Damage or damages
Dealers are required to declare to a buyer any damages to a vehicle needing $2,000 or more to repair. This is not limited to damages from accidents. In addition, this amount is the cumulative total of all incidents, not just a single incident that exceeds $2,000.
Any advertisement by a vehicle dealer or group of dealers.
The cost of a specific vehicle to the dealer minus any discounts, volume rebates or other reductions from the manufacturer or supplier in the cost of placing that vehicle in the dealer inventory. Dealer cost must not include any allocation for the dealer's overhead, operating expense or profit.
Any documentation, administration and other negotiable processing fees dealers may add to the price of a vehicle. If they are non-negotiable they should be included in the advertised “total price” of the vehicle. They must be disclosed to a buyer prior to the negotiation of a final price and not a surprise.
A stock of new or used vehicles that a dealer has on hand and which the dealer has authority to sell.
A warranty on a used vehicle provided by a dealer that is usually limited to a specific period of time and distance travelled, and may include coverage limits such as a power train warranty or a savings on labour.
Dealership Mechanical Inspection
An inspection completed by the dealership staff and provided to the buyer. Dealership inspections can be very limited or very comprehensive. Always request a copy if one is not provided.
At time of sale a dealership must declare:
•Is the vehicle suitable for transportation in compliance with the Motor Vehicle Act?
•Has the vehicle ever been used as the following: taxi, police vehicle, emergency vehicle, organized racing, lease vehicle or rental vehicle?
•Has the vehicle ever been registered outside British Columbia?
•Has the vehicle sustained damages requiring repairs totaling more than $2000?
•Where the vehicle is new, has the vehicle sustained damages requiring repairs more than 20% of the asking price of the vehicle?
•Does the odometer of the vehicle accurately report the true distance travelled by the motor vehicle?
The motor dealer must also declare that the motor vehicle meets the requirements of the Motor Vehicle Act, or if it is not suitable for transportation, must state that in all written representations about that vehicle.
A vehicle that has been used by a motor dealer in the course of normal business operations and was acquired new. If the vehicle has never been registered to a new owner it is still considered a new vehicle, but the use as a demo must be disclosed.
When a payment is taken as part of a transaction, a deposit may be a separate agreement for a variety of services. It could be an agreement for services, to hold a vehicle, to locate a vehicle, to bring in a vehicle, and/or to arrange financing for a vehicle. It can be refundable or non-refundable based on what is agreed. To be sure the terms are clear, a written “deposit agreement” is recommended. Info from the Office of Consumer Affairs.
A written agreement that describes deposit terms and conditions. This can include the purpose of the deposit and whether the deposit is, or will become, a down payment or partial payment for a vehicle.
An optional insurance plan which covers the policy holder in cases of short and/or long term disability. The amount of coverage varies from plan to plan. The law gives a buyer the option of obtaining this coverage from an insurer of their choice.
Dealers are required to disclose or tell a buyer anything that would be “material” to their decision to buy or not buy a vehicle. This is in addition to specific “declarations” that must be made during every vehicle transaction.
A vehicle status. Any insurance company can designate a vehicle as Dismantle Only, which means that the vehicle cannot be repaired and driven.
Long distance sales completed online or by fax, mail, or phone, must follow the same requirements as an in-person sale. If prices vary for the same vehicle in different active ads by the same dealer, you are entitled to the lowest price.
A negotiable fee charged by a dealer for services such as administration, vehicle registration, a lien check, or vehicle history report. Fees of this type must be included in the advertised total price of a vehicle unless clearly disclosed as additional.
A sum of money to be paid by the buyer as an initial part of the purchase price.