HomeSellingThe Dealer Standard – Important Changes and Enforcement Actions 

The Dealer Standard – Important Changes and Enforcement Actions 

2024 – Issue 3

This edition of our Dealer Standard features a collection of previously shared news and updates. Whether you missed them the first time around or simply want to revisit key highlights, we’ve gathered everything in one place for your convenience. Stay informed and catch up on all the important news.

Thanksgiving Closure Reminder

In observance of the Thanksgiving holiday, the OMVIC office will be closed on Monday, October 14, reopening at 9:00 a.m. on Tuesday, October 15.  

Amendments to O. Reg. 333/08 "General" under the MVDA 

After consultations, the Ministry of Public and Business Service Delivery and Procurement has updated the Motor Vehicle Dealers Act (MVDA). The following changes will take effect: 

As of July 1, 2024: 

  • Dealers are no longer required to return registration certificates cease to be registered. 
  • Registrants have 30 days to provide warranty documents and payments to warranty sellers following the sale of a vehicle. 
  • The contact information available on an advertisement can be chosen by the dealer and must match OMVIC’s public database. 
  •  OMVIC and MVDCF boards are now prohibited from having shared members. 

As of January 1, 2025: 

  • CAMVAP requirements will be simplified, and a general statement must be included in contracts. 

As of January 1, 2026: 

  • Dealers must complete continuing education before renewing registration. 

For more information, read the full dealer bulletin here. 

Changes to the Validity Period of Dealer Authorization Letters (DAL)

The Ministry of Public and Business Service Delivery and Procurement announced a change to the validity period of Dealer Authorization Letters (DALs).  

This update aims to improve the security of dealer transactions and protect against fraud. 

Beginning August 19, 2024, all DALs will be valid for 90 days.  

Key Changes: 

  • 90-Day Validity: DALs will expire after 90 days or earlier if there are changes in dealership information. 
  • Updated Documentation: ServiceOntario will require an original valid DAL and a copy of the signed OMVIC certificate for every dealer transaction. Transactions won’t be processed if the DAL is expired or outdated. 
  • These measures aim to strengthen fraud prevention and enhance consumer protection in vehicle transactions. 

For more information, read the full dealer bulletin here. 

Recent Curbsider Charges and Convictions

The below cases highlight the importance for registered dealers to uphold proper business practices and the law. Unregistered sellers not only undermine consumer trust but also unfairly compete against legitimate dealers. By ensuring all transactions are legal and transparent, registered dealers in Ontario help maintain a fair and safe marketplace. OMVIC’s enforcement of regulations helps protect the reputation and integrity of the entire industry. 

Mahmood and Ohood Dalboohi were fined $22,000 by the Windsor court for acting as unregistered motor vehicle dealers and providing misleading information, including tampering with a vehicle’s odometer. 

James Shaun Pournader was convicted in Whitby for falsifying vehicle trade information and engaging in unfair practices, leading to fines totaling $18,800 and restitution of $1,205.99 to a consumer. 

David Bennett was fined $12,500 in Sundridge for curbsiding—selling vehicles as an unregistered dealer. 

Changes to Restrict the Use of a Power of Attorney (POA) and New Vehicle Information Statement (NVIS) 

The Ministry of Public and Business Service Delivery and Procurement announced changes to improve the security of motor vehicle registrations. These updates took effect on September 9, 2024. 

Key Changes: 

  • Power of Attorney (POA): POAs will no longer be accepted for transactions on behalf of Ontario dealerships, with exemptions for out-of-province leased vehicles and lease buyouts. 
  • New Vehicle Information Statement (NVIS): NVIS documents will only be accepted from OMVIC dealers, Ministry of Transportation (MTO) exempt dealers, and businesses purchasing directly from manufacturers. 

These changes aim to strengthen the integrity of dealer transactions and reduce fraud. 

For more information, read the full dealer bulletin here. 

Compliance Package

OMVIC has created a compliance package to help dealers and salespersons achieve and maintain compliance with the MVDA and other applicable consumer protection laws. This package includes valuable resources, tools, and calculators to support professionalism within the industry and promote honest, fair competition among dealers—key priorities for OMVIC. 

The compliance package can be found here.

Updated Performance Measures

As required by our agreement with the Ministry of Public and Business Service Delivery and Procurement and as part of OMVIC’s efforts to maintain a fair and informed marketplace, we publicly track and regularly report ongoing progress. The updated performance measures for Q2 can be found here.