Blog Subscription via Follow.it

Showing posts with label Nazi art dealer. Show all posts
Showing posts with label Nazi art dealer. Show all posts

August 19, 2025

The Role of Alfred H. Barr Jr. in Grosz v. MoMA: Through a Criminological Lens

By: Camilla Brunazzo Chiavegato

Museum curators play a key role in legitimising looted or stolen artefacts. They act not only as individuals, but also as professional representatives of the museums to which they are legally, ethically and deontologically tied. But while their actions and  activities are not usually considered criminal, apart from when it involves insider theft, museum representatives are worth examining through the lens of criminological theories. 

As a means of example, the Grosz v. Museum of Modern Art  (2009 - 2011) case and the Nazi-era provenance of the three works involved – Self-Portrait with a Model   (1928), Republican Automations (Republikansche Automaten(1920) and The Poet Max Hermann-Neisse  (1927) by George Grosz [Fig. 1] – allow us to reflect on the problematic collection practices of the founding director (1929-1943) and then director of collections (1947-1968) of the Museum of Modern Art, Alfred H. Barr Jr.  

Figure 1. Transfers of property of the three works of art by George Grosz (Self-Portrait with a Model, 1928; Republican Automations, 1920; Poet Max Hermann-Neisse, 1927) protagonist of the legal case Grosz v. MoMA

Barr: Was he a‘Good Faith’ or a ‘Bad Faith’ Purchaser?

In the context of Nazi-era spoliations, US lawyer Raymond Dowd has defined ‘bad faith’ purchasers as “thieves, accomplices of thieves and receivers of stolen property [that] have received massive financial benefits at the expense of a murdered population despoiled not only of their property, but of their culture as embodied in the artworks torn from them.” 

Figure 2. Nazi propaganda against
Jewish Bolshevism and on the dangers
posed by the 'untermenschen'.
Alfred Flechtheim’s face was used as the
quintessential example of the
regime’s enemy,
undated (Robert Hunt Library).
At the trial of Grosz v. MoMA, the plaintiff avoided defining Barr outright as a buyer acting in bad faith, despite the fact, as we will illustrate below, that this museum director was well aware of the opportunities (and controversies) occurring on the global art market during his tenure at the museum. And yet he still chose to authorise the purchase of suspect artworks for the New York museum, previously classified by the Nazi Party as “Degenerate Art.” 

In this case, the source who first circulated German artist George Grosz’s “degenerate” works of French modernism and German expressionism was a Jewish art dealer named Alfred Flechtheim, who was forced to liquidate his galleries in Berlin and Düsseldorf “under duress” – a factor that is legally difficult to prove. What is known is that Flechtheim was refused the compulsory membership of the Reichskammer der bildenden Künste because of his Jewish background, which amounted to a ban on his business after Adolf Hitler was appointed as chancellor on 30 January 1933. He was also subjected to a stream of anti-Semitic propaganda against the dangers brought about “Jewish Bolshevism.” [Fig. 2] as well as the later the Nazi-organized traveling exhibition of so-called “degenerate” art in 1937.

Figure 3. Klein-er Portrait Max Hermann (mit cognac flasche) by George Grosz
on view at the Museum of Modern Art, New York.

For the purposes of this article, we will focus on the most problematic of MoMA’s three acquisitions: The Poet Max Hermann-Neisse (1927). In 1928, Grosz consigned the portrait of his close friend from his 1920s period in Berlin to Alfred Flechtheim as “Klein-er Portrait Max Hermann (mit cognac flasche),” following an agreement that recognised the Jewish dealer as his exclusive sales representative. [Fig. 3].  It is insufficiently clear if this painting had been consigned to the dealer solely for sale, or if the proceeds for the sale of said painting, had Flechtheim sold the work, been earmarked for the repayment of the debt the artist had with his dealer. 

How did The Poet Max Hermann-Neisse make its way into the Museum of Modern Art’s collection?

To follow the circulation of Grosz’s painting it is useful to read correspondence between Barr and the emigrated German art dealers Charlotte Weidler and Curt Valentin, both of whom were conduits established in the US that helped peddle purged “degenerate” artworks in America.  Letters exchanged between Weidler and Barr, and Barr's correspondence with Valentin and other colleagues, provide us with unique insights into these individuals actions when it comes to the sale and purchase of suspect works. 

Figure 4. Charlotte Weidler’s passport photo from 1931. 
As one of the first institutions in the US (founded in 1929) solely dedicated to the exhibition of modern art, the MoMA was rapidly expanding, and Barr maintained a relationship with Weidler. She was a German art historian and critic of North European contemporary art, who since 1924, had served as an advisor to Homer Saint-Gaudens, the director of the Carnegie Museum regarding German artists whose work might be selected for its annual international exhibitions.  [Fig. 4]. In addition to this Weidler is documented as having profited from the sale of artworks entrusted to her during the Nazi era, including pieces belonging to the Jewish art historian Paul Westheim, who fled Germany under persecution. After Westheim’s exile, Weidler claimed to have safeguarded his collection but instead sold works without his consent,  pocketing the proceeds. 

While Weidler played a pivotal role in introducing major works of German Expressionism to the United States, her professional dealings remain deeply controversial. Archival evidence shows that she profited from the displacement and loss suffered by others in the art world, particularly émigré collectors and dealers forced into exile from Germany. Her involvement with some of these collections has drawn scrutiny as emblematic of both wartime and postwar exploitation. Yet, her picture remains complicated: some scholars who have studied her correspondence describe her as a fervent anti-Nazi, highlighting the tension between her personal views and her self-serving actions and transactions.


On 5 February 1950, writing to Barr, on stationery from the Carnegie Institute, Weidler discussed her plans to travel to Europe to visit artists’ studios, hoping to acquire works that might appeal to the museum director. In this same letter, she informed Barr that “I have been lucky that some of my collection in Germany for instance an oil painting by Klee, works by Barlach, Nolde, Kokoschka, a strong, early George Grosz which once has belonged to the Kronprinzen Palais and has been ousted by Hitler [Grosz’s Poet], and drawings by Lehmbruck could be saved and have partly arrived in New York already.”

Figure 5. Curt Valentin in Berlin, 1936
(photo by Alfred Hentzen)
After Barr’s initial refusal, on 10 April 1952, the art dealer Curt Valentin later wrote to Weidler that he had managed to sell her painting, The Poet Max Hermann-Neisse to Barr for the New York museum for $850, despite the painting being damaged and requiring conservation treatment.  [Fig. 5].  

In that correspondence, Valentin writes:


At the time of the painting’s acquisition by MoMA, Alfred Barr made no effort to investigate its prior ownership or trace its path through the art market. Nor did he attempt to reach out to the work’s original creator, George Grosz, who had fled Nazi Germany for New York in 1933 and was in a position to clarify its provenance. Grosz could have confirmed the painting’s original consignment to dealer Alfred Flechtheim, or even overseen the restoration work referenced in Barr’s correspondence with Curt Valentin. Instead, Barr bypassed both avenues, opting to proceed with the purchase without further inquiry or explanation, leaving critical questions of provenance unaddressed.

Valentin, Not your run of the mill New York gallerist.  

Fig. 6. Curt Valentin’s Nazi Reich Chamber of Fine Arts Sales Authorisation. 

On 14 November 1936 the Nazi Reich Chamber of Fine Arts gave a written authorisation to Curt Valentin, Alfred Flechtheim’s former assistant, to:

"… make use of your connections with the German art circle and thereby establish supplementary export opportunities, if [this is done] outside Germany. Once you are in a foreign country, you are free to purchase works by German artists in Germany and make use of them in America.” [translated from original]. 

This authorisation effectively made Valentin an out of country agent of the Nazi government during his time in New York. [Fig. 6].  Likewise, the sale of The Poet Max Hermann-Neisse (1927) by George Grosz was not his only sales transaction with the MoMA, nor the singular controversial one.

Fig. 7. Cover of the Gallery Fischer Auction Catalogue (June 30, 1939).

Valentin was a sales intermediary for the MoMA on 30 June 1939, when the Theodor Fischer Gallery in Lucerne, Switzerland organised an auction entitled “Paintings and Sculptures by Modern Masters from German Museums” during which 125 major confiscated works were put up for sale the proceeds from which were to be paid into a foreign currency account in London, available for the ‘German Reich’. [Fig. 7]. 

While many dealers boycotted this sale of appropriated works, refusing to finance the Nazi war machine, Valentin was less restrained.  He attended the auction purchasing on behalf of the Buchholz Gallery in New York and at the behest of Alfred Barr, to bid on paintings to be purchased with funds from donors of the museum.

Valentin bid on works of art that the Nazis had purged from German public museums under the 1938 law on “degenerate” art, and obtained the winning bid on five works: Andre Derain’s “Valley of the Lot at Vers,” stolen from the Cologne Museum; E. L. Kirchner’s “Street Scene” and Wilhelm Lehmbruck’s “Kneeling Woman,” both taken from the Berlin National Gallery; Paul Klee’s “Around the Fish,” pilfered from the Dresden Gallery, and Henri Matisse’s “Blue Window,” seized from the Essen Museum.

Figure 8. Cover of the catalogue
for the MoMA exhibition
“Art in Our Time”, 1939.
Two days after the extremely distasteful event, Barr’s correspondence from Paris, addressed to the museum’s executive director, Thomas Dabney Mabry, demonstrates that both museum employees were fully aware of the problematic consignor of the artworks being sold in Switzerland.  Barr himself, cowardly writes his colleague saying: “I am just as glad not to have the museum’s name or my own associated with the auction” while suggesting that the staff at the MoMA should frame their new acquisitions as distanced from the Lucerne auction: “state that they have been purchased from the Buchholz Gallery, New York.” The outcome, all five purchased works were exhibited in MoMA’s 1939 summer “Art in Our Time” exhibition, with no mention to their problematic circulation. Instead the works were credited to Valentin’s New York gallery and listed as anonymous loans.  [Fig. 8] 

The bridge between Weidler and museum director Barr was thus Curt Valentin who worked first for Galerie Flechtheim and later for Karl Buchholz

Buchholz was one of the four German dealers authorised by the Nazi Party's Reichskammer der bildenden kunste to sell “degenerate” art abroad to finance the regime. From 1937 to 1951, Valentin represented the Buchholz Gallery in its US venue in New York, where he sold art authorised by the German government for disposal. Valentin was also one of the preferred channels for acquiring avant-garde masterpieces for the fledgling MoMA and Barr recommended Valentin when he asked for the U.S. citizenship in 1942. 

Barr’s Ethical and Legal Constraints 

Barr’s unsavory purchase activities, made possible by his position of authority, can be analysed in terms of the professional standards of the time. The only ethical guidelines available during his tenure were contained in the vague Code of Ethics for Museum Workers, published by the American Association of Museums in 1925.

In the spirit of the American society of the 1920s, that document aimed to instil ethical behaviour and relations in workers at different levels of the museum’s hierarchy (staff-director, director-board of trustees). It is worth emphasising that the stated function of museums at this point in history was to hold their collections in trust “for mankind” and at the service of human life, based on the “three-fold ethical basis” of devotion, faith, and honour. 

The section “Business Dealings” deplored embezzlement by employees and highlighted the role of directors who, in the name of their responsibility and authority, should balance trustees, employees, and the public image of the institution while, somehow contradictorily, amassing a “representative collection.” However, “representative collections” should guarantee an interpretive context for individual objects in the museum setting, typical of colonial universal museums. 

Regarding the legal handling of Nazi-looted property on an international horizon, the Inter-Allied Declaration Against Acts of Dispossession Committed in Territories Under Enemy Occupation or Control (London Declaration, 1943) was issued to “combat and defeat the plundering by the enemy Powers of the territories which have been overrun or brought under enemy control” and nullify and reverse the property expropriated by Germans in occupied territories. The signers (the Allies and the French National Committee) appealed to the citizens of neutral countries to fight against the seemingly legal methods of expropriation that was being perpetrated by the Axis powers (Germany, Italy, Japan). 

In addition, specifically in the United States, works classified as stolen property would have also fallen under the National Stolen Property Act (NSPA, 1948), Sec. 2315 Sale or receipt of stolen goods, securities, moneys, or fraudulent State tax stamps. 

Criminological Perspectives on Barr’s Acquisition Policy

In terms of white-collar criminology, “corporate crimes” are, for Marshall B. Clinard and Richard Quinney, “offenses committed by corporate officials for their corporation and the offenses of the corporation itself.” Structurally, museums are legitimate corporations with a specific subculture in which certain “corporate transgressions” are tolerated if they are in the interests of the corporation itself.  The collaboration with Buchholz Gallery’s not-so-legal US business shifted MoMA’s function to that of a legitimising business that collaborates with organised crime for licit purposes, as a form of “enterprise crime”. 

According to Edgar Tijhuis, the transnational trafficking of cultural heritage is made possible by the diversification of the legality of the actors involved. He uses the metaphor of locks to explain how illicit trade in cultural objects operates. Just as doors remain closed until someone provides the right key, transactions in the art world are shaped by a series of locks: legal, ethical, economic, and social barriers, that determine whether an object circulates or not. Criminal actors (or complicit intermediaries like those at the MoMA) find ways to “unlock” these barriers.

When MoMA purchased artworks labelled “degenerate art” in the 1930s–40s, it was engaging with a market that had already been shaped by Nazi policy. That regime as well as art market actors close to that regime then channeled these works into international markets.

Legal Lock:
Nazi Germany had made the seizure and sale of these works “legal” under its own regime, but this legality masked the fact that these works were expropriated from German public (as well as private) collections. By purchasing from dealers like Curt Valentin, MoMA was able to argue it was acting within the letter of the law, even though the origin of the works was tainted.

Moral/Ethical Lock:
The ethical problem was clear: these were works confiscated by a totalitarian regime from museums, or targeted because of Jewish ownership or modernist content. Yet MoMA, like other museums, could rationalise their acquisition by framing itself as “saving” modern art that Europe had rejected, thereby bypassing the moral lock.  Likewise Barr himself was seen by many as a “missionary of the modern” and one of the twentieth century's greatest art historic reformists.

Economic Lock:
The Nazis were motivated by hard currency, and dealers like Curt Valentin-himself a German émigré with permission from the Nazi regime to trade abroad-profited by acting as intermediaries. MoMA benefited as intermediaries like Valentin distanced their purchases from the underlying crime, making them accessible acquisitions for a growing American institution.

Social/Institutional Lock:
MoMA’s reputation as a prestigious museum served in itself as a laundering mechanism. Once these works entered MoMA’s collection, or were exhibited in museum sponsored exhibitions, their problematic provenance was overshadowed by the museum’s cultural authority. This institutional legitimacy “unlocked” the stigma of the works’ Nazi past, and for a while effectively laundered their histories into acceptable cultural capital.

During and after World War II, certain U.S. museums became legitimate independent organisations combining business relationships with multiple layers of legal and illegal actors. This allowed them to transform illegal into legal goods. Indirectly, they acted as “antithetical interfaces,” with an “injurious” effect at the expense of the Holocaust victims.  Emphasising the words of criminologists Turk and Quinney, it works as a “sophisticated” social conflict between segments of society during a period of social disorganisation. 

On the other hand, the collaboration between Barr and Valentin is that of “symbiotic interfaces.” In particular, it can be defined as an “outsourcing” relationship in which a quasi-contract binds the legal actors, as clients, and the professionals who offer specialised services to criminals (that of acquiring works of modern art from the Nazis). 

Figure 9. Alfred H. Barr, Jr., Pablo Picasso, Jacqueline Roque, and Margaret Scolari Barr at Picasso’s home, “La Californie,” in Cannes, France, July 1956 (Alfred H. Barr, Jr. Papers, 12.II.M. The Museum of Modern Art Archives, New York. Photo: James Thrall Soby).

To sum up, Alfred H. Barr Jr. [Fig. 8] often cast himself as a missionary of the modern portraying MoMA’s acquisitions of works branded “Degenerate” by the Nazi regime as acts of cultural salvation. In this framing, Barr positioned himself as the central interpreter and guardian of avant-garde art, ensuring that artists and masterpieces deemed politically subversive in Germany would survive within a newly formed institution dedicated to their preservation and appreciation. 

Yet, when examined through the lens of criminological theory, his cultural self-narrative masks and neutralises the extent to which he functioned as a participant in a wider illicit system that presented advantageous opportunities and structural pressures to carry out Barr’s personal and institutional mission by any available means. By purchasing works through Curt Valentin, or those secured by Valentine through others whose access depended on Nazi seizures and forced liquidations, such as Charlotte Weidler, the Fischer Gallery in Lucerne or so many others, Barr legitimised and materially sustained an underegulated art market born of dispossession. 

His decisions do not merely reflect the “rescue” of endangered art but rather illustrate how institutions and their leaders can simultaneously claim cultural stewardship while facilitating the laundering of contested objects. In doing so, Barr helped transform what were, in fact, assets of persecution into symbols of cultural prestige, showing how the roles of rescuer and participant in cultural crime can uneasily coexist within a single actor. 

February 2, 2017

Foreshadowing for the Cornelius Gurlitt Case?

By: Mairead McAuliffe

On January 13, 2017 a Frankfurt District Court confirmed the legal use of Germany's statute-of-limitation in a Holocaust art restitution case, thereby muting the need for an exacting provenance of the artwork in question. This article questions what this decision indicates for other restitution cases in Germany, specifically the Cornelius Gurlitt case. This piece also explores possible legal amendments to current laws according to Marc Masurovsky*, co-founder of the Holocaust Art Restitution Project.    

In February 2012, German police and customs officials executed a warrant to search Cornelius Gurlitt's apartment located in Munich. Inside the apartment, officials discovered 121 framed and 1,285 unframed artworks by artists such as Picasso, Matisse, Renoir and Chagall. It was a collection that could be valued at more than a billion dollars. Gurlitt was first placed on a customs watch list in 2010, appearing suspicious to the officials that boarded his train crossing the Lindau border. Gurlitt remained largely untraceable, investigators found no trace of a state pension, health insurance, tax and employment records, or bank accounts. Yet, his name raised some questions with investigators. Cornelius Gurlitt shared a name with Hildebrand Gurlitt, a known art curator under the Third Reich. 

The relation was confirmed in December 2011, when Gurlitt surfaced after selling one of Max Beckmann's masterpieces, The Lion Tamer. Gurlitt split the proceeds of the sale with the heirs of the Jewish art dealer, Alfred Flechtheim, who, as Gurlitt acknowledged, sold the piece under duress to his father in 1934. It was then that authorities acted on the search warrant issued a few months prior, on the grounds of suspected tax evasion and embezzlement, and discovered the trove of art. 

For the next three days, officials packaged and moved the artworks out of Gurlitt's apartment to a customs warehouse in Garching. The discovery was kept from the press as public knowledge of Gurlitt's collection would have sparked mass outcry and an inundation of claims to the art. However, the covert case was exposed on November 4, 2013 when the German newsweekly, Focus, published the story on their front page. The expected firestorm ensued as restitution activists demanded the publishing of the art pieces to allow Holocaust decedents to lay claim to the looted works. 

German restitution laws are, quite frankly, unsympathetic to those who seek reprisal of Nazi looted artworks. Germany did sign the 1998 Washington Conference Principles on Nazi-Confiscated Art, which states that museums and other public institutions should return such works to their rightful owners. However, compliance is voluntary and excludes cases in which private citizens hold the pieces – as is the case with Cornelius Gurlitt. Furthermore, Germany enforces a 30-year statute of limitations on making claims to stolen property, thereby calling into question the ability of heirs to lay claim to pieces from Gurlitt's collection. 

Since the discovery, efforts have been made to conduct and complete a provenance trace for the 1,406 artworks found in Gurlitt's apartment. However, despite the possibility of solid, traceable provenance, under German law, there is no mandate to return the artworks to their original owners, or heirs. In November, 2013, the newly appointed Bavarian Minister of Justice, Winifried Bausback, initiated legislation to revise the statute-of-limitation law such that heirs to looted art could reclaim their familial property. Currently, the law is not automatically invoked, the defendant must expressly invoke the limitation in order to protect against the claim of the owner. The proposed legislation would install a two-pronged defense that the owner can employ to proceed with the requisition, despite the law's invocation. The first requirement would be that the property must have been lost in a legal sense. The second requirement would mandate that only the true possessor can rely on the statute, therefore, a bad faith possessor would not be able to invoke the statute and legal action can proceed. Such legislation would obviously aid in the return of looted works to their correct owner. 

Yet, while the status of the Bavarian Minister's legislative initiative is unknown, the District Court in Frankfurt recently handed down a decision that could have consequences for the Gurlitt case specifically, and other restitution cases, more generally. In Frankfurt, an heir of Robert Graetz, a Jewish textile manufacturer and art collector, brought a claim against the current owner of a Max Pechstein painting, which he believes Robert was required to forcefully sell prior his family's deportation to Auschwitz. The defendant invoked the statute-of-limitation and challenged this alleged provenance. The Frankfurt court ruled that the expired 30-year limitation took precedent over the need for an exacting provenance, thus the Graetz estate has no claim to the painting. This decision, in essence, upholds Germany's statute-of-limitation in regards to artworks.   

When asked about this recent decision, Marc Masurovsky, the co-founder of the Holocaust Art Restitution Project (HARP), said that this decision reflects a "traditional legal defense against restitution claims." However, he stresses that this decision should "in no way" prevent the drafting of an exacting provenance in such cases. He believes that this decision highlights a need for the "passage of stricter laws governing provenance," such adjustments may include setting "sufficient standards whereby objects with no provenance should not be introduced into the marketplace, or offered to museums." Instead, Masurovsky believes that such objects should, ideally, not be "traded, sold, bought, displayed, loaned, borrowed or donated." Yet, he acknowledges that this is "not even remotely possible to enforce," since most objects in the art market fall into these categories and the demand for a full provenance would kill the industry. Therefore, Masurovsky believes that new standards should be developed that "clearly define an acceptable provenance," in other words, outline what minimal criteria should be met in order for an object to be lawfully moved in the market. Masurovsky further believes that Germany, because of its history, "carries an unusual responsibility, an ethical burden if you will, to 'do what is right'" and initiate changes to its current laws. Currently, the German courts allow the statute-of-limitations to function as a "technical defense" or "convenient tool" which he believes allows defendants to "debunk and kill a claimant's request for restitution," as seen in the Graetz case. However, for Marc, all countries "regardless of their historical relationship with the Nazi/Fascist years, the Holocaust and WWII, should enact laws that protect victims of cultural plunder, that raise the ethical bar in the art market."  

Regarding the Gurlitt case specifically, Masurovsky confirms that the artworks discovered in Gurlitt's apartment are in the custody of the German government, yet, the entire collection was transferred to the Kunstmuseum in Bern, Switzerland in accordance with Gurlitt's last will. Gurlitt died on May 6, 2014 in Munich. However,  the special task force “Schwabinger Kunstfund”  processing the trove had not yet finished its restitution-based provenance research and so a compromise was made between the Kunst and the executors of Gurlitt's will. According to Masurovsky, any object deemed to be "clean" would be instantly transferred to Bern, while objects requiring additional research would remain with the German Task Force as they ascertain whether any evidence of plunder exists and if there is the possibility of identifying the plundered owners. Theoretically, this process is set to conclude in 2020, given the large number of works. This compromise is meant to ensure that only "clean" artworks end up in the Kunst. 


In accordance with the compromise, the Kunstmuseum Bern now owns the "clean" works, a reality that worries HARP. Since it is now the responsibility of the museum to conduct a more exacting provenance for these items, Marc argues that "how well Bern will do this job is pure conjecture." The fear, according to my interviews with Masurovsky is that un-restituted objects are indeed part of the hoard in Bern's possession, and their location in Switzerland, a country that "leaves no legal room for consideration of restitution for looted objects," will prevent the initiation of claims to the artworks. 

In sum, it appears that German courts are bowing to precedent in regards to restitution cases, allowing the statute-of-limitation to be used as a defense. Only time will tell if such precedent will be followed or ignored, in cases such as the Gurlitt case, as families continue to lay claim to what they believe has been wrongfully taken from them. 

------

Editor’s postscript:  The Kunstmuseum Bern obtained exclusive jurisdiction over the 238 (arguably more significant) artworks that were seized in Gurlitt’s house in Salzburg (Aigen), Austria in February 2014. As the Germin remit does not extend to property held in Austria, these artworks have their own separate inventory and are the exclusive province of Bern regarding the research into their past ownership. ARCA hopes that these works will undergo the same moral and ethical due diligence required of the Munich grouping.

~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~



* In 2017 Marc Masurovsky will be teaching provenance research training as part of ARCA's Postgraduate Certificate Program in Art Crime and Cultural Heritage Protection, as well as a short course affiliated with ARCA's June conference. 

June 15, 2015

Pissaro's "Rue Saint-Honore in the Afternoon, Effect of Rain" and the laws applied to art restitution

by Judge Arthur Tompkins

In 1897 Camille Pissarro painted Rue Saint-Honore in the Afternoon, Effect of Rain.  Forty years later, in 1939, Lilly Cassirer Neubauer, a member of the prominent Jewish publishing family that had owned the painting since it was created, was faced with a stark choice: hand the painting over to a Nazi art dealer and be given, in return, an exit visa to leave Germany with her husband and young grandchild, or remain in Germany amid the swirling and deadly storm engulfing Germany’s Jews. 

She chose the former:  Lilly, her husband Otto, and grandson Claude fled Germany; the painting disappeared; and the ridiculously low sum that Lilly had been promised as the “price” of the painting was locked in an inaccessible German bank account.

After the war, Lilly sought and was granted partial financial compensation, but without foregoing her claim to the painting. In 1958 she was recognised as the rightful and legal owner of the painting.  But the Pissarro was lost.

Or so she thought. In fact, in 1951 it had been sold to a collector in Los Angeles, with the Frank Perls Gallery earning a commission on the sale.  Less than 12 months later, it was sold again, this time through the New York dealers M Knoedler & Co, to a St Louis, Missouri, collector.

Two decades later, in late 1976, the Baron Thyssen-Bornemisza, of Switzerland, purchased it through another New York dealer, Stephen Hahn. In 1998 the Baron lent his entire collection of over 700 paintings to Spain, who established a non-profit state-owned Foundation to own, house and display the collection, and redesigned and rebuilt the Villahermosa Palace in Madrid for the purpose.

Then in 1993 the Spanish Government purchased the Baron’s collection, for over $300 million. Apart from two short periods when it was on loan elsewhere, the Pissaro has been on public display at the Foundation’s museum, the Museo Thyssen-Bornemisza (http://www.museothyssen.org/en/thyssen/home), in Madrid ever since.

Lilly Cassirer died in 1962. Her heir, her grandson Claude, discovered that the painting was on display in Madrid in 2000. Since then he, and after his death in 2010 his heirs, have been trying to recover the painting, through an extended and complicated series of court cases in both Spain and California.

The most recent twist in this ongoing saga happened on 4 June 2015.  A California Court ruled (available at http://www.artlawreport.com/files/2015/06/Cassirer-District-Court-Summary-Judgment-June-4-2015.pdf) that Spanish law, and not Californian law, was the governing law of the merits of the dispute, and that under Spanish law the Foundation is the owner of the painting, despite the acknowledged theft from Lilly.

Many aspects of this case, and its still-distant final outcome, are noteworthy (some are discussed by Nic O’Donnell at http://www.artlawreport.com/2015/06/11/cassirer-and-the-state-of-restitution-takeaways-and-next-steps/), but two stand out. 

First, this result highlights the irreconcilable and unbridgeable gulf between, in very general terms, common law and civil law systems when it comes to dealing with the later ownership of property that has been stolen.  In very broad terms in common law countries (those who derive their legal systems from the English common law, including the USA, Canada, Australia, New Zealand and others), a thief can give no better title down the chain of ownership than the thief had. Which is none. So, if and when the original dispossessed owner or their heir, turns up and claims the property back, then that claim will prevail.

This principle can be traced back to the Byzantine Emperor Justinian’s mid-6th century Digest:

“"Nemo plus juris ad alium transferre potest quam ipse haberet."[1]

Which translates to: "No-one can transfer to another greater right than he himself has." The principle is known in the common law, from this rule, as the Nemo dat rule.

In stark contrast, in civil law countries, predominantly but not exclusively those who derive their legal systems from the 1804 Napoleonic Civil Code and in particular Article 2262 of the Code,[2] a bona fide purchaser (and in some cases, it turns out Spain is one, even the successor in possession of a purchaser who purchased knowing of the theft) can acquire good title to even originally stolen property, after the expiration of a specified period of time. 

The great English jurist Lord Denning put the conflict this way:

“In the development of our law, two principles have striven for mastery. The first is for the protection of property: no one can give a better title than he himself possesses. The second is for the protection of commercial transactions: the person who takes in good faith and for value without notice should get a good title.”[3]

In the ruling on the Pissarro, the judge explicitly recognised the competing policy decisions underlying the legislative choice between the two approaches:

“Generally, [the civil law approach] serves the important interests of certainty of title, protecting defendants from stale claims, and encouraging plaintiffs not to sleep on their rights. 
[The common law approach] recognizes the difficulties faced by owners in discovering the whereabouts of personal property even when held openly and notoriously, and serves to protect the interests of “the rightful owner” over subsequent possessors. It also serves to encourage subsequent purchasers to determine the true owner of property before purchasing that property.”[4]

An ultimately unsuccessful attempt was made by UNIDROIT in the 1960s through to 1989 to secure a convention which would have seen the adoption of a Uniform Law on the Acquisition in Good Faith of Corporeal Movables,[5] but the tension remains, at least in the international context, presently irreconcilable.

One attempt has been made to, as it were, agree to disagree on this fundamental issue, and to reach a pragmatic solution. That effort is encapsulated in The UNIDROIT Convention on Stolen or illegally Exported Cultural Objects 1995[6].  This was negotiated as a compatible and complementary agreement to the 1970 UNESCO Convention on the Means of Prohibiting and Preventing the Illicit Import, Export and Transfer of Ownership of Cultural Property, which deals primarily with cultural property stolen in peacetime.  

Article 3 of the UNIDROIT Convention states, simply:

“The possessor of a cultural item that has been stolen shall return it.”

That somewhat stark requirement is modified to an extent by the Convention’s provision to the effect that, if a State provides to this effect, compensation to the final owner can be paid if the final possessor has made appropriate enquiries. Article 4 of the Convention states:

“(1) The possessor of a stolen cultural object required to return it shall be entitled, at the time of its restitution, to payment of fair and reasonable compensation provided that the possessor neither knew nor ought reasonably to have known that the object was stolen and can prove that it exercised due diligence when acquiring the object.”

But note the immediately following clause:

“(2) Without prejudice to the right of the possessor to compensation referred to in the preceding paragraph, reasonable efforts shall be made to have the person who transferred the cultural object to the possessor, or any prior transferor, pay the compensation where to do so would be consistent with the law of the State in which the claim is brought.”

This is a clear attempted compromise between two conflicting stances, which were both apparent and conflicting during the 6 or so years of negotiations that lead up to the signing of the Convention in Rome in 1995.

So, if the Baron had chosen a common law country as the final resting place of his collection, the outcome would most likely have been quite different. But he did not.

The second aspect worthy of note in the Pissarro ruling is the Judge’s closing exhortation to the parties:

“Although the Foundation has not prevailed in this prolonged and bitterly contested litigation, the Court recommends that, before the next phase of litigation commences in the Ninth Circuit, the Foundation pause, reflect, and consider whether it would be appropriate to work towards a mutually-agreeable resolution of this action, in light of Span’s acceptance of the Washington principles and the Terezin Declaration, and, specifically, its commitment to achieve “just and fair solutions” for victims of Nazi persecution.”

The reference to the Washington Conference is a reference to The Washington Conference on Holocaust-Era Assets, hosted by the U.S.’s Department of State and the U.S. Holocaust Memorial Museum, held in over four days from 30 November to 3 December, 1998[7]. The Terezin Declaration came out of the European-Union sponsored Holocaust Era Assets Conference in Prague and Terezin, held on 26-30 June, 2009[8].

These are some of the Washington Principles[9]:

“In developing a consensus on non-binding principles to assist in resolving issues relating to Nazi-confiscated art, the Conference recognizes that among participating nations there are differing legal systems and that countries act within the context of their own laws.

1.   Art that had been confiscated by the Nazis and not subsequently restituted should be identified.
4. In establishing that a work of art had been confiscated by the Nazis and not subsequently restituted, consideration should be given to unavoidable gaps or ambiguities in the provenance in light of the passage of time and the circumstances of the Holocaust era.
5. Every effort should be made to publicize art that is found to have been confiscated by the Nazis and not subsequently restituted in order to locate its pre-War owners or their heirs.
8. If the pre-War owners of art that is found to have been confiscated by the Nazis and not subsequently restituted, or their heirs, can be identified, steps should be taken expeditiously to achieve a just and fair solution, recognizing this may vary according to the facts and circumstances surrounding a specific case.
11. Nations are encouraged to develop national processes to implement these principles, particularly as they relate to alternative dispute resolution mechanisms for resolving ownership issues.”

The Terezin declaration[10] from 30 June 2009 is to like effect.  Both encourage the resolution of claims not on the basis of legal technicalities, but rather “on the facts and the merits”[11].

It seems clear from his closing remark that the Judge in the Pissarro case was frustrated by his inability to decide the aspect of the case by reference to “the facts and the merits”. 

In this respect, the hybrid jurisdiction granted by statute to the United Kingdom’s Spoliation Panel has much to recommend it.  

The Spoliation Advisory Panel was established in 2000 as a direct result of the Washington Conference in December 1998[12]. It is chaired by a senior UK Judge, a retired Lord Justice of Appeal.  The Panel is a group of expert advisers who can be asked to consider claims for the return of an object plundered or lost during “the Nazi era” – 1933 to 1945. Once it has heard a case, the Panel makes a recommendation to the Secretary of State, who (to date) has always followed the Panel’s recommendations as to how a “fair and just” solution might be achieved.

The governing instrument which directs the Panel’s function is its Constitution and Terms of Reference.  This permits the Panel to consider claims “from anyone (or from any one or more of their heirs) who lost possession of a cultural object during the Nazi era, where the object is now in the national collection or in a museum or institution established for the public benefit.”[13]  

Whilst the Panel can consider legal issues, it does not decide as to legal rights, including title. The Panel’s process is explicitly an alternative to litigation. It must give “due weight to the “moral strength of the claimant’s case”, and consider whether any moral obligation rests on the institution. It is required to seek a “fair and just solution”.

Thus, if the baron had chosen the United Kingdom as the final resting place for his collection, it seems likely that a claim to the Spoliation Panel would have resulted.  This would have seen the Panel encourage the parties to try to find a win-win solution themselves, or, failing that, could have (assuming that the collection had ended up, as it did in Spain, as part of the UK’s “national collection or in a museum or institution established for the public benefit,”) recommended the return of the painting, given the reasonably clear moral claim stemming from its original theft, in appalling circumstances, from Lilly Cassirer.

Such are the accidents of history.


[1] Justinian’s digest 50.17.54, cited in Benjamin’s Sale of Goods (7th Ed, 2006) Para7-001, note 1.
[2] French Civil Code, BOOK III. (Of The Different Modes Of Acquiring Property), TITLE XX: OF PRESCRIPTION.
Chapter V., Section II, Article 2262.
Decreed the 15th of March, 1804. Promulgated the 25th of the same month.
[3] Bishopsgate Motor Finance Corpn Ltd v Transport Brakes ltd [1949] 1 KB 322, 336-337
[4] At p.8 of the judgment.
[5] UNIDROIT 1989 - Study LXX - Doc. 9: “The International Protection of Cultural Property. UNIDROIT draft Convention providing a Uniform Law on the Acquisition in Good Faith of Corporeal Movables” (LUAB, 1974) – Rome, January 1989, available at http://www.unidroit.org/english/studies/study70/main.htm. For an overview of the unsuccessful attempt see J H Merryman, ‘The Good Faith Acquisition of Stolen Art’ , in J H Merryman (Ed.), Thinking about the Elgin Marbles (2nd Ed, Kluwer Law International; 2009) at page 525ff.
[6] An Overview of the UNIDROIT Convention, and links to the official and unofficial translations, are available at http://www.unidroit.org/english/conventions/1995culturalproperty/main.htm
[7] The Conference materials are archived at: http://www.state.gov/www/regions/eur/wash_conf_material.html
[8] Conference materials are available at http://www.holocausteraassets.eu/
[11] Terezin Declaration, para 3 under the heading ‘Nazi-Confiscated and Looted Art’.
[12] Holocaust (Return of Cultural Objects) Bill: Committee Stage Report, Research Paper 09/59, 23 June 2009, section 2.2, page 3. Available at www.parliament.uk/documents/commons/lib/research/rp2009/rp09-059.pdf
[13] Clause 3.