OMVIC LATEST EXAM 2026/2027 QUESTIONS AND
SOLUTIONS RATED A+
✔✔Ch.3 - What must a dealer do if they wish to store records somewhere other than
the location from which they trade? - ✔✔Apply for and receive written authorization from
OMVIC's Registrar.
see 3.05
✔✔Ch.3 - In order for a remote storage location to be approved by OMVIC, which
condition must be met?
a. The location has a security system
b. The location is always accessible to OMVIC staff during normal business hours
c. The location is in the same municipality as the dealer's registered address
d. All of the above - ✔✔b. The location is always accessible to OMVIC staff during
normal business hours
see 3.05
✔✔Ch.3 - True of False: Under the MVDA, all dealers are required to maintain a trust
account. - ✔✔False
see 3.07
✔✔Ch.3 - Deposits over what amount must be kept in a trust account?
a. $1,000
b. $5,000
c. $10,000
d. No amount of deposit needs to be placed in a trust account - ✔✔c. $10,000
see 3.07
✔✔Ch.3 - True or False: Before issuing a freeze order (freezing the dealer's assets or
trust funds), OMVIC must first notify the dealer. - ✔✔False
see 3.08
✔✔Ch.4 - On a purchase contract, what must be printed in 14 pt. bold font next to the
buyer's signature? - ✔✔The mandatory "Sales Final" statement
see 4.04 19. or 4.05 17.
,✔✔Ch.4 - List four items that must be in a contract for the sale of a new vehicle. -
✔✔Any four from 4.04.
✔✔Ch.4 - If a dealer does not have a specific new vehicle in stock, but will locate the
vehicle and bring it in, what must be disclosed to the purchaser regarding the mileage? -
✔✔A maximum distance that will be shown on the odometer at the time of delivery or a
statement (initialled by the buyer) that there is no maximum.
see 4.04 9.
✔✔Ch.4 - List four items that must be included in contracts for the sale of a used
vehicle. - ✔✔Any four from 4.05.
✔✔Ch.4 - If a Safety Standards Certificate is issued for a vehicle, it means:
a. The vehicle is safe and guaranteed free of mechanical defects
b. The vehicle met certain basic standards of safety on the date of inspection
c. The vehicle is safe and has a 36-day warranty - ✔✔b. The vehicle met certain basic
standards of safety on the date of inspection
see 4.05 22.
✔✔Ch.4 - What does the term "as is" mean? - ✔✔"As Is": The vehicle is not
represented as being in road worthy condition, mechanically sound or maintained at any
guaranteed level of quality. The vehicle may not be fit for use as a means of
transportation and may require substantial repairs at the buyer's expense. It may not be
possible to register the vehicle to be driven in its current condition.
see 4.05 23.
✔✔Ch.4 - Choose the most correct answer. An "as is" sale...
a. Is not legal to a "consumer"
b. Does not require the buyer to initial the words "as is"
c. Must have the buyer write an explanation of "as is"
d. Must include a specific definition of "as is" in the contract - ✔✔d. Must include a
specific definition of "as is" in the contract
see 4.05 23
✔✔Ch.4 - True or False: A dealer selling a vehicle "as is" may also provide a Safety
Standards Certificate for the vehicle. - ✔✔False
see 4.05 23
, ✔✔Ch.4 - Other than the information that identifies the consigner, dealer and vehicle,
list three details that must be included in consignment contracts. - ✔✔Any four from
4.08 4. - 11.
✔✔Ch.4 - Contracts must have advisory or educational statements designed to inform
purchasers/lessees about their rights and responsibilities and to ensure they know
about the existence of certain agencies or organizations. What are these
organizations/agencies? - ✔✔The agencies are:
- OMVIC
- Motor Vehicle Dealers Compensation Fund
- CAMVAP
see 4.04 20. - 21. or 4.05 18. - 19. or 4.06 8. - 9.
✔✔Ch.4 - If customers give dealers a deposit but don't sign a contract, what rights do
they have? - ✔✔If there is no signed contract and a deposit or trade-in is given to the
dealer, the purchaser can cancel the contract at any time and demand his or her deposit
or trade-in back.
see 4.12
✔✔Ch.5 - List three "previous uses of a vehicle" dealers must disclose. - ✔✔Any three
of:
- Taxi
- Limo
- Police vehicle
- Emergency services vehicle
- Daily rental (unless subsequently owned by someone other than a dealer)
see 5.06
✔✔Ch.5 - List three types of incident damage that must be disclosed. - ✔✔Any three of:
- Collision (greater than $3,000 damage)
- Fire
- Flood
- Structural damage or alterations
see 5.06 5., 10. -12.
✔✔Ch.5 - True or False: Dealer A buys from a daily rental company, a car previously
used in the rental fleet. Dealer A then sells the car (giving full disclosure of the car's
history as a daily rental) to a consumer who buys it for personal use. A year later, the
consumer trades that car in to Dealer B. Dealer B does a history search and sees the
car was once a daily rental. Under Regulation 42 of the MVDA, when Dealer B sells this
SOLUTIONS RATED A+
✔✔Ch.3 - What must a dealer do if they wish to store records somewhere other than
the location from which they trade? - ✔✔Apply for and receive written authorization from
OMVIC's Registrar.
see 3.05
✔✔Ch.3 - In order for a remote storage location to be approved by OMVIC, which
condition must be met?
a. The location has a security system
b. The location is always accessible to OMVIC staff during normal business hours
c. The location is in the same municipality as the dealer's registered address
d. All of the above - ✔✔b. The location is always accessible to OMVIC staff during
normal business hours
see 3.05
✔✔Ch.3 - True of False: Under the MVDA, all dealers are required to maintain a trust
account. - ✔✔False
see 3.07
✔✔Ch.3 - Deposits over what amount must be kept in a trust account?
a. $1,000
b. $5,000
c. $10,000
d. No amount of deposit needs to be placed in a trust account - ✔✔c. $10,000
see 3.07
✔✔Ch.3 - True or False: Before issuing a freeze order (freezing the dealer's assets or
trust funds), OMVIC must first notify the dealer. - ✔✔False
see 3.08
✔✔Ch.4 - On a purchase contract, what must be printed in 14 pt. bold font next to the
buyer's signature? - ✔✔The mandatory "Sales Final" statement
see 4.04 19. or 4.05 17.
,✔✔Ch.4 - List four items that must be in a contract for the sale of a new vehicle. -
✔✔Any four from 4.04.
✔✔Ch.4 - If a dealer does not have a specific new vehicle in stock, but will locate the
vehicle and bring it in, what must be disclosed to the purchaser regarding the mileage? -
✔✔A maximum distance that will be shown on the odometer at the time of delivery or a
statement (initialled by the buyer) that there is no maximum.
see 4.04 9.
✔✔Ch.4 - List four items that must be included in contracts for the sale of a used
vehicle. - ✔✔Any four from 4.05.
✔✔Ch.4 - If a Safety Standards Certificate is issued for a vehicle, it means:
a. The vehicle is safe and guaranteed free of mechanical defects
b. The vehicle met certain basic standards of safety on the date of inspection
c. The vehicle is safe and has a 36-day warranty - ✔✔b. The vehicle met certain basic
standards of safety on the date of inspection
see 4.05 22.
✔✔Ch.4 - What does the term "as is" mean? - ✔✔"As Is": The vehicle is not
represented as being in road worthy condition, mechanically sound or maintained at any
guaranteed level of quality. The vehicle may not be fit for use as a means of
transportation and may require substantial repairs at the buyer's expense. It may not be
possible to register the vehicle to be driven in its current condition.
see 4.05 23.
✔✔Ch.4 - Choose the most correct answer. An "as is" sale...
a. Is not legal to a "consumer"
b. Does not require the buyer to initial the words "as is"
c. Must have the buyer write an explanation of "as is"
d. Must include a specific definition of "as is" in the contract - ✔✔d. Must include a
specific definition of "as is" in the contract
see 4.05 23
✔✔Ch.4 - True or False: A dealer selling a vehicle "as is" may also provide a Safety
Standards Certificate for the vehicle. - ✔✔False
see 4.05 23
, ✔✔Ch.4 - Other than the information that identifies the consigner, dealer and vehicle,
list three details that must be included in consignment contracts. - ✔✔Any four from
4.08 4. - 11.
✔✔Ch.4 - Contracts must have advisory or educational statements designed to inform
purchasers/lessees about their rights and responsibilities and to ensure they know
about the existence of certain agencies or organizations. What are these
organizations/agencies? - ✔✔The agencies are:
- OMVIC
- Motor Vehicle Dealers Compensation Fund
- CAMVAP
see 4.04 20. - 21. or 4.05 18. - 19. or 4.06 8. - 9.
✔✔Ch.4 - If customers give dealers a deposit but don't sign a contract, what rights do
they have? - ✔✔If there is no signed contract and a deposit or trade-in is given to the
dealer, the purchaser can cancel the contract at any time and demand his or her deposit
or trade-in back.
see 4.12
✔✔Ch.5 - List three "previous uses of a vehicle" dealers must disclose. - ✔✔Any three
of:
- Taxi
- Limo
- Police vehicle
- Emergency services vehicle
- Daily rental (unless subsequently owned by someone other than a dealer)
see 5.06
✔✔Ch.5 - List three types of incident damage that must be disclosed. - ✔✔Any three of:
- Collision (greater than $3,000 damage)
- Fire
- Flood
- Structural damage or alterations
see 5.06 5., 10. -12.
✔✔Ch.5 - True or False: Dealer A buys from a daily rental company, a car previously
used in the rental fleet. Dealer A then sells the car (giving full disclosure of the car's
history as a daily rental) to a consumer who buys it for personal use. A year later, the
consumer trades that car in to Dealer B. Dealer B does a history search and sees the
car was once a daily rental. Under Regulation 42 of the MVDA, when Dealer B sells this
