AUTO INDUSTRY SETS STANDARDS FOR ADVERTISING
By Adnews Staff
The Ontario Motor Vehicle Industry Council has developed new advertising rules governing new and used motor vehicle sales in Ontario. The new rules restrict the use of words and phrases such as free, factory price and dealer price. In addition, there must be clear information about pricing and warranties to ensure consumers know exactly what they're getting into. Price advertising must list extras such as industry specific taxes, freight charges, pre-delivery inspections and administration charges. Warranties must not imply that they cover the entire car or last for an unlimited time unless that is the case. Information about how to obtain full warranty terms and conditions must be included in ads. The regulations were developed in conjunction with Advertising Standards Canada and the Canadian Automobile Association. OMVIC is the first industry self-management body created by the provincial government. In its first year of operation, the OMVIC introduced a code of ethics for dealers, launched a consumer awareness campaign against curb siders and laid over 200 charges resulting in over 100 convictions of unfair practices in the sale of motor vehicles.