What are Artist Resale Rights?
Definition: Artist Resale Rights (ARR), also known as droit de suite, give visual artists a legal entitlement to receive a percentage of the sale price when their work is resold by a dealer, auction house, or gallery. The right is designed to ensure that artists benefit financially as their market value increases over time.
ARR is recognized in the European Union, the UK, Australia, and many other jurisdictions, but not in the United States. In countries that enforce ARR, the percentage owed is typically between 4% and 5% of the resale price, with caps in place to limit total royalties. The right may apply for the lifetime of the artist and extend for a period after death, benefiting heirs or estates.
Critics of ARR argue that it adds friction to the secondary market, while supporters highlight its role in artist equity and financial sustainability. In the U.S., proposals to adopt ARR have periodically surfaced, but no federal law currently mandates resale royalties.
