Section 407.905

Title XXVI TRADE AND COMMERCE

Chapter 407

Effective - 28 Aug 1984 

  407.905.  Art dealer is agent of artist — work of art and sale proceeds held in trust for artist, not subject to creditor of consignee. — A work of fine art received as a consignment from the artist who created the work of fine art shall remain trust property, notwithstanding the subsequent purchase thereof by the consignee directly or indirectly for the consignee's own account until the price is paid in full to the artist who is consignor.  If such work is thereafter resold to a bona fide purchaser before the artist who is consignor has been paid in full, the proceeds of the resale received by the consignee shall constitute funds held in trust for the benefit of the artist who is consignor to the extent necessary to pay any balance still due to the artist who is consignor and such trusteeship shall continue until the fiduciary obligation of the consignee to the artist who is the consignor with respect to such transaction is discharged in full.

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(L. 1984 S.B. 688 § 4)