All works of art consigned to the Art & Collectors for the purpose of exhibition or sale on consignment are to be documented. Both the consignor and Art & Collectors are required to maintain a copy of such documentation.
2. Vendor’s Authorisation
In consideration of Art & Collectors accepting the documented works of art, the person or agent specified as "the Vendor" agrees to the conditions contained herein.
The Vendor warrants to Art & Collectors and to the Buyer that he is and will be able to transfer good and marketable title to the goods free from all liens and encumbrances.
4. Net Price or Reserve Price
4.1 A net or reserve price must be in writing and all prices must be placed at the signing of the consignment agreement.
4.2 The Vendor may increase the price after the goods have been accepted for sale but a charge of 10% of the new net price will be charged if the property fails to sell within the consignment period.
4.3 The Vendor will be charged a withdrawal fee of $55 per item if withdrawn from consignment before the end of the mutually agreed consignment period.
5. Assumption of risk
5.1 Reasonable professional care shall be taken in the handling of works of art while in our keeping at Art & Collectors. Art & Collectors will be responsible for insurance and delivery of sold works to buyers. It is the responsibility of the Vendor to insure works of arts outside their premises, and for the duration of the exhibition and sale or return of works.
5.2 Art & Collectors shall in no way be held responsible for loss, theft, damage or destruction. In such an event Art & Collectors will notify the Vendor immediately.
5.3 Art & Collectors accepts no responsibility for maintaining the works of art. In the event of any deterioration to works of arts including frames all effort will be made to contact the Vendor. The Vendor shall be responsible for the cost of any such repairs.
6. Consignment period
The period of consignment for works of art with Art & Collectors for the purpose of sale on consignment shall be twelve months unless an early return of some or all of the said works of art is requested and mutually agreed by the Vendor and Art & Collectors.
Works of arts will be returned at the expense of the Vendor after the period of consignment. Works of art will be delivered to Art & Collectors at the expense of the Vendor.
The Vendor agrees that the works of art may be reproduced for the purposes of publicity, archives and sales.
9. Third party consignment
Art & Collectors may send works of art out on consignment for the purposes of purchase of the works of art. The third party consignor shall assume responsibility for the insurance, transportation and good care of the works of art. Art & Collectors will document in writing the conditions under which the third party consignor takes temporary possession of the works of art. Art & Collectors accepts no responsibility for any loss or damage for works of art in the third party consignor’s possession.
10. Payment to Vendor
10.1 If the full Purchase Price has been received in cleared funds by Art & Collectors then Art & Collectors shall pay the Sale Proceeds to the Vendor not earlier than 28 days after the date of the Sale.
10.2 Bank Transfer payments to the Vendor will only be accepted for account details communicated in writing.
10.3 If a buyer does not make payment within the terms of the sale Art & Collectors is not obliged to:
a.) Pay any amount to the Vendor until Art & Collectors receives payment in full; or
b.) Undertake legal proceedings on the Vendor’s behalf.
11. Rescission of the Sale
11.1 If Art & Collectors rescinds a Sale because the work of art is proved to its reasonable satisfaction to be a forgery and Art & Collectors has accounted to the Vendor for the Sale Proceeds, the Vendor must immediately refund the Sale Proceeds to Art & Collectors, which will then refund the Purchase Price to the Buyer and make the work of art available to the Vendor for collection.
11.2 Any guarantees, warranties or representations made (express or implied) by Art & Collectors in relation to the nature and condition of any works of art are made on behalf of the Vendor. To the fullest extent permitted by law, Art & Collectors disclaims all liability for any misrepresentations, errors or omissions, whether verbal or in writing, in the catalogue or any supplemental material. All such information is either provided by the Vendor or represents the specialist opinions of Art & Collectors employees and cannot be relied upon as statements of fact.
11.3 Art & Collectors may withdraw any work of art without incurring liability if it reasonably believes there is doubt;
a.) As to the work of art’s attribution,
b.) Provenance or
c.) Authenticity or
d.) Where Art & Collecoctors considers there is reasonable doubt as to the accuracy of representations or warranties made by the Vendor.
11.4 Art & Collectors may also withdraw the work of art in the event of serious breach of this agreement by the Vendor or in the event that Art & Collectors considers that the sale may expose Art & Collectors to legal claims or damage to reputation.
11.5 The Vendor gives Art & Collectors the right to remove any property from any frame, holder, case or covering to examine the property.
12. Resale Royalty
12.1 The Resale Royalty Right for Visual Artists Act 2009 applies to the commercial resale of Artwork where artists or their beneficiaries may be entitled to a royalty on certain resales. This scheme commenced 9th June 2010 and the Copyright Agency has been appointed by the Australian government to collect royalties to pay to the artists. Where applicable, the rate is 5% of the selling price, exclusive of tax and premium. The royalty is paid by the seller. Further information on the Resale Royalty scheme can be obtained from resaleroyalty.org.au
12.2. The Seller:
(a) acknowledges that they understand their legal obligations under the Resale Royalty for Visual Artists Act 2009 (the Act);
(b) undertakes to comply with all requirements of the Act, including by providing its agent, Art & Collectors with accurate information sufficient for compliance with sections 28 and 29 of the Act;
(c) undertakes to indemnify Art & Collectors for any loss incurred by the company as a result of the Seller’s failure to comply with any of the Seller’s legal obligations under the Act; and
(d) acknowledges that if they fail to comply with any of their legal obligations under the Act, Art & Collectors may provide the Seller’s name and contact details to Copyright Agency Limited.
(e) may request Art & Collectors to report and remit on their behalf.
13. Governing law and jurisdiction
The respective rights and obligations of the parties are governed and interpreted by the law of the State of Victoria.