Artist's Resale Right (ARR):

The Artist's Resale Right (ARR), or Droit de Suite, became law in result of an EU Directive in the UK in February 2006. This is a royalty, on a sliding scale from 4% to 0.25%, to be paid to living artists on the second and subsequent sales of their work. It operates from the Pound Sterling equivalent of 1,000 Euros upwards on the date of sale (anything below that is exempt) Most transactions will fall into the 4% bracket - up to 50,000 Euros. The levy is paid to a central collection agency, either the Design and Artists Copyright Society (DACS) or The Artists Collecting Society (ACS), who deduct their commission (of 15%) and send the remainder to the artist. It applies to transactions through an auction, gallery or any other art market professional. In 2012 the levy was extended to the 'heirs and beneficiaries' of the artist up to 70 years after their death - so from 1947 as of 2017

 

Gallery Position:

 

As a specialist dealing in essentially 19th Century watercolours, ARR seldom applies - but in result of its extension to benefit deceased estates, for a variety of reasons I have purposely avoided buying or selling watercolours by artist's where ARR might be incurred when their date of death is now post 1947. On the rare occasion where ARR might be applicable to my sales, the price will be uplifted by 4% to the purchaser to take account of the levy due - which is consistent with auctioneers practice

 

Do contact me if further explanation is required

 

Derek Newman