OMVIC QUESTION AND CORRECT ANSWER 100%

OMVIC QUESTION AND CORRECT ANSWER 100% What is the primary legislation governing Ontario's retail automotive sector? - CORRECT ANSWER-MVDA Which body or agency enforces MVDA? - CORRECT ANSWER-OMVIC How many people compose OMVIC's board of directors? - CORRECT ANSWER-12 in total, 9 dealers and 3 consumer reps What is the "transaction fee program"? - CORRECT ANSWER-under the transaction fee program, dealers are required to remit $10 for each vehicle sold or leased to OMVIC. These funds are remitted annually with the dealers registration renewal fee. T or F: the fee can be passed on to the consumer - CORRECT ANSWER-True What is OMVIC required to make available to the public? - CORRECT ANSWER-A dealers name, address and phone number; a salespersons name; any proposal to refuse to renew, suspend or revoke the registration of a dealer or salesperson Should OMVIC determine a dealers advertising to be false or misleading what powers do they have to stop or correct it? - CORRECT ANSWER-Order to the dealer to cease publication and or issue a retraction or correction If an order is used to stop or correct false advertising, for how long may the dealer need to seek OMVIC pre approval for future advertising? - CORRECT ANSWER-up to 2 years What is the minimum age requirement to become a dealer? - CORRECT ANSWER-18 If a person has been refused registration, what are 2 conditions that have to be met before the person can reapply? - CORRECT ANSWER-2 years have passed; new evidence to demonstrate circumstances If OMVIC issues a proposal to refuse registration, to whom can the applicant appeal? - CORRECT ANSWER-LAT (license appeal tribunal ), Independent judicial body called LAT, within 15 days of receiving the proposal List the 4 classes of dealers - CORRECT ANSWER-General dealer, Broker, Exporter, Wholesaler, Lease finance dealer List 3 examples of individuals or businesses that are exempt from registration - CORRECT ANSWER-Wholesale auction, wrecker, lawyer Where is the certificate of the dealer registration kept? - CORRECT ANSWER-Where the public can see it T or F: Dealers may sell vehicles from any location so long as they have registered a head office with OMVIC - CORRECT ANSWER-False T or F: the MVDA specifies the records a dealer must maintain- these records must be held for at least 6 years. - CORRECT ANSWER-True Which records of employees must be maintained? - CORRECT ANSWER-Employee names, proof of payments, and employee salaries If a dealer's records are destroyed or stolen, the dealer must notify? - CORRECT ANSWER-OMVIC, in writing, within 5 days In order for a remote storage location to be approved by OMVIC, which condition must be met? - CORRECT ANSWER-The location is always accessible to OMVIC staff during normal business hours T or F: Under the MVDA, all dealers are required to maintain a trust account - CORRECT ANSWER-False Deposits over what amount must be kept in a trust account? - CORRECT ANSWER- $10 000 (ten thousand) T or F: Before issuing a freeze order (freezing the dealer's assets or trust funds), OMVIC must first notify the dealer - CORRECT ANSWER-False On a purchase contact, what must be printed in 14 pt. bold font next to the buyer's signature? - CORRECT ANSWER-This "sales final" statement on the same page as the buyer's signature and adjacent to the signature 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? - CORRECT ANSWER-A maximum distance that will be shown on the odometer at the same time of delivery or a statement that there is no maximum If a statement Standards Certificate is issues for a vehicle, it means? - CORRECT ANSWER-The vehicle met certain basic standards of safety on the date of inspection An "as is" sale? - CORRECT ANSWER-Must include a specific definition of "as is" in the contract T or F: a dealer selling a vehicle "as is" may also provide a Safety Standards Certificate for the vehicle - CORRECT ANSWER-False 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. Name them. - CORRECT ANSWER-OMVIC, Motor Vehicle Dealer Compensation Fund, CAMVAP If a customer gives a deposit but don't sign a contract, what rights do they have? - CORRECT ANSWER-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. List the "previous uses of a vehicle" a dealer must disclose - CORRECT ANSWER-taxi, limo, police vehicle, emergency services, daily rental (unless subsequently owned by someone other than a dealer) List the types of incident damage that must be disclosed - CORRECT ANSWERcollision (greater than $3000 in damage), fire, floor, and structural damage or alterations In regards to replacement, what must be disclosed? - CORRECT ANSWER-The replacement of 2 or more adjacent body panels (excluding bumper covers) Dealers must disclose known damage repairs in excess of? - CORRECT ANSWER-$3 000 T or F: A dealer does not have to inform a purchaser that a vehicle's manufacturer's warranty has been cancelled, so long as the dealer offers or sells the purchaser an extended warranty - CORRECT ANSWER-False List some conditions that must be disclosed about a vehicle - CORRECT ANSWER-A vehicle was previously registered in another province, state or country; a vehicle's antilock braking system is not functioning; a vehicle's airbags are missing; a vehicle's air conditioning system requires repair Discloser must be provided in a timely manner, in writing, and be presented in a way that is: - CORRECT ANSWER-clear, comprehensible, and prominent T or F: the MVDA remedy of recession (cancellation of a sales contract) is available only to a customer who is a consumer - CORRECT ANSWER-True Recession is automatically granted for failing to disclose? - CORRECT ANSWER-The make, model and model year of the vehicle; the vehicle was previously a taxi or limo; the vehicle has been branded There are other disclosure requirements that, if not met, trigger a customer's rights. What are they? - CORRECT ANSWER-Previous use as police emergency services vehicle; previous use as a daily rental; mileage/distance travelled