Section § 1745

Explanation

If an art dealer sells or offers art without a required certificate of authenticity or provides false information, they are liable to the buyer for the purchase price plus interest. If done willfully, the buyer can recover three times the amount. The lawsuit must be filed within one year of discovering the issue and no later than three years from the sale. Courts can award legal costs to the winning party unless the lawsuit was brought in bad faith. Buyers can seek further damages beyond this law. Art dealers can't avoid liability with disclaimers unless they failed to make reasonable inquiries as expected in the trade.

(a)CA Civil Law Code § 1745(a) An art dealer, including a dealer consignee, who offers or sells a multiple in, into or from this state without providing the certificate of authenticity required in Sections 1742 and 1744 of this title for any time period, or who provides information which is mistaken, erroneous or untrue, except for harmless errors, such as typographical errors, shall be liable to the purchaser of the multiple. The art dealer’s liability shall consist of the consideration paid by the purchaser for the multiple, with interest at the legal rate thereon, upon the return of the multiple in the condition in which received by the purchaser.
(b)CA Civil Law Code § 1745(b) In any case in which an art dealer, including a dealer consignee, willfully offers or sells a multiple in violation of this title, the person purchasing such multiple may recover from the art dealer, including a dealer consignee, who offers or sells such multiple an amount equal to three times the amount required under subdivision (a).
(c)CA Civil Law Code § 1745(c) No action shall be maintained to enforce any liability under this section unless brought within one year after discovery of the violation upon which it is based and in no event more than three years after the multiple was sold.
(d)CA Civil Law Code § 1745(d) In any action to enforce any provision of this title, the court may allow the prevailing purchaser the costs of the action together with reasonable attorneys’ and expert witnesses’ fees. In the event, however, the court determines that an action to enforce was brought in bad faith, it may allow such expenses to the seller as it deems appropriate.
(e)CA Civil Law Code § 1745(e) These remedies shall not bar or be deemed inconsistent with a claim for damages or with the exercise of additional remedies otherwise available to the purchaser.
(f)CA Civil Law Code § 1745(f) In any proceeding in which an art dealer relies upon a disclaimer of knowledge as to any relevant information set forth in Section 1744 for any time period, such disclaimer shall be effective unless the claimant is able to establish that the art dealer failed to make reasonable inquiries, according to the custom and usage of the trade, to ascertain the relevant information or that such relevant information would have been ascertained as a result of such reasonable inquiries.

Section § 1745.5

Explanation

This law states that if someone breaks a specific law in California, they can be stopped by a court. The Attorney General, district attorneys, city attorneys, city prosecutors, or even individuals representing public interest can take legal action to prevent continued violations. People violating the law may have to pay a fine of up to $1,000 per violation, which is collected and distributed to various governmental funds depending on who brings the lawsuit. Additionally, a similar surcharge may be applied and used to cover enforcement costs.

(a)CA Civil Law Code § 1745.5(a) Any person performing or proposing to perform an act in violation of this title within this state may be enjoined in any court of competent jurisdiction.
(b)CA Civil Law Code § 1745.5(b) Actions for injunction pursuant to this title may be prosecuted by the following persons:
(1)CA Civil Law Code § 1745.5(b)(1) The Attorney General.
(2)CA Civil Law Code § 1745.5(b)(2) Any district attorney.
(3)CA Civil Law Code § 1745.5(b)(3) Any city attorney.
(4)CA Civil Law Code § 1745.5(b)(4) With the consent of the district attorney, a city prosecutor in any city or city and county having a full-time city prosecutor in the name of the people of the State of California upon their own complaint, or upon the complaint of any board, officer, person, corporation, or association.
(5)CA Civil Law Code § 1745.5(b)(5) Any person acting in his or her own interests, or in the interests of the members of a corporation or association, or in the interests of the general public.
(c)CA Civil Law Code § 1745.5(c) Any person who violates any provision of this title may also be liable for a civil penalty not to exceed one thousand dollars ($1,000) for each violation, which may be assessed and recovered in a civil action brought in the name of the people of the State of California by the Attorney General or by any district attorney or any city attorney, and, with the consent of the district attorney, by a city prosecutor in any city or city and county having a full-time city prosecutor in any court of competent jurisdiction.
If the action is brought by the Attorney General, one-half of the penalty collected shall be paid to the treasurer of the county in which the judgment was entered, and one-half to the General Fund. If brought by a district attorney, the penalty collected shall be paid to the treasurer of the county in which the judgment was entered. If brought by a city attorney or city prosecutor, one-half of the penalty collected shall be paid to the treasurer of the city in which the judgment was entered, and one-half to the treasurer of the county in which the judgment was entered.
(d)CA Civil Law Code § 1745.5(d) Any person who violates any provision of this title may also be liable for a civil penalty surcharge not to exceed one thousand dollars ($1,000) for each violation which shall be assessed and recovered in the manner provided in subdivision (c). Any penalty surcharge collected shall be applied to the costs of enforcing this title by the prosecuting officer.