“I’ve been working my ass off for you to make that profit?” the artist Robert Rauschenberg said to collector Robert Scull in 1973 as he shoved him after an auction at Sotheby Parke Bernet, at which Mr. Scull sold a number of contemporary artworks for sums far exceeding what he had initially paid. The artists who had produced the works, of course, received nothing.
Three years later, California governor Jerry Brown signed into law the California Resale Royalties Act, which required people selling art to pay five percent of the sales price to the artist, if certain requirements were met. Today, the law is not frequently enforced, and, based on interviews with art market players, not completely understood. However, the law has been thrust into the news of late thanks to two lawsuits.
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