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by | Nov 6, 2022 | Not defined | 0 comments


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Please add sentences or paragraphs to the contents below!I will also attach important, relevant materialYou asked me to take a look at the contract and resolve a few of your questions. Below please find answers to the major questions in your email: (1) how much do you have to pay? and (2) how can you terminate the agreement? (3) is the contract negotiable?
(1). Expenses. Outside of the commission:
A. In the current iteration of the contract, you are obligated to cover the costs of:
1. 1.5% of the value of your collection for maintaining insurance
2. The standard fees for Sutherland’s catalog illustration
3. The cost of packing, shipping, and duties for transporting your collection
4. The cost of any agreed advertising
5. The cost of any reproduction rights
6. The cost of any other services, like framing, that would be approved by Sutherlands
B. You are also obligated to pay for 5% of your collection (at the reserve price, or the base price you set with Sutherland’s) if your collection fails to sell, at a minimum of $250.
C. Sutherland’s covers the expenses of the auction.
D. The above expenses that you are obligated to cover will be deducted out of the net sale proceeds you earn on the sale of your collection.
(2) Termination
In the current iteration of the contract, you may not terminate or withdraw after you sign the agreement. If you do decide to withdraw after signing the agreement, you will have to pay Sutherland’s termination fee alongside any other damages incurred due to your withdrawal.
The termination fee is currently set at 20% of Sutherland’s latest pre-sale estimates, and also includes any out-of-pocket expenses that Sutherland has incurred up until your withdrawal. Were you to wish to remove some or all of your pieces, you would likely have to pay the termination fee for the specific items you are removing.
Sutherland’s does have a right to terminate contingent upon if there is doubt of authenticity, doubt of any of your representations about the collection you have made thus far, or if you breach any of the other provisions in the contract (for example, refusing to pay for the above, or refusing to allow Sutherland’s absolute discretion over consulting experts, writing blurbs, determining dates of the auction, etc.).
For clarity, the representations you have made thus far include: (1) that you have the right to sell this collection, (2) that there are no liens or claims on your collection, (3) that you will pass the right to possess to the buyer, (4) that you have provided all the information concerning the origin of your collection, (5) that you have no reason to believe the collection is inauthentic, (6) that the property was imported legally to the United States, (7) that you’ve paid all taxes on the collection, and (8) that there are no restrictions on Sutherland’s ability to reproduce images of your collection.
(3) Negotiability
We absolutely can negotiate the terms of this agreement.

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