Resale threshold for artist to get cut set at €1,000

The value at which artists will be entitled to a share in the resale of their work is to be set at €1,000 in new legislation …

The value at which artists will be entitled to a share in the resale of their work is to be set at €1,000 in new legislation due before the Oireachtas in the autumn.

The new legislation, which is expected to become law by the end of the year, follows this week's "interim" regulations placing a minimum value of €3,000 on a work of art for it to qualify.

However, the €1,000 threshold limit is the figure for which organisations such as Visual Artists Ireland and the Irish Visual Artists' Rights Organisation have been lobbying, as it would ensure that the majority of artists, including printmakers, would benefit.

Under this week's regulations, artists are now entitled to 4 per cent of resale value of their work and this will be enshrined in the primary legislation which has been drafted in a consultation process between the Department of Enterprise, Trade and Employment and the Department of Arts.

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This week's regulations, and the forthcoming Bill, are in response to an EU directive on resale rights known as droit de suite. The State's failure to introduce the resale rights earlier in the year - it was due to be enacted from January 1st - was recently challenged in the High Court by artist Robert Ballagh, whose work frequently comes up for auction.

Under the directive, there is a ceiling of €12,500 on the amount an artist can receive on resale. One issue that needs teasing out when the full legislation comes up for Dáil debate is the duration of resale rights - how far down the family line it should extend beyond an artist's immediate dependants and family. The temporary regulations applies only to living artists.

Under the EU directive, a derogation on payment of the resale royalty to the heirs of deceased artists is available until 2010 but the Government will not seek to avail of this option.

The temporary regulations give artists the right to obtain details about those who sell on their work, but they are unclear about the means of collecting the new royalties, whether it is to be on a one-to-one basis between artist and vendor, or through some more formal arrangement. The legislation, however, is likely to place the onus on the auction houses and dealers.

The interim measures are effective from June 13th, a date on which, coincidentally, a major auction of contemporary Irish art was held by deVeres with work by a number of living artists - Louis LeBrocquy, Donald Teskey, John Shinners, William Crozier, John Doherty as well as Ballagh - receiving high prices.