32.1. Section 55 of the
Act applies to an agreement between an
individual and a business operator in which the
operator agrees to sell on consignment a motor
vehicle of the individual.
32.2. Despite subsection 32.1, section 55 of
the Act does not apply in respect of a sale of
a motor vehicle by public auction:
(a) by an auction sales business that holds an
auction sales business license under the Act,
or
(b) that is referred to in section 120(1) of
the Act.
33.1. A consignment
agreement must be in writing and be signed by
the business operator and the consignor.
33.2. A consignment agreement must:
(a) set out the name, business address and
business phone number of the business operator;
(b) set out the name, address and phone number
of the consignor;
(c) set out a complete description of the
motor vehicle being consigned, including
(i) its vehicle identification number,
(ii) the year, make, model number, colour,
number of doors and options of the vehicle,
(iii) the odometer reading of the vehicle, and
(iv) the history of the vehicle within the
consignor’s knowledge, setting out any
accident, special uses of the vehicle, such as
police or taxi use, whether it was owned by a
rental company and any other information that a
reasonable buyer would want to be aware of in
determining a price for the vehicle;
(d) describe the consignor’s ownership
interest in the motor vehicle and, if the
consignor has knowledge that the vehicle is
subject to one or more liens, list those liens;
(e) set out when the agreement ends and what
happens to the motor vehicle if it has not been
sold when the agreement ends;
(f) set out the disbursements, fees and
commissions that the business operator may
charge the consignor for services provided by
the operator;
(g) set out the minimum amount that the
consignor will receive from the business
operator for the sale of the motor vehicle and
whether the consignor will accept another
vehicle or other personal property as part of
the minimum amount;
(h) set out who is responsible for insuring
the motor vehicle during the term of the
agreement;
(i) set out any repairs or other work on the
motor vehicle that the consignor authorizes the
business operator to perform and who is
responsible for paying for the repairs or other
work;
(j) contain the terms referred to in
subsection 33.3.
33.3. The following terms are deemed to be
contained in every consignment agreement:
(a) the business operator agrees not to use
the motor vehicle for the operator’s personal
use without the written consent of the
consignor;
(b) the business operator agrees to be the
trustee of any money, vehicles or other
personal property that the operator receives as
consideration for the sale of the motor vehicle
being consigned less an amount for the
operator’s disbursements, fees and commission;
(c) the business operator agrees to provide to
the consignor, within 14 days of the date of
sale of the motor vehicle, a copy of the bill
of sale that sets out the purchase price for
which the motor vehicle was sold if:
(i) the remuneration of the business operator
is based solely on a percentage of the purchase
price or a combination of a percentage of the
purchase price plus disbursements, or
(ii) after the consignment agreement is
signed, the consignor agrees to receive less
from the sale of the motor vehicle than the
amount originally agreed to in the consignment
agreement.
33.4. A business operator who enters into a
consignment agreement must give a copy of the
agreement to the consignor.
33.5. The provisions in a consignment
agreement that deal with the matters referred
to in subsection 33.2.(a) to (i) may be amended
with the consent of the parties to the
agreement.