconscionable representations, and
false, misleading or deceptive representations
✔✔What is the essential element of an "unconscionable representation"? -
✔✔demonstrating a lack of conscience, taking advantage of a consumer who cannot
adequately protect his or her own interests
✔✔What is a "material fact"? - ✔✔information that might affect a customer's decision to
purchase or lease the vehicle if he or she knew about it, or the price the customer would
be willing to pay
✔✔T or F: If a dealer acted in good faith and unknowingly breached the CPA, the
consumer is no longer protected by the CPA - ✔✔False
✔✔Motor vehicle repairs are governed by which Ontario legislation? - ✔✔Consumer
Protection Act
✔✔T or F: dealers/repairers must provide estimates for repairs - ✔✔True
✔✔T or F: Final repair costs may not exceed the estimate by more than 10% - ✔✔True
✔✔If a repair involves the installation of new or reconditioned parts: - ✔✔the minimum
warranty on repairs is 90 days or 5000 km (whichever comes first)
✔✔When a dealer replaces a part: - ✔✔the dealer must offer the old part to the
consumer
✔✔Dealers must post a sign stating: - ✔✔labour charges and how they are computed;
the dealer's obligation to provide estimates; that each part is removed and available to
the consumer
✔✔Why should a dealer do a lien check on a vehicle that is being taken in on trade? -
✔✔to protect the dealer and to ensure the dealer does not subsequently sell a vehicle
with a lien
SOLUTIONS RATED A+
✔✔The OMVIC inspector: - ✔✔May use the dealer's own computer system to produce
required information
✔✔What is a curbsider? - ✔✔They are unlicensed dealers posing as private sellers
✔✔What are the common problems with the vehicles that curbsiders sell? - ✔✔Often
misinterpreted, accident-damaged, odometer-tampered, stolen or have liens
✔✔Studies have shown the percentage of "private" vehicle ads are actually placed by
curbsiders is - ✔✔25%
✔✔Curbsiders : - ✔✔ignore tax law, avoid overhead, have an unfair advantage over
registered dealers
✔✔Is the compensation fund available to all customers or only customers who are
consumers? - ✔✔consumers only
✔✔How much does each salesperson pay into the fund? - ✔✔Nothing
✔✔How much does each dealer pay into the fund? - ✔✔$300
✔✔T or F: the max individual claim from the fund is $15 000 - ✔✔False
✔✔T or F: The fund is similar to an insurance policy, so a dealer does not have to
reimburse the Fund should the Fund pay out a claim on behalf of a dealer - ✔✔False
✔✔T or F: Protections under the CPA would apply to a carpenter buying a van for his or
her small company - ✔✔False
✔✔T or F: CPA protects "consumers" only - ✔✔True
✔✔T or F: The CPA covers sales but not leases, and not services such as repairs -
✔✔False
✔✔T or F: the consumer can waive their right under the CPA, but they must be in
writing - ✔✔False
✔✔What is the maximum penalty for an individual convicted of an offence under the
CPA? - ✔✔A max of 2 years less a day in jail and or a fine of up to $50 000
, ✔✔T or F: in matter related to the CPA, courts will only consider the evidence that is
written into the contract - ✔✔False
✔✔T or F: if the consumer defaults on a loan/payment schedule but has paid off more
than two-thirds if the total purchase price, the dealer must get permission from the court
to repossess the vehicle - ✔✔True
✔✔What are the 2 types of unfair practices? - ✔✔Unconscionable representations, and
false, misleading or deceptive representations
✔✔What is the essential element of an "unconscionable representation"? -
✔✔demonstrating a lack of conscience, taking advantage of a consumer who cannot
adequately protect his or her own interests
✔✔What is a "material fact"? - ✔✔information that might affect a customer's decision to
purchase or lease the vehicle if he or she knew about it, or the price the customer would
be willing to pay
✔✔T or F: If a dealer acted in good faith and unknowingly breached the CPA, the
consumer is no longer protected by the CPA - ✔✔False
✔✔Motor vehicle repairs are governed by which Ontario legislation? - ✔✔Consumer
Protection Act
✔✔T or F: dealers/repairers must provide estimates for repairs - ✔✔True
✔✔T or F: Final repair costs may not exceed the estimate by more than 10% - ✔✔True
✔✔If a repair involves the installation of new or reconditioned parts: - ✔✔the minimum
warranty on repairs is 90 days or 5000 km (whichever comes first)
✔✔When a dealer replaces a part: - ✔✔the dealer must offer the old part to the
consumer
✔✔Dealers must post a sign stating: - ✔✔labour charges and how they are computed;
the dealer's obligation to provide estimates; that each part is removed and available to
the consumer
✔✔Why should a dealer do a lien check on a vehicle that is being taken in on trade? -
✔✔to protect the dealer and to ensure the dealer does not subsequently sell a vehicle
with a lien
