How do we handle non-paying buyers or collectors who default?
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You may have the right to retain or repossess the artwork, charge interest, or pursue legal remedies for breach of contract. We represent galleries in negotiations, collections, and litigation to recover payment or secure the return of unsold works.
When a buyer or collector defaults on payment, it’s important to respond promptly and in a way that aligns with your contractual rights. Many sales and consignment agreements give galleries the right to retain possession of works until full payment is made, or to reclaim artwork that has been delivered but not paid for. Depending on the contract terms, you may also be able to charge interest on late payments, withhold future deliveries, or condition further sales on resolving the default. Having these provisions clearly written in your agreements can give you leverage to encourage payment without escalating the dispute.
If informal efforts don’t resolve the issue, legal remedies may be necessary. This can include sending formal demand letters, engaging in settlement negotiations, or pursuing litigation to recover the purchase price or the return of the artwork. In some cases, galleries may also have the right to seek damages for breach of contract, including costs associated with storage, insurance, or resale. We help galleries assess their contractual and legal options, negotiate with non-paying buyers, and, when needed, pursue claims in court to protect their inventory and ensure they’re paid for the works they place.