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Sullivan & Worcester LLP Obtains Complete Dismissal of $204 Million Claim Against Artmentum GmbH

Posted by Nicholas O'Donnell on November 7, 2014 at 9:14 AM

In between enjoying another excellent Art Law Day today at NYU, I am pleased to report that Sullivan & Worcester LLP’s Art and Museum Group scored a significant win this week. Our client Artmentum GmbH was sued in New York for $204 million in connection with a potential art collection sale. The plaintiff Art Assure Ltd., LLC and its principal Asher Edelman accused my clients of fraud and breach of contract, which they denied categorically. The matter was entitled ArtAssure Ltd., LLC v. Artmentum GmbH et al., No. 1:14-cv-3756 (LGS).

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Topics: No. 1:14-cv-3756 (LGS), Art Assure Ltd. LLC, Collections, Asher Edelman, Artmentum GmbH, Sullivan & Worcester LLP, Art and Museum Law Group, Litigation, ArtAssure Ltd. LLC v. Artmentum GmbH et al.

One Year After Gurlitt Revelation, No One is Pleased

Posted by Nicholas O'Donnell on November 5, 2014 at 8:59 AM

It has now been one year since Focus magazine in Germany broke the Cornelius Gurlitt story on November 3, 2013. Looking back at the history of the case as it has unfolded since then, the overriding theme has been difficulty in obtaining accurate information about the current state of affairs. The appointed Task Force has made only two recommendations, and the status of the bequest to the Kunstmuseum Bern is still up in the air. And nobody seems remotely pleased.

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Topics: Focus, Schwabinger Kunstfund, Hildebrand Gurlitt, Cornelius Gurlitt, Drefsden, Gurlitt Task Force, Nazi-looted art, Gurlitt Collection, Foreign Sovereign Immunities Act, Lex Gurlitt, Entartete Kunst, Salzburg, Bundesrat, Restitution, Der Spiegel, World War II, Foreign Sovereign Immunities, Switzerland, degenerate art, Kunstmuseum Bern, verschollene Kunst, Münchner Kunstfund, Ronald Lauder

Full Ninth Circuit to Review California Resale Royalty Act En Banc

Posted by Nicholas O'Donnell on October 31, 2014 at 7:48 AM

Several weeks ago, the parties to the appeal over the constitutionality of the California Resale Royalty Act (CRRA) briefed the question about whether the Ninth Circuit Court of Appeals should hear the case, rather than a three-judge panel that would otherwise be assigned to the case. The Ninth Circuit granted the petition yesterday, meaning the appeal will now go before the full court.

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Topics: Legislation, Foie Gras, 538 U.S. 644, N. Randy Smith, 729 F.3d 937, Auction Houses, California Health & Safety Code § 25982, Chuck Close, 730 F.3d 1070, Moral Rights, Commerce Clause, Affordable Care Act, Ass’n des Eleveurs de Canards et d’Oies du Quebec, Judge Jacqueline H. Nguyen, Jerrold Nadler, Christie's, Research & Mfrs. of Am. v. Walsh, California Resale Royalties Act, Ethanol, Dormant Commerce Clause, 491 U.S. 324, U.S. Constitution, Copyright, royalties, Garcia, Ninth Circuit, Cal. Code Regs. tit. 17 §§ 95480–90, Sotheby's, Rocky Mountain Farmers Union v. Corey, Healy v. Beer Inst., Ferdinand F. Fernandez, eBay, Google, Mary H. Murguia

Museums in Bamberg and Karlsruhe Recognize a Sale Under Duress For What it Was, Seek to Do Right Thing

Posted by Nicholas O'Donnell on October 30, 2014 at 8:16 AM

Restitution policy at the federal and state level in Germany in recent months seems to have taken a certain direction that has been cause for criticism. Whether it is the recent decisions by the Limbach Commission that ignore longstanding law about sales under duress, the odd decision by the Federal Republic of Germany to resist a lawsuit over the Max Liebermann painting found in Cornelius Gurlitt’s apartment that the Gurlitt Task Force has already recommended be restituted, or the resistance to the claims by the Mendelssohn-Bartholdy heirs to Picasso’s Madame Soler, the trend has been towards obstruction and resistance rather than transparency and reconciliation. Notwithstanding the recent announcement of the Center for Cultural Property losses (the Deutsches Zentrum für Kulturgutverluste about which the jury is still out), this is cause for concern.

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Topics: Katharina Siefert, Schwabinger Kunstfund, Cornelius Gurlitt, Karlsruhe Kunsthalle, Freien Kunst- und Ritterschießen, Badische Landesmuseum, Max Liebermann, Bamberg, Gurlitt Collection, Woman in a Theatre Balcony, Lothar Franz von Schönborn, Madame Soler, Schönborn’sche Löwenpokal, Heinrich and Emma Budge, Reich Ministry for Art- and Museum Objects, Schönborn Lion Cup, Restitution, Upper Franconia, Mendelssohn-Bartholdy, Mannheim, Karlsruhe, Free and Knightly Art of Shooting, World War II, Elector-Bishop, Kurfürst, Reichserziehungsministerium für Kunst- und Museums, Kurt Martin, www.lostart.de, Center for Cultural Property, Museums, Fürst-Bischof, Picasso, Federal Republic of Germany, Deutsches Zentrum für Kulturgutverluste, Limbach Commission, Oberfranken, Prince-Elector of Mainz

REMINDER—Art Law Day Next Friday, November 7, 2014

Posted by Nicholas O'Donnell on October 29, 2014 at 9:40 AM

Art Law Day at the Appraisers Association of America’s annual conference is next Friday, November 7, 2014 at NYU's Kimmel Center. Sullivan & Worcester LLP will be sponsoring the event as a Friend of Art Law Day this year, about which we are very excited.

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Topics: The Changing Laws for the Sale of Endangered Speci, Monica Kreshik, NYU SCPS, International Director of Restitution, The Frick Collection, miGavel Auctions/Lark Mason Associates, Resale Royalties, Pollock-Krasner Foundation, Betty Krulik Fine Art Limited, American Royalties Too Act, Michael McCullough, Pearlstein & McCullough LLP, authentication, IRS/Tax Free Exchange, Richard Levin, New York University, American Alliance of Museums, Suzanne Goldstein Baker, U.S. Fish & Wildlife Service, Cravath Swaine & Moore LLP, Art Law Day, Department of Environmental Conservation, Ulf Biscof, New Legislation for Authentication Experts, Baker Tilly Virchow Krause LLP, Jerrold Nadler, Christie's, Appraisal, Detroit Institute of Arts, Amy Goldrich, Betty Krulik, Restitution, Randi Schuster, Events, Christopher Marinello Art Recovery International L, Cahill Partners LLP, Elizabeth von Habsburg Winston Art Group, Monica Dugot, Copyright, Appraisers Association of America, Marianne Rosenberg, Terry Shtob, Antiquities, Ford W. Bell, Craig Hoover, Bankruptcy and the Detroit Institute of Arts, Lark Mason, Kimmel Center, Wildlife Trade and Conservation Branch, Detroit Bankruptcy, Diane Wierbicki, Investment Property Exchange Services, Samuel Sachs II, Biscof & Paetow Rechtsanwälte, Withers Bergman LLP, Judith Bresler, Paul Rosenberg

Toren Amends Complaint Against Bavaria Over Liebermann Seized from Gurlitt, Spotlights Task Force Recommendation of Restitution in Support of Bailment Theory

Posted by Nicholas O'Donnell on October 27, 2014 at 6:31 AM

Two weeks ago, the Federal Republic of Germany and Bavaria moved to dismiss the restitution claims brought by David Toren over ownership of Two Riders on the Beach (Zwei Ritter am Strand) by the German painter Max Liebermann. Toren’s uncle David Friedmann owned the painting in Breslau before he was targeted for his collection and it was stolen. Toren had not seen it since adolescence. The painting is further notable for two (related) reasons: it is among the 1,280 works of art found in Cornelius Gurlitt’s apartment in 2012, and it is one of only two that the Gurlitt Task Force has recommended be restituted (to Toren). As we noted at the time of the motion, Germany’s tactics seemed odd; Bavaria has committed to complying with the Task Force’s recommendations, and contesting this case seems to make little sense. The likeliest reason, in our view, is to try to make some jurisdictional law that will weaken other potential claimants to the Gurlitt trove.

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Topics: Schwabinger Kunstfund, Hildebrand Gurlitt, Cornelius Gurlitt, Breslau, Max Liebermann, Germany, Silesia, Gurlitt Collection, Foreign Sovereign Immunities Act, bailment, Entartete Kunst, FSIA, Restitution, Bavaria, David Toren, Zwei Ritter am Strand, Free State of Bavaria, 28 U.S.C. § 1605(a)(2), Looted Art, World War II, Foreign Sovereign Immunities, Altmann v. Republic of Austria, Freistaat Bayern, Kunstmuseum Bern, Riders on the Beach, Federal Republic of Germany, Raubkunst, David Friedmann, Münchner Kunstfund

"Saving Africa’s Elephants Changing the Art Scene" last Tuesday with VLA New York

Posted by Nicholas O'Donnell on October 17, 2014 at 1:07 PM

I enjoyed a terrific panel discussion organized by Volunteer Lawyers for the Arts in New York Tuesday evening at Herrick, Feinstein LLP. Entitled "Saving Africa’s Elephants Changing the Art Scene," the panel addressed the ramifications of this year’s Director’s Order that banned the import of African Elephant ivory for any commercial use, and restricted even further non-commercial use.

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Topics: David Freudenthal, Pearlstein and McCullough, Volunteer Lawyers for the Arts, iGavel, Michael McCullough, Saving Africa’s Elephants Changing the Art Scene, Frank Lord, US Fish and Wildlife Service, Christie's, Hartley Waltman, Carnegie Hall, Events, ivory ban, Herrick Feinstein LLP, Craig Hoover, Lark Mason, Customs, New York

Conflicting Reports About Possible Acceptance of Gurlitt Bequest by Kunstmuseum Bern

Posted by Nicholas O'Donnell on October 13, 2014 at 7:02 AM

There have been multiple and conflict reports in the last 48 hours about whether the Kunstmuseum Bern had reached a decision to accept the inheritance from and appointment as heir by Cornelius Gurlitt. Gurlitt, who died in early May shortly after reaching an agreement with the Bavarian prosecutor concerning the 1,280 works of art seized from his apartment on suspicion of Nazi-looting connections, unexpectedly named the Swiss museum as the sole beneficiary of his will, and as his heir and representative. Just last week, the news was that the Kunstmuseum had resolved to decide by late November, no later than six months after being advised of Gurlitt’s bequest.

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Topics: Reuters, Schwabinger Kunstfund, Hildebrand Gurlitt, Cornelius Gurlitt, Nazi-looted art, Gurlitt Collection, Tages Anzeiger, Munich, Christoph Schäublin, Restitution, Bavaria, Ruth Gilgen Hamisultane, World War II, Swiss, Austria, Sonntagszeitung, Kunstmuseum Bern, Berner Zeitung, Zürich, Nazi Raubkunst, Münchner Kunstfund

Bavaria and Germany Move to Dismiss Gurlitt Litigation, But Raise Questions About Why They Are Resisting a Lawsuit Over Painting that Task Force Recommended They Restitute to David Toren

Posted by Nicholas O'Donnell on October 10, 2014 at 11:04 AM

To date, only one lawsuit has been filed in the United States related to the seizure from Cornelius Gurlitt’s apartment of some 1,280 works of art, a story that broke a year ago with the concern about the objects’ Nazi-looting connections via his father Hildebrand Gurlitt (the view here last winter was that the longer Germany failed to address the situation comprehensively, the more likely such U.S. litigation became). That lawsuit, brought by David Toren, seeks the return of Two Riders on the Beach (Zwei Ritter am Strand), by Max Liebermann. Germany and Bavaria moved to dismiss the case yesterday, which is particularly puzzling given that among the very few determinations made by the Gurlitt Task Force (in August), it is that the Liebermann should be returned. The cynical view is that they are looking to forestall future claims, but it is past time for the painting to be returned.

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Topics: Schwabinger Kunstfund, Hildebrand Gurlitt, Cornelius Gurlitt, Breslau, Max Liebermann, Germany, Silesia, Gurlitt Collection, Foreign Sovereign Immunities Act, bailment, Entartete Kunst, FSIA, Restitution, Bavaria, David Toren, Zwei Ritter am Meer, Free State of Bavaria, 28 U.S.C. § 1605(a)(2), Looted Art, World War II, Altmann v. Republic of Austria, Freistaat Bayern, Kunstmuseum Bern, Riders on the Beach, Federal Republic of Germany, Raubkunst, David Friedmann, Münchner Kunstfund

Germany Announces "Center for Cultural Property Losses": Real Progress or Window Dressing?

Posted by Nicholas O'Donnell on October 9, 2014 at 5:39 AM

After numerous intimations by German Minister of Culture Monika Grütters, the German federal cabinet announced on Wednesday the official formation of the German Center for Cultural Property Losses (Deutsches Zentrum Kulturgutverluste). Citing its “awareness of the special responsibility for the reworking of Nazi art theft,” the ruling CDU coalition issued this statement (my translation):

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Topics: Schwabinger Kunstfund, Hildebrand Gurlitt, Cornelius Gurlitt, Deutsches Zentrum Kulturgutverluste, Germany, Minister of Culture Monika Grütters, Nazi-looted art, Gurlitt Collection, Lex Gurlitt, Koordinierungsstelle für Lost Art in Magdeburg, Magdeburg, enteignete Kunst, Gurlitt, NS Raubkunst, Restitution, Task Force, Bundesländer, Lost Art, www.lostart.de, Limbach Commission, Center for Cultural Property Losses

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About the Blog


The Art Law Report provides timely updates and commentary on legal issues in the museum and visual arts communities. It is authored by Nicholas M. O'Donnell, partner in our Art & Museum Law Practice.

The material on this site is for general information only and is not legal advice. No liability is accepted for any loss or damage which may result from reliance on it. Always consult a qualified lawyer about a specific legal problem.

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