Viscopy announces that the legislation for an artists' resale royalty right has just been passed by the Australian Parliament. The new right is expected to come into effect in mid-2010 once a collecting society has been appointed to manage the collection of the royalties.
The resale scheme, as introduced, has many positive features including an uncapped royalty of 5% on resales involving an art market professional at a price of AUD$1,000 or more; application of the right for a term of 70 years post mortem; joint and several liability of buyers, sellers and agents for the payment of royalties; the appointment of a single collecting society to manage the right; a requirement on the part of sellers to give the collecting society notice of resales and power on the part of the collecting society to require the provision of information about resales from buyers and sellers; and international reciprocity.
Now that the details of the scheme have been finalised, the Australian Government is conducting an open tender process to select a service provider to manage the scheme. An invitation to tender was announced with a deadline of 4 February 2010. Viscopy intends to bid for the right to manage this scheme.