It is a busy fall for consignment law in New York. News has been making the rounds this month about a decision by the Appellate Division of the New York Supreme Court, New York’s intermediate appeals court. The Appellate Division ruled that an auctioneer must disclose the name of any owner who has consigned the work for sale, or a sale against a successful bidder cannot be enforced. The auction world is in an uproar, but the result actually derives from a version of a very old law called the Statute of Frauds about what has to be in writing for a contract to be enforceable, for reasons that have nothing to do with art or auctions.
Nicholas O'Donnell
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Topics: Legislation, consignment, New York General Obligations Law § 5-701, Ivan Petrovich Khlebnikov, Collections, Statute of Frauds, Albert Rabizadeh, William J. Jenack, auction
Looking forward to Monday's conference in Chicago at DePaul University College of Law, Center for Art, Museum & Cultural Heritage Law, entitled "Restitution and Repatriation: the Return of Cultural Objects." Lynn Nicholas, author of The Rape of Europa is the keynote speaker. If you like what you see at the Art Law Report-or even if you don't-I hope you will introduce yourself. I expect good attendance from some heavy hitters in the field.
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Topics: cultural property, Lynn Nicholas, DePaul University, Restitution, Restitution and Repatriation
The Art Law Report’s very first post was on the revival of efforts to pass federal legislation on resale royalties, yet there was little movement after that. Earlier this year, the California Resale Royalty Act was struck down on constitutional grounds, a case now on appeal.
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Topics: Resale Royalties, California Resale Royalty Act, Copyright
Our prior commentary has expressed support for Senate Bill 2212, the Foreign Cultural Exchange Jurisdictional Immunity Clarification Act. The bill remains stalled in the Senate Judicary Committee.
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Topics: Senate Bill 2212, S.B. 2212, Foreign Cultural Exchange Jurisdictional Immunity
The New York Court of Appeals has rejected the must-watched effort by Nite Moves, a Albany-area strip club, to exempt itself from sales tax on the grounds that exotic dancing was protectable First Amendment expression. The high court ruled that the club failed to carry its burden to prve that the dances were “choreographed performances.” The quote of the day, however, goes to the dissent:
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Topics: First Amendment
The Second Circuit Court of Appeals has affirmed the judgment against David Bakalar concerning ownership of the drawing Seated Woman with Bent Left Leg (Torso). It is a notable decision first and foremost because it affirms the District Court ruling on the merits of whether the drawing was stolen by the Nazis from the Austrian-Jewish collector Fritz Grünbaum—finding that it was not stolen. Such a ruling is a rarity among wartime restitution cases, the overwhelming majority of which continue to founder on statutes of limitations and jurisdictional defenses. Ironically, even though the court ruled that the work was not stolen and that the current owner could not prove good title, the current owner still prevailed. The details are the key to understanding this case, best described in the District Court decision that the Appeals Court affirmed.
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Topics: cultural property, laches, Second Circuit, Galerie St. Etienne, Seated Woman wiht Bent Left Leg (Torso), Galerie Gutekunst, Nazis, Fritz Grünbaum, Restitution, Egon Schiele, World War II, Mathilde Lukacs, David Bakalar, Franz Kieslinger
What was the feel-good, ersatz Antiques-Roadshow story of the summer may soon be one of the most prominent art law issues in the country. A painting by Pierre-Auguste Renoir entitled “Paysage Bords de Seine” that was purchased at a flea market in 2010 for $7 and authenticated this year as genuine may turn out to have been stolen from the Baltimore Museum of Art.
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Topics: Forgery, Doreen Bolger, Collections, Baltimore Museum of Art, Washington Post, connoisseurship, Paysage Bords de Seine
New York has passed an amendment to its Arts & Cultural Affairs law, N.Y. Arts & Cult. Aff. Law §12.01(2012), that is important for artist, galleries, and dealers alike. It affects the consignment relationship and creates critical new duties—and liabilities, for the dealer on consignment. Most importantly, it makes using any form of agreement drafted under the old law risky, particularly for the gallery or consignee. Signed by Governor Cuomo this week, the law takes effect November 6, 2012.
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Topics: Legislation, consignment, attorneys' fees, Collections, breach of fiduciary duty, Trusts, Salander O'Reilly
We launched the Art Law Report one year ago tomorrow. Several dozen posts, thousands of visitors and many more views later, a very special thank you to everyone who has read and followed the blog. The connections made literally all around the world are humbling and enlightening. We continue to strive to provide an interesting selection of legal updates and issues, while offering an opinion and perspective that tries to improve the understanding both of those familiar with legal concepts, and those less so. The continuing developments in copyright, FSIA, immunity from seizure, and other resitution issues in particular are certainly keeping us on our toes, and collections issues like the Barnes case are never too far away either. Your links and comments are appriated, and we will keep linking to all those viewpoints from which we are learning too. Here's to another year of substantive conversation.
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Topics: cultural property, Immunity from Seizure, Collections, FSIA, Restitution, Foreign Sovereign Immunities, Copyright, Immunity from Seizure Act, Foreign Cultural Exchange Jurisdictional Immunity, Art Law Report, Barnes Foundation
Next month's symposium at DePaul University College of Law Center for Art, Museum & Cultural Heritage Law entitled "Restitution and Repatriation, the Return of Cultural Objects" looks terrific. The keynote speaker will be Lynn Nicholas of The Rape of Europa fame, and other topics include provenance research, museum acquisitions, and the moral and ethical quandaries posed by restitution and repatriation claims. The speaker lineup includes museum professionals and attorneys. Hope to see you there.
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Topics: cultural property, Lynn Nicholas, Restitution, World War II, Antiquities
