OMVIC Practice Test

Can dealers bring customers to wholesale auctions to bid on vehicles, True or False?

1. True

2. False

The correct answer is: False

Dealers are not permitted to bring customers to wholesale auctions to bid on vehicles. Wholesale auctions are typically reserved for licensed dealers who purchase vehicles for resale. The purpose of these auctions is to provide a platform for dealers to buy inventory at wholesale prices without the involvement of the general public. Allowing customers to participate in these auctions would undermine the exclusivity and operational framework designed for licensed dealers. This separation is also to protect consumers, ensuring they purchase vehicles through established retail channels where additional regulations and consumer protection measures are in place. Thus, it is against the operational rules governing these auctions for dealers to have customers bid on their behalf.