Looking Ahead: What to Expect in 2023
2023 has the potential to see significant changes in all aspects of the art market, from creation to sale of artwork.
In 2022, New York City eliminated its regulation of auctioneers, eliminating numerous legal requirements that had been incorporated into standard auction terms, notably concerning reserves, disclosure of auction houses interests, and warranties of title. 2023 should indicate whether the elimination of those requirements will percolate into changed warranty terms and disclosures in auction houses nationally and internationally.
In 2023, the U.S. Treasury Department remains on track to continue financial regulation of the art market to address concerns about terrorist financing and money laundering, principally through application of existing tools such as suspicious activity reporting and know-your-customer protocols and targeting abuse of shell companies, focusing at the higher-value end of the market.
Finally, the U.S. Supreme Court is evaluating “appropriation” art, which incorporates existing artwork in the creation of new artwork, in the context of Andy Warhol’s use of a photograph of the musician Prince. Oral argument was held in October 2022. The justices’ response suggests that the decision will shed much-needed light on the question of when visual artists appropriating the work of other visual artists must obtain permission and pay licensing fees.
Thought Leadership and Publications
- Judith Wallace Quoted in Citywealth on the State of the U.S. Art Market
In Citywealth, Judith comments on several prescient topics on the US art market, including art fraud, art galleries, and NFTs.
- Carter Ledyard Achieves Victory for Lachaise Foundation in Ownership Dispute of Valued Sculpture
Carter Ledyard preserved a claim by its client Lachaise Foundation to ownership of the monumental sculpture “Garden Figure” by defeating a motion by the Reis Trust that the Foundation’s claim of ownership was barred by the statute of limitations.