PRINTER'S NO. 519
No. 458 Session of 1983
INTRODUCED BY DeWEESE, CLYMER, McHALE, ZWIKL AND GANNON, MARCH 16, 1983
REFERRED TO COMMITTEE ON BUSINESS AND COMMERCE, MARCH 16, 1983
AN ACT 1 Regulating the sale of visual art objects produced in multiples; 2 and providing penalties. 3 TABLE OF CONTENTS 4 Section 1. Short title. 5 Section 2. Legislative findings. 6 Section 3. Definitions. 7 Section 4. Full disclosure in the sale of certain visual art 8 objects produced in multiples. 9 Section 5. Information required for post-effective date 10 productions. 11 Section 6. Information required for 1950 to effective date 12 productions. 13 Section 7. Information required for 1900 to 1949 productions. 14 Section 8. Information required for pre-1900 productions. 15 Section 9. Express warranties. 16 Section 10. Construction. 17 Section 11. Remedies and enforcement.
1 Section 12. Applicability. 2 Section 13. Effective date. 3 The General Assembly of the Commonwealth of Pennsylvania 4 hereby enacts as follows: 5 Section 1. Short title. 6 This act shall be known and may be cited as the Visual Art 7 Object Sale Act. 8 Section 2. Legislative findings. 9 The General Assembly finds as follows: 10 (1) The sale of visual art objects produced in 11 multiples, specifically prints and photographs, affects large 12 segments of the public. In volume and monetary value the 13 marketing of these objects has substantially increased during 14 the past two decades. Those affected by this development 15 include a broad spectrum of individuals, as well as corporate 16 and institutional purchasers. This expansion is stimulated in 17 part by the convergence of several factors. One is an 18 intensified interest in and appreciation of aesthetic 19 qualities in art and cultural and artistic pursuits. Another 20 is a felt need to acquire art. 21 (2) Among the main questions to be answered, and about 22 which information is necessary, in determining the value of 23 visual art multiples, in addition to recognized and 24 established intrinsic aesthetic merit, are: 25 (i) Whether the multiple is properly attributed to 26 the named artist. 27 (ii) Whether the multiple was signed by the artist 28 after it was produced. 29 (iii) Whether the multiple is a reproduction of a 30 work formerly created by the artist in a different 19830H0458B0519 - 2 -
1 medium. 2 (iv) Whether the purported number of multiples in a 3 "limited edition" is the actual number. 4 (v) Whether there are other editions of the same or 5 virtually the same image. 6 (3) In order to avoid confusion on the part of the 7 consumer, disclosure of salient factors, which legitimate 8 merchants voluntarily provide, is essential. The disclosure 9 will have the beneficial effects of: 10 (i) Alleviating confusion. 11 (ii) Preventing deceptive merchandising practices. 12 (iii) Providing a basis for further consumer self- 13 education. 14 (iv) Protecting the public in areas where abuse is 15 not immediately discernable. 16 Section 3. Definitions. 17 The following words and phrases when used in this act shall 18 have the meanings given to them in this section unless the 19 context clearly indicates otherwise: 20 "Art merchant." A person who deals in the visual art objects 21 produced in multiples to which this act is applicable, or a 22 person who by his occupation holds himself out as having 23 knowledge or skill peculiar to such works, or to whom such 24 knowledge or skill may be attributed by his employment of an 25 agent or other intermediary who by his occupation holds himself 26 out as having such knowledge or skill. The term includes an 27 auctioneer who sells such works at public auction, but excludes 28 persons, not otherwise defined or treated as art merchants 29 herein, who are consignors or principals of auctioneers. 30 "Artist." The person who conceived or created the image 19830H0458B0519 - 3 -
1 which is contained in or constitutes the master. 2 "Limited edition." Visual art multiples produced from a 3 master, all of which are the same image and bear numbers or 4 other markings to denote the limited production thereof to a 5 stated maximum number of multiples or are otherwise held out as 6 limited to a maximum number of multiples. 7 "Master." When used alone, is used in lieu of and means the 8 same as such things as printing plate, stone, block, screen, 9 photographic negative or other like material which contains an 10 image used to produce visual art objects in multiples. 11 "Person." An individual, partnership, corporation, 12 association or other entity, however organized. 13 "Print." In addition to meaning a multiple produced by, but 14 not limited to, such processes as engraving, etching, 15 woodcutting, lithography and serigraphy, also means multiples 16 produced or developed from photographic negatives, or any 17 combination thereof. 18 "Proofs." Multiples which are the same as, and which are 19 produced from the same master as, the multiples in a limited 20 edition, but which, whether so designated or not, are set aside 21 from and are in addition to the limited edition to which they 22 relate. 23 "Signed." Autographed by the artist's own hand, and not by 24 mechanical means of reproduction, after the multiple was 25 produced, whether or not the master was signed or unsigned. 26 "Visual art multiples" or "multiples." For the purposes of 27 this act the terms mean prints, photographs (positive or 28 negative) and similar art objects produced in more than one copy 29 and sold, offered for sale or consigned in, into or from this 30 Commonwealth for an amount in excess of $100 exclusive of any 19830H0458B0519 - 4 -
1 frame. Pages or sheets taken from books and magazines and 2 offered for sale or sold as visual art objects shall be 3 included, but books and magazines are excluded. 4 "Written instrument." A written or printed agreement, bill 5 of sale, invoice, certificate of authenticity, catalogue or any 6 other written or printed note or memorandum describing the 7 multiple which is to be sold, exchanged or consigned by an art 8 merchant. 9 Section 4. Full disclosure in the sale of certain visual art 10 objects produced in multiples. 11 (a) Written instrument required.--An art merchant shall not 12 sell or consign a multiple in, into or from this Commonwealth 13 unless a written instrument is furnished to the purchaser or 14 consignee, prior to a sale or consignment, which sets forth as 15 to each multiple the descriptive information required by section 16 5 for any period. With respect to auctions, this information may 17 be furnished in catalogues or other written materials which are 18 made readily available for consultation and purchase prior to 19 sale, provided that a bill of sale, receipt or invoice 20 describing the transaction is then provided which makes 21 reference to the catalogue and lot number in which such 22 information is supplied. Information supplied pursuant to this 23 subsection shall be clearly, specifically and distinctly 24 addressed to each of the items listed in section 5 unless the 25 required data is not applicable. This section is applicable to 26 transactions between merchants and nonmerchants and other art 27 merchants. 28 (b) Descriptive information required.--An art merchant shall 29 not cause a catalogue, prospectus, flyer or other written 30 material or advertisement to be distributed in, into or from 19830H0458B0519 - 5 -
1 this Commonwealth which solicits a direct sale, by inviting 2 transmittal of payment for a specific multiple, unless it 3 clearly sets forth, in close physical proximity to the place in 4 such material where the multiple is described, the descriptive 5 information required by section 5 for any time period. In lieu 6 of this required information, such written material or 7 advertising may set forth the material contained in the 8 following quoted passage, or the passage itself, containing 9 terms the nonobservance of which shall constitute a violation of 10 this act, if the art merchant then supplies the required 11 information prior to or with delivery of the multiple: 12 "Pennsylvania law provides for disclosure in writing of 13 certain information concerning multiples of prints and 14 photographs when sold for more than $100 each, exclusive of 15 any frame, prior to effecting a sale of them. This law 16 requires disclosure of such matters as the identity of the 17 artist, the artist's signature, the medium, whether the 18 multiple is a reproduction, the time when the multiple was 19 produced, use of the master which produced the multiple, and 20 the number of multiples in a limited edition. If a 21 prospective purchaser so requests, the information shall be 22 transmitted to him prior to payment or the placing of an 23 order for a multiple. If payment is made by a purchaser prior 24 to delivery of such an art multiple, this information will be 25 supplied at the time of or prior to delivery, in which case 26 the purchaser is entitled to a refund if, for reasons related 27 to matter contained in such information, he returns the 28 multiple substantially in the condition in which received, 29 within 30 days of receiving it. In addition, if after payment 30 and delivery, it is ascertained that the information provided 19830H0458B0519 - 6 -
1 is incorrect, the purchaser may be entitled to certain 2 remedies." 3 This requirement is not applicable to general written material 4 or advertising which does not constitute an offer to effect a 5 specific sale. 6 (c) Sign to be posted.--In each place of business in the 7 Commonwealth where an art merchant is regularly engaged in sales 8 of multiples, the art merchant shall post in a conspicuous 9 place, a sign which in a legible format contains the information 10 included in the following passage: 11 "Pennsylvania law provides for the disclosure in writing 12 of certain information concerning prints and photographs. 13 This information is available to you in accordance with that 14 law." 15 Section 5. Information required for post-effective date 16 productions. 17 The following information shall be supplied, as indicated, as 18 to each multiple produced after the effective date of this act: 19 (1) State the name of the artist. 20 (2) If the artist's name appears on the multiple, state 21 whether the multiple was signed by the artist. If not signed 22 by the artist then state the source of the artist's name on 23 the multiple, such as whether the artist placed his signature 24 on the master, whether his name was stamped or estate stamped 25 on the multiple, or was from some other source or in some 26 other manner placed on the multiple. 27 (3) (i) Describe the medium or process and, where 28 pertinent to photographic processes, the material used in 29 producing the multiple such as whether the multiple was 30 produced through the etching, engraving, lithographic, 19830H0458B0519 - 7 -
1 serigraphic or a particular method and/or material used 2 in photographic developing processes. If an established 3 term, in accordance with the usage of the trade, cannot 4 be employed accurately to describe the medium or process, 5 a brief, clear description shall be made. 6 (ii) If the artist was deceased at the time the 7 master was made which produced the multiple, this shall 8 be stated. 9 (iii) If the multiple or the image on or in the 10 master constitutes a mechanical, photomechanical or 11 photographic copy or reproduction of an image previously 12 created or produced by the artist in another medium or on 13 or in a different master, for a purpose other than the 14 creation of the multiple being described, this 15 information and the respective mediums shall be stated. 16 (iv) If subparagraph (iii) is applicable, and the 17 multiple is not signed, state whether the artist 18 authorized or approved in writing the multiple or the 19 edition of which the multiple being described is one. 20 (4) (i) If the multiple is a "posthumous" multiple, 21 that is, if the master was created during the life of the 22 artist but the multiple was produced after the artist's 23 death, this shall be stated. 24 (ii) If the multiple was made from a master which 25 produced a prior limited edition, or from a master which 26 constitutes or was made from a reproduction of a prior 27 multiple or the master which produced such prior limited 28 edition, this shall be stated. 29 (5) As to multiples produced after 1949, state the year 30 or approximate year the multiple was produced. As to 19830H0458B0519 - 8 -
1 multiples produced prior to 1950, state the year, approximate 2 year or period when the master was made which produced the 3 multiple and/or when the particular multiple being described 4 was produced. The requirements of this paragraph shall be 5 satisfied when the year stated is approximately accurate. 6 (6) (i) State whether or not the multiple being 7 described is offered as one of a limited edition. If it 8 is offered as one of a limited edition, then state the 9 number of multiples in the edition and whether and how 10 the multiple is numbered. 11 (ii) Unless otherwise disclosed, the number of 12 multiples stated pursuant to subparagraph (i) shall 13 constitute an express warranty, as defined in section 9, 14 that no additional numbered multiples of the same image, 15 exclusive of proofs, have been produced. 16 (iii) The number of multiples stated pursuant to 17 subparagraph (i) shall also constitute an express 18 warranty, as defined in section 9, that no additional 19 multiples of the same image, whether designated "proofs" 20 other than trial proofs, numbered or otherwise, have been 21 produced in an amount which exceeds the number in the 22 limited edition by ten or 10%, whichever is greater. 23 (iv) If the number of multiples exceeds the number 24 in the stated limited edition as provided in subparagraph 25 (iii), then state the number of proofs other than trial 26 proofs, or other numbered or unnumbered multiples, in the 27 same or other editions produced from the same master or 28 from another master as described in subparagraph (ii) and 29 whether and how they are signed and numbered. 30 Section 6. Information required for 1950 to effective date 19830H0458B0519 - 9 -
1 productions. 2 The information which shall be supplied as to each multiple 3 produced during the period from 1950 to the effective date of 4 this act, shall consist of the information required by section 5 5 except for paragraphs (3)(iv), (4)(ii) and (6)(iii) and (iv). 6 Section 7. Information required for 1900 to 1949 productions. 7 The information which shall be supplied as to each multiple 8 produced during the period from 1900 through 1949 shall consist 9 of the information required by section 5 except for paragraphs 10 (2), (3)(ii), (iii) and (iv), (4) and (6). 11 Section 8. Information required for pre-1900 productions. 12 The information which shall be supplied as to each multiple 13 produced prior to 1900 shall consist of the information required 14 by section 5 except for paragraphs (3)(ii), (iii) and (iv), (4) 15 and (6). 16 Section 9. Express warranties. 17 (a) Name of artist furnished prior to 1950.--Whenever an art 18 merchant furnishes the name of the artist pursuant to section 19 5(1) as to multiples created prior to 1950, such merchant shall 20 be bound only by the provisions of 13 Pa.C.S. Ch. 23 (relating 21 to general obligation and construction of contract), but that 22 chapter shall be deemed to include sales to art merchants. 23 (b) Name of artist furnished after 1949.--Whenever an art 24 merchant furnishes the name of the artist pursuant to section 25 5(1) for any time period after 1949, and otherwise furnishes 26 information required by any of the paragraphs of section 5 for 27 any time period, as to transactions including offers, sales or 28 consignments made to nonmerchants and to another art merchant, 29 such information shall be a part of the basis and the bargain 30 and shall create express warranties as to the information 19830H0458B0519 - 10 -
1 provided. Such warranties shall not be negated or limited 2 because the merchant in the written instrument did not use 3 formal words such as "warrant" or "guarantee" or because the 4 merchant did not have a specific intention or authorization to 5 make a warranty or because any required statement is or purports 6 to be, or is capable of being merely the seller's opinion. The 7 existence of a basis in fact for information warranted by virtue 8 of this subsection shall not be a defense in an action to 9 enforce such warranty. However, with respect to photographs 10 produced prior to 1950, and other multiples produced prior to 11 1900, as to information required by section 5(3), the merchant 12 shall be deemed to have satisfied this section if a reasonable 13 basis in fact existed for the information provided. When 14 information is not supplied as to any paragraph of section 5 15 because not applicable, this shall constitute the express 16 warranty that the paragraph is not applicable. 17 (c) Disclaimer.--Whenever an art merchant disclaims 18 knowledge as to a particular item about which information is 19 required, such disclaimer shall be ineffective unless clearly, 20 specifically and categorically stated as to such particular item 21 and contained in the physical context of other language setting 22 forth the required information as to a specific multiple. 23 Section 10. Construction. 24 (a) Rights in addition to other rights.--The rights, 25 liabilities and remedies created by this act shall be construed 26 to be in addition to and not in substitution, exclusion or 27 displacement of other rights, liabilities and remedies provided 28 by law, except where such construction would, as a matter of 29 law, be unreasonable. 30 (b) Artist not regarded as art merchant.--Whenever an artist 19830H0458B0519 - 11 -
1 sells or consigns a multiple of his own creation, the artist 2 shall incur the obligations prescribed by this act for an art 3 merchant, but an artist shall not otherwise be regarded as an 4 art merchant. 5 (c) No liability upon compliance.--An artist or merchant who 6 consigns a multiple to a merchant for the purpose of effecting a 7 sale of the multiple shall have no liability to a purchaser 8 under this act if such consignor, as to the consignee, has 9 complied with the provisions of this act. 10 (d) Merchant as agent.--When a merchant has agreed to act as 11 the agent for a consignor, who is not an art merchant, for the 12 purpose of effecting the sale of a multiple, or when a merchant 13 has agreed to act as the agent for an artist for the purpose of 14 supplying the information required by this act, such merchant 15 shall incur the liabilities prescribed by this act as to a 16 purchaser. However, if such a merchant can establish that his 17 liability results from incorrect information which was provided 18 by the consignor or artist to him in writing and the merchant in 19 good faith relied on such information, the consignor or artist 20 shall similarly incur such liabilities as to the purchaser and 21 such merchant. 22 Section 11. Remedies and enforcement. 23 (a) Liability of art merchant.--An art merchant, including a 24 merchant consignee, who offers or sells a multiple in, into or 25 from this Commonwealth without providing the information 26 required in sections 4 and 5 for any time period, or who 27 provides information which is mistaken, erroneous or untrue, 28 except for harmless errors such as typographical errors, shall 29 be liable to the purchaser to whom the multiple was sold. The 30 merchant's liability shall consist of the consideration paid by 19830H0458B0519 - 12 -
1 the purchaser with interest from the time of payment, upon the 2 return of the multiple in substantially the same condition in 3 which received by the purchaser. This remedy shall not bar or be 4 deemed inconsistent with a claim for damages or with the 5 exercise of additional remedies otherwise available to the 6 purchaser. 7 (b) Disclaimer relied upon.--In any proceeding in which an 8 art merchant relies upon a disclaimer of knowledge as to any 9 relevant information set forth in section 5 for any time period, 10 such disclaimer shall be effective unless the claimant is able 11 to establish that the merchant failed to make reasonable 12 inquiries, according to the custom and usage of the trade, to 13 ascertain the relevant information or that such relevant 14 information would have been ascertained as a result of such 15 reasonable inquiries. 16 (c) Further liability of art merchant.--If an art merchant 17 offers or sells a multiple and: 18 (1) willfully fails to provide the information set forth 19 in sections 4 and 5 for any time period; 20 (2) knowingly provides false information; or 21 (3) the purchaser can establish that the merchant 22 willfully and falsely disclaimed knowledge as to any relevant 23 information, the purchaser of such a multiple may recover 24 from the art merchant an amount equal to three times the 25 amount recoverable under subsection (a). As to this paragraph 26 and paragraph (1), a merchant may introduce evidence of the 27 relevant usage and custom of the trade in any proceeding in 28 which such treble damages are sought. 29 (d) Costs, fees and expenses.--In any action to enforce any 30 provision of this act, the court may allow the prevailing 19830H0458B0519 - 13 -
1 purchaser the costs of the action together with reasonable 2 attorneys' and expert witnesses' fees. In the event, however, 3 the court determines that an action to enforce was brought in 4 bad faith, it may allow such expenses to the art merchant as it 5 deems appropriate. 6 Section 12. Applicability. 7 This act shall apply to the visual art objects governed by 8 this act which are sold, offered for sale, consigned or 9 possessed with intent to sell in, into or from this 10 Commonwealth. With respect to such multiples it shall apply six 11 months after the effective date of this act. 12 Section 13. Effective date. 13 This act shall take effect January 1, 1984. B9L12RAW/19830H0458B0519 - 14 -