Section 1 definitions of "administrative agreement", "authority" and "salesperson" were added by 2003-61-1(a), effective April 1, 2004 (BC Reg 128/2004).
Section 1 definition of "motor dealer" BEFORE amended by 2003-61-1(b), effective April 1, 2004 (BC Reg 128/2004).
"motor dealer" means a person who, in the course of business,
(a) engages in the sale or exchange of motor vehicles, whether for the person's own account or for the account of another person, or who holds himself or herself out as engaging in the sale or exchange of motor vehicles,
(b) advertises, exhibits or offers motor vehicles for sale or exchange by him or her, or
(c) with or without remuneration, acts as a motor vehicle broker or, as an agent, sells motor vehicles on commission,
and includes a person who carries on any of the activities described in paragraphs (a) to (c) in respect of at least 5 motor vehicles within a 12 month period but does not include a person exempted by regulation;
Section 1 definition of "registered" BEFORE amended by 2003-61-1(c), effective April 1, 2004 (BC Reg 128/2004).
"registered" means registered under this Act;
Section 1 definition of "motor dealer" BEFORE amended by 2004-24-1(c), effective April 29, 2004 (Royal Assent).
"motor dealer" means a person who, in the course of business,
(a) engages in the sale or exchange of motor vehicles, whether for the person's own account or for the account of another person, or who holds himself or herself out as engaging in the sale or exchange of motor vehicles,
(b) advertises, exhibits or offers motor vehicles for sale or exchange by him or her, or
(c) with or without remuneration, acts as a motor vehicle broker or, as an agent, sells motor vehicles on commission,
Section 1 definition of "salesperson" BEFORE amended by 2004-24-1(e), effective April 29, 2004 (Royal Assent).
"salesperson" means a person, other than a motor dealer, who, on behalf of a motor dealer and for or in the expectation of a fee, gain or reward,
(a) solicits, negotiates or arranges for the sale of a motor vehicle to an individual, or
(b) in any way participates in the soliciting, negotiating or arranging for the sale of a motor vehicle to an individual;
Section 1 definition of "manufactured home" BEFORE repealed by 2004-24-1(b), effective December 1, 2006 (BC Reg 264/2006).
"manufactured home" means a manufactured home as defined in the Manufactured Home Act;
Section 1 definition of "motor vehicle" BEFORE amended by 2004-24-1(d), effective December 1, 2006 (BC Reg 264/2006).
"motor vehicle" means a motor vehicle as defined in the Motor Vehicle Act and includes a trailer, motor home and manufactured home but does not include a motorized snow vehicle, electric trolley bus, farm tractor or other self propelled machinery primarily intended for farming, construction, mining or logging purposes, or a motor vehicle exempted by the regulations;
Section 1 (1) definitions of "broker-agent", "broker-agent representative", "compensation fund" and "wholesaler" were added by 2016-6-2(a) and (c), effective May 19, 2016 (Royal Assent).
Section 1 (1) definition of "claim" BEFORE amended by 2016-6-2(b), effective May 19, 2016 (Royal Assent).
"claim" means an application for compensation from the fund for loss arising from a transaction by a motor dealer involving the disposition of a motor vehicle;
Section 1 (1) definition of "fund" BEFORE repealed by 2016-6-2(c), effective May 19, 2016 (Royal Assent).
"fund" means the Motor Dealer Customer Compensation Fund continued under section 14;
Section 1 (1) definition of "motor vehicle" (part) BEFORE amended by 2017-10-63,Sch 4, effective November 2, 2017 (Royal Assent).
"motor vehicle" means a self propelled vehicle designed or used primarily for travel on a highway as defined in the Highway Act, and includes a trailer, as defined in the Motor Vehicle Act, designed or used primarily for accommodation during travel or recreation, but does not include
Section 1 (1) definitions of "administrative penalty", "advancement fund", "compliance order", "consumer", "inventory", "property freezing order", "supplier" and "undertaking" were added by 2016-6-1, effective January 1, 2018 (BC Reg 200/2017).
Section 1 definition of "motor vehicle", paragraph (b) BEFORE amended by 2019-36-117, effective April 5, 2021 (BC Reg 90/2021).
(b) a farm tractor or motor assisted cycle, as those terms are defined in the Motor Vehicle Act,
Section 1 (1) definition of "motor dealer", paragraph (b) BEFORE amended by 2023-10-599, effective March 30, 2023 (Royal Assent).
(b) holds himself, herself or itself out as engaging in the disposition of motor vehicles under paragraph (a), or
Section 1 (1) definition of "motor vehicle" BEFORE amended by 2023-17-41, effective April 5, 2024 (BC Reg 247/2023).
"motor vehicle" means a self-propelled vehicle designed or used primarily for travel on a highway as defined in the Highway Act, and includes a trailer, as defined in the Motor Vehicle Act, designed or used primarily for accommodation during travel or recreation, but does not include
(a) an all terrain vehicle, as defined in section 1 of the Motor Vehicle Act Regulations,
(b) a farm tractor, motor assisted cycle or regulated motorized personal mobility device, as those terms are defined in the Motor Vehicle Act,
(c) machinery primarily intended for construction, mining or logging purposes, or
Section 2 (2) BEFORE amended by 2003-61-3, effective April 1, 2004 (BC Reg 128/2004).
(2) The registrar must
Section 2 (2) (b) BEFORE amended by 2007-14-212,Sch, effective December 1, 2007 (BC Reg 354/2007).
(b) under the direction of the minister, exercise the powers and perform the duties conferred or imposed on the registrar under this Act and the regulations,
Section 3 (1) (b) BEFORE amended by 2016-6-3(a), effective April 1, 2018 (BC Reg 200/2017).
(b) other than in the person's registered name or elsewhere than at or from the person's business premises.
Section 3 (2) BEFORE amended by 2023-10-600, effective March 30, 2023 (Royal Assent).
(2) Except as provided in section 13, a person must not advertise or in any way indicate that he or she is registered or licensed under this Act.
Section 4 (1) BEFORE amended by 2003-61-4, effective April 1, 2004 (BC Reg 128/2004).
(1) An application for registration must be made in the prescribed form to the registrar and be accompanied by the prescribed fee.
Section 6 BEFORE amended by 2016-6-4, effective May 19, 2016 (Royal Assent).
Hearing if requested
6 If the registrar proposes to
(a) refuse to register or refuse to renew registration,
(b) cancel the registration, or
the registrar must notify the applicant, or the holder of a certificate of registration, by registered mail that
(d) he or she has the right to be heard at a date and place specified in the notice, and
(e) if the applicant or holder does not attend at that time and place, the matter may be disposed of in the absence of the applicant or holder.
Section 6 (d) BEFORE amended by 2023-10-601, effective March 30, 2023 (Royal Assent).
(d) he or she has the right to be heard at a date and place specified in the notice, and
Section 8.1 (2), (3), (4) and (5) BEFORE amended by 2016-6-5, effective January 1, 2018 (BC Reg 200/2017).
(2) For the purposes of this section, the Lieutenant Governor in Council may prescribe provisions of Part 2, except Division 3, and Part 5 of the Business Practices and Consumer Protection Act.
(3) A regulation made under subsection (2) may also
(a) identify certain rights and powers, including rights and powers in relation to inspections, inquiries and enforcement, and rights and powers to impose enforcement remedies and penalties, that the registrar or director may exercise under one or more of this Act and Part 10 of the Business Practices and Consumer Protection Act,
(b) prescribe which of the rights and powers under paragraph (a), if any, the registrar or director may exercise in relation to a prescribed provision of Part 2 or 5 of the Business Practices and Consumer Protection Act, and
(c) apply, in whole or in part, one or more provisions of this Act and Part 10 of the Business Practices and Consumer Protection Act to any exercise by the registrar or director of a right or power that the registrar or director would not, without the regulation referred to in paragraph (b) of this subsection, otherwise be entitled to exercise.
(4) If the Lieutenant Governor in Council makes a regulation under subsection (2),
(a) the registrar and director each have and may exercise, in relation to the prescribed provisions of Parts 2 and 5 of the Business Practices and Consumer Protection Act, the rights and powers, if any, prescribed for them under subsection (3) of this section,
(b) contravention of a prescribed provision of Part 2 or 5 of the Business Practices and Consumer Protection Act by a person is grounds for the registrar or director, as the case may be, to determine that it is not in the public interest for the person to be registered or to continue to be registered under this Act and, without limiting paragraph (a) of this subsection, the registrar or director, as the case may be, may exercise the rights and powers of the registrar under Part 1 of this Act that may be exercised in the event of that determination, and
(c) Part 13 of the Business Practices and Consumer Protection Act applies in respect of the contravention of a prescribed provision of Part 2 or 5 of that Act.
(5) Nothing in this section affects the rights and powers that the director may exercise in relation to a provision of Part 2 or 5 of the Business Practices and Consumer Protection Act that is not prescribed under subsection (2) of this section.
Section 8.1 (3) (a) BEFORE amended by 2018-39-17, effective October 31, 2018 (Royal Assent).
(a) identify certain rights and powers, including rights and powers in relation to inspections, inquiries and enforcement, and rights and powers to impose enforcement remedies and penalties, that the registrar or director may exercise under one or more of this Act and Part 10 of the Business Practices and Consumer Protection Act,
Section 11 BEFORE amended by 2023-10-603, effective March 30, 2023 (Royal Assent).
Registered name
11 A motor dealer must, subject to the applicable zoning and other bylaws of the municipality or regional district that has jurisdiction, maintain and occupy an established business premises identified by a sign naming the dealer as set out in the dealer's licence, where he or she must keep and maintain records of the business.
Section 13 (3) BEFORE repealed by 2004-24-2, effective December 1, 2006 (BC Reg 264/2006).
(3) Without limiting subsection (2), in the case of information affixed to a manufactured home, the motor dealer must make a fair disclosure of what is included in the sale, exchange or selling price.
Section 14 (4) BEFORE amended by 2003-54-27,Sch A, effective April 1, 2004 (BC Reg 11/2004).
(4) The amounts referred to in subsection (2) must be paid to the Minister of Finance and Corporate Relations, who
Section 14 (2), (3), (4) and (5) BEFORE amended by 2016-6-9(b), (c) and (d), effective May 19, 2016 (Royal Assent).
(2) In amounts, at times and in the manner prescribed by the Lieutenant Governor in Council, a motor dealer carrying on business in British Columbia must make payments to the fund through the registrar.
(3) The fund is a trust fund under the Financial Administration Act.
(4) The amounts referred to in subsection (2) must be paid to the Minister of Finance, who
(a) is the trustee of the fund,
(b) must invest the amounts and the earnings in investments permitted for a trust fund under section 40 of the Financial Administration Act, and
(c) must pay money out of the fund in accordance with directions from the board given under this Act.
(5) Any earnings of the fund under subsection (4) (b) become part of the fund.
Section 15 (7) BEFORE amended by 2007-9-57, effective June 21, 2007 (BC Reg 226/2007).
(7) The board and each member has the powers, privileges and protection of a commissioner under sections 12, 15 and 16 of the Inquiry Act.
Section 15 (3.1) (c) BEFORE amended by 389/2007 under RS1996-440-12, effective November 23, 2007 (BC Reg 389/2007).
(c) each member must be reimbursed for reasonable traveling and out of pocket expenses necessarily incurred in the discharge of board duties and, in addition, may be paid the remuneration set by the authority.
Section 15 (7) BEFORE amended by 2015-10-141, effective May 14, 2015 (Royal Assent).
(7) For the purposes of a hearing under this section, sections 34 (3) and (4), 48, 49 and 56 of the Administrative Tribunals Act apply to the board.
Section 15 (1) BEFORE amended by 2016-6-11, effective May 19, 2016 (Royal Assent).
(1) The Motor Dealer Customer Compensation Fund Board is continued to hear and decide claims against the fund.
Section 16 (5) BEFORE repealed by 2004-24-4, effective April 29, 2004 (Royal Assent).
(5) The board must prepare and file an annual report with the minister who must lay it before the Legislative Assembly,
(a) if the Legislative Assembly is sitting, within 90 days following the end of the fiscal year for which the report is made, or
(b) if the Legislative Assembly is not sitting, within 15 days after the opening of the next session.
Section 16 (1) BEFORE amended by 2016-6-12(a), effective May 19, 2016 (Royal Assent).
(1) The board has exclusive jurisdiction to hear and decide claims against the fund.
Section 16 (3) BEFORE amended by 2016-6-12(c), effective May 19, 2016 (Royal Assent).
(3) Despite subsection (2), the board may, at its discretion, reconsider its own decision.
Section 16 (4) BEFORE repealed by 2016-6-12(c), effective May 19, 2016 (Royal Assent).
(4) The board must follow the practices and procedures prescribed by the Lieutenant Governor in Council.
Section 17 (1) BEFORE amended by 2016-6-13, effective May 19, 2016 (Royal Assent).
(1) An application for compensation from the fund must comply with the regulations.
Section 17 (2) BEFORE repealed by 2016-6-14, effective January 1, 2018 (BC Reg 200/2017).
(2) An application for compensation from the fund must be filed with the registrar within 2 years from the refusal or failure of the motor dealer to pay.
Section 20 BEFORE re-enacted by 2016-6-17, effective May 19, 2016 (Royal Assent).
Claimant to repay fund for money received from debtor
20 (1) If the fund pays a person's claim and the person receives something of value from some other source in payment of the loss that led to the payment from the fund, the person must repay to the fund money equal to the value of the thing received from the other source.
(2) If the person fails to repay the fund, the government has a cause of action against the person for the amount unpaid.
Section 21 BEFORE re-enacted by 2016-6-18, effective May 19, 2016 (Royal Assent).
Money recovered belongs to fund
21 Money recovered by the government under section 20 is part of the fund, but the Lieutenant Governor in Council may order the board to pay all or part of the money to the claimant after deducting
(a) the amount paid out of the fund in respect of the claim,
(b) interest on the amount in paragraph (a) at the prescribed annual rate from the date of payment, and
Section 24 (1) BEFORE amended by 2003-61-5, effective April 1, 2004 (BC Reg 128/2004).
(1) If a claim is paid out of the fund against a motor dealer whose failure, insolvency, bankruptcy or receivership caused the claim, the registration of the motor dealer is cancelled.
Section 24 BEFORE re-enacted by 2016-6-21, effective May 19, 2016 (Royal Assent).
Effect of payment on motor dealer's registration
24 (1) If a claim is paid out of the fund, the registrar may cancel the registration of the motor dealer who caused the claim.
(2) If the registration of a motor dealer is cancelled under subsection (1), the motor dealer may not be registered again until the motor dealer has paid to the fund the amount paid out for the claim.
Part 2.1, sections 24.1 to 24.6 were enacted by 2003-61-6, effective April 1, 2004 (BC Reg 128/2004).
Section 24.2 (1) BEFORE amended by 2004-24-5, effective April 1, 2004 [retro from April 29, 2004 (Royal Assent)].
(1) If the minister enters into an administrative agreement with the authority, the Lieutenant Governor in Council may, by regulation, delegate to the authority the administration of any of the provisions of this Act and the regulations except the power to make regulations.
Section 24.6 (1) BEFORE amended by 2015-18-330, effective November 28, 2016 (BC Reg 216/2015).
(1) Despite the Society Act or any other Act, the Lieutenant Governor in Council, by order, may appoint an administrator to temporarily discharge the powers, duties and functions of the authority if the Lieutenant Governor in Council identifies an immediate and direct threat to the ability of the authority to function that could significantly compromise the protection of consumers or persons registered under this Act.
Section 24.6, first subsection renumbered from letter "l" to number "1" by 2018-39-18, effective October 31, 2018 (Royal Assent).
Section 26 (c) BEFORE amended by 2023-10-604, effective March 30, 2023 (Royal Assent).
(c) enter premises in which any motor vehicle owned, possessed or controlled by the motor dealer for his or her business is kept or stored, and
Section 27 (1) BEFORE amended by 2016-6-25, effective May 19, 2016 (Royal Assent).
(1) If the registrar has begun an investigation of a person under this Act and the registrar believes that it is necessary to protect individuals dealing with that person, the registrar may order, in writing or by telegram,
(a) a person having on deposit, or under his or her control, or for safekeeping, assets, trust funds or other property of the person being investigated, or a debtor of the person being investigated to hold the assets, trust funds or other property of, or money owing to, that person, in trust for a receiver, liquidator or trustee to be appointed under this Act or another enactment, or
(b) the person being investigated to refrain from withdrawing assets, trust funds or other property that are on deposit with, under the control of, or in the safekeeping of, another person, unless the registrar consents in writing to the release of all or part of them.
Section 27 (1) (a) BEFORE amended by 2023-10-602, effective March 30, 2023 (Royal Assent).
(a) a person having on deposit, or under his or her control, or for safekeeping, assets, trust funds or other property of the person being investigated, or a debtor of the person being investigated to hold the assets, trust funds or other property of, or money owing to, that person, in trust for a receiver, liquidator or trustee to be appointed under this Act or another enactment, or
Section 27 (4) (a) BEFORE amended by 2023-10-602, effective March 30, 2023 (Royal Assent).
(a) if in doubt as to the application of the order to assets, trust funds or other property on deposit with the person or under his or her control or in his or her safekeeping, or
Section 29 (1) (a) and (b) BEFORE amended by 2007-14-215,Sch, effective December 1, 2007 (BC Reg 354/2007).
(a) as may be required or permitted in the administration of this Act or the regulations or proceedings under this Act or the regulations,
(b) to the employee's counsel or to the court in a proceeding under this Act or the regulations,
Section 29 (2) BEFORE amended by 2007-14-215,Sch, effective December 1, 2007 (BC Reg 354/2007).
(2) Except in respect of a proceeding under this Act or the regulations, a person to whom subsection (1) applies is not, in a civil proceeding, compelled to give evidence respecting information obtained by the person in the course of his or her duties, employment, inquiry, inspection, examination, test or investigation.
Section 29 (1) (part) and (2) BEFORE amended by 2023-10-602, effective March 30, 2023 (Royal Assent).
(1) A person employed in the administration of this Act, including a person making an inquiry, inspection, examination, test or investigation under section 26, must maintain secrecy in respect of all matters that come to his or her knowledge in the course of his or her duties, employment, inquiry, inspection, examination, test or investigation, and must not communicate information obtained under this Act to another person not legally entitled to it except
(2) Except in respect of a proceeding under this Act, a person to whom subsection (1) applies is not, in a civil proceeding, compelled to give evidence respecting information obtained by the person in the course of his or her duties, employment, inquiry, inspection, examination, test or investigation.
Section 30 (1) BEFORE amended by 2007-14-215,Sch, effective December 1, 2007 (BC Reg 354/2007).
(1) A notice or order required to be given, delivered or served under this Act or the regulations is sufficiently given, delivered or served if delivered personally or sent by registered mail addressed to the person to whom delivery or service is required to be made at the person's last known address.
Section 30 BEFORE re-enacted by 2016-6-26, effective May 19, 2016 (Royal Assent).
Service of notices
30 (1) A notice or order required to be given, delivered or served under this Act is sufficiently given, delivered or served if delivered personally or sent by registered mail addressed to the person to whom delivery or service is required to be made at the person's last known address.
(2) If service is made by registered mail, the service is deemed to be made on the third day after the day of mailing, unless the person on whom service is being made establishes that he or she did not, acting in good faith, through absence, accident, illness or other cause beyond his or her control, receive the notice or order until a later date.
Section 30 (b) (iv) BEFORE amended by 2017-10-61,Sch 2, effective November 2, 2017 (Royal Assent).
(iv) by leaving a copy in a mail box or mail slot for the address at which the individual resides,
Section 30 (c) (iv) BEFORE amended by 2017-10-61,Sch 2, effective November 2, 2017 (Royal Assent).
(iv) by leaving a copy in a mail box or mail slot for the address at which that person carries on business, or
Section 30 (b) (vi) BEFORE amended by 2023-10-605, effective March 30, 2023 (Royal Assent).
(vi) by sending a copy by ordinary mail or registered mail to the address at which the individual is employed or engaged, if that individual has not provided to the registrar his or her residential or electronic mail address or has provided an incorrect residential or electronic mail address;
Section 30.1 (c) BEFORE amended by 2017-10-61,Sch 2, effective November 2, 2017 (Royal Assent).
(c) if given or served by leaving a copy in a mail box or mail slot, on the 3rd day after the notice or order is left;
Section 33 (1) (part) BEFORE amended by 2007-14-215,Sch, effective December 1, 2007 (BC Reg 354/2007).
under this Act or the regulations, purporting to be certified by the registrar, is, without proof of the office or signature of the registrar, receivable in evidence as proof of the facts stated in it for all purposes in a proceeding or prosecution.
Section 35 BEFORE re-enacted by 2003-61-7, effective April 1, 2004 (BC Reg 128/2004).
Offences and penalties
35 (1) A person who
(a) acts or carries on business as a motor dealer without a valid and subsisting certificate of registration,
(b) knowingly provides false information in an application under this Act, or in a statement or return required to be provided under this Act or the regulations,
(c) fails to comply with a condition of registration or an order or direction made under this Act,
(d) contravenes section 3, 11, 12, 13, 20 (1), 25, 26, 29 (1), 32 or 34, or
(e) contravenes a regulation made under this Act,
and every director or officer of a corporation who knowingly authorizes, permits or acquiesces in an act or omission referred to in this subsection, commits an offence and is liable to a fine of not more than $2 000 or to imprisonment for a term of not more than 6 months, or both.
(2) Despite subsection (1), if a corporation is convicted of an offence under subsection (1), the corporation is liable to a fine of not more than $4 000.
(3) If there is a continuing offence under subsection (1), the person convicted is liable to a fine of not more than $2 000 for each day that the offence continues.
(4) If a corporation is convicted of a continuing offence under subsection (1), the corporation is liable to a fine of not more than $4 000 for each day that the offence continues.
Section 35 (5) BEFORE amended by 2007-14-215,Sch, effective December 1, 2007 (BC Reg 354/2007).
(5) If a corporation commits an offence under this Act or the regulations, an employee, officer, director or agent of the corporation who authorizes, permits or acquiesces in the commission of the offence also commits an offence, whether or not the corporation is prosecuted for the offence.
Section 35.1 (1) (part) BEFORE amended by 2007-14-215,Sch, effective December 1, 2007 (BC Reg 354/2007).
(1) An individual who commits an offence under this Act or the regulations is liable
Section 36 BEFORE amended by 2007-14-215,Sch, effective December 1, 2007 (BC Reg 354/2007).
36 A prosecution for an offence under this Act or the regulations must not be commenced more than 2 years after the facts on which the proceeding is based first came to the attention of the registrar.
Section 38 (2) (e), (f) and (g) BEFORE amended by 2016-6-28(a), (b) and (c), effective May 19, 2016 (Royal Assent).
(e) respecting matters that may be prescribed under sections 14 (2), 16 (4) and 21 (b),
(f) respecting applications for compensation from the fund including
(ii) what losses are eligible for compensation,
(iii) the manner of making an application to the registrar, and
(iv) the maximum amount of compensation payable to a person or for a loss, and
(g) exempting a person or motor vehicle from this Act or the regulations.
Section 38 (2) (e) BEFORE amended by 2016-6-29(a), effective January 1, 2018 (BC Reg 200/2017).
(e) respecting matters that may be prescribed under sections 14 (2) and 21 (b),
Section 39 BEFORE amended by 2016-6-30, effective May 19, 2016 (Royal Assent).
Power to make regulations for the licensing of salespersons
39 Without limiting section 38, the Lieutenant Governor in Council may make regulations authorizing the authority to license salespersons, including, without limitation,
(a) respecting the issuance, suspension and revocation of licences,
(b) prescribing the fee for licensing and for renewal of licensing and the security required to be provided, including
(i) different fees and amounts of security for different classes of salespersons,
(ii) additional fees and amounts of security for each place where the salesperson works, and
(iii) respecting fees and charges payable for licences, licence applications and amendments to a licence,
(c) respecting the conditions that may be imposed on a licence,
(d) respecting the term and expiration of licences,
Supplement BEFORE repealed by 2006-33-1(2)(i), effective May 18, 2006 (Royal Assent).
[Supplement]
Motor Dealer Act
[RSBC 1996] CHAPTER 316
1 Section 3 (1) (a) (ii) of the Motor Dealer Act is repealed and the following substituted:
(ii) has, if required by a condition under section 4 (5), provided an irrevocable letter of credit satisfactory to the registrar, .
1993-39-16.