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ROYALTY APPLICATION RULES FOR ROMANIA

1. Visual artists and heirs of visual artists may apply, under the conditions of the law, for royalties either from collecting associations or from A10, in the event of the re-sale of lots of visual art adjudicated and collected by A10. A10 pays these entitlements on its own behalf but for the selling consignors.

2. Royalty rights apply to fine arts such as paintings, collages, pictures, drawings, engravings, prints, lithographs, sculptures, tapestries, ceramic or glass objects and photographs, provided that they have been made by the artist himself or are copies considered original works of art (made in limited numbers by the artist himself or under his guidance/authorization), sold individually for a minimum value of EUR 300.

3. Entitled to claim royalties are: a) living visual artists, whether or not they are members of the UAP or other professional associations; b) the heirs of a visual artist who died in Romania not more than 70 years before the date of the resale.

4. Heirship must be proven. If more than one heir, the payment of the royalty is to be made to that heir to prove its right to collect for all heirs with the special power of attorney. As far as the status of heir is concerned, with regard to the succession in time of the law applicable to inheritance and copyright matters, the proof of the rank of heir and the right to royalties will be analyzed at the time of the application for royalties. Essentially, under the law, not every heir is eligible for royalties. The heirs, when applying for the collection of royalties, will have to bring proof of the following documents: (i) certified copy of the author's death certificate (or an equivalent civil status document); (ii) certified copy of the certificate of inheritance.

5. Items offered for sale for the first time, i.e. works of art offered for sale by artists directly or through a representative of the artist's spouse or relative, are not eligible for resale rights.

6. The royalties shall be paid only for lots which are adjudicated and collected. Thus, the request for royalty must be addressed to A10 no earlier than 30 days after the date of the auction in which the lot to which it refers was adjudicated.

7. Applications for royalties should contain at least the following data: a) the number, date and name of the auction; b) the name of the artist; c) the lot number and the name of the lots adjudicated for which the royalty is requested; and have attached d) a copy of the identity card for living artists; e) proof of the status of eligible heir according to point 4; f) proof of the status of proxy, if there is more than one eligible heir (power of attorney authenticated by the notary public). Applications should be sent either in writing to the A10 office, to the attention of the Director of the Finance and Accounting Department, or by email to artisti@artmark.ro

8. Applications may be sent immediately after the 30 days following the date of the auction (so as to enable the adjudicated lot to be cashed in). The analysis and payment will be made within a maximum of 60 days from the date of receipt of the price, according to the law. As soon as the application for payment has been examined, either the payment is made, accompanied by announcing the applicant, or the applicant is contacted for clarification.

9. The payment of royalties will be made exclusively by bank transfer, under no circumstances in cash.

10. A10 does not encourage the collection of royalties from A10, instead of collecting them from the collecting society, with a scope to deprive the collecting society of the collection of the commission; the decision to directly collect belongs entirely to the heirs/artists.

We are grateful to the artists and their heirs for their willingness to conduct these transactions directly or indirectly with/through us, and we assure them of our concern to create an alternative and functional payment platform to the legal owners of the royalty rights.