Motor Vehicle Advertising and Information Disclosure

Licensed vehicle dealers must follow provincial laws when advertising and selling vehicles. They must tell you the facts about the vehicle’s history, condition, and pricing so you can make an informed decision before purchasing the vehicle.

Motor Vehicle Advertising Rules

Rules for motor vehicle advertisements exist so consumers can have a reasonable idea of the vehicles for sale, including price and availability. The rules apply to:

Advertised Prices

  • Must be an all-in price which includes all fees or charges, such as administration fees, freight, PDI, mandatory pre-installed product and service charges as well as any fees that may be added in the financing office.
  • May exclude the retail sales tax and the federal goods and services tax (PST and GST) but only if the advertisement indicated they are not included.
  • Must not be calculated based on the inclusion of any special deduction or circumstance.
  • Must not show the amount and timing of the payments for a vehicle in a manner that is more prominent than the total price for the vehicle.

Price Negotiations

  • Dealerships can charge any fees as long as they are clearly stated and included in the total price of the vehicle at the time of purchase.
  • Businesses should not charge any additional fees on top of an agreed upon purchase price.
  • Consumers should not assume PST and GST are included in the negotiated price.

Photographs

  • Must be a reasonable representation of the vehicle for sale
  • If the photo is of a vehicle with options (such as a sunroof and spoiler) that are not included in the base model, the price of the base model vehicle must be written in a font of equal or greater size as the font for the price of the photographed vehicle.

Vehicle Availability

  • Advertisements may be placed only if the vehicle is in the dealer’s inventory at the advertised price while the price is in effect.
  • If a vehicle is available for a limited time period, the advertisement must indicate the time period the vehicle is available.
  • If a limited number of vehicles are available at an advertised price, the dealer must indicate the number of vehicles available.

Statements in Advertisements

  • The term “wholesale” may only be used if the trade being induced is between dealers.
  • Advertisements must state if the vehicle is being sold on consignment.
  • • The term “demo vehicle” or other similar terms may only be used if the vehicle was acquired new by the dealership and used only for normal business operations, such as test drives at the dealership or if a brand-new vehicle given to dealership staff to drive.
  • Advertisements must not state a minimum value is guaranteed as a trade-in allowance.
  • Claims of superiority about a dealer must not be made unless they can be substantiated.
  • Advertisements stating a vehicle is the recipient of an award must indicate the name of the award and date the award was received.

Vehicle Information Disclosure

The following information must be clearly written in your sales contract, and the dealer must tell you about it before you sign it.

Licensed dealers have to give you the vehicle information number (VIN) of the particular vehicle you intend to buy. You should use this to do a lien search through the Personal Property Registry and to get a vehicle history report, which you can do on the Internet by searching “vehicle history report Canada”.

Licensed dealers must tell you if the vehicle:

  • is new or used
  • is no longer under the manufacturer’s warranty because it has been cancelled
  • was declared a lemon in another jurisdiction
  • has been bought back by the manufacturer through the Canadian Motor Vehicle Arbitration Plan (CAMVAP)*
  • was damaged by flood or fire
  • has been used as an emergency vehicle (ex: police, fire, ambulance)
  • has been used as a taxi or limo
  • has been rented on a daily or other short-term basis
  • was written off and branded as salvageable
  • has been made to look as if it is a better model than it actually is (or “rebadged” )
  • is significantly different from the original or advertised model of the vehicle
  • has been damaged and the cost of repairs from one incident was more than $3,000 (If the actual total cost of repair is known, the dealer must tell you.)
  • is new to Manitoba, and if so, where it was previously registered

Licensed dealers must also tell you any other facts about the history or condition that might affect your decision to buy the vehicle.

* Note: CAMVAP is a program that helps resolve disputes with a manufacturer about defects in assembly or materials, or how the manufacturer is applying or administering its new vehicle warranty.

Disputes are resolved through binding arbitration.

Applicable Legislation

Helpful Links

If you have concerns about the purchase of a vehicle from a business, contact the Consumer Protection Office:

Consumer Protection Office
302-258 Portage Avenue
Winnipeg, Manitoba R3C 0B6

Telephone (Winnipeg and area): 204-945-3800
Toll-free within Manitoba: 1-800-782-0067
Fax: 204-945-0728
Email: consumers@gov.mb.ca
Website: Consumer Protection Office