Art consignment generally refers to the delivery of the artwork by its owner (consignor) to the art vendor (the consignee) for the purpose of being sold at some time in the future.
Typical consignees include art dealers and auction houses which may have extensive client list of possible customers and better publicity and distribution system than owners could typically have. Consignees usually take a certain of commission for the artwork sold.
The consignee acts as an agent for the consignor (the principal) in the receipt of sale proceeds for the artwork sold on consignment.
The consignee owes fiduciary duties towards the consignor, and cannot use the sale proceeds for own use without the prior consent of the consignor. Some of the fiduciary duties are listed below:
Any misuse of the sale proceeds of the artwork by the consignee without the prior consent or permission from the consignor would result in breach of fiduciary duties on the part of the consignee.
For Hong Kong Art Law Services, please contact CHOW & CHEUNG [Tel: +852 2856 3799 or Email: firstname.lastname@example.org]
The above contents do not constitute legal advice and it should not be regarded as a substitute for detailed advice in individual cases. Transmission of this information is not intended to create and receipt does not constitute a lawyer-client relationship between Chow & Cheung and the user or browser. Chow & Cheung is not responsible for any third party content which can be accessed through the website.