Patterson Belknap Attorneys to Present Art Law Webinar: New Market Considerations in Buying and Selling Art Today
On Thursday, April 30th, Jo Laird, Harry Sandick, and Lisa Wang will speak on a panel moderated by Anne-Laure Alléhaut at the 2021 Virtual Art Law and Litigation Conference entitled, “New Market Considerations in Buying and Selling Art Today.”
A number of recent events have affected or will affect the purchase and sale of artwork durably reshaping the art market. The impact of COVID-19 and the prospect that institutions and businesses at all level could close their doors has led art market participants to move away from hand shake deals in favor of more robust contractual protections. The art market participants across the board have recognized consignee’s bankruptcy concerns and formal agreements are often now including the creation of a security interest and the ability to file a UCC-1. Those tools are not new to the US legal landscape but had been seldom used in the artworld but seems to be widely used today, whether it relates to consignment, loans purchase or sale of artworks. Contracts have also seen changes stemming from the online shift and the disruption to the auction calendars. With auction sales and art fairs shifting online and the disappearance of printed materials in favor of online content, contractual negotiations shifted to address the new compressed timelines. MAC clauses are often being negotiated with only a few weeks between signing of the contract and the sale and contracts are filling the gap for the lack of in-person viewings with written condition reports and inspection upon receipt replacing the traditional in-person viewings. This portion of the presentation will address how the purchase and sale contractual provisions are affected by the shift to virtual sales. Finally, the recent Advisory and Guidance issued by the OFAC in October 30, 2020 will affect the art market but the extent of it is still unclear. The due diligence and compliance programs will likely reshape certain transactions where additional transparency will be expected. This portion of the presentation will address the impact of OFAC on the art market participant and what will be expected of them going forward.
To learn more or to register, please click here.