Droit de Suite

Abstract

Droit de suite, the ‘right to art proceeds’, is a continuing property right artists maintain in works of art that provides them with a resale royalty each time their works are resold after the initial sale. The royalty is usually a fraction of the sales price but may be based on the capital gains. Although many countries have laws proclaiming these rights, most of them do not enforce the payment of royalties. Whether enforcing these rights increases efficiency and whether mandating them is desirable to artists, art dealers and collectors depends on a variety of conditions. As a consequence, even artists differ as to whether or not to support mandatory resale royalties.