USA – FLORIDA Law and Practice Contributed by: Diego R. Figueroa Rodríguez, DLA Piper
1. Art Law Framework 1.1 Relevant Authorities and Legislation Art law is a vast field that encompasses various legal areas, including commercial, real property, intellec - tual property, estate, taxes and even torts and criminal law. A variety of legal issues arise in art-related mat - ters, which are governed by federal, state and local statutes, international treaties and conventions and jurisprudence. Internationally, the United States is a party to various key conventions: • the 1954 Hague Convention and Protocols; and • the 1970 UNESCO Convention on the Means of Prohibiting and Preventing the Illicit Import, Export and Transfer of Ownership of Cultural Property, implemented by the Cultural Property Implementa - tion Act of 1983. At the federal level, these include: • Title 17 of the US Code, which covers copyrights and moral rights; and • the Uniform Commercial Code (UCC), which pro - vides a comprehensive and standardised set of laws governing commercial transactions, including sales, leases, secured transactions, warranties and other commercial matters across the US. For more information about these laws, please refer to the USA Practice Guide. In Florida, Article 2 of the Florida UCC (Chapter 672 of the Florida Statutes) governs the sale of goods such as artworks; in addition, the Florida legislature has adopted special statutes that apply to purchases at auctions, the consignment of artworks and sales by secondhand dealers. Sales by Auction Florida Statute 672.328 covers sales by auctions as part of the UCC and Florida Statutes 468.381-399 provide detailed regulations for auctioneers, including: • the requirements for a written agreement, encom - passing the terms and conditions regarding pay -
ment between the auction house and the property owner; • the obligation to announce and display or distrib - ute notice regarding premiums and surcharges at the commencement of the auction; and • the requirement to deposit the sale proceeds in an escrow or trust account within two working days after the auction, unless settlement is made imme - diately. Furthermore, certain actions are prohibited: • misrepresenting the property for sale or making false promises about its use, value, or condition • not accounting for, paying, or returning within 30 days money or property belonging to another; and • engaging in false, deceptive, misleading, or untruthful advertising. Violations of these regulations may result in restitution or payment. In some instances, these payments can be obtained from the Auctioneer Recovery Fund, sub - ject to certain limitations such as a USD50,000 limit per claim and a two- to four-year prescription period. The Florida Board of Auctioneers (FBA) regulates auc - According to Florida Statutes 686.501-506, a con - signment occurs when an individual (the consignor) transfers a work of art to an art dealer (the consignee) for the purpose of sale on a commission basis. In this arrangement, the consignee acts as the agent of the consignor. The consignment must adhere to a written agreement that includes the following terms: • sale proceeds are to be remitted to the consignor according to an agreed-upon schedule; • the consignee assumes responsibility for the stated value of the artwork in the event of loss or damage while in their possession; • the artwork may not be sold by the consignee for less than the minimum price established in the agreement; • use or display of the work by the consignee requires prior written consent from the consignor and proper acknowledgement of the artist; and tion businesses in the state. Consignments of Artworks
231 CHAMBERS.COM
Powered by FlippingBook