44-1773. Purchase or resale of consigned fine art by fine art dealer
A. If a work of fine art is trust property under section 44-1772 when initially received by the art dealer it remains trust property notwithstanding the subsequent purchase of the work of fine art by the art dealer directly or indirectly for the art dealer's own account until the purchase price is paid in full to the artist.
B. If the art dealer resells a work of fine art to which subsection A of this section applies to a bona fide third party before the artist has been paid in full, the work of fine art ceases to be trust property and the proceeds of the resale are trust funds in the hands of the art dealer for the benefit of the artist to the extent necessary to pay any balance still due to the artist. The trusteeship of the proceeds continues until the fiduciary obligation of the art dealer with respect to the transaction is discharged in full.
Section: Previous 44-1750 44-1761 44-1761-version-2 44-1762 44-1763 44-1771 44-1772 44-1773 44-1774 44-1775 44-1776 44-1777 44-1778 44-1791 44-1792 NextLast modified: October 13, 2016