How to negotiate contract for the sale of Fine Art Photography.

Today, I’ll be talking on how to negotiate contract for the sale of fine art photography. 

 From a business point of view, a contract is a mutual understanding. Legally, a contract is an enforceable agreement. "Enforceable" is the keyword. We can enter into many agreements in life, but most of them are not enforceable. Here is an example. A client asks you to do some work for him, his budget is low, and your price is high. He then asks you for a price reduction on the work, and he says that he will make it up to you on the next job you do for him.

You agree and give him a discounted price. A few weeks go by, he calls you with the next job he has. Does he have to provide you with that extra payment he promised? No, he does not, because the agreement you made with him is not an enforceable agreement. In a nutshell, it is not a contract. He made you an offer, and you accepted it, but the deal lacked one critical component: consideration. Consideration is something of value that the parties exchange to support the offer and acceptance made in the course of the deal. All your client did was to conditionally promise you a better deal.

 You accepted the promise. Both of you agreed, but you didn’t form a contract. Your client often presents you with a contract to sign when offering you work.

The fine art photographer will exhibit in galleries and earn income through the sale of physical artworks, although some images may be licensed and earn royalties. Because photographs can be reproduced over and over, the photographer has to create a system to ensure collectors that they are buying either unique or limited-edition works.

 The contract deals with this issue by having the photographer give a warranty - a statement on which the buyer can place reliance and recover damages if the statement is false - to the effect that the work is unique or part of a limited edition. The artwork is described, including whether or not the photographer has signed the work (which adds to its value).

The contract details the sale, the price, and the manner of delivery when the risk of loss shifts from the photographer to the collector; the reservation of copyright by the photographer, and the usual Miscellany provision.

However, there are other provisions that can be added to this contract of sale, which give an artist the right to be acknowledged as the creator of his or her work. the right to maintain the integrity of the work as created, and the right to a small percentage of resale proceeds when the work is sold under certain conditions.

Contractual attempts to achieve these outcomes might include a provision for non-destruction of the work, for integrity and attribution, a right to borrow for purposes of exhibition, a right to restore the work if damaged, and a right to a portion of resale proceeds. The artist might also want a security interest in the artwork until such time as payment is made in full.

With proper filing of forms or by verbal agreement, this would protect the artist against creditors of the collector seizing the artwork in the event of the collector's bankruptcy. While those who pursue the fine arts might hope to escape the mundane tussle of business, it is impossible once the artworks go into the world (and often before), so knowledge and preparation are likely to be the better part of valour.