To register, a seller must complete an „Individual Authentication” form. Forms are available from dealers and COCVA. The Code of Ethics is required by the Motor Vehicle Dealers Act, 2002 (LGVA). Each person registered with COCVAO (dealer and seller) must comply with the standards described in the Code of Ethics and undertakes to respect the language and intent. MVDA places the responsibility on the merchant and the individual seller to ensure that the seller is properly registered. Therefore, merchants have a responsibility to ensure that all their sellers are properly registered with COCVA. The new MVDA was passed by the Legislative Assembly in 2002. The rules and regulations of the Act were published in 2008 and entered into force on January 1, 2010. Section 6 of the Act requires merchants and vendors to conduct their business with honesty, integrity, financial responsibility and in accordance with the law. An officer or director of a corporate dealership or a partner of a registered partnership must be separately registered as a vendor in order to sell or lease vehicles on behalf of the dealer. As long as each dealer gives written consent to COCVA, a vendor may be employed by more than one dealer. Individuals and businesses who buy and sell vehicles for a living must abide by the principles of the law. Otherwise, COCVAO has the authority to take disciplinary and judicial action against them.
The compensation fund provides compensation to consumers who suffer a financial loss (up to $45,000) as a result of a transaction with a merchant. Note: There are certain eligibility criteria. Note: There must be a separate contract for each vehicle sold. If a seller leaves a merchant, the merchant and the seller must notify the socialite that the employment relationship has ended (the merchant must also notify moncvio of the reason for the termination). Similarly, if the seller changes dealers, COCVAO must be informed of the transfer. An individual may apply for registration (or renewal) as a merchant if: Protect yourself. Read these important tips for buying a car before you sign! Unfortunately, COCVAO investigations or inspections sometimes reveal unregistered sellers actively selling vehicles. Here are some of the most common reasons for this event: When Ontario consumers purchase from a COCVA-registered dealership, they are protected by the Motor Vehicle Dealers Act (MVTA) and the Consumer Protection Act (CPA). You are only protected by OMVIC and Ontario consumer protection laws when you purchase a vehicle from a COCVA-registered dealer.
If you`re shopping privately and something goes wrong, you`re on your own. COCVAO cannot help you and you cannot apply for the Auto Dealer Compensation Fund. For private buyers, there is hardly any legal recourse outside the courts. The objective of the Standard of Business Practices is to assist registrants by illustrating what is expected of them. The Standard of Business Practice is intended to illustrate the Code of Ethics with practical examples and to apply the standards of honesty and integrity in certain situations. These represent minimum standards and serve more illustrative than exhaustive. The Code of Ethics addresses the following standards of business practice: Click here to learn more about consumer protection legislation. Note: These laws are administered by government agencies such as the Ministry of Government and Consumer Services and the Ministry of Transportation. COCVAO has the right to invoke these laws only in industry-related cases and only under certain conditions. The Standards of Business Conduct apply to all registrants in Ontario, including any person employed, appointed or authorized by a motor vehicle dealer to act on behalf of the dealer in transactions arising out of or in connection with the trade in a motor vehicle.
A contract for the sale or lease of a vehicle to another registered dealer falls under section 5 of the Code of Ethics and provides that: Registrants who violate the Code of Ethics are subject to a conduct review and can expect disciplinary action from the Disciplinary Council after a fair examination of the situation. Before you start buying your car, you need to know what coverage you will receive when you buy from a COCVA-registered dealer. Buying this meaning requires research, knowledge, and careful thought. Watch the video A contract for the sale of a new vehicle must contain in a clear, understandable and clearly visible manner: Sellers must be registered with OMVIC before they can enter into any form of discussion or negotiation with a potential buyer, seller or lessee of a vehicle, even if the seller does not sign the contract. One of MVDA`s fundamental requirements is that registrants conduct their business in accordance with the law, with honesty and integrity, and in a financially responsible manner. For more information, see the Standards of Business Practices. Certain requirements in other laws and regulations: Registration is also required for administrators, finance and insurance managers, and individuals who purchase vehicles at auction. Any person who enters into a car purchase or lease agreement on behalf of a dealer must be registered as a seller. Merchant-to-merchant disclosure is a legal requirement of the Code of Ethics. There will be no more branch registrations under the Veterans Affairs Act. If the merchant operates from more than one location, he is registered only as a trader, but the registration lists all authorized offices.
You can also purchase a printed version of the Act from Publications Ontario in a variety of ways: A salesperson who has already completed the course, but has not been in the industry for two years, may need to retake the certification course. A registered motor vehicle dealer who enters into a contract for the sale or lease of a motor vehicle to a person who is also a registered motor vehicle dealer shall ensure that the following information is disclosed in the contract: The Motor Vehicle Dealers Act, 2002 is administered and enforced by COCVAO on behalf of the Ministry of Government and Consumer Services. Vehicle notices indicating the inclusion of an extended warranty must indicate the duration of the warranty and the maximum eligibility limits in a clear, understandable and visible manner. The motor vehicle dealer industry in Ontario is governed by the Motor Vehicle Dealers Act (MVLA). The administration and enforcement of the Vehicle Quality Act and its regulations are the direct responsibility of COCVA. Buying a car can be an emotionally charged experience with long-term financial implications. Smart consumers know that buying this sense requires research, knowledge, and careful thought. It is essential that consumers know what protection is afforded to them and when they apply it.