CCAA’s investigation of vehicle dealership contracts revealed significant disparities, highlighting practices favoring sellers and leaving consumers vulnerable to unclear terms, harsh penalties, and limited recourse. The study found many dealerships omitted crucial information. The study revealed that dealerships often lack critical clauses, such as cancellation terms and refund policies, and provide vague or unclear terms, limiting consumers’ ability to review them in advance. Additionally, only a few dealerships allow pre-purchase inspections. The CCAA is urging the government to introduce minimum standards for vehicle sales terms and conditions, including full disclosure and accessibility for informed decision-making.
Other suggestions include requiring warranty coverage of at least two years or 40,000 kilometers, whichever comes first; allowing order cancellations within a set period, like seven days, with minimum administrative fees; and having clearly stated refund procedures with timetables. The CCAA also emphasizes the right to independent pre-purchase examinations and the necessity of complete disclosure of the vehicle’s history. According to the report, dealerships should have easily accessible complaint procedures, such as explicit deadlines and alternate dispute resolution procedures like arbitration or mediation. Regarding data privacy, the CCAA mandates the implementation of fundamental safeguards.