OMVIC Practice Test

Which of the following must be in the contract for the sale of a used vehicle?

1. The VEHICLE SOLD "AS-IS" statement

2. The dealer's personal information

3. A detailed maintenance history of the vehicle

4. A specific definition of "as-is" in the contract

The correct answer is: The VEHICLE SOLD "AS-IS" statement

The correct answer is the inclusion of the "AS-IS" statement in the contract for the sale of a used vehicle. This statement is crucial because it clearly communicates that the vehicle is being sold in its current condition, without any warranties or guarantees from the seller regarding its performance, safety, or quality. When a buyer agrees to purchase a vehicle on an "as-is" basis, they acknowledge that they accept any risks associated with the vehicle, including existing issues that may not be apparent at the time of sale. In addition to safeguarding the dealer from future claims regarding the vehicle's condition, the "AS-IS" statement also helps ensure transparency in the transaction. Buyers need to understand that they are assuming responsibility for any potential repairs or defects that may arise after the purchase. This statement serves to protect both parties: the buyer knows the vehicle's sale terms, and the seller is less liable for post-sale issues. While the other options may provide useful information for the buyer, they do not carry the same legal significance or necessity in the contract as the "AS-IS" statement does.