Trust account
 58. (1) A motor vehicle dealer registered only as one or more of the following is exempt from section 25 of the Act and this section: 1.  A broker. 2.  A wholesaler. 3.  An exporter. 4.  An outside Ontario dealer. 5.  A lease finance dealer. 6.  A fleet lessor.  O. Reg. 333/08, s. 58 (1). (2) A registered motor vehicle dealer who receives no money that the dealer is required to hold in trust under subsection (4) or (5) is exempt from clause 25 (a) of the Act.  O. Reg. 333/08, s. 58 (2). (3) The following conditions are prescribed for the purposes of clause 25 (a) of the Act: 1.  The trust account shall be known as the Motor Vehicle Dealers Act, 2002 Trust Account in English and compte en fiducie prévu par la Loi de 2002 sur le commerce des véhicules automobiles in French. 2.  The trust account shall be a pooled account, unless the registered motor vehicle dealer obtains the registrar’s prior written consent. 3.  A registered motor vehicle dealer shall file with the registrar, i.  within five days of making an agreement with a financial institution to establish a trust account, a copy of the agreement, and ii.  within five days of making changes to the agreement with the financial institution that established the trust account, a copy of the changes to the agreement or a copy of a new agreement noting the changes. 4.  A registered motor vehicle dealer who has a trust account required under section 25 of the Act on the day this Regulation comes into force shall file with the registrar, within 90 days after that day, a copy of the agreement with the financial institution that established the account.  O. Reg. 333/08, s. 58 (3). (4) For the purposes of clause 25 (b) of the Act, if a registered motor vehicle dealer receives, from a purchaser towards the purchase of a motor vehicle, a deposit that is greater than $10,000, the dealer shall hold the entire deposit in trust until the purchase is concluded.  O. Reg. 333/08, s. 58 (4). (5) For the purposes of clause 25 (b) of the Act, if a registered motor vehicle dealer receives amounts from a purchaser towards the purchase of a motor vehicle being sold on consignment and if subsection 45 (4) of this Regulation applies to the sale, the dealer shall hold the amounts in trust until the purchase is concluded.  O. Reg. 333/08, s. 58 (5). (6) A registered motor vehicle dealer shall not deposit into the trust account any money other than the money that subsections (4) and (5) require the dealer to hold in the account.  O. Reg. 333/08, s. 58 (6). (7) A registered motor vehicle dealer shall maintain a record, in a form that the registrar provides, of, (a)  all money that the dealer receives and that the dealer is required to hold in trust, including an indication of the reason for which the dealer is required to hold it in trust, an identification of the contract to which the money relates, the name of the person from whom the money was received and the amount, the method and the time of receiving the money; and (b)  all money withdrawn from the dealer’s trust account, including an indication of the reason for which the dealer is withdrawing the money, an identification of the contract to which the money relates, the name of the person to whom the money was paid and the amount, the method and the time of making the payment.  O. Reg. 333/08, s. 58 (7). (8) A registered motor vehicle dealer shall prepare a monthly trust reconciliation statement for the dealer’s trust account within 30 days after receiving the statement for the account that the financial institution in which the account is held issues for the immediately preceding month, except if, (a)  there is a zero balance in the trust account at both the beginning and end of the month to which the statement relates; and (b)  there was no activity in the trust account during the month to which the statement relates.  O. Reg. 333/08, s. 58 (8). (9) A registered motor vehicle dealer shall ensure that a monthly trust reconciliation statement identifies the money held in trust for each person and reconciles the monthly trust liability to the balance in the trust account as of the date of the reconciliation.  O. Reg. 333/08, s. 58 (9). (10) The registered motor vehicle dealer shall ensure that one of the following persons who has signing authority over the trust account reviews each monthly trust reconciliation statement and acknowledges it by signing and dating it: 1.  If the dealer is an individual, the dealer or an individual in charge of the day to day operations of the dealer. 2.  If the dealer is a partnership, an individual partner or an individual in charge of the day to day operations of the dealer. 3.  If the dealer is a corporation, an officer or director of the corporation or an individual in charge of the day to day operations of the dealer.  O. Reg. 333/08, s. 58 (10). (11) A registered motor vehicle dealer who determines that there is a shortfall in the trust account shall immediately deposit sufficient funds into the account to eliminate the shortfall.  O. Reg. 333/08, s. 58 (11). (12) No person shall post the registered motor vehicle dealer’s trust account as collateral.  O. Reg. 333/08, s. 58 (12). (13) Section 55, clause 56 (1) (b) and subsections 56 (2), (3) and (4) apply to the records, including the monthly trust reconciliation statements, that this section requires the registered motor vehicle dealer to maintain.  O. Reg. 333/08, s. 58 (13).