S. Law & Finance of the Art Market

The global art market has been increasing vastly in scale over the past decade. In 2022, according to the Art Basel and UBS Global Market Report, sales by dealers and auction houses increased by 3% over 2021 to $67.8 billion after a 29% year to year increase in 2021. There has also been a movement of the market into the virtual sphere. Art is increasingly being viewed as an asset class. Art transactions are now often highly structured capital market transactions. After years of the art market functioning largely on handshakes without a great deal of legal documentation the market is changing and more transactions are being documented as sophisticated financial transactions.

This class will explore the intersection of art, finance and law, The course will begin with an overview of the art market, the roles of the different players and the legal issues involved when art is an asset class. We will study and analyze financing structures where art is the collateral. During two of the class sessions we will work in teams to develop a structure for an art financing. In addition each student will be asked to prepare a paper on a topic related to the course. We will consider issues of access to capital and how the increasing monetization of the art market impacts artists, investors, dealers and museums.

Experts from the art market - artist,, collector, gallerist, investor,, appraisers/valuation experts and a museum director - will join us as guests.