7. COMPLIANCE
(1) A registrant shall ensure that all documents used by the registrant in the course of a trade in a motor vehicle are current and comply with the law.
(2) A registered motor vehicle dealer who enters into a contract with a person for the sale of a motor vehicle shall facilitate compliance by the person with the person’s obligations under subsection 11 (2) of the
Highway Traffic Act unless the person instructs the dealer not to do so.
EXAMPLES
- 7.1 Where a retail contract expressly provides for a return policy, all terms and conditions of the return policy, including the length of the return period, are disclosed on the contract.
- 7.2 Where a motor vehicle is sold on an "As Is" basis, this fact is clearly indicated on the front of the retail contract. Retail contracts for the sale of used motor vehicles include the following statement on the front of the contract:
The motor vehicle sold under this contract is being sold “as-is” and is not represented as being in road worthy condition, mechanically sound or maintained at any guaranteed level of quality. The vehicle may not be fit for use as a means of transportation and may require substantial repairs at the purchaser’s expense. It may not be possible to register the vehicle to be driven in its current condition.
snip
- 7.6 Use of the "AS IS" statement does not eliminate potential liability, since a purchaser may still choose to pursue the matter against a Dealer through civil action. The "AS IS" statement is being provided to Dealers as a means of providing clear disclosure to a purchaser. If a Dealer believes that further disclosure is required, then the Dealer should be sure to make that further disclosure to the purchaser in writing on the Bill of Sale and have the disclosure signed by the purchaser.
