ART AND THE LAW
FINAL EXAMINATION
PROFESSOR FREEDMAN
FALL 2002
Wednesday, December 11


1. This is an open book, open materials exam. You may use any notes, books or materials to assist you in responding to the questions.

2. You have two hours to complete the exam.

3. This exam consists of the following:

4. If you are handwriting this exam, use blue books for both the essay and the short answer sections.

5. Do not write on both sides of the page. Write on every other line. Write legibly or print if your handwriting is difficult to read. If I cannot read your response to a question, your grade will be adversely affected. If you are typing your exam, the exam administrators will double space the exam for you when it is printed.

6. I suggest you spend 1/3 of your time on the essay question outlining your response, and then write for the remaining time you allocate for the essay exam: Answer the essay question and the short answer questions as fully as you can.

7. Write your exam number on your exam envelope, all used blue books, and at the top of the exam packet. Do not use your student ID number, name or Social Security Number on any exam materials.

8. At the conclusion of the exam, return all test materials, including blue books, scratch paper, and this exam question packet to the envelope and submit it to the proctor.


Part 1. Essay (50 Points)

Anna is an artist in San Francisco. A local gallery, The Gilroy Gallery, has approached her for representation. The gallery owner, Diana Gilroy, has been an art dealer for many years and sells contemporary art. On April 3, 1981, Diana enters into a verbal agreement with Anna whereby Diana agrees to take four paintings from Anna to sell in the Gilroy Gallery. Diana and Anna agree that the paintings will have a resale value of $500.00 each. Diana pays Anna $500.00 for two of the paintings and takes all four to her gallery.

One year later, Anna calls Diana to see if any of her paintings have sold. Diana explains that she hasn't sold any of them but plans to include the paintings in an exhibit of several artists that September. September rolls around, and the paintings are not exhibited, but are eventually shown in an exhibit with other artists in April of 1983.

Prior to the exhibit, Diana is approached by Calendars Are Us to use images from her inventory for its 1984 calendar. Diana allowed Calendars Are Us to come to the gallery and photograph several paintings including all of those obtained by the gallery from Anna. Anna's paintings were published in the calendar which was sold in retail stores nationwide. Anna was not made aware of the usage of her works until the calendar was released for sale in October 1983.

As Diana is preparing for the April exhibit, one of her assistants accidentally damages Anna's "Golden Gate" painting by tearing the canvas. Without mentioning it to Anna, Diana has the painting repaired by her framer and hung for sale in the exhibit. On the evening of the reception for the exhibit, Anna notices the tear and is upset by the less than perfect repair to the canvas. At the end of the reception, Anna takes the "Golden Gate" painting off the gallery wall and back to her studio over Diana's objections.

Fortunately, one of Anna's other paintings, "Mission Street" sells for $500.00. Eight weeks after the reception, Anna calls the gallery about her payment for the sale of "Mission Street." Diana, still upset that Anna took "Golden Gate," informs Anna that she will be getting a check in the mail for $150.00, but not until the gallery sells all of Anna's paintings remaining at the gallery.

Bob, the purchaser of "Mission Street," takes his painting home. An artist himself, he cuts "Mission Street" into four sections and applies them to his own original collage which is later exhibited and sold at a local gallery.

What legal issues arise from the above facts?


Part II: Short Answer (10 Points Each=50 Points Total)

1. When do an artist's moral rights expire under California law?

2. Jim is an artist and sells one of his original paintings to Bob in Florida in 1999 for 1,000.00. In 2000, Bob sells the same painting to John in California for $1,100.00. What are the rights and obligations of Jim, Bob and John, if any?

3. Sara is an artist and agrees to enter a written consignment agreement with a gallery in California. The gallery asks her to waive her resale royalty right of 5% to a resale royalty right of 3%, which Sara does. The gallery resells one of Sara's paintings and promptly pays her a 3% royalty. Has the gallery acted lawfully? Explain.

4. Name two possible defenses to a claim of copyright infringement.

5. Julie is an artist and has consigned her painting "Blue Shadows" to a California gallery. The gallery and Julie agree to a resale value of $5,000.00 for the painting. The gallery and Julie enter into a written consignment agreement whereby they agree to a 50/50 split on the sale proceeds. The gallery loses her painting. What's the result? (For an extra point, cite the leading case on this issue.)

END OF EXAM