New automotive laws in Alberta effective Oct. 31, 2018

DATE: | Industry bulletins

Additional laws involving detailed bills of sale, extensive vehicle history disclosure and repair authorizations means consumers in Alberta have more clarity in automotive transactions. The Automotive Business Amendment Regulation (ABAR) takes effect on Oct. 31, 2018. Some of the new regulations include but are not limited to:

  • Vehicle history disclosure prior to sale must disclose previous damages by fire or flood, repairs over $3,000, use as a rental/taxi/emergency vehicle and status;
  • Specific itemized information and costs listed on a bill of sale must include trade-in value and a declaration the business has disclosed vehicle history to a consumer;
  • AMVIC will have the ability to create a mandatory vehicle purchase deposit agreement form;
  • Detailed, written service and repair and/or diagnostic cost estimates must be provided to consumers upon request; and
  • Authorization of service and repair must be obtained from consumers.

AMVIC highly recommends all automotive businesses and salespeople review the new requirements and make any operational or system changes necessary in order to be compliant as of Oct. 31, 2018. A link to the complete Automotive Business Amendment Regulation will be available at amvic.org on Oct. 31, 2018. Prior to Oct. 31, 2018 the laws can be found on the Gazette at www.qp.alberta.ca/documents/gazette/2018/pdf/13_July14_Part2.pdf (pg. 613 – 628).

AMVIC has developed new materials and information available at amvic.org, including:

“The new laws ensure consumers have a clear understanding of a vehicle’s history and a concise breakdown of the financial aspects of the purchase,” said Bill Burnett, Chair of the AMVIC Board of Directors. “Transparent automotive transactions benefit all involved by creating a fair marketplace for consumers and businesses alike.”

Please note AMVIC is updating the Salesperson Fair Trading Act Course to include the new legislation.

The new legislation means that AMVIC, as a regulatory agency, will be subject to the Alberta Public Agencies Governance Act (APAGA). Consumer protection through education and industry regulation will remain AMVIC’s mandate and there will be no changes in day-to-day operations.

If you have questions after reviewing the new legislation please call AMVIC at 1-877 979-8100. Watch for a special edition of Impact in the coming weeks with more information.