Ontario Motor Vehicle Industry Council


OMVIC regulates motor vehicle sales in Ontario. Administering and enforcing the on behalf of the Ontario Ministry of Government and Consumer Services, OMVIC's mandate is to maintain a fair and informed marketplace by protecting the rights of consumers, enhancing industry professionalism and ensuring fair, honest and open competition for registered motor vehicle dealers.

History

Prior to 1997, Ontario's motor vehicle dealer industry was regulated by the Ministry of Consumer and Commercial Relations. OMVIC's creation on January 7, 1997, marked the first regulated business sector to move to self-management.
OMVIC's authority for day-to-day administration comes from the . The Safety & Consumer Statutes Administration Act was proclaimed on July 22, 1996. This Act, as provided for in Bill 54, created "administrative authorities" – non-profit corporations independent of both industry associations and government – which deliver services and programs for different industries regulated by the ministry.
is governed by a 12-member Board of Directors. Approximately one hundred staff members, a number of whom work from regional home-based offices, provide OMVIC's services.

Services

As the regulator of motor vehicle sales in Ontario, OMVIC's mandate is to maintain a fair and informed marketplace by protecting the rights of consumers, enhancing industry professionalism and ensuring fair, honest and open competition for registered motor vehicle dealers.
This is achieved by:
OMVIC is focused on achieving:
Registration with OMVIC is mandatory for all automotive dealers and salespeople in Ontario.
In order to become registered as a dealer or salesperson, each applicant is screened to ensure they meet the requirements of the Motor Vehicle Dealers Act. OMVIC conducts a number of background checks on all applicants and each applicant is required to provide a Canada-wide criminal record search at the time of application. These processes help ensure registered dealers and salespeople will conduct themselves with honesty and integrity and in a financially responsible manner – all requirements of the MVDA.
The minimum fine for acting as an unregistered dealer is $2,500.

Education

Completion of the is mandatory for all new applicants. This is a course in automotive law and ethics.
Registered dealers and salespeople who successfully pass the Certification Course through Georgian College's Automotive Business School of Canada and who then become registered with OMVIC are entitled to use the designation C.A.L.E. – Certified in Automotive Law and Ethics.
Using the C.A.L.E. designation builds trust, strengthens credibility and demonstrates to consumers that dealers and salespeople are proven professionals who have met Georgian College and OMVIC training standards.

Complaints and Inquiries

OMVIC's Complaints and Inquiries Team handles inquiries and complaints from both consumers and dealers regarding the conduct of OMVIC-Registered Dealers.
Remember: These services are only available when consumers purchase from an OMVIC-Registered Dealer. OMVIC has no jurisdiction over private sales, manufacturers or independent repair facilities.
Complaints can be submitted online through OMVIC's , by email or by phone at 1-800-943-6002 x5105.
For further information on the Complaints and Inquiries process, visit OMVIC's .
OMVIC cannot force or compel a dealer to give money back or offer compensation. OMVIC is not the court and only a court can impose a solution.

Enforcement

Inspections

Dealer inspections are conducted regularly in order to ensure ongoing compliance with the MVDA.
OMVIC are based regionally to provide an inspection program for the entire province.
If OMVIC receives a complaint from the public about a dealer, OMVIC's Complaints and Inquiries Team may attempt to resolve the issue over the telephone. Alternatively, an OMVIC Inspector may perform an inspection and discuss the complaint with the dealer.
Inspectors have the right to:
The dealer must assist the Inspector when asked, such as producing a document or record, or helping the Inspector use the dealer's own data storage, processing or retrieval device.

Investigations and Prosecutions

OMVIC's Investigators are appointed under the MVDA and the .
They are empowered to conduct investigations and lay charges under several relevant legislations including the MVDA and the .
Investigations commonly occur after receiving information from various sources, including:
If proven, investigations can result in one or more of the following:
Investigations fall into two broad categories:
Curbsiders are illegal, unlicensed dealers. They are in the business of selling vehicles, but often pose as private sellers. The vehicles they sell are often misrepresented.
Industry misconduct typically involves allegations of non-compliant advertising, failure to disclose required information, falsification of records or unfair business practices.
The law requires dealers and salespeople to cooperate with an investigation.

Disciplinary Process

As part of its mandate to protect the rights of consumers and promote industry professionalism, OMVIC may refer a matter to the Discipline Committee for a hearing. Conduct that fails to comply with the Code of Ethics will be considered grounds for the Registrar to issue a Notice of Complaint which starts the .
The Code of Ethics regulation applies to all registered dealers and salespeople in Ontario. The Standards of Business Practice interpret the Code of Ethics by providing practical examples and applying the standards of honesty and integrity in specific situations. These represent minimum standards OMVIC anticipates registrants will wish to exceed.
All dealers and salespeople are subject to the Discipline Process and may be subject to such consequences as ordered by the Discipline Committee.

Discipline Committee

The Chair of the Discipline Committee will appoint an independent, impartial panel to consider the allegations contained in the Notice of Complaint. The Committee will consist of registered dealers/salespeople as well as one arm's length member of the public. The panel will hear evidence from both sides, consider whether the facts prove the allegations and determine if the registrant failed to comply with the Code of Ethics.

Hearing

A hearing is a formal proceeding, much like a trial in a court of law, before an independent panel of representatives of the industry and the public. The panel commences a hearing to examine alleged breaches of the Code of Ethics. OMVIC has the responsibility to prove the allegations found in the Notice of Complaint and is first to present its case.
Once each side has completed their final arguments in support of their case, the panel considers the evidence and makes an independent decision whether there was a breach of the Code of Ethics and what the appropriate penalty, if any, should be. The Discipline Committee issues a formal written decision stating the reasons behind the panel's conclusion.

Discipline Decision

The Committee may impose disciplinary measures such as:
Section 27 of the MVDA requires OMVIC to publish the contents of an Order made by the Discipline Committee. Visit OMVIC's website to access .

Appeals

Appeals must be requested by submitting the proper form within 30 days of the Discipline Committee decision.
For more detailed information regarding the Discipline Process and what to expect at a hearing, visit OMVIC's Disciplinary Process webpage.

Motor Vehicle Dealers Compensation Fund

Financial protection for Ontario's vehicle buyers

The Motor Vehicle Dealers Compensation Fund is a consumer protection program financed by OMVIC-Registered Dealers. OMVIC administers the Compensation Fund on behalf of the Fund's .
If a consumer suffers a financial loss as a result of a trade with an OMVIC-Registered Dealer, the Compensation Fund acts as a safety net and provides financial assistance of up to $45,000 per eligible claim. In order to qualify, consumers must meet one or more of the eligibility criteria and the claim must be submitted within two years of the transaction.
Since its creation on July 1, 1986, the Compensation Fund has paid out over $5 million in compensation to consumers. As the oldest and largest fund of its kind in Canada, the Compensation Fund offers the best protection for vehicle buyers in Ontario.

Eligibility Criteria

Customers who meet the definition of a consumer can make a claim to the Fund if:
Note: specific criteria will vary depending on the date of the transaction with the dealer:
Who is NOT eligible to make a claim:
For further information, visit the .

Car-Buying Seminars

In June 2010, OMVIC began offering free for consumers.
These seminars are currently offered throughout the province to community organizations, schools, consumer groups, first-time buyers and new Canadians, as part of OMVIC's mandate to protect and educate Ontario consumers.
Topics include:
Those interested in having OMVIC present a seminar at their organization are encouraged to contact OMVIC.

Multilingual Translation Service

OMVIC offers a free multilingual translation service to Ontario consumers. Consumers who have a question or concern about a vehicle purchase or lease from a dealer or would like to know more about OMVIC, can contact 1-800-943-6002 x5105. A translator can be requested in one of over 150 languages.
For more information, visit OMVIC's .

Know Your Ride

In 2007, OMVIC launched , a secondary school program teaching high school students in Ontario about the dangers of buying vehicles privately. The program consists of a DVD for use in classrooms and is supported by materials for both teachers and students. Copies of the DVD and its accompanying teacher's kit have been made available in every high school in Ontario.
Know Your Ride was approved by Curriculum Services Canada in 2008.