OMVIC Practice Test

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Dive into the OMVIC Practice Test and test your knowledge on laws, regulations, and ethical practices in the automotive industry. Perfect for aspiring dealers and salespersons to validate their expertise!

Each practice test/flash card set has 50 randomly selected questions from a bank of over 500. You'll get a new set of questions each time!

Practice this question and more.

What happens to a trade-in upon contract rescission due to failure in required disclosures?

The dealer must return the trade-in vehicle
The buyer keeps both vehicles
The dealer must refund the trade-in amount indicated on the contract
The trade-in is considered a separate transaction and is not affected

The correct answer is: The dealer must refund the trade-in amount indicated on the contract

Upon contract rescission due to failure in required disclosures, the trade-in vehicle must be refunded to the buyer. This is because the trade-in is considered part of the overall contract and its value must be returned to the buyer. Options A and B are incorrect as they suggest that the trade-in stays with the dealer or the buyer, respectively. Option D is incorrect because the trade-in is not a separate transaction and is affected by the rescission of the overall contract.