VSA

Salespeople/Broker Reps

Distance Sales - Online sales model

Motor dealer online sales

Our current circumstances with the COVID-19 pandemic has resulted in online sales becoming a priority for the motor dealer industry in BC. A ‘traditional’ automotive business can sell vehicles online, as long as they hold a Motor Dealer licence with the VSA.
Here are some key things to keep in mind regarding Online Sales:

Test Drive

  • Can occur at a place other than the dealer’s registered premises
  • Solely to evaluate the vehicle’s performance, suitability, and/or condition prior to purchase or lease. Attempts to represent the vehicle can‘t be made
  • Best business practice would be to have terms and conditions of the test drive reviewed by the customer prior to it taking place to clarify details (i.e. if the vehicle can be kept overnight, or what happens if there is an accident). Don’t forget the test drive consent form – click here for sample form
  • Delivery of the vehicle for a test drive must respect Provincial Health Officer’s orders for physical distancing. Dealers must be mindful to properly disinfect the vehicle before and after the test drive

Agreement

  • Negotiations, offer, and acceptance of agreement and electronic signing of the contract are to happen online. Dealer can email all agreements to the customer to print, sign, scan, and email back to the dealer at the dealership or use electronic signatures (via an e-signature program). This applies to all agreements (i.e. finance, warranty), not just the purchase or lease agreement
  • If the dealer wants the documents signed in-person, they must be identical to the electronic documents (including the back boiler plate) of the traditional agreements
  • A distance sales contract is made between a seller and consumer that is not done in-person and the consumer has not inspected the vehicle before the contract is entered into. A distance sales contract checklist can be found here
  • Be aware for fraud and identification theft. Consider using third party identification verification services

Delivery

  • If the sale is completed prior to delivery, a salesperson does not need to deliver the vehicle
  • If more information needs to be communicated to the buyer (such as reviewing vehicle features), a salesperson needs to be involved with the delivery
  • Delivery of the vehicle must respect Provincial Health Officer’s orders for physical distancing. Dealers must be mindful to properly disinfect a vehicle when delivering to a customer

For more information see the following additional distance sales resources: