The way to shop for a car for the majority of buyers today is through Internet searches. Platforms such as Otogo.ca, Kijiji Autos, Hebdo.net and Marketplace allow you to find the perfect vehicle, new or used. Thus, it happens that a buyer from Baie-Comeau travels to Saint-Hubert to get his hands on a very specific product, and it also happens that a buyer from Montreal chooses a vehicle based in Quebec City, or even outside the province.
Whether it’s a distant customer or a buyer wishing to optimize his time, many consumers are ready to carry out an online transaction from one end to the other, with delivery of the vehicle to the place of their choice. This is why manufacturers like Tesla and Genesis have developed strategies in this direction. Unfortunately, the Consumer Protection Act still requires that the sale of a vehicle in Quebec from a merchant to an individual be made to the merchant’s address. In short, that the roaming sales contract be signed on site, after which the vehicle could be delivered to the location desired by the customer.
According to information obtained by the Consumer Protection Office, section 260.29 of the LPC has already given rise to a few convictions, more recently against Auto MG, which was obliged to pay a fine of 2,100 $, for having concluded sales contracts elsewhere than at the address of his establishment. His dealer’s license for the sale of road vehicles was also revoked by the president of the Office.
This means that although convictions are rare, they do exist. One can wonder about the relevance of this law, introduced a long time ago, which could have been revoked or modified, during the legislative changes of 2015. It was indeed at this time that the responsibility for the merchants’ permits of sale of vehicles went from the SAAQ (Société de l’assurance automobile du Québec) to the OPC. A survey of merchants was then carried out, most of which decided that it was to their advantage to keep this law in place. Perhaps because too many feared losing control or facing the unknown.
One thing is certain, if such a survey had to be repeated today, the answers would most likely be different. Many merchants, especially during the COVID-19 pandemic, have adapted to this reality and are now ready to proceed. Don’t be fooled, many already do this on occasion, because it suits the customer. And I take the liberty of telling you that I have already been one of them, when a new car was delivered to my home, for which the contract had been signed on its hood, at my home. However, in order for a conviction to be made, there must be a complaint from the consumer or from others. Complaint that I obviously did not file, since I was very satisfied with it and because I am in favor of the withdrawal of this law which, moreover, is unique in Quebec.
Funny fact, the Automobile En Direct group, which has developed a serious online sales strategy, occasionally delivers vehicles to customers in Ontario or the Maritimes where this law does not apply. It is therefore possible to deliver a vehicle and have the sales contract signed at the home of a client in Ottawa, but not in Gatineau. Patrick Lavallée – vice-president of marketing for this group of used vehicle dealers, who also owns the Stellantis banner – is of the opinion that this law is obsolete and that it frustrates the desire of some of the customers who sees an advantage in being able to carry out a complete transaction, online. “Customers who come to a branch to shop are quite rare these days. They generally arrive prepared, knowing exactly what they want, and often after having reserved their car online to ensure its availability, via an obviously refundable deposit. Mr. Lavallée adds that the company, which does business with several institutions for the financing of its vehicles, has succeeded in obtaining the agreement of all of them, so that the financing contracts can be signed electronically. Like what, everything has been put in place to adapt to this new reality and of course, to the requirements of certain customers who are not aware of the law. So, if merchants and lenders are ready to follow suit, what is the mutual fund waiting for? Especially since the convictions can be counted practically on the fingers of one hand, and that during the pandemic, we were a little more “loose” with regard to certain rules.
For the moment, the Office does not plan to modify this law, which does not apply only to the automobile. A more complex law, moreover, which involves any roaming sales contract. That said, sooner or later someone will have to put their foot on the ground, since once again, Quebec is like a dinosaur compared to the other provinces, where this question does not apply. I will end by mentioning that at the turn of the 2000s, when I was just leaving school, the Spinelli Group located in the west of Montreal had hired me part-time in order to conclude online sales. Yes, over 20 years ago. In the six months I have been with them, only one complete transaction has been completed online. Request for prices, information, negotiations, evaluation of the exchange and request for financing. However, the delivery and the contract had been signed in concession. If this were possible when the hybrid car was in its infancy, imagine the possibilities with today’s technologies. However, almost nothing has changed…