Last year, Braka faced legal action brought against him jointly by The Artists’ Collecting Society (ACS) and the Design and Artists Copyright Society (DACS) for unpaid resale royalties.
As reported at the time in ATG No 2536, Braka said he had “always fundamentally disagreed with the introduction of the Artists’ Resale Right.
“It was a European law forced on us. I disagree with it because it favours artists with an active market and ignores those that are really in need.”
However, ACS and DACS jointly announced on February 14 that the parties had reached a settlement.
A joint statement read: “ACS, DACS and Ivor Braka Limited look forward to working together to provide artists with the royalties to which they are entitled.”
ARR gives creators of original works across their lifetime, and for 70 years after their death, the right to a payment when their work is resold on the secondary market with the involvement of an art market professional.
The rules, which came into force via an EU directive in 2006 and were updated in 2011, apply to works sold in the UK or another country in the European Economic Area by an artist in the region.
The amount due is calculated on a sliding scale according to the resale price of the artwork and is capped at €12,500.
DACS said: “The royalty overwhelmingly benefits artists selling work at lower prices, with over 50% of eligible sales falling under £5000. Since its introduction in 2006, an estimated £140m in ARR royalties have been distributed to artists and artists’ estates in the UK providing a direct contribution to the livelihoods and practice of artists.”
Some dealers and auctioneers had hoped the levy might be dropped after Brexit.
However, in 2021, the UK government confirmed to ATG that it has “no plans to make changes to either the rates of Artist’s Resale Right that are applied or how the levy operates” following the post- Brexit trade deal agreed with the EU.
The Artist’s Resale Right marked its 17th anniversary this month – it came into force on February 14, 2006.
DACS said the £140m raised so far since its creation plays a significant role in the “art world eco-system, enabling galleries, auction houses and art dealers to contribute directly to artists and their ongoing practices as well as supporting artist’s estates to develop archives and invest in publications such as catalogue raisonnées”.