International Boost for Australia’s Resale Royalty Scheme

Photo by Louis Hansel on Unsplash

With thanks to Arts Law volunteer and University of Sydney law student, Ryan J Leck

In March 2025, Australia’s Resale Royalty Rights Scheme (often known as droite de suite) was expanded to include an additional nine countries, bringing the total number of countries included in it to 26. Participating countries are:

  • Austria
  • Belgium
  • Czech Republic
  • Denmark
  • Estonia
  • Finland
  • France
  • Greece
  • Germany
  • Hungary
  • Ireland
  • Italy
  • Latvia
  • Lithuania
  • Mexico
  • Netherlands
  • New Zealand
  • Norway
  • Poland
  • Portugal
  • Romania
  • Slovakia
  • Spain
  • Sweden
  • United Kingdom
  • Uruguay

Under the scheme, Australian visual artists are entitled to a five per cent share on eligible resales of their original works valued at $1,000 or more in Australia. This entitlement, created by the Resale Royalty Right for Visual Artists Act 2009 (the Act), has been active since 9 June 2010.

This extension was enacted as part of the Government’s commitment outlined in the National Cultural Policy, Revive, to enhance the 2010 scheme to provide royalty payments to artists

Key takeaways:

  • The international list of countries where Australian artists are eligible for royalties on resold artworks is now 26 strong
  • Nine new countries have been added as of March 2025
  • Under the scheme, visual artists are entitled to 5% on eligible (commercial) resales of their original works valued at $1,000 or more in Australia
  • Artists are also able to access local schemes in participating countries where their works are resold
  • So far, more than $16 million in royalties have been generated
  • The relevant legislation is the Resale Royalty Right for Visual Artist Act 2009
  • Auction houses and galleries must report resales to Copyright Agency, which will determine eligibility, collect royalties and then pays the artists
  • The royalty applies to original works of visual art whether created by a single artist or collaboratively. It does NOT apply to mass-produced items, buildings, plans etc.
  • It does NOT apply to artworks if the artist has been dead for more than 70 years.
  • The royalty will be payable if the sale is the second transfer of ownership after the Commencement Date (9 June 2010).
  • The royalty is paid to the artist, or if the artist has passed away, the artist’s beneficiaries. This is so even if the copyright in the artwork is not owned by the artist.
  • The artist must satisfy the residency test at the time of the relevant commercial resale. It is satisfied if the artist is an Australian citizen or PR, or a citizen of a country which also has resale royalty legislation and has a reciprocal arrangement with Australia.
  • The Federal government appointed Copyright Agency as the collecting agency responsible for collecting the resale royalty and distributing it to artists.
  • Copyright Agency’s obligations include publishing information about commercial resale of artwork on its website, collecting and distributing resale royalty.