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OMVIC CHAPTER 1-18 LATEST EXAM WITH 60
QUESTION AND CORRECT ANSWERS/GRADED
A+ ### Answers to Ontario Retail Automotive Sector QUESTIONs
1. **QUESTION:** What is the primary legislation governing
Ontario's retail automotive sector?
**Answer:** Motor Vehicle Dealers Act, 2002
**Rationale:** The document specifies "Moter Vehicle
Dealers Act, 2002" (noting "Moter" likely means "Motor") as the primary legislation.
2. **QUESTION:** Which body or agency enforces MVDA?
**Answer:** OMVIC
**Rationale:** The document identifies "OMVIC" (Ontario
Motor Vehicle Industry Council) as the enforcing body for the MVDA.
3. **QUESTION:** List Three Functions carried out by
OMVIC
**Answer:**
1) Administers and enforces the MVDA 2) Inspects dealers
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3) Maintains a complaint line for consumers
**Rationale:** The document lists seven functions, but the
QUESTION asks for three; the first three are selected as
provided: "Administers and enforces the MVDA," "Inspects
dealers," and "Maintains a complaint line for consumers."
4. **QUESTION:** How many people compose OMVIC's
board of directors? How many dealers? How many consumers?
**Answer:**
- Total: 12
- Dealers: 9
- Consumers: 3
**Rationale:** The document states "12 total, 9 dealer, 3
consumer" for OMVIC’s board composition.
5. **QUESTION:** Briefly explain the "Transactional Fee
Program"
**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 dealers' registration renewal fee.
**Rationale:** The document provides this verbatim
explanation of the "Transactional Fee Program."
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- **QUESTION:** True or False: The transaction fee can be
passed along to the customer?
**Answer:** True
**Rationale:** The document states "True," indicating dealers
can pass the $10 transaction fee to customers.
- **QUESTION:** True or False: Under the Transaction Fee
Program, dealers are required to remit $10 (to OMVIC) for each retail vehicle sold or leased?
**Answer:** True
**Rationale:** The document states "True," confirming the
$10 remittance per vehicle sold or leased under the program.
8. **QUESTION:** What information is OMVIC required to
make available to the public?
**Answer:**
1) A dealer's business name, address, and phone number 2) A salesperson’s name 3) Any proposal to refuse to renew, suspend, or revoke the registration of a dealer or salesperson
**Rationale:** The document lists these three items verbatim
as public information OMVIC must provide.
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9. **QUESTION:** Should OMVIC determine a dealer’s
advertising to be false or misleading, what powers does OMVIC have to stop or correct it?
**Answer:** OMVIC may issue an order requiring the dealer
to cease publication and/or issue a retraction or correction
**Rationale:** The document states OMVIC can "issue an
order requiring the dealer to cease publication and/or issue a retraction or correction" for false advertising.
10. **QUESTION:** 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?
**Answer:** Up to 2 years
**Rationale:** The document specifies "Up to 2 years" for
pre-approval following such an order.
11. **QUESTION:** 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.
**Answer:**
1) If there has been an investigation 2) If the dealership is about to fail