ABSTRACT

Traffic in stolen artworks is a worldwide problem, but the rules for determining rights of owners and innocent purchasers are unique to each nation. The problem is severely compounded in the United States, which has the highest volume of artwork transactions but which determines title by separate legal rules in each state, district and territory – over 50 jurisdictions. In general, it is harder in the United States than in Europe for a good-faith purchaser of a stolen artwork to establish title to the stolen item, because laws in Europe generally favour the good-faith purchaser. Consequently, many stolen paintings are ‘laundered’ in Europe in order to establish title, then taken to the United States for resale in the regular markets in the hope that the title issue has been already resolved. The success of that technique depends on the various choice of law rules applied in United States jurisdictions, and those, too, are somewhat fluid. Inevitably in some cases, US state law will be invoked to determine title to a stolen artwork, adjudicating competing claims of the original owner and the bona fide purchaser. This article will explain the current status of United States law on title to stolen personal property.