Montana § 22-2-503 - Agency Relationship -- Trust Property

§ 22-2-503. Agency Relationship -- Trust Property

Agency relationship -- trust property. A consignment of a work of fine art results in the following: (1) The art dealer, after delivery of the work of fine art, is an agent of the artist for the purpose of sale or exhibition of the consigned work of fine art within the state of Montana. This relationship must be defined in writing and renewed at least every 3 years by the art dealer and the artist. It is the responsibility of the artist to identify clearly the work of art by securely attaching identifying marking to or clearly signing the work of art. (2) The work of fine art constitutes property held in trust by the consignee for the benefit of the consignor and is not subject to claim by a creditor of the consignee. (3) The consignee is responsible for the loss of or damage to the work of fine art while in the possession of or on the premises of the consignee. (4) The proceeds from the sale of the work of fine art constitute funds held in trust by the consignee for the benefit of the consignor. The proceeds must first be applied to pay any balance due to the consignor, unless the consignor expressly agrees otherwise in writing.