Terms Used In Iowa Code 556D.3

  • following: when used by way of reference to a chapter or other part of a statute mean the next preceding or next following chapter or other part. See Iowa Code 4.1
556D.3 Conditions of consignment.
The following apply to consignment:
1. The art dealer, after delivery of the work of fine art, becomes an agent of the artist for
the purpose of sale or exhibition of the consigned work of fine art.
2. The work of fine art shall be 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, unless
otherwise mutually agreed upon in writing between the artist and art dealer in which case
the art dealer shall be required to exercise all due diligence and care with regard to the work
of fine art. In case of a waiver, the burden shall be on the dealer to demonstrate the waiver
was entered into in good faith.
4. The proceeds from the sale of the work of fine art shall be held in trust by the consignee
for the benefit of the artist. The proceeds shall first be applied to pay any balance due the
artist unless the artist expressly agrees otherwise in writing.
86 Acts, ch 1233, §3