Licence Appeal Tribunal
Appeal en matière de permis
FILE: 9791/MVDA
CASE NAME: 9791 v. Registrar, Motor Vehicle Dealers Act 2002
An Appeal from a Notice of Proposal by the Registrar, Motor Vehicle Dealers Act, 2002, S.O. 2002, c. 30, Sch. B – dated September 2, 2015 to Refuse Registration
George Chan Appellant
-and-
Registrar, Motor Vehicle Dealers Act, 2002 Respondent
CONSENT ORDER
Upon the application to the Tribunal by George Chan, the Appellant, and the Registrar, under the Motor Vehicle Dealers Act, 2002 for issuance of a Consent Order of the Tribunal without a hearing pursuant to section 4.1 of the Statutory Powers Procedure Act, R.S.O. 1990, c. S.22; and
Having reviewed the written settlement signed by the Appellant and the Registrar, Motor Vehicle Dealers Act, 2002 as to the disposition of these proceedings which is filed and attached hereto as Schedule “A”;
NOW THEREFORE, upon consent of the parties, this Tribunal orders that the proceedings in this matter are concluded and disposed of without a hearing on the basis of the terms set out in the said Schedule “A”, which are incorporated into and made part of this Order.
LICENCE APPEAL TRIBUNAL
Patricia McQuaid, Vice-Chair
RELEASED: February 24, 2016
SCHEDULE "A"
TO: Licence Appeal Tribunal 530 - 20 Dundas Street West Toronto ON M5G 2C2
FROM: The Registrar Motor Vehicle Dealers Act, 2002 Ontario Motor Vehicle Industry Council 65 Overlea Blvd., Suite 300 Toronto ON M4H 1P1
AND FROM: George Chan c/o Justin M. Jakubiak Fogler, Rubinoff LLP 77 King Street West, Suite 3000 TD Centre Toronto, ON M5K 1G8
Pursuant to subsection 6(2) of the Motor Vehicle Dealers Act, 2002 (the “MVDA”), GEORGE CHAN (the “Appellant”) and the Registrar, Motor Vehicle Dealers Act, 2002, (“the Registrar”), in accordance with section 4.1 of the Statutory Powers Procedure Act, do hereby waive the requirements of a hearing and consent to an Order of the Licence Appeal Tribunal based upon the following terms and conditions:
REGISTRATION
The registration of the Appellant, is subject to the following conditions:
- For a period of two years from the date of the release of this Order, the Appellant:
a. Shall only be employed by one (1) motor vehicle dealer at a time;
b. Shall not be a sales manager and/or have final signing authority on any transaction involving the sale, lease, or trade of a motor vehicle;
c. Shall not be an officer, director, partner or sole proprietor of a motor vehicle dealership;
d. Shall not exercise direct or indirect control over a motor vehicle dealership;
e. Shall not transfer his registration as a salesperson under the MVDA to another registrant without having first obtained prior written consent of the Registrar. The Registrar will not withhold consent unreasonably.
COMPLIANCE
The Appellant will comply with all requirements of the MVDA and Ontario Regulation 333/08, the Code of Ethics in Ontario Regulation 332/08, the Ontario Motor Vehicle Industry Council (“OMVIC”) Standards of Business Practice, 2010 and OMVIC Guidelines, as may be amended from time to time.
The Appellant will provide the Registrar with notice in writing within five (5) days of any substantive changes to the information that was provided in obtaining his registration, pursuant to section 31 of Ontario Regulation 333/08.
The Appellant acknowledges that "trade" refers to buying, selling, leasing, advertising or exchanging an interest in a motor vehicle, or negotiating or inducing or attempting to induce the buying, selling, leasing or exchanging of an interest in a motor vehicle, as defined in the MVDA and pursuant to section 36 through to and including section 51 of Ontario Regulation 333/08, and is not limited to the signing of contracts.
The Appellant will ensure that his registration will not be used to trade in motor vehicles where he knows, or ought to know, that trading motor vehicles will facilitate an illegal or unethical practice.
The Appellant will create bills of sale, which accurately record the true nature of transactions involving the trade of a motor vehicle. The Appellant will not be involved in the creation of bills of sale, which are false or misleading as to the true nature of a transaction involving the trade of a motor vehicle.
The Appellant will not conduct business with any person acting as a motor vehicle dealer and trading in motor vehicles without first confirming that the person is registered as a motor vehicle dealer in accordance with the MVDA.
UNAUTHORIZED EXPORT AND/OR NOMINEES
The Appellant understands that a nominee is a name and/or identity under which a motor vehicle is purchased and/or registered to conceal the identity of the actual buyer of the vehicle.
The Appellant will not knowingly use nominees for the purpose of selling or acquiring motor vehicles.
The Appellant will not sell motor vehicles to a person or business if the Appellant knows, or ought to know, that the motor vehicle is being purchased for the purpose of export in contravention of an express motor vehicle dealership policy.
DISCLOSURE
The Appellant shall ensure that all trades in motor vehicles are completed in accordance with section 30 of the MVDA and pursuant to sections 39, 40, 41, 42 and 43 of Ontario Regulation 333/08 and section 4 of Ontario Regulation 332/08, where applicable.
The Appellant will disclose all material facts about the motor vehicles for purchase or lease to his customers. The Appellant will further agree that, notwithstanding whether or not they consider a fact to be material, he will comply with his disclosure obligations. The Appellant further agrees to disclose all material facts on the Bill of Sale, in writing. The Appellant will ensure compliance with this disclosure obligation notwithstanding whether or not the vehicle has been branded through the MTO. For greater certainty, a material fact is one that, if disclosed, could affect the decision of a reasonable person to purchase or lease the vehicle or affect the purchase price.
In the case of damaged vehicles, the Appellant further agrees to disclose as much detail as possible regarding the nature and severity of the damage.
The Appellant undertakes to independently research the history of all the motor vehicles under trade to ensure that all material facts are disclosed.
The Appellant agrees not to represent any charges or fees on a Bill of Sale as being required by law where the charges or fees are not required by law. For greater clarity, this includes charges or fees such as tax, registration fee or certification.
The Appellant will comply promptly with all requests made by the Registrar in relation to any failure to comply with disclosure obligations.
PROFESSIONALISM
The Appellant further agrees to read all correspondence and bulletins issued by the Ontario Motor Vehicle Industry Council (OMVIC).
The Appellant acknowledges that, pursuant to section 14 of the MVDA, the Registrar may request information from them in relation to any complaints, and that they are under a duty to reply to the Registrar’s request for information as soon as practicable.
The Appellant will be courteous, honest and professional in any written or other communication with the Registrar, the Registrar’s representatives, other registrants, consumers or others.
ACKNOWLEDGMENT AND UNDERTAKING
The Registrar is relying on the accuracy and completeness of all documents, statements or information provided by the Appellant.
The documents, information or statements provided to the Registrar are true to the best of the Appellant’s knowledge and belief.
The Registrar may take further administrative action, including a proposal to suspend or revoke registration, arising from any matters that have occurred or may occur related to honesty and integrity, financial responsibility or compliance with these terms and conditions.
Independent legal advice has been obtained, or the Appellant has had the opportunity to obtain independent legal advice, respecting consent to the Terms and Conditions contained in this document.
Signed in the City of this day of 20 .
Signature of Appellant
George Chan
These Terms and Conditions are accepted by the Registrar, Motor Vehicle Dealers Act, 2002.
Date:
Mary Jane South
Registrar, Motor Vehicle Dealers Act, 2002.