ITALY Trends and Developments Contributed by: Angela Saltarelli, Jacobacci Avvocati
sector is now firmly embedded within European anti- money laundering and financial transparency regimes. Since 10 November 2019, following the entry into force of Legislative Decree No 125/2019 implement - ing the Fifth EU Anti-Money Laundering Directive, galleries, auction houses and intermediaries trading in works of art or antiques have been subject to anti- money laundering (AML) obligations when carrying out transactions equal to or exceeding EUR10,000. These obligations include customer due diligence, identification of beneficial owners, ongoing moni - toring of business relationships and the reporting of suspicious transactions. Although these requirements have been in place for several years, their practical relevance and enforcement intensity have increased in the last few years. In addition, the 2024 EU AML Package – which established a new European Anti-Money Laundering Authority (AMLA) – signals a shift toward more cen - tralised supervision and consistent application across member states. The art market is no longer treated as a peripheral or low-risk sector within financial regula - tion. This evolution is reshaping market practice. High- value transactions now require structured onboarding procedures comparable to those in the financial ser - vices sector. Many Italian galleries and intermediaries are adopting written AML policies, implementing staff training and formalising record-keeping procedures. Transparency, traceability and risk management are becoming embedded components of art transactions in Italy. For international operators, this means that regulatory due diligence is now as relevant as histori - cal art expertise when structuring significant acquisi - tions. Cultural property Greater reliability of Italian export licences The circulation of cultural property remains one of the defining features of the Italian legal framework. Italy’s legal system is grounded in a strong public interest in protecting cultural heritage, which directly affects transfer and export of artworks.
Export control continues to represent one of the most sensitive regulatory areas. Works formally declared to be of cultural interest may be exported only temporari - ly and cannot permanently leave the country. For other artworks, not yet declared, the risk to be declared of cultural interest by the competent offices of the Minis - try of Culture during or shortly before a sale introduces uncertainty, particularly in cross-border transactions. This often leads parties to include specific contractual protections addressing regulatory risk and potential delays. A recent development in this area is the decision of the Italian Council of State (Judgment No 9962 of 21 November 2023) concerning the painting The Miracle of the Quails (also known as The Fall of the Quails) by Jacopo da Ponte, known as Jacopo Bassano. The work, privately owned and subsequently sold to the J. Paul Getty Museum in Los Angeles, had been granted a certificate of free circulation authorising its export. Following the sale, the Italian Ministry of Culture sought to annul the export certificate in the exercise of its self-review powers, arguing that the artwork was of exceptional importance and that the export appli - cation had not adequately described its significance. The Council of State rejected this position and upheld the validity of the export title. The Court clarified that, once an export licence or cer - tificate of free circulation has been lawfully issued, it cannot be annulled more than one year after its issu - ance, unless there is clear evidence of fraud or crimi - nal misrepresentation in the application process. By invalidating the Ministry’s attempt to revoke the licence after its issuance, the decision strengthened the principle of legal certainty in international art trans - actions. The ruling is widely regarded as reinforcing the reli - ability of Italian export titles and enhancing confidence among foreign institutions and collectors engaging in cross-border acquisitions of Italian-provenance works, because so far Italian export titles had histori - cally been subject to the risk of late revocation. By limiting the administration’s power of annulment in time, the decision strengthens the reliability of Italian export authorisations and may enhance confidence
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