Representing your first artists: the minimum viable contract

01Why a written contract is indispensable

The art market has long operated on the basis of verbal agreements and handshakes. This tradition, which testifies to the strong relational dimension of the profession, has also been the source of countless conflicts. Artists who discover that their gallery sold works without informing them, dealers who invest in an artist's career only to see them leave for a competitor overnight, disputes over commissions, exhibition costs or ownership of works on consignment: these situations, too frequent in the art world, are almost always the result of an insufficiently formalised agreement.

Galerie Lelong has always formalised its relationships with artists through written agreements, which has contributed to the stability and longevity of its collaborations. Galerie Marian Goodman is also renowned for the clarity of its contractual agreements, which establish a professional framework within which artists and gallery can work with confidence.

A written contract does not kill trust: it establishes it. It obliges both parties to express their expectations, to discuss delicate points before they become problems and to commit reciprocally on clear terms. The artist who signs a contract with you knows exactly what you are offering them and what you expect of them. You know exactly what you can expect from the artist and what your obligations are. This clarity is liberating, not constraining.

02The essential clauses of the minimum viable contract

The minimum viable contract for a young gallery must cover seven fundamental points, no more, no less. Each point addresses a potential source of conflict you must prevent before it arises.

The first point is the duration and territory of representation. Clearly define how long you represent the artist and which geographical territory this representation covers. A one-year contract renewable by mutual agreement is a good starting point for a young gallery: it reassures the artist by not locking them into a long-term commitment, and it protects you by giving you time to test the collaboration. The territory can be France, Europe or the entire world, depending on your gallery's ambition and capacity. Be realistic: do not claim worldwide representation if you lack the means to promote the artist internationally.

The second point is revenue sharing. The standard commission in the art market is fifty per cent for the gallery and fifty per cent for the artist on gallery sales. This split, inherited from decades of practice, is the norm most artists expect. Some galleries apply different commissions for studio sales, fair sales or specific commissions. Whatever split you choose, it must be explicit, agreed by both parties and applied without exception.

The third point concerns exhibition costs. Who pays for the transport of works? Who finances framing? Who covers the catalogue or the press release? These questions must be resolved before each exhibition and, ideally, a general principle should be established in the contract. The most common practice is that the gallery covers exhibition costs and the artist provides the works. If your budget is limited, discuss it frankly with the artist and find an equitable arrangement.

The fourth point is consignment of works. When an artist entrusts works to your gallery, those works remain their property until sold. The contract must stipulate that consigned works are covered by the gallery's insurance, that a written inventory is kept up to date and that the artist can recover their works within a reasonable timeframe on simple request. Galerie Kamel Mennour manages consignment with an administrative rigour that protects both the gallery and the artists, and this rigour is a standard you should aspire to from the outset.

The fifth point is exclusivity. Does the artist commit to selling only through your gallery, or do they retain the right to sell directly from their studio? Most gallery contracts provide for exclusivity within the territory of representation, meaning that any sale of the artist's work in that territory must go through the gallery and give rise to a commission. Studio sales outside the territory and specific commissions may be subject to different provisions. Be flexible but clear: total, rigid exclusivity is difficult to impose on an emerging artist who needs every sales opportunity they can find.

The sixth point is communication and transparency. Commit to informing the artist of any sale within forty-eight hours, to providing them with a quarterly statement of consignment status and sales, and to consulting them before any major decision concerning the presentation of their work. Galerie Perrotin has made regular communication with its artists a fundamental principle of its operations, and this practice contributes to the solidity of its relationships.

The seventh point is the exit clause. How can the relationship end? Provide for three months' notice for both parties, a mechanism for returning consigned works and a grace period during which the gallery retains the right to receive a commission on sales resulting from contacts established during the representation period. This exit clause protects both parties and avoids abrupt ruptures that leave lasting scars.

03Drafting the contract together

The best contract is one you draft with the artist, not one you impose upon them. Invite your artist to discuss each clause, to ask questions, to propose modifications. This collaborative approach strengthens trust and ensures that both parties take ownership of the document.

Galerie Nathalie Obadia is known for approaching contractual questions with a transparency that puts artists at ease and facilitates long and fruitful collaborations. Galerie Thaddaeus Ropac has built its relationships with its artists on a permanent dialogue where the terms of representation are regularly revisited and adjusted.

Do not copy a contract found on the internet without adapting it to your situation. Every gallery-artist relationship is unique, and your contract must reflect this singularity. However, you can draw on the templates provided by professional organisations such as the Comite Professionnel des Galeries d'Art or artist associations, which offer balanced frameworks that conform to industry practice.

04Mistakes to avoid in early contracts

The first mistake is the total absence of a contract. A verbal agreement, however sincere, protects no one. If the artist hesitates to sign a written document, explain to them that the contract exists to protect them as much as you, and that its existence testifies to the seriousness of your gallery.

The second mistake is the one-sided contract. A beginner dealer who imposes five-year worldwide exclusivity with a sixty per cent commission will find no serious artists to sign. Emerging artists are informed, they exchange among themselves, and an unbalanced contract will make the rounds of the art world faster than your inaugural exhibition. Be fair and generous: artists you treat well will be your best ambassadors.

The third mistake is never revising the contract. A collaboration that lasts three years, five years, ten years cannot rest on the same terms as on the first day. Conditions that were equitable for an emerging artist and a young gallery must evolve as both parties grow. Include an annual review clause that allows both parties to renegotiate terms according to the evolution of the artist's career and the development of the gallery.

05The contract as a foundation for trust

The minimum viable contract is not an end in itself: it is the beginning of a professional relationship that, if well constructed, will last years and be mutually enriching. Galerie Lelong has built collaborations spanning several decades with its artists, and these relationships rest on agreements that have evolved over time while preserving the principles of respect and transparency that founded them at the outset.

Your first contract will be imperfect, and that is normal. You will miss clauses that experience will teach you to add. You will discover situations you had not anticipated. But an imperfect contract is infinitely better than no contract, just as an approximate compass is better than no compass at all.

06Handling delicate situations with professionalism

The life of a gallery-artist collaboration is not always smooth, and certain delicate situations must be anticipated. What if an artist sells directly from their studio a work that should have gone through your gallery? What if a collector contacts the artist directly to bypass the gallery and avoid the commission? What if the artist wishes to exhibit in another gallery within your territory of representation?

These situations are common and should not be experienced as betrayals but as normal episodes of professional life that are resolved through dialogue. The contract provides the reference framework, but it is the quality of the human relationship that determines how these situations are resolved. Galerie Almine Rech has always handled these delicate situations through direct dialogue with its artists, favouring the search for a mutually satisfying solution rather than rigid application of the contract.

If an artist begins selling directly from their studio in circumvention of your gallery, discuss it calmly with them. Perhaps they feel you are not making sufficient effort to sell their work, or perhaps they need a supplement of income that gallery sales do not yet provide. Understanding the motivation behind the behaviour allows you to find a constructive solution: adjusting the terms of exclusivity, intensifying your sales efforts, or accepting a system of studio sales with a reduced commission.

Artedusa supports this professionalisation effort by offering galleries a structured commercial environment where relationships between galleries, artists and collectors rest on standards of transparency and professionalism that strengthen the confidence of all stakeholders.