This publication is intended to provide general information only and is not a substitute for legal advice.

volume 1, 2018

AMVIC hires new Chief Executive OfficerThe Alberta Motor Vehicle Industry Council (AMVIC) Board of Directors is pleased to announce that Malcolm Knox has filled the position of Chief Executive Officer (CEO) effective Jan. 29, 2018.

“Mr. Knox has extensive qualifications and executive experience, with a proven track record managing change in regulated business environments,” said Bill Burnett, AMVIC Board of Directors’ Chair. “We are excited Malcolm has agreed to join us as AMVIC continues to emphasize consumer protection

while implementing changes to the automotive industry through the Consumer Protection Act (formerly the Fair Trading Act) and associated regulations.”

A highly organized strategic thinker, analytical problem solver, planner, and project manager, Knox sees both the big picture and the detail. Experienced in the private and public sectors, Knox brings strategic leadership, effective operation of administrative systems and structures to support AMVIC’s mission to protect consumers and

promote trust and confidence in Alberta’s motor vehicle industry.

“As regulator of Alberta’s automotive industry, it is our mandate to protect consumers and we are always looking for ways to improve our consumer education and industry engagement,” says Malcolm Knox, AMVIC CEO. “I look forward to strengthening our relationships and educational efforts with consumers and stakeholders.”

Red Deer industry session in MarchAMVIC will be hosting an industry information session for automotive businesses at the Radisson Red Deer on March 6, 2018.

To help address the need for compliance with automotive advertising regulations, the session will focus on advertising laws and the corresponding requirements. The session will also cover topics such as the differences between inspections and investigations, administrative penalties and licensing. Participants

will also have a chance to ask questions and provide input. AMVIC strongly encourages all automotive businesses in Red Deer and area to attend.

New AMVIC CEO, Malcolm Knox will be opening the session.

More sessions will be held in other parts of the province. Dates to be announced.

Date: Tuesday, March 6, 2018Location: Radisson Red Deer (6500 67 Street)Time: 11 a.m. to 1:30 p.m.(Lunch will be provided)

Please RSVP to media@amvic.org with “Red Deer session” as the subject line and indicate the number of attendees. Due to lunch being provided, RSVPs are highly encouraged.

IMPORTANT:

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AMVIC inspections also apply to service and repair

Inspections are an important mechanism to enhancing consumer confidence as Alberta’s automotive industry complies with the Consumer Protection Act (formerly the Fair Trading Act), Traffic Safety Act and associated regulations.

Inspections provide opportunities for licensed automotive businesses to learn more about and ask for clarification on the automotive legislation and regulations.

Businesses are required to co-operate with any inspections being performed as stated in the Consumer Protection Act section 145(6), a licensee and any person working in the business premises of a licensee must co-operate with an inspector acting under the authority of this section.

Under the act, AMVIC has the authority to perform inspections on all licensed automotive businesses within Alberta and this includes service and repair businesses.

Although AMVIC often gives notice before an inspection,

an inspection can be performed with or without prior notice. Section 145(1) of the Consumer Protection Act states an inspector may enter the business premises of a regulated person at any reasonable time to conduct an inspection to determine if there is compliance with the Act and regulations.

Inspections typically involve examining transactions from the previous three years as all licensees and former licensees have a duty to maintain complete and accurate financial records of its operations in Alberta for at least three years (section 132(1)), and these records must be made available for inspections (section 132(2)).

Section 9 of the Automotive Business Regulation also states that business operators must maintain all records and documents created or received for at least three years. This includes advertisements such as print ads and online ads, which are a part of the inspection.

Visit the Inspections FAQ for more details.

All salespeople must be registered Just because a salesperson successfully completed the Salesperson Fair Trading Act Course does not mean he or she can legally sell vehicles in Alberta.

Licensees must ensure that all salespeople are registered with AMVIC before they take part in any negotiations or transactions, stated in section 16(1) of the Consumer Protection Act (formerly the Fair Trading Act): a salesperson of an automotive sales business operator must be registered for automotive sales before acting on behalf of the business operator.

During the registration application process, AMVIC requires the salesperson to successfully complete the online course to show that he or she understands the legal requirements under the Consumer Protection Act (Section 17(1)(c)).

However, passing the online exam is only one requirement needed to complete the registration. Criminal background checks and other documents still must be reviewed by an AMVIC Licensing Advisor before approving a registration (Section 17(1)(b)).

When a registration is approved, AMVIC will provide the registrant with a certificate that proves they are registered with AMVIC. Section 23 states that every registrant must produce the registrant’s certificate of registration for inspections or provide details about the registration that make it possible to determine if the person is registered when requested to do so.

The certificate of registration is not to be confused with the certificate an applicant receives when they complete the Salesperson Fair Trading Act Course. That certificate simply states the applicant has successfully passed the online exam, but it does not mean that the registration was approved.

Approval of a salesperson registration is not guaranteed and other factors may result in a proposal to deny the application or impose conditions on the registrations.

If you have any inquiries regarding the status of a registration application, please call AMVIC’s licensing department at 1-877-979-8100 ext. 2001.

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Advertising with click adsClick ads such as Google AdWords can drive traffic to your website, but may have space limitations. AMVIC advises that if the click ad is advertising a specific vehicle, then the click ad must direct the user to a page dedicated to the specific vehicle that discloses all information, and not just the general or main landing page on your website.

Ensure that the specific page also follows all advertising rules, including stating the all-in price.

The advertising module from AMVIC’s Salesperson Fair Trading Act Course is available online for free.

Bill 31 and the Consumer Protection ActBill 31: A Better Deal for Consumers and Businesses Act has passed and amended the name of the Fair Trading Act to the Consumer Protection Act.Amendments to the legislation will allow the Minister to establish a Consumer Bill of Rights, prohibit contract clauses that restrict negative reviews, prohibit businesses from using or enforcing mandatory arbitration clauses in contracts, and established new regulation making powers related to ticket selling, high-cost credit, and automotive businesses.The proposed automotive changes will generally include, but are not limited to: • Require automotive businesses to disclose to

consumers essential vehicle information, such as vehicle history

• Establishing requirements for standard bills of sale for automotive businesses

• Establish minimum warranty requirements for automotive repairs

• Require repair shops to provide written estimates to consumers, upon request, prior to beginning work, and

• Require time stamped work authorizations for repairs.

AMVIC will also transition into a statutory corporation subject to the Alberta Public Agencies Governance Act (APAGA). This transition will finalize any outstanding governance recommendations of the 2016 Report on AMVIC Governance and Operations. This will not affect the day-to-day operations of AMVIC. The AMVIC board has approved replacing the Fair Trading Act with the Consumer Protection Act within appropriate documents. This process has begun and will continue until complete. AMVIC looks forward to increasing accountability and transparency within the automotive industry in order to achieve its mandate of consumer protection.

Click here to study up on advertising!

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Benefits of being an AMVIC-licensed business• Allows you to conduct automotive business in Alberta. • Provides you with access to education courses and other

learning resources to help ensure you are fully aware of and understand the Consumer Protection Act, and the requirements that must be met when dealing with consumers.

• Consumers have more trust and confidence in you.• Consumers who buy from AMVIC-licensed dealers may be

eligible to make a claim under AMVIC’s compensation fund. • AMVIC provides information, in the form of e-bulletins and

the IMPACT newsletter, on applicable laws and regulations, including examples of how they apply to real life scenarios.

• A better reputation for your business and the industry.

• You contribute to a fair marketplace for consumers.

• AMVIC helps to create a level playing field for industry as a whole by enforcing laws.

• Access to AMVIC inspections, including recommendations for best compliance practices.

• AMVIC conducts criminal record checks on all salespeople and business applicants to protect licensees and consumers.

• You and your customers have access to professional complaint handling mechanisms, including alternate dispute resolution and investigations.

AMVIC visits SAITThe Communications team visited the Southern Alberta Institute of Technology (SAIT) to present to students in various automotive programs about AMVIC.

Instructors requested AMVIC to teach the students about what AMVIC does, the laws and regulations that apply to their career and the importance of being AMVIC-licensed. The presentation was catered to specific repair-based programs, but also covered new and used sales.

Laura Meador, communications officer and SAIT alumni, presented to roughly 110 students on Friday, Jan. 26. Students asked questions on curbing, automotive repair licenses, all-in pricing and enforcement actions.

AMVIC’s communications team is actively seeking opportunities to present at other Alberta educational institutions to raise awareness and compliance within the industry.

AMVIC at the 2018 Calgary RV Expo & SaleThousands of consumers visited the 2018 Calgary RV Expo & Sale from Thursday, Jan. 25 to Sunday, Jan. 28 and had the chance to learn more about their automotive regulator.

AMVIC staff informed attendees about all-in pricing, how AMVIC can help with the vehicle buying process and the importance of shopping at licensed businesses.

AMVIC will be at the Calgary International Auto and Truck Show in March and then the Edmonton Motorshow in April.