The Discipline Process

Section 6 of the Motor Vehicle Dealers Act (MVDA) requires dealers and salespeople to conduct business activity with honesty, integrity, financial responsibility and in accordance with law.

The Standards of Business Practice apply to all motor vehicle dealers in Ontario, including all persons employed, appointed or authorized by a motor vehicle dealer to act on a dealer's behalf in any transaction arising from or related to the purchase, sale or lease of motor vehicles. Dealers and salespeople who disregard the Code of Ethics are subject to having their conduct reviewed and, after a fair review of the situation, may face disciplinary action by the Discipline Committee.

Dealers and salespeople must at all times observe and comply with OMVIC's by-laws, as well as with the Code of Ethics as illustrated by the Standards. Conduct that does not comply with the Code of Ethics will be considered grounds for discipline. All dealers and salespeople are subject to the Discipline Process and may be subject to such consequences as recommended 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's composition will consist of dealer and salespeople peer representatives as well as at least one arm's length member of the public.

The committee will commence a hearing to examine alleged breaches of the Code of Ethics. The registrant will be given the opportunity to submit relevant documentation and oral evidence supporting their position with respect to the alleged breach. All parties may be represented by a lawyer or agent. Hearings before the Discipline Committee are recorded. Following a hearing, and after due consideration, the Discipline Committee will issue a formal written decision stating the reasons that led the panel to reach their conclusion.

The committee may impose disciplinary measures including requiring dealers and/or salespeople to take educational courses, requiring dealers to fund educational courses for their salespeople, imposing a fine to a maximum of $25,000 and imposing costs. Decisions of the Discipline Committee will be published as a matter of public record, and may be appealed to the Appeals Committee. Appeals must be requested by submitting the proper form within 30 days of the Discipline Committee decision and are limited to questions of law or mixed fact and law, and cannot be a re-hearing of the matter.

arrow-right.jpg Click here to read Discipline and Appeals Committee decisions

arrow_right.jpg MVDA 2002 Rules of Practice

arrow_right.jpg Click here to learn more about becoming a member of the Discipline and Appeals Committee