What is ‘due diligence’ in the context of art law?

Due diligence in the context of art law is the research and investigation that is done by a buyer or seller of an artwork to ensure that they are not entering into a transaction for a work of art that is legally questionable, stolen, or has any ownership problems that could result in disputes or even lawsuits. The due diligence process involves researching the artwork to determine whether it was stolen or damaged, researching the chain of ownership for the artwork to make sure it has a clear title, and researching the artist, gallery, or other relevant parties to ensure that the artwork was not acquired by fraud or misrepresentation. In Pennsylvania, art dealers and auction houses are subject to the standard of care for due diligence and may be liable for any omission of due diligence in regard to the artwork they are selling or trading.

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What is ‘due diligence’ in the context of art law?

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