COMMISSION OF THE EUROPEAN COMMUNITIES 
Brussels, 12.03.1998 
COM(1998) 78 final 
96/ 0085 (COD) 
Amended proposal for a 
EUROPEAN PARLIAMENT AND COUNCIL DIRECTIVE 
on the resale right for the benefit of the author of an original work of art 
(presented by the Commission pursuant to Article 189 a (2) 
of the EC-Treaty) 

EXPLANATORY MEMORANDUM 
I. GENERAL 
1. On 25 April 1996 the Commission presented the Council with a proposal for a 
European Parliament and Council Directive on the resale right for the benefit of the 
author of an original work of art.l 
At its meeting on 18 December 1996, the Economic and Social Committee delivered 
a favourable opinion on the proposal.2 
Parliament, consulted under the co-decision procedure, examined the proposal in 
detail in its committees. On 8 April 1997, it debated the report drawn up by 
Mrs Ana Palacio Vallelersundi on behalf of the Committee on Legal Affairs and 
Citizens' Rights, and at its plenary sitting of 9 April adopted the proposal with 
amendments.3 
In this amended proposal for a Directive, the Commission has tried to take account 
of Parliament's opinion. Compared with the original text, it has introduced three 
substantive amendments and made a number of changes designed to make the 
proposal more accurate and clearer. 
2. The substantive amendments proposed by Parliament and accepted by the 
Commission relate to: 
(a) the exclusion of manuscripts from the original works of art concerned by resale 
right (recitals 1 and 15; Article 2); 
(b) the introduction of a minimum rate where a national threshold lower than the 
Community threshold is applied (recital 17; Article 4); 
(c) the extension of the period during which the author or his authorised 
representative may request the information necessary in order to secure 
payment under the resale right (Article 9). 
1 OJC 178,21.6.1996, p. 16. 
2 OJC 75, 10.3.1997, p. 17. 
3 OJC 132, 28.4.1997, p. 88. 
3. The main changes of a drafting nature accepted by the Commission relate to the 
following points: 
(a) the unassignable and inalienable nature of the resale right, and the basis of 
resale right (recitals 1 and 2, Article 1); 
(b) the integral inclusion of a recital on the definition of resale right (recital la); 
(c) the integral inclusion of a recital calling for the introduction, in a binding 
manner, of resale rights at international level (recital 5a); 
(d) the advantage of harmonising resale right with a view to ensuring the proper 
functioning of the internal market (recitals 6 and 7); 
(c) the transactions giving rise to resale right (recital 13); 
(f) the composition of the sale price bands and the tapering scale of rates 
(recital 9; Articles 3 and 4); 
(g) the term of resale right, in conjunction with Directive 93/98/EEC harmonising 
the term of protection of copyright and certain related rights (Article 8); 
(h) the procedures for the revision clause (recital 21); 
(i) the procedures for managing the sums paid (recital 23; Article 6). 
The Commission accepts 21 of Parliament's 28 amendments in whole or in part, 
subject in certain cases to the adjustment of the various language versions. 
4. The amendments or parts of amendments not adopted by the Commission for 
reasons of substance concern: 
(a) the exemption of the first transfer of ownership between dealers or between a 
dealer and a final purchaser, provided that the transfer takes place within three 
years of the acquisition of the work of art by the dealer. This amendment was 
rejected, since Article 14terof the Berne Convention provides that resale right 
applies to any resale. The legislations of the 11 Member States which have 
established resale right follow Article 14ter and do not distinguish between the 
various participants on the market for contemporary art (amendments 17 and 
49); 
(b) the use, as a basis for calculation, of the difference between the price obtained 
when the work of art is sold and the purchase price initially paid by the seller 
(excluding loss-making transactions). This amendment was rejected, since 
Article 14,er of the Berne Convention indicates that the tax base for resale right 
is the sale price, irrespective of the success obtained by the work. The 
legislations of all the Member States which apply resale right are consistent 
with Article 14ter. Only one Member State has taken value added as the tax 
base for certain resale transactions, and it has to be concluded that, given the 
practical difficulties, such statutory provisions have only a formal value. The 
amendment impairs the consistency of the text, since some of the articles left 
intact by Parliament provide that resale right is paid on the basis of the sale 
price and not of the value added (amendment 51); 
(c) the restriction of entitled parties to the author's legal heirs. This amendment 
was rejected, since resale right like all copyright is an economic right and, 
accordingly, is covered by the freedom of the rightholder to transmit his 
property right to the heir of his choice (fundamental freedom to bequeath). 
The law of inheritance is, at present, a matter entirely for the Member States 
and cannot be affected, even indirectly, by the principle of subsidiarity 
(amendment 55); 
(d) the new price bands and the reduction of the rates applicable to resale right. 
The Commission rejected this amendment, since it thought it would involve 
too big a fall in the income of the authors of plastic and graphic works of art 
compared with the current situation in those Member States which have 
adopted resale right. The Commission's proposal takes account, however, of 
the different interests involved, by providing for a lower base rate than that 
currently applied in most of the Member States and for a tapering scale of rates 
for the price bands, whereas, at the moment, Member States can only apply 
single rates (amendment 57); 
(e) The inclusion of glass among the original works of art giving rise to resale 
right. This amendment was rejected by the Commission on the grounds that it 
is generally accepted, both under Article 14ter of the Berne Convention and in 
the legislation of the Member States on resale right, that the applied arts are not 
included among works of art covered by resale right (amendment 64); 
(f) the limitation to twelve copies maximum of works of art considered to be 
original. This amendment was rejected by the Commission on the grounds that 
a greater number of copies of some of the works of art concerned may be made 
while still being considered by the profession and by collectors as original 
(lithographs, photographs, etc.) (amendments 18 and 64); 
(g) the procedures for the revision clause (date of the first report and the frequency 
of subsequent reports), since the time limit proposed by Parliament is too short 
to allow the practical impact of the Directive to be assessed (amendment 27). 
II. COMMENTS ON THE RECITALS 
Recitals 1, la and 2 
These recitals are based on amendments 1, 2 and 3. 
See the comments on Article 2. 
Recital 5a 
This recital fully incorporates amendment 4. 
Article 14ter of the Berne Convention is an optional provision; the amendment proposes to 
make the introduction of resale right at international level obligatory. 
Recital 6 
The recital incorporates amendment 5 in slightly altered form. 
The amendment clarifies the wording in particular with regard to harmonisation of resale 
right with a view to ensuring the proper functioning of the internal market. 
Recital 7 
The recital incorporates amendment 6. It improves the wording. 
Recital 13 
This recital is based on amendment 49. 
The change made is intended to specify the persons involved in the transaction giving 
rise to resale right. 
Recital 15 
The recital incorporates amendment 9 and is intended to exclude manuscripts from the 
scope of the amended proposal. 
See the comments on Article 2. 
Recital 17 
The recital is based on amendment 10. 
See the comments on Article 4. 
Recital 19 
The recital is based on amendment 11. 
It stresses the attention paid to the various interests in question when the Directive was 
drawn up. It establishes a link between the selection of a tapering scale of rates for the 
different price bands and the desire to reduce the risk of sales being relocated. 
Recital 21 
The recital incorporates amendment 13 in conjunction with amendment 27. 
See the comments on Article 10. 
Recital 23 
The recital incorporates amendment 15. 
This change stresses that it is for the Member States to regulate the exercise of resale 
right and in particular the procedures for its management. 
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Article 1 
Amendment 17 has been incorporated in part into Article 1 in a manner which highlights 
the inalienable character of resale right. 
Article 2 
Amendments 18 and 64 have been partly incorporated in Article 2. Manuscripts are 
consequently excluded from the scope of the proposal. Although they are covered by 
Article 14ter of the Berne Convention, the original manuscripts of authors and composers 
are rarely of major importance as far as the generation of income is concerned. Income 
arises, rather, from the right of reproduction. 
The amendment makes it possible to define more accurately the scope of resale right with 
regard to plastic and graphic works of art. 
The text also makes it clearer that resale right is exercised upon the alienation of a 
tangible object which is deemed to be original. Thus it is the originality of the physical 
medium of the creative work which is important in this case and not the creation itself. 
In most such cases, the medium is a single copy. In others, the right will also apply to 
limited editions, though it is not appropriate to fix the number of these in the Directive. 
Article 3 
The amended text incorporates amendment 45, as regards structure and presentation. 
Article 4 
The amended article incorporates, as regards structure and presentation, amendments 57 
and 34. It is more explicit as far as the composition of the bands and the tapering scale of 
rates are concerned. It clarifies the right given to the Member States, provided for by 
Article 3(2) of the initial proposal, to fix a national threshold lower than the Community 
one. It also introduces a minimum percentage, should the Member State make use of 
such a possibility. 
Article 6(2) 
The article is based on amendment 52. The rest of the text, which is of illustrative value, 
has been incorporated in recital 23. 
Article 7 
This article incorporates amendment 24. It strengthens the protection in the 
Member States of third-country nationals by granting equivalent treatment to that given 
to nationals of Member States, where the level in the third country concerned 
corresponds, in practice, to that in the Community Directive. 
Article 8 
This article incorporates amendment 25. Its wording has been slightly changed. 
Article 9 
The article incorporates amendment 26, slightly modified in its wording. The period in 
which the author or his authorised representative may request information necessary to 
secure payment of the resale right goes up from one to three years, and the start of such 
period is fixed as the date of the transaction itself. The amendment increases the 
possibility of supervising transactions and, accordingly, facilitates the exercise of resale 
right by its holder, without however imposing on the various operators formalities which 
are too restricting. 
Article 10 
The modified text incorporates amendment 27 in part. 
It clarifies in an appropriate manner certain features which have to be taken into account 
by the Commission when preparing its report. It broadens the scope of any future 
proposal. 
•••••-- - Amended proposal for a 
EUROPEAN PARLIAMENT AND COUNCIL DIRECTIVE 
on the resale right for the benefit of the author of an original work of art 
THE EUROPEAN PARLIAMENT AND THE COUNCIL OF THE EUROPEAN 
UNION, 
Initial proposal Amended proposal 
Having regard to the Treaty establishing No change, 
the European Community, and in particular 
Article 100a thereof, 
Having regard to the proposal from the No change. 
Commission,4 
Having regard to the opinion of the No change. 
Economic and Social Committee,5 
Acting in accordance with the procedure No change, 
laid down in Article 189b of the Treaty,6 
4 OJC 178, 21.6.1996, p. 16. 
5 OJC 75, 10.3.1997, p. 17. 
6 Opinion of the European Parliament, 9.4.1997. 
7 
1. Whereas, in the field of copyright, the 
artist's resale right is an inalienable right 
enjoyed by the author of an original work 
of art or original manuscript to an interest 
in any sale of the work subsequent to the 
first transfer by the author; 1. Whereas, in the field of copyright, the 
artist's resale right is an unassignable and 
inalienable right enjoyed by the author of 
an original work of graphic or plastic art to 
an economic interest in successive sales of 
the work concerned; 
la. Whereas the artist's resale right is a 
right of a productive character which 
enables the author/artist to receive 
consideration for successive transfers of the 
work; whereas the subject-matter of the 
artist's resale right is the physical work, 
namely the medium in which the protected 
work is incorporated; 
2. Whereas the artist's resale right is 
intended to ensure that authors share in the 
economic success of their works; whereas 
it helps to redress the balance between the 
economic situation of authors and that of 
other creators who benefit from successive 
exploitations of their works; 2. Whereas the artist's resale right is 
intended to ensure that authors of graphic 
and plastic works of art share in the 
economic success of their original works of 
art; whereas it helps to redress the balance 
between the economic situation of authors 
of graphic and plastic works of art and that 
of other creators who benefit from 
successive exploitations of their works; 
3. Whereas the artist's resale right forms 
an integral part of copyright and is an 
essential prerogative for authors; whereas 
the imposition of such a right in all 
Member States meets the need for 
providing creators with an adequate and 
standard level of protection; 
4. Whereas under Article 128(4) of the 
EC Treaty the Community is to take 
cultural aspects into account in its action 
under other provisions of the Treaty; 
5. Whereas the Berne Convention for 
the Protection of Literary and Artistic 
Works provides that the artist's resale right 
is available only if legislation in the 
country to which the author belongs so 
permits; whereas the right is therefore 
optional and subject to the rule of 
reciprocity; whereas it follows from the 
case-law of the Court of Justice of the 
European Communties on the application 
of the principle of non-discrimination laid 
down in Article 6 of the EC Treaty, as 
shown in the judgment of 20 October 1993 
in Joined Cases C-92/92 and C-326/92 
Phil Collins and others,7 that domestic 
provisions containing reciprocity clauses 
cannot be relied upon in order to deny 
nationals of other Member States rights 
conferred on national authors; whereas the 
application of such clauses in the 
Community context runs counter to the 
principle of equal treatment resulting from 
the prohibition of any discrimination on 
grounds of nationality; 
5a. Whereas it would seem desirable to 
introduce obligatory resale rights at 
international level; whereas the contracting 
parties to the Berne Convention should 
therefore make Article 14ter of that 
instrument compulsory; 
[1993] ECR 1-5145. 
6. Whereas the artist's resale right is 
currently provided for by the domestic 
legislation of a majority of Member States; 
whereas such laws, where they exist, 
display certain differences, notably as 
regards the works covered, those entitled to 
receive royalties, the rate applied, the sales 
subject to payment of a royalty, and the 
basis of assessment thereof; whereas the 
application or non-application of such a 
right has a significant impact on the 
competitive environment within the 
internal market; whereas as with any other 
parafiscal charge it is an element which 
must be taken into account by each 
individual wishing to sell a work of art; 
whereas this right is therefore a factor 
which contributes to the creation of 
distortions of competition as well as 
displacements of sales within the 
Community; 6. Whereas the artist's resale right is 
currently provided for by the domestic 
legislation of a majority of Member States; 
whereas such laws, where they exist, 
display certain differences, notably as 
regards the works covered, those entitled to 
receive royalties, the rate applied, the 
transactions subject to payment of a 
royalty, and the basis on which these are 
calculated; whereas the application or 
non-application of such a right has a 
significant impact on the competitive 
environment within the internal market, 
since, as with parafiscal charges, the 
existence or absence of an obligation to pay 
on the basis of the artist's resale right is an 
element which must be taken into account 
by each individual wishing to sell a work 
of art; whereas this right is therefore a 
factor which contributes to the creation of 
distortions of competition as well as 
displacements of sales within the 
Community; 
7. Whereas such disparities in the 
application of the artist's resale right by the 
Member States have a direct negative 
impact on the proper functioning of the 
internal market in works of art as provided 
for by Article 7a of the Treaty; whereas in 
such a situation Article 100a of the EC 
Treaty constitutes the appropriate legal 
basis; 7. Whereas such disparities with regard 
to the existence and application of the 
artist's resale right by the Member States 
have a direct negative impact on the proper 
functioning of the internal market in works 
of art as provided for by Article 7a of the 
Treaty; whereas in such a situation Article 
100a of the EC Treaty constitutes the 
appropriate legal basis; 
10 
8. Whereas the objectives of the 
Community as set out in the Treaty include 
laying the foundations of an ever closer 
union among the peoples of Europe, 
promoting closer relations between the 
Member States belonging to the 
Community, and ensuring their economic 
and social progress by common action to 
eliminate the barriers which divide Europe; 
whereas to that end the Treaty provides for 
the establishment of an internal market 
which presupposes the abolition of 
obstacles to the free movement of goods, 
freedom to provide services and freedom of 
establishment, and by the introduction of a 
system ensuring that competition in the 
common market is not distorted; whereas 
harmonization of Member States' laws on 
the artist's resale right contributes to the 
attainment of these objectives; 
9. Whereas Council Directive 
77/388/EEC,8 as amended by Directive 
94/5/EC,9 supplementing the common 
system of value-added tax progressively 
introduces a Community system of taxation 
applicable inter alia to works of art; 
whereas measures confined to the tax field 
are not sufficient to guarantee the 
harmonious functioning of the art market; 
whereas this objective cannot be attained 
without harmonisation in the field of the 
artist's resale right; 
8 OJL 145, 13.6.1977, p. 1. 
9 OJL 60, 3.3.1994, p. 16. 
11 
10. Whereas existing differences between 
laws should be eliminated where they have 
a distorting effect on the functioning of the 
internal market, and the emergence of any 
new differences of that kind should be 
prevented; whereas there is no need to 
eliminate or prevent the emergence of 
differences which cannot be expected to 
affect the functioning of the internal 
market; 
11. Whereas it is not necessary to 
harmonise every provision of 
Member States' laws on the artist's resale 
right; whereas it will be sufficient to limit 
the harmonisation exercise to those 
domestic provisions which have the most 
direct impact on the functioning of the 
internal market; whereas, however, the 
objectives of this limited harmonisation 
exercise cannot be sufficiently achieved by 
the Member States acting alone; whereas, 
in accordance with the third paragraph of 
Article 3 b of the Treaty, the proposed 
course of action does not go beyond what 
is necessary to achieve the abovementioned 
objectives; whereas this Directive is 
therefore, in its entirety, consistent with the 
requirements of the principles of 
subsidiarity and proportionality; 
12. Whereas, pursuant to Council 
Directive 93/98/EC,10 the term of copyright 
runs for 70 years after the author's death; 
whereas the same period should be laid 
down for the artist's resale right; whereas, 
consequently, only the originals of works 
of contemporary or modern art may fall 
within the scope of the artist's resale right; 
whereas, in general, works of 
contemporary or modern art occupy a 
relatively modest place among sales by 
public auction; 
10 OJL 290, 24.11.1993, p. 9. 
12 
13. Whereas the scope of the artist's 
resale right should be extended to any 
resale, with the exception of transactions 
between private individuals, of the work 
subsequent to the first sale by the author; 
whereas the artist's resale right therefore 
applies to transactions effected by all 
professional sellers, such as salesrooms, art 
galleries and, in general, any dealer in 
works of art; 13. Whereas the scope of the artist's 
resale right should be extended to any 
resale, with the exception of transactions 
between private individuals, of the work 
subsequent to the first sale by the 
rightholder; whereas the artist's resale right 
therefore applies to transactions effected by 
or with the participation of an art market 
professional, all professional sellers, such 
as salerooms, art galleries and, in general, 
any dealer in works of art; 
14. Whereas effective rules should be laid 
down based on experience already gained 
at national level with the artist's resale 
right; whereas it is appropriate to calculate 
the royalty as a percentage of the sale price 
and not of the increase in value of works 
whose original value has increased; 
15. Whereas the categories of works of 15. Whereas the categories of works of 
art subject to the artist's resale right should art subject to the artist's resale right should 
be harmonised; whereas works of applied be harmonised; whereas original 
art should be excluded; manuscripts and works of applied art 
should be excluded; 
16. Whereas the fixing of a Community 
minimum threshold for the application of 
the artist's resale right takes account of the 
requirements of the internal market; 
whereas, however, Member States should 
be given the opportunity to fix national 
thresholds which are lower than the 
Community threshold so as to further the 
interests of young artists; 
13 
17. Whereas the non-application of the 
artist's resale right below the minimum 
threshold makes it possible to avoid 
disproportionately high collection and 
administration costs; 17. Whereas the non-application of 
royalties below the minimum threshold 
may help to avoid disproportionately high 
collection and administration costs 
compared with the profit for the artist; 
whereas, however, in accordance with the 
principle of subsidiarity, the Member 
States should be allowed to establish 
national thresholds lower than the 
Community threshold, so as to promote the 
interests of new artists; whereas, given the 
small amounts involved, this derogation is 
not likely to have a significant effect on the 
proper functioning of the internal market; 
18. Whereas the rates set by the different 
Member States for the application of the 
artist's resale right vary considerably at 
present; whereas the effective functioning 
of the internal market in works of 
contemporary or modern art requires the 
fixing of uniform rates; 
19. Whereas a system consisting of a 
tapering scale of rates for several price 
bands may help to prevent the Community 
rules on the artist's resale right from being 
circumvented; whereas the rates must 
reflect the interests both of artistic circles 
and of the art market; 19. Whereas it is desirable to establish, 
with the intention of reconciling the 
various interests involved in the market for 
original works of art, a system consisting 
of a tapering scale of rates for several price 
bands; whereas it is important to reduce the 
risk of sales relocating and the 
circumvention of the Community rules on 
the artist's resale right; 
20. Whereas the person liable for 
payment of the royalty is the seller; 
whereas the latter is the person or 
undertaking on whose behalf the sale is 
concluded; 
14 
21. Whereas provision should be made 
for the possibility of periodic adjustment of 
the threshold and rates; whereas, to this 
end, it is appropriate to entrust to the 
Commission the task of drawing up 
periodic reports on the practical effect of 
the application of the artist's resale right 
and, where appropriate, of making 
proposals for amendment of the threshold 
and rates; 21. Whereas provision should be made 
for the possibility of periodic adjustment of 
the threshold and rates; whereas, to this 
end, it is appropriate to entrust to the 
Commission the task of drawing up 
periodic reports on the actual application of 
the artist's resale right in the Member 
States and on the impact on the European 
art market and, where appropriate, of 
making proposals relating to the 
amendment of this Directive; 
22. Whereas the persons entitled to 
receive royalties must be specified, due 
regard being had to the principle of 
subsidiarity; whereas it is not appropriate 
to take action through this Directive in 
relation to Member States' laws of 
succession; whereas, however, those 
entitled under the author must be able to 
benefit fully from the resale right after his 
death; 
23. Whereas Member States should be 
free to determine the procedures for 
collecting and managing the amounts paid 
over by virtue of the artist's resale right; 
whereas in this respect management by a 
collecting society is one possibility; 
whereas, however, Member States must 
ensure that amounts intended for authors 
who are nationals of other Member States 
are in fact collected and distributed; 23. Whereas the Member States are 
responsible for regulating the exercise of 
the artist's resale right, particularly with 
regard to the way this is managed; whereas 
in this respect management by the 
collecting society is one possibility; 
whereas, however, Member States must 
ensure that amounts intended for authors 
who are nationals of other Member States 
are in fact collected and distributed; 
15 
24. Whereas enjoyment of the artist's 
resale right must be restricted to 
Community nationals and foreign authors 
whose countries afford such protection to 
authors who are nationals of 
Member States; 
25. Whereas appropriate procedures for 
monitoring transactions should be 
introduced so as to ensure by practical 
means that the artist's resale right is 
effectively applied by Member States; 
whereas this implies a right on the part of 
the author or his authorised representative 
to obtain any necessary information from 
the person liable for payment of royalties, 
HAVE ADOPTED THIS DIRECTIVE: 
16 
COMMISSION'S INITIAL PROPOSAL PROPOSAL AMENDED FOLLOWING 
THE OPINION OF PARLIAMENT OF 
9 APRIL 1997 
CHAPTER I 
Scope CHAPTER I 
Scope 
Article 1 Article 1 
Subject-matter of the artist's resale right Subject-matter of the artist's resale right 
Member States shall provide, for the 
benefit of the author of an original work of 
art, an artist's resale right, to be defined as 
an inalienable right to receive a percentage 
of the sale price obtained from any resale 
of the work, with the exception of 
transactions effected by individuals acting 
in their private capacity, subsequent to the 
first transfer of the work by the author. Member States shall provide, for the 
benefit of the author of an original work of 
art, an artist's resale right, to be defined as 
an inalienable right, which cannot be given 
up, even in advance, to receive a royalty 
based on the sale price obtained for any 
resale of the work, with the exception of 
transactions effected by individuals acting 
in their private capacity, subsequent to the 
first transfer of the work by the author. 
Article 2 Article 2 
Works of art to which the artist's resale 
right relates Works of art to which the artist's resale 
right relates 
For the purposes of this Directive, "original 
work" means manuscripts and works of 
plastic art such as pictures, collages, 
paintings, drawings, engravings, prints, 
lithographs, sculptures, tapestries, ceramics 
and photographs, provided they are made 
by the artist himself or are copies 
considered to be original works of art 
according to professional usage in the 
Community. For the purposes of this Directive, "original 
work" means works of graphic or plastic 
art such as pictures, collages, paintings, 
drawings, engravings, prints, lithographs, 
sculptures, tapestries, ceramics and 
photographs, provided they are made by 
the artist himself or are copies considered 
to be original works of art. 
17 
CHAPTER II CHAPTER II 
Particular provisions Particular provisions 
Article 3 Article 3 
Threshold Threshold 
1. Royalties collected pursuant to 1. It shall be for the Member States to set 
Article 1 shall be payable when the a minimum threshold above which the 
sale price is equal to or higher than sales referred to in Article 1 shall be 
ECU 1 000. subject to resale right. 
2. Member States may fix a national 2. This threshold may not under any 
threshold which is lower than the threshold circumstances exceed ECU 1 000. 
laid down in paragraph 1. 
Article 4 Article 4 
Rates and collection Rates and collection 
The royalty collected pursuant to Article 1 1. The royalty collected pursuant to 
shall be set at the following rates: Article 1 shall be set at the following rates: 
(a) 4% of the sale price between (a) 4% for the sale price band between 
ECU 1 000 and ECU 50 000; ECU 1 000 and ECU 50 000; 
(b) 3% of the sale price between (b) 3% for the sale price band between 
ECU 50 000 and ECU 250 000; ECU 50 000 and ECU 250 000; 
(c) 2% of the sale price above (c) 2% for the sale price band exceeding 
ECU 250 000. ECU 250 000. 
2. If the threshold set should be lower than 
ECU 1 000, the Member State shall also 
determine the percentage applicable, which 
may not be lower than 4%. 
3. The royalty shall be payable by the 
The royalty shall be payable by the seller. seller. 
18 
Article 5 Article 5 
Calculation basis Calculation basis 
The sale prices referred to in Articles 3 and No change. 
4 are net of tax. 
Article 6 Article 6 
Persons entitled to receive royalties Persons entitled to receive royalties 
1. The royalty collected under Article 1 No change, 
shall be payable to the author of the work 
and, after his death, to those entitled under 
him. 
2. Member States may provide for the 
collective management of sums paid over 
by virtue of the artist's resale right. They 
shall determine the arrangements for 
collecting and distributing royalties where 
the author is a national of another 
Member State. 2. Member States may provide for 
collective management of sums paid over 
by virtue of the artist's resale right. 
Deleted. 
[Reinserted in recital 23] 
Article 7 
Third-country nationals entitled to receive 
royalties 
Member States shall provide that authors 
who are nationals of third countries shall 
enjoy the artist's resale right in accordance 
with this Directive, provided that authors 
from the Member States enjoy reciprocal 
treatment in the third countries concerned. Article 7 
Third-country nationals entitled to receive 
royalties 
Member States shall lay down that authors 
who are nationals of third countries shall 
enjoy the artist's resale right in accordance 
with this Directive and their internal 
legislation provided that authors from the 
Member States enjoy reciprocal treatment 
in practice in the third countries concerned. 
19 
Article 8 Article 8 
Duration of the artist's resale right Duration of the artist's resale àght 
The artist's resale right shall last for the The term of protection of the artist's resale 
period laid down in Article 1 of right shall correspond to that laid down in 
Directive 93/98/EEC. Article 1 of Directive 93/98/EEC. 
Article 9 Article 9 
Right to obtain information Right to obtain information 
The author or his authorised representative The Member States shall lay down mat for 
may require any dealer, sales director or three years from the date of the transaction, 
organiser of public sales to furnish any the author or his authorised representative 
information mat may be necessary in order may require any dealer and commercial 
to secure payment of sums payable under agent, sales director or organiser of public 
the artist's resale right in respect of the sale sales to furnish any information that may 
during the past year of original works of be necessary in order to secure payment of 
art. royalties in respect of the sale during the 
past year of original works of ait as 
referred to in Article 2. 
20 
CHAPTER III CHAPTER III 
Final provisions Final provisions 
Article 10 Article 10 
Revision clause Revision clause 
The Commission shall present to the 
European Parliament, the Council and the 
Economic and Social Committee not later 
than 1 January 2004 and every five years 
thereafter a report on the implementation of 
this Directive and shall, where appropriate, 
put forward proposals for adjusting the 
minimum threshold and the rates of the 
royalties to take account of changes in the 
sector. The Commission shall present to the 
European Parliament, the Council and the 
Economic and Social Committee not later 
than on 1 January 2004 and every five 
years thereafter a report on the 
implementation and the effect of this 
Directive, paying particular attention to its 
impact on the European market in modern 
and contemporary art, especially as regards 
the fostering of artistic creativity and the 
management procedures in the Member 
States. Where appropriate, the Commission 
shall put forward proposals for adapting the 
minimum threshold and the rates of royalty 
to take account of changes in the sector, 
and any other proposal it may deem 
necessary in order to enhance the 
effectiveness of this Directive. 
21 
Article 11 Article 11 
Implementation 
1. Member States shall bring into force the No change, 
laws, regulations and administrative 
provisions necessary to comply with this 
Directive before 1 January 1999. They 
shall inform the Commission thereof 
immediately. 
When Member States adopt these 
provisions, these shall contain a reference 
to this Directive or shall be accompanied 
by such reference at the time of their 
official publication. The procedure for 
such reference shall be adopted by 
Member States. 
2. Member States shall communicate to 
the Commission the provisions of national 
law which they adopt in the field covered 
by this Directive. 
Article 12 
Entry into force 
This Directive shall enter into force on the No change. 
20th day following its publication in the 
Official Journal of the European 
Communities. Implementation 
Article 12 
Entry into force 
Article 13 
This Directive is addressed to the 
Member States. Article 13 
No change. 
Done at , 
For the European Parliament 
The President 
For the Council 
The President 
22 

ISSN 0254-1475 
COM(98) 78 final 
DOCUMENTS 
EN 06 09 10 
Catalogue number : CB-C0-98-146-EN-C 
ISBN 92-78-31898-1 
Office for Official Publications of the European Communities 
L-2985 Luxembourg 
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