OMVIC EXAM QUESTIONS WITH CORRECT ANSWERS

OMVIC EXAM QUESTIONS WITH
CORRECT ANSWERS

Ch.1 - What is the primary legislation governing Ontario's retail automotive sector? - CORRECT ANSWER-
✔✔✅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 - CORRECT ANSWER-✔✔✅c. OMVIC



see 1.04



Ch.1 - List three functions carried out by OMVIC. - CORRECT ANSWER-✔✔✅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? - CORRECT ANSWER-✔✔✅Twelve total, nine dealers
and three consumer reps



see 1.07



Ch.1 - Briefly explain the "Transaction Fee Program." - CORRECT ANSWER-✔✔✅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. - CORRECT ANSWER-✔✔✅True



see 1.08



Ch.1 - True or False: The transaction fee can be passed along to the customer. - CORRECT ANSWER-
✔✔✅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 - CORRECT ANSWER-✔✔✅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? - CORRECT ANSWER-✔✔✅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? - CORRECT ANSWER-✔✔✅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. - CORRECT ANSWER-✔✔✅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? - CORRECT ANSWER-✔✔✅18



see 2.05



Ch.2 - List three requirements that must be met when applying to become a salesperson. - CORRECT
ANSWER-✔✔✅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. - CORRECT ANSWER-✔✔✅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 - CORRECT ANSWER-✔✔✅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. - CORRECT
ANSWER-✔✔✅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