The Ninth Circuit Court of Appeals in Close v. Sotheby’s, Inc., 894 F.3d 1061 (9th Cir. 2018) has held that for sales after January 1, 1978, the California Resale Royalties Act is expressly preempted by the federal Copyright Act of 1976 (17 U.S.C. § 301(a)). Id. at 1064, 1076.
The California Resale Royalties Act is no longer valid for sales beyond the aforementioned date.
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Artists, sellers, galleries and auction houses should seek counsel from their attorneys if they have legal questions. The California Arts Council is unable to offer legal advice or speculate as to the outcome of these court cases.
For other inquiries, please contact the California Arts Council at CA_RRA@arts.ca.gov.