“I paint from remembered landscapes that I carry with me – and remembered feelings of them, which of course become transformed. I could certainly never mirror nature. I would more like to paint what it leaves with me.”
This untitled oil on canvas, executed in 1960 by Joan Mitchell (1925-92), had been acquired by our client at auction in 2006.
Joan Mitchell
Untitled
Oil on canvas
1960
28 1/2 by 28 3/4 in.
Estimate: $400,00-$600,000
Sold: $466,000 (Hammer with Buyer’s Premium)
PROVENANCE
Martha Jackson Gallery, New York
Private Collection, Peru (acquired from the above in April 1967)
Sotheby’s, New York, May 11, 2006, lot 170
Acquired by the present owner from the above sale
OUR SERVICES
Offering expert Advisory across sectors, our dedicated Advisory and Sales Agency teams combine strategic insight with transparent advice to guide our clients seamlessly through the market. We always welcome the opportunity to discuss our strategies and services in depth.
The Collection of Robert & Barbara Safford
In 2013 our team acted for the Safford family in the dispersal of antiques from Vaux Hill, a 20-room country estate with pre-Revolutionary origins in Phoenixville, Pennsylvania.
Upon the advice of The Fine Art Group, the 274 selected lots were consigned to auction in a single-owner sale that was promoted to the international marketplace with previews in both London and New York.
After an international tour and much media fanfare, the auction of the Selected Contents of Vaux Hill: The Collection of Robert & Barbara Safford achieved $3.9 million in sales—more than tripling the auction’s estimate—and set an auction record. Buyers from around the globe packed Freeman’s third floor gallery for a chance to bid on the 274 works spanning two centuries. Decorative arts from royal and continental craftsmen KPM, the Russian Imperial Porcelain Factory, the House of Hanover, and Louis XV were offered in the sale. Freeman’s attracted nearly 400 potential buyers via the phones, online, and in the room. What would have normally been a two and a half hour auction took place over five hours, as the sale drew fierce bidding.
The top lot was a hand-painted Russian urn produced by Nicholas I’s Imperial Porcelain Factory in St. Petersburg, estimated at $150,000-200,000. After brisk competition from within the room, on the phones, and the internet, it went to the highest bidder in the room for $494,000. Urns of this size are unique and few have survived as they were extremely difficult to cast and very delicate. This was one of several large continental vases sold yesterday (lots 7, 64, 107, 126 152), which attracted heavy bidding and successful results.
An auction record was set for a rare gilt bronze mounted porcelain tall case clock by the Berlin Konigliche Porzellan Manufaktur (KPM), circa 1895, which brought $242,500. It is believed to be one of only six in existence produced after a design by Alexander Kips, estimated at $80,000-120,000. One of these six clocks is proudly displayed at Osborne House on the Isle of Wight; it was a gift given to Queen Victoria by her grandson Kaiser Wilhelm II.
Top Lots from Selected Contents of Vaux Hill: The Collection of Robert & Barbara Safford:
- $494,000
Lot 131: Important ormolu mounted Russian imperial hand-painted gilt-decorated porcelain urn. Russian Imperial Porcelain Factory, St. Petersburg, Period of Nicholas I, circa 1836. - $482,500
Lot 107: Rare pair of Russian hand-painted and gilt decorated blue ground vases, 20thcentury. - $254,500
Lot 1: Very fine gilt metal mounted Meissen porcelain and giltwood secretaire cabinet, circa 1880. - $242,500
Lot 39: Important German gilt bronze mounted gilt decorated and hand-painted KPM porcelain tall clock case clock, circa 1895 - $158,500
Lot 84: Large and impressive Sevres style porcelain white ground vase. - $134,500
Lot 154: Fine Continental Louis XVI style gilt-bronze and rhodonite seven-piece desk.
OUR SERVICES
Offering expert Advisory across sectors, our dedicated Advisory and Sales Agency teams combine strategic insight with transparent advice to guide our clients seamlessly through the market. We always welcome the opportunity to discuss our strategies and services in depth.
Alfred C. Breuning of Pennsylvania had acquired Pablo Picasso’s Buste d’Homme, a brush and ink sketch dated 2.8.67, from the Galerie Louise Leiris in Paris in 1969.
Acting for Breuning‘s estate it was consigned for sale at Sotheby’s New York in May 2014 where it sold at for $677,000.
The work was completed in the year Picasso began his famous series of cavaliers and musketeers – believed to be the ailing artist’s recreation of himself as a youthful and sexually potent figure.
Pablo Picasso
Buste d’Homme
Brush and ink and ink wash on paper
29 1/2 by 22 1/8 in.
August 2, 1967.
Estimate: $500,000-$700,000
Sold: $677,000
PROVENANCE
Galerie Louise Leiris, Paris
Acquired from the above circa 1969
EXHIBITED
Paris, Galerie Louise Leiris, Dessins 1966-1967, 1968, no. 55
LITERATURE
Christian Zervos, Pablo Picasso, Oeuvres de 1967 et 1968, vol. XXVII, Paris, 1973, no. 95, illustrated pl. 29
The Picasso Project, ed., Picasso’s Paintings, Watercolors, Drawings and Sculpture, The Sixties II, 1964-1967, San Francisco, 2002, no. 67-322, illustrated p. 377
CATALOGUE NOTE
Buste d’homme is an iconic image that exemplifies both the confrontational style of Picasso’s 1960s art and the iconography of the masculine male that the artist championed in his later years. Executed in 1967, the present work was completed during the very year that Picasso began his series of cavaliers and musketeers. Such works, which are laced with references to masculine virility and sexuality, are believed to be the artist’s recreation of himself, then ailing, as a youthful and sexually potent figure. Here, the misplaced facial features suggest an inner torment, yet the firm, deliberate strokes of ink and frankness of the subject indicate a vigor and masculinity that will come to characterize his series of musketeers and swashbucklers. The work thus references both deterioration and resilience, underscoring the psychological complexity of this transitional period.
Picasso’s exploration of self-image in his art is summarized by Simonetta Fraquelli: “In their seventeenth-century garb, Picasso’s musketeers appear in many guises, some holding swords and some wearing wigs or ornate shoes, others smoking. Some are young, others old, some participate while others are voyeurs. They represent many of the possible ages of the artist, ranging from a child genius to an impotent old man. Like Rembrandt, with whom he now became obsessed, Picasso liked to insert himself into his paintings, in one guise or another. The parallels between the two masters, the Dutchman and the Spaniard, are many: both enjoyed a long and fulfilling career; both felt isolated and misunderstood, if not derided, in their old age; and both obsessively recorded their own decline in their numerous self-portraits” (Simonetta Fraquelli, “Looking at the Past to Defy the Present: Picasso’s Painting, 1946-1973,” in Picasso, Challenging the Past, London, 2009, p. 146).
OUR SERVICES
Offering expert Advisory across sectors, our dedicated Advisory and Sales Agency teams combine strategic insight with transparent advice to guide our clients seamlessly through the market. We always welcome the opportunity to discuss our strategies and services in depth.
In this article, we look at the importance of legal and valuation advice in connection with the acquisition, ownership, and disposal of art and other valuable chattels by sale, gift, or estate tax planning.
THE ART MARKET
Two things are certain about the art market. The first is that art buyers and collectors are increasingly acquiring art and collectibles from an investment viewpoint.
The second is the increasingly heard complaint that the art market is not properly regulated, leading to a lack of transparency and access to authoritative sources of advice.
ART BUYERS & COLLECTORS
The 2015 European Art Fair Report (TEFAF), considered to be the authority on auctions, art fairs, and market trends, recorded the highest ever total value for sales in the art market in 2014. It reckoned the global art market totalled more than €51 billion ($53.9 billion U.S.), surpassing the annual sales figure for the 2007 pre-recession high of €48 billion ($51 billion).
The Report noted that the most popular acquisition in 2014 of the High Net Worth Individual was jewelry, gems and watches (29%), while antiques and collectibles ranked second (21%) with art representing 17% of sales.
The British art market, which accounts for 22% of the global market, is highly regulated, both at an EU and national level.
As at February 2015, it was estimated that there were 167 applicable laws and regulations affecting the market, including the Artist’s Resale Right Regulations, the Dealing in Cultural Objects (Offenses) Act, regulations under the Convention on International Trade in Endangered Species of Wild Fauna and Flora (CITES), and the Auctions (Bidding Agreements) Act, to name but a few.
However, there are a number of significant issues that are specific to the art market, which still require addressing:
- no industry regulator
- conflicts of interest giving rise to confusion over commission charges
- lack of transparency over true ownership which can create title issues
- distortion of competition which can arise from auction house guarantees or similar activities and which can amount to insider dealing
- third party valuation and appraisal is not regulated in the UK and many other countries
Other related issues are money laundering, tax evasion, corruption and fraud.
Improvements could be made by more effective enforcement of existing regulations, particularly in the areas of competition and criminal law. An important contribution too can be made by the purchaser, who is always better advised to deal with members of appropriate professional organizations.
The same caveat should apply when seeking professional valuation or sales advice. Advice by an independent third-party professional adviser can provide both assurances as well as help achieve the most satisfactory financial outcome. While membership of a professional body is not an absolute guarantee of competence and honesty, it goes some way to establish credentials and may be helpful if something goes wrong.
THE ROLE OF THE LAWYER
In the context of owning, acquiring or disposing of art, there are three areas where a lawyer may be required to contribute.
REGULATION OF GENERAL APPLICATION
The first is the purchase or sale of a work of art (or jewelry, cars, guns, antique furniture), is subject to the usual range of property transaction legislation, such as that regulating the sale of goods, consumer contract, trade description, intellectual property, etc.
There could be a number of circumstances where it would be advisable for a lawyer to draft or review any contractual arrangements prior to purchase or disposal. It may also be advisable to have other ownership arrangement checked, such as contracts for transport, insurance or agreements for loans to museums or exhibitions.
ART SPECIFIC REGULATION
Secondly, there is a range of art-specific legislation where legal advice would be highly advisable. Examples of this are the already mentioned CITES regulations to prevent international trade from threatening species.
Appropriate exemption certificates may have to be obtained even when the purposes of transport are not for sale. There is a lot of uncertainty in the application of CITES regulations and seeking legal advice may forestall trouble or seizure of valued items.
Another trap for the uninitiated and where legal guidance may be important is in connection with the Artist’s Resale Right known as ‘Droit de Suite’.
‘Droit de Suite’ is a royalty payable to a qualifying artist or the artist’s heirs each time a work is re-sold during the artist’s lifetime and for a period up to 70 years following the artist’s death, sellers need to be aware of this and should seek legal advice if it is an issue.
A new British copyright law comes into effect in 2020, which will restrict design rights on mass-produced items to 25 years. This may threaten the viability of museums, publishers and art-related businesses to work with artists and estates on reproduction rights. The changes are retroactive; meaning some cases where image rights have expired will be revived and the new legislation will make copyright breach a criminal, rather than a civil offense.
TAX RELATED ASPECTS
Artwork has become an important aspect of estate planning and administration because it can affect the estate’s overall value, resulting in substantial estate or inheritance taxes
The freeze of the Nil Rate Band has contributed to a significant rise in the total of IHT revenue for HMRC with rising house prices, asset prices and inflation, pushing more estates into IHT.
Legal advice should be sought on various steps to reduce an unnecessary tax including:
- lifetime gifts
- gifts with reservation of benefit
- Chattel Rental Schemes
- acceptance in lieu of IHT
- The Cultural Gifts Scheme
- Private treaty sales of a heritage item to a national museum or gallery.
Trusts, or alternatives such as a family investment company or family general partnership, often play an important part in preserving chattels from generation to generation and clearly the setting up of such an arrangement is the province of the lawyer. Again continuing legal advice during the lifetime of the trust will be important.
THE ROLE OF THE VALUER
Being aware of the correct and current values of art, jewelry and other valuable objects is of critical importance.
To meet the required criteria, a specialist valuer will be essential in setting out the arguments for the transfer of an object under an acceptance in lieu arrangement, the Cultural Gift Scheme or through sale by private treaty.
The valuer’s knowledge of market values will assist the lawyer in guiding trustees over assessing tax liabilities or on the disposal of assets for diversification purposes or raising income to meet anticipated tax liabilities.
Advice from an experienced, established and independent valuation business can offer confidence in the acquisition of new works or the sale of items.
Such assistance could also include negotiating auction house or gallery commission rates or arranging sale by private treaty.
Valuation and art advice services are the “glue” that connects the professional advice offered by lawyers, accountants, and wealth managers and the art professionals.
OUR SERVICES
Understanding value is the cornerstone to effectively managing a collection – and at The Fine Art Group, it is this understanding that enables us to work as trusted fiduciaries for our clients, and their objects. We are experienced providing appraisals for a wide range of purposes, and are also specialists in unique and complicated appraisal scenarios.
Andrew Wyeth’s ‘The Lobster Man’ sold for $103,000 at Freeman’s of Philadelphia in June 2011. Wyeth produced the watercolour of a fisherman clutching his steaming thermos at the behest of the American Artists in New York, with a view to it being used for a Maxwell House Coffee advert. The painting never made it to the billboards and a descendent of our client had acquired it directly from the artist in the 1940s. The work of Wyeth, one of the most revered US artists of the last century, has consistently achieved good results at auction.
OUR SERVICES
Offering expert Advisory across sectors, our dedicated Advisory and Sales Agency teams combine strategic insight with transparent advice to guide our clients seamlessly through the market. We always welcome the opportunity to discuss our strategies and services in depth.
On our advice, ‘The Skier’ (The Ski Runner) by N.C. Wyeth (1882-1945), was consigned for sale at Sotheby’s New York in November 2014 where it sold for $1,205,000.
This much-exhibited picture – illustrated on the cover of the February 1911 edition of The Popular Magazine – had previously been owned by both the artist’s wife and his daughter. It is thought this painting was based on photographs of the artist’s brother Stimson (known as Babe).
“I have just completed, and shipped, on the same train with Babe,” Wyeth wrote, “a cover for the Popular. The most striking and strongest I have done in a long time. The Ski Runner is its title.” It had been bought by our client from a Pennsylvania family in 1998.
N.C. Wyeth
The Skier
Oil on canvas
41 5/8 by 27 1/8 in.
Estimate: $250,000-$350,000
Sold: $1,205,000
OUR SERVICES
Offering expert Advisory across sectors, our dedicated Advisory and Sales Agency teams combine strategic insight with transparent advice to guide our clients seamlessly through the market. We always welcome the opportunity to discuss our strategies and services in depth.
Sotheby’s sells Les Soleils by Henri Le Sidaner (1862–1939) on behalf of a client on November 5, 2015.
Henry Le Sidaner (1862-1839)
Les Soleils
Signed Le Sidaner (lower left)
Oil on canvas
26 by 31 7/8 in.
1909
Estimate: $300,000-$500,000
Sold: $370,000
PROVENANCE
Sale: Christie’s, London, June 28, 1988, lot 157
Sale: Christie’s, New York, May 9, 2000, lot 159
Private Collection
Acquired from the above
EXHIBITED
Paris, Galeries Georges Petit, Société nouvelle, 1909, no. 81
Estimate $300,000 — 500,000 USD
OUR SERVICES
Offering expert Advisory across sectors, our dedicated Advisory and Sales Agency teams combine strategic insight with transparent advice to guide our clients seamlessly through the market. We always welcome the opportunity to discuss our strategies and services in depth.
Lot 51
Alexander Calder (American, 1898-1976)
The Ancient Mariner
Gouache and ink on paper.
29 1/2 x 42 1/2 in.
Estimate: $40,000-$60,000
Sold: $68,750 (with Buyer’s Premium)
PROVENANCE
The Artist.
Brook Street Gallery, London, United Kingdom (purchased from the above).
Flair Gallery, Cincinnati, Ohio (acquired from the above in 1967).
Private Collection, St. Louis, Missouri.
Nelson Gallery/Atkins Museum, Kansas City, Missouri.
Private Collection, Kansas City, Missouri (acquired from the above in 1968).
Burchard Galleries, Inc., St. Petersburg, Florida.
Private Collection, Florida (acquired from the above in 2006).
EXHIBITION
Nelson Gallery/Atkins Museum, Kansas City, Missouri, October 3, 1968- October 20, 1968.
NOTE
This work is registered in the archives of the Calder Foundation under identification number A27659.
RELATED CONTENT
- Calder’s Dissolving Spiral Sells at Sotheby’s
- N.C. Wyeth Work Offered on Behalf of Private Collector
- Don’t Go It Alone: Let Us Be Your Auction Sales Advocate
OUR SERVICES
Offering expert Advisory across sectors, our dedicated Advisory and Sales Agency teams combine strategic insight with transparent advice to guide our clients seamlessly through the market. We always welcome the opportunity to discuss our strategies and services in depth.
Alexander Calder
Dissolving Spiral
Gouache and ink on paper
26 5/8 by 40 1/8 in.
1963
Estimate: $25,000-$35,000
Sold: $100,000 (Hammer with Buyer’s Premium)
PROVENANCE
Perls Galleries, New York
Winifred Breuning, New York
Acquired by the present owner from the above
NOTE
Executed in 1963, this work is registered in the archives of the Calder Foundation, New York, under application number A07462.
OUR SERVICES
Offering expert Advisory across sectors, our dedicated Advisory and Sales Agency teams combine strategic insight with transparent advice to guide our clients seamlessly through the market. We always welcome the opportunity to discuss our strategies and services in depth.
With deep rounded sides rising to a flared rim, this stembowl is supported on a tall slightly spreading hollow foot, decorated in anhua on the interior with a ruyi in the center and a offers a pair of dragons chasing a ‘flaming pearl’ around the sides. The exterior is plain and covered overall with an even creamy-white glaze.
Christie’s
Sale 2872
Lot 814
White-Glazed Ming Dynasty Stem Bowl
Ming Dynasty, Early 15th Century
Height: 4 3/4 in.
Estimate: $20,000-$30,000
Sold: $87,500
PROVENANCE
Christie’s New York, 23rd March 1995, lot 94.
Sotheby’s Hong Kong, 29th October 2001, lot 560.
OUR SERVICES
Offering expert Advisory across sectors, our dedicated Advisory and Sales Agency teams combine strategic insight with transparent advice to guide our clients seamlessly through the market. We always welcome the opportunity to discuss our strategies and services in depth.