On Tuesday, 7 July 2020 at 17:00 BST, Petra Warrington will participate in a panel discussion hosted by London Art Week: The “Life” of a Collection – Managing Today for Tomorrow. More information can be found here.
Originally published in Private Art Investor and can be accessed here. Responding to the Government guidance on COVID-19 issued on 23rd March, auction houses throughout the UK have been forced to close their doors. Those auctioneers that are already set up for online bidding, and so able to build on an existing online business, are in an advantageous place to weather this storm. In any case, auctioneers who intend to continue with sales during this challenging period will need to make significant adjustments to their pre and post auction logistics and consider the legal implications of any changes to the sale format. In particular, they need to check that their existing terms and conditions of business and compliance procedures are fit for purpose… See here for the rest of the Article…
Originally published by Hunters and accessible here. Despite auction houses and galleries being forced to close their doors for the time being, there will still be plenty of business transacted behind the scenes. Private treaty sales are likely to be a principal means of buying and selling artworks. Unlike public auction sales, private treaty sales offer the parties to the transaction privacy, flexibility and control. That does not mean, however, that they should be entered into without an appropriate level of due diligence and a proper written and enforceable contract in place. That contract needs to incorporate effectively any applicable terms and conditions of business. All too often, we find that terms and conditions are presented to a buyer only on the back of an invoice after a contract has already been entered into which, if a dispute were to arise, would be likely to lead to expensive and time-consuming satellite […]
The Art of Mediation Originally published on the 36 Art Group News Section, accessible here. Disputes can arise in the commercial, private and family arenas and traditionally have resulted in formal court action for resolution. This can be very expensive, time consuming, emotionally challenging and often conducted in very public forums. The parties can be exposed to substantial costs, negative or harmful publicity, personal stress and a substantial call on their time. The courts have, in reality, relatively limited remedies, usually purely financial and this can restrict the range of outcomes that might more readily reflect the needs and aspirations of the parties involved. Mediation is a form of “ADR” (Alternative Dispute Resolution) that can offer a pragmatic, cost effective, flexible and confidential option for dispute resolution, outside the formal court process. So how does Mediation fit into the world of art and cultural heritage? Disputes are just as common […]
Enforcement of International Mediation Settlement Agreements Originally published on the 36 Art Group News Section. Mediation Mediation can be one of the most effective “alternative” means of dispute resolution. The parties to the dispute are encouraged to fashion a settlement with the assistance of a neutral third party mediator, who has no authority to impose terms, but can assist the parties themselves in agreeing a mutually acceptable resolution. Mediation can offer a speedy, flexible, informal, cost effective and private mechanism for dispute resolution outside the formal court or arbitral processes. Mediation is increasingly gaining traction in the domestic arena, but has not seen parallel growth internationally. One of the reasons for this might be a perceived difficulty in enforcing a mediated settlement agreement in differing jurisdictions and thus casting doubt as to the overall effectiveness and certainty offered by the mediation process as a whole. In fact, there is little […]
Originally published by Hunters and accessible here. As of today, 10 January 2020, “art market participants” (including dealers, galleries, agents and auctioneers) are now part of the “regulated” sector for anti-money laundering purposes under The Money Laundering and Terrorist Financing (Amendment) Regulations 2019, which were laid before Parliament on 20th December 2019. Members of the art trade that carry out transactions or series of linked transactions involving works of art amounting to EUR 10,000 or more, must now conduct ongoing risk-based due diligence on the clients involved in those transactions. The definition of works of art is in line with current VAT legislation and excludes antique furniture and some decorative objects. Please see our previous article “AML for the art trade: how not to go to jail under the 5th Directive” for a more in-depth discussion of due diligence. HMRC is the supervising body responsible for overseeing art market participants, keeping a […]