Arizona Laws 44-1772. Art dealer and artist; relationship
If an art dealer accepts a work of fine art, on a fee, commission or other compensation basis, on consignment from the artist who created the work of fine art:
Terms Used In Arizona Laws 44-1772
- Art dealer: means a person engaged in the business of selling works of fine art, other than a person exclusively engaged in the business of selling goods at public auction. See Arizona Laws 44-1771
- Artist: means the creator of a work of fine art. See Arizona Laws 44-1771
- Fair market value: The price at which an asset would change hands in a transaction between a willing, informed buyer and a willing, informed seller.
- On consignment: means delivered to an art dealer for the purpose of sale or exhibition, or both, to the public by the art dealer other than at a public auction. See Arizona Laws 44-1771
- Property: includes both real and personal property. See Arizona Laws 1-215
- Trustee: A person or institution holding and administering property in trust.
- Work of fine art: means an original or multiple original art work which is:
(a) A visual rendition, including a painting, drawing, sculpture, mosaic or photograph. See Arizona Laws 44-1771
1. The art dealer is, with respect to that work of fine art, the agent of the artist.
2. The work of fine art is trust property and the art dealer is trustee for the benefit of the artist until the work of fine art is sold to a bona fide third party or returned to the artist.
3. The proceeds of the sale of the work of fine art are trust property and the art dealer is trustee for the benefit of the artist until the amount due the artist from the sale is paid.
4. The art dealer is strictly liable for the loss of or damage to the work of fine art while it is in the art dealer’s possession. The value of the work of fine art is, for the purpose of this section, the value established in a written agreement between the artist and art dealer prior to the loss or damage or, if no written agreement regarding the value of the work of fine art exists, the fair market value of the work of fine art.