Artlog

Sotheby’s Lost $15 Million Paying Guarantees

by dylan / 2 months ago / Source: www.bloomberg.com

“Disappointing art auctions in London and Hong Kong this month cost Sotheby’s $15 million in losses on guarantees it provided sellers. The losses occurred because the artworks either sold for less than the minimum price the auction house guaranteed to sellers, or not at all, Sotheby’s said in a filing late yesterday with the U.S. Securities and Exchange Commission. Sotheby’s agrees to pays some consignors a guarantee regardless of whether a property sells or at what price. Auction houses use guarantees to encourage art owners to sell through them. “