soupy
Junior Member
๐จ๏ธ 2,108
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April 2014
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Friedrich Kunath ๐ฉ๐ช Print Release โข Show News โข For Sale, by soupy on May 26, 2021 1:29:49 GMT 1, these for sale threads always deliver . . ... "very rare"... "not sure how to price this one"
A+ for originality on the excuse to sell.
these for sale threads always deliver . . ... " very rare"... " not sure how to price this one" A+ for originality on the excuse to sell.
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LJCal
Junior Member
๐จ๏ธ 2,980
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December 2019
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Friedrich Kunath ๐ฉ๐ช Print Release โข Show News โข For Sale, by LJCal on May 26, 2021 3:11:16 GMT 1, Those no resale clauses mean fuck all, although obviously if you want to doย business with gallery again wait a while.
Those no resale clauses mean fuck all, although obviously if you want to doย business with gallery again wait a while.
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Newar
Junior Member
๐จ๏ธ 1,473
๐๐ป 1,072
April 2018
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Friedrich Kunath ๐ฉ๐ช Print Release โข Show News โข For Sale, by Newar on May 26, 2021 7:10:07 GMT 1, You make my day
You make my day
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ongsl
New Member
๐จ๏ธ 22
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February 2020
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Friedrich Kunath ๐ฉ๐ช Print Release โข Show News โข For Sale, by ongsl on May 26, 2021 10:06:04 GMT 1, but but...his story about running around nervous about damage is original, I have not heard of this story before. lol!
but but...his story about running around nervous about damage is original, I have not heard of this story before. lol!
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Winks
Junior Member
๐จ๏ธ 2,802
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April 2016
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Friedrich Kunath ๐ฉ๐ช Print Release โข Show News โข For Sale, by Winks on May 26, 2021 11:33:01 GMT 1, Non-Resale Clauses in Art Sales
Martin Wilson Click here to view Martin Wilsonโs profile Martin Wilson Chief General Counsel at Phillips Published Nov 5, 2020 + Follow Empty Threat or Enforceable Right?
A growing phenomenon over the past decade is the use by artists and dealers in the primary art market of restrictive covenants. Artworks are sold to buyers with a legal clause, sometimes buried in the terms printed on the back of the invoice, which restricts the ability of the buyer to re-sell the work by auction or sometimes imposes a complete ban on any form of resale for a fixed period. Some include an obligation on the buyer to re-offer the artwork back to the original seller before reselling it. While there are many variants, the covenant will typically say something along the following lines:
"For a period of 5 years from the date of the purchase the Buyer agrees not to offer the Artwork for sale at auction"
The justification for such clauses include policing the ethical duties and responsibilities of purchasers towards the artwork and the artist, the need for price transparency, a wish to maintain control over the market in the artist's work and the desire to ensure that the artworks are sold to buyers who appreciate rather than speculate.
Interestingly, and perhaps also tellingly, the enforceability of these clauses has not yet been tested by the UK Courts. Once they are tested we will know for sure whether or not they are enforceable - and in what circumstances. In the meantime, because this is a question which is increasingly raised in the art market, I thought it might be helpful to give my view: I do not believe that in the UK these clauses are generally likely to be enforceable. This is particularly the case where consumers are involved.
I am often asked whether I think such non-reselling covenants are generally enforceable under UK law. My answer is that in most cases I do not believe that they are. The reason for my conclusion is that such clauses seem in almost all cases to be for the overwhelming and sole benefit of the seller of the artwork and, correspondingly, to the detriment of the buyer. Unless the buyer is getting a substantial concession in return for agreeing to such a restriction on his or her ownership rights it seems to me that such clauses are at risk of being viewed by the Courts in the UK as unfair. And this is particularly the case where the bargaining positions of the parties can be argued to be unequal.
What follows is a more detailed explanation of the reasons for that conclusion and some of the considerations if you are seeking to rely on such a clause or if you have bought an artwork which is subject to such a clause.
Full disclosure - as an in-house lawyer for an auction house I do of course have a commercial perspective on such clauses. I have however tried to steer clear, in this article, of discussing the desirability or otherwise of the clauses - focussing instead on how they might be viewed by the law.
If the Buyer is a consumer
I have said that restrictive covenants are unlikely to be enforceable against consumer buyers in consumer contracts. This is because in the UK the Consumer Rights Act 2015 provides for the protection of consumers from unfair terms in โconsumer contractsโ.
In the UK the Consumer Rights Act 2015 provides for the protection of consumers from unfair terms in โconsumer contractsโ. Is it a Consumer Contract?
The starting point is to establish whether the contract is a consumer contract, and therefore benefits from the protection of the Consumer Rights Act 2015 against unfair terms. A consumer contract is defined in the 2015 Act as a contract between a trader and a consumer.
A โTrader' for the purposes of the 2015 Act means a person acting for purposes relating to that person's trade, business, craft or profession, whether acting personally or through another person acting in the trader's name or on the trader's behalf;
A 'Consumer' means an individual acting for purposes that are wholly or mainly outside that individual's trade, business, craft or profession.
A sale of a work of art between an art gallery, dealer or an artist on the one hand and an amateur art collector on the other will therefore be a consumer contract. A sale between two amateur art collectors or between two art galleries, dealers or an artist and an art gallery or dealer will not be a consumer contract.
It is also worth noting that even experienced collectors who trade art will be consumers provided that trading art is not their trade, business or profession.
Is the Restriction unfair?
If the contract is a consumer contract then the restriction must satisfy the test of โfairnessโ under the 2015 Act to be enforceable. A term will be deemed to be unfair under the Act if, contrary to the requirement of good faith, it causes a significant imbalance in the parties' rights and obligations arising under the contract to the detriment of the consumer.
A term will be deemed to be unfair under the Act if..... it causes a significant imbalance in the parties' rights and obligations arising under the contract to the detriment of the consumer. There will be significant imbalance if a term is so weighted in favour of the trader as to tilt the parties' rights and obligations under the contract significantly in the traderโs favour by imposing (i) an onerous burden, risk or duty on the consumer, (ii) which is to the detriment of the consumer and (iii) which is to the advantage of the trader.
When an artwork or indeed any asset is purchased, whether in the primary or secondary market, the buyer usually expects that, having paid the purchase price, he or she will be free to do with the asset what he or she wants. Indeed, the ability of the buyer to own his purchase free of all rights and claims is one of the key warranties expected by buyers in art purchases. In practice also, where art is concerned it is in the nature of collections that collectors expect to be free to buy, sell and exchange as value, taste and interests fluctuate. So, on the face of it a major restriction on that ability to sell or otherwise dispose of the artwork is likely to be a duty which is out of the ordinary and both onerous and potentially detrimental to the consumer. It is no small matter.
The greater the length and extent of the restriction the greater the detriment. But is it to the advantage of the trader? The fact that the trader has inserted it in the agreement means that it almost certainly will be. Unless the trader has made a very significant and genuine concession (significantly beyond the usual price discounts) to the consumer in return for the consumerโs agreement to the restriction it is likely that the advantage to the trader is simply at the expense of the consumer.
It is also easy to imagine that a Court looking at such a clause will consider whether, objectively, the trader's justification for imposing the clause is reasonable, when balanced against the restriction of the consumer's rights.
The difficulties in enforcement increase further if there is room for the purchaser to argue that he or she was unwary or an inexperienced consumer and was taken advantage of. This will depend on the particular circumstances but relevant considerations will include the level of experience of the consumer, whether the consumer is able to purchase a similar artwork from another source, where the clause is prominent or buried in the small print, whether prior to the sale it was highlighted, drawn to the attention of and discussed with the consumer, whether the clause was added as a last minute afterthought - or even after completion of the transaction and whether the restriction has been acknowledged in writing by the consumer.
With all this in mind it seems to me that where consumers are concerned there is a risk and in many cases a likelihood of the Courts concluding that the clause is unfair.
Non-Resale Clauses in Art Sales
Martin Wilson Click here to view Martin Wilsonโs profile Martin Wilson Chief General Counsel at Phillips Published Nov 5, 2020 + Follow Empty Threat or Enforceable Right?
A growing phenomenon over the past decade is the use by artists and dealers in the primary art market of restrictive covenants. Artworks are sold to buyers with a legal clause, sometimes buried in the terms printed on the back of the invoice, which restricts the ability of the buyer to re-sell the work by auction or sometimes imposes a complete ban on any form of resale for a fixed period. Some include an obligation on the buyer to re-offer the artwork back to the original seller before reselling it. While there are many variants, the covenant will typically say something along the following lines:
"For a period of 5 years from the date of the purchase the Buyer agrees not to offer the Artwork for sale at auction"
The justification for such clauses include policing the ethical duties and responsibilities of purchasers towards the artwork and the artist, the need for price transparency, a wish to maintain control over the market in the artist's work and the desire to ensure that the artworks are sold to buyers who appreciate rather than speculate.
Interestingly, and perhaps also tellingly, the enforceability of these clauses has not yet been tested by the UK Courts. Once they are tested we will know for sure whether or not they are enforceable - and in what circumstances. In the meantime, because this is a question which is increasingly raised in the art market, I thought it might be helpful to give my view: I do not believe that in the UK these clauses are generally likely to be enforceable. This is particularly the case where consumers are involved.
I am often asked whether I think such non-reselling covenants are generally enforceable under UK law. My answer is that in most cases I do not believe that they are. The reason for my conclusion is that such clauses seem in almost all cases to be for the overwhelming and sole benefit of the seller of the artwork and, correspondingly, to the detriment of the buyer. Unless the buyer is getting a substantial concession in return for agreeing to such a restriction on his or her ownership rights it seems to me that such clauses are at risk of being viewed by the Courts in the UK as unfair. And this is particularly the case where the bargaining positions of the parties can be argued to be unequal.
What follows is a more detailed explanation of the reasons for that conclusion and some of the considerations if you are seeking to rely on such a clause or if you have bought an artwork which is subject to such a clause.
Full disclosure - as an in-house lawyer for an auction house I do of course have a commercial perspective on such clauses. I have however tried to steer clear, in this article, of discussing the desirability or otherwise of the clauses - focussing instead on how they might be viewed by the law.
If the Buyer is a consumer
I have said that restrictive covenants are unlikely to be enforceable against consumer buyers in consumer contracts. This is because in the UK the Consumer Rights Act 2015 provides for the protection of consumers from unfair terms in โconsumer contractsโ.
In the UK the Consumer Rights Act 2015 provides for the protection of consumers from unfair terms in โconsumer contractsโ. Is it a Consumer Contract?
The starting point is to establish whether the contract is a consumer contract, and therefore benefits from the protection of the Consumer Rights Act 2015 against unfair terms. A consumer contract is defined in the 2015 Act as a contract between a trader and a consumer.
A โTrader' for the purposes of the 2015 Act means a person acting for purposes relating to that person's trade, business, craft or profession, whether acting personally or through another person acting in the trader's name or on the trader's behalf;
A 'Consumer' means an individual acting for purposes that are wholly or mainly outside that individual's trade, business, craft or profession.
A sale of a work of art between an art gallery, dealer or an artist on the one hand and an amateur art collector on the other will therefore be a consumer contract. A sale between two amateur art collectors or between two art galleries, dealers or an artist and an art gallery or dealer will not be a consumer contract.
It is also worth noting that even experienced collectors who trade art will be consumers provided that trading art is not their trade, business or profession.
Is the Restriction unfair?
If the contract is a consumer contract then the restriction must satisfy the test of โfairnessโ under the 2015 Act to be enforceable. A term will be deemed to be unfair under the Act if, contrary to the requirement of good faith, it causes a significant imbalance in the parties' rights and obligations arising under the contract to the detriment of the consumer.
A term will be deemed to be unfair under the Act if..... it causes a significant imbalance in the parties' rights and obligations arising under the contract to the detriment of the consumer. There will be significant imbalance if a term is so weighted in favour of the trader as to tilt the parties' rights and obligations under the contract significantly in the traderโs favour by imposing (i) an onerous burden, risk or duty on the consumer, (ii) which is to the detriment of the consumer and (iii) which is to the advantage of the trader.
When an artwork or indeed any asset is purchased, whether in the primary or secondary market, the buyer usually expects that, having paid the purchase price, he or she will be free to do with the asset what he or she wants. Indeed, the ability of the buyer to own his purchase free of all rights and claims is one of the key warranties expected by buyers in art purchases. In practice also, where art is concerned it is in the nature of collections that collectors expect to be free to buy, sell and exchange as value, taste and interests fluctuate. So, on the face of it a major restriction on that ability to sell or otherwise dispose of the artwork is likely to be a duty which is out of the ordinary and both onerous and potentially detrimental to the consumer. It is no small matter.
The greater the length and extent of the restriction the greater the detriment. But is it to the advantage of the trader? The fact that the trader has inserted it in the agreement means that it almost certainly will be. Unless the trader has made a very significant and genuine concession (significantly beyond the usual price discounts) to the consumer in return for the consumerโs agreement to the restriction it is likely that the advantage to the trader is simply at the expense of the consumer.
It is also easy to imagine that a Court looking at such a clause will consider whether, objectively, the trader's justification for imposing the clause is reasonable, when balanced against the restriction of the consumer's rights.
The difficulties in enforcement increase further if there is room for the purchaser to argue that he or she was unwary or an inexperienced consumer and was taken advantage of. This will depend on the particular circumstances but relevant considerations will include the level of experience of the consumer, whether the consumer is able to purchase a similar artwork from another source, where the clause is prominent or buried in the small print, whether prior to the sale it was highlighted, drawn to the attention of and discussed with the consumer, whether the clause was added as a last minute afterthought - or even after completion of the transaction and whether the restriction has been acknowledged in writing by the consumer.
With all this in mind it seems to me that where consumers are concerned there is a risk and in many cases a likelihood of the Courts concluding that the clause is unfair.
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Winks
Junior Member
๐จ๏ธ 2,802
๐๐ป 3,603
April 2016
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Friedrich Kunath ๐ฉ๐ช Print Release โข Show News โข For Sale, by Winks on May 29, 2021 11:15:43 GMT 1, Wouldnโt buy it out of general principle after the run around I got off them previously.
Wouldnโt buy it out of general principle after the run around I got off them previously.
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arte7
New Member
๐จ๏ธ 59
๐๐ป 11
May 2021
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Friedrich Kunath ๐ฉ๐ช Print Release โข Show News โข For Sale, by arte7 on Jun 22, 2021 10:37:23 GMT 1, Had a deal lined up. But buyer could unfortunately not get the funds. So back up.
Had a deal lined up. But buyer could unfortunately not get the funds. So back up.
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Friedrich Kunath ๐ฉ๐ช Print Release โข Show News โข For Sale, by I Want a Beer on Jun 22, 2021 12:46:57 GMT 1, Whatโs the price?
Whatโs the price?
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Ildefonso 77
New Member
๐จ๏ธ 315
๐๐ป 110
Member is Online
May 2020
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Friedrich Kunath ๐ฉ๐ช Print Release โข Show News โข For Sale, by Ildefonso 77 on Jun 23, 2021 4:13:45 GMT 1, just a question do Galleries really buy back works wherein there are re-sale and lockdown periods or is this just something they just throw out there?
If one were to avail of this clause would it be negative points to you or affect your standing with the gallery?
just wondering because we all have lives and circumstances of people > ART and contracts.
just a question do Galleries really buy back works wherein there are re-sale and lockdown periods or is this just something they just throw out there?
If one were to avail of this clause would it be negative points to you or affect your standing with the gallery?
just wondering because we all have lives and circumstances of people > ART and contracts.
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arte7
New Member
๐จ๏ธ 59
๐๐ป 11
May 2021
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Friedrich Kunath ๐ฉ๐ช Print Release โข Show News โข For Sale, by arte7 on Jun 23, 2021 14:16:04 GMT 1, Had a offer around 6.750 euro lined up with the other buyer.
Had a offer around 6.750 euro lined up with the other buyer.
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arte7
New Member
๐จ๏ธ 59
๐๐ป 11
May 2021
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Friedrich Kunath ๐ฉ๐ช Print Release โข Show News โข For Sale, by arte7 on Jun 25, 2021 9:37:55 GMT 1, Offers welcome
Offers welcome
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jhavisen
New Member
๐จ๏ธ 123
๐๐ป 98
January 2020
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Friedrich Kunath ๐ฉ๐ช Print Release โข Show News โข For Sale, by jhavisen on Jun 29, 2021 12:53:53 GMT 1, DM'ed you
DM'ed you
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jhavisen
New Member
๐จ๏ธ 123
๐๐ป 98
January 2020
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Friedrich Kunath ๐ฉ๐ช Print Release โข Show News โข For Sale, by jhavisen on Jul 11, 2021 11:31:57 GMT 1, DM'ed you Did you see?
DM'ed you Did you see?
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arte7
New Member
๐จ๏ธ 59
๐๐ป 11
May 2021
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Friedrich Kunath ๐ฉ๐ช Print Release โข Show News โข For Sale, by arte7 on Aug 2, 2021 10:54:13 GMT 1,
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arte7
New Member
๐จ๏ธ 59
๐๐ป 11
May 2021
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Friedrich Kunath ๐ฉ๐ช Print Release โข Show News โข For Sale, by arte7 on Aug 14, 2021 15:32:40 GMT 1, Selling at 6.500 euro, as i need funds + shipping and in my currency.
Selling at 6.500 euro, as i need funds + shipping and in my currency.
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sean1397
New Member
๐จ๏ธ 800
๐๐ป 306
May 2019
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Friedrich Kunath ๐ฉ๐ช Print Release โข Show News โข For Sale, by sean1397 on Aug 17, 2021 6:24:10 GMT 1, I thought you were scared you would damage it... Ill pay 4000 if you need funds
I thought you were scared you would damage it... Ill pay 4000 if you need funds
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docean
New Member
๐จ๏ธ 905
๐๐ป 764
November 2015
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Friedrich Kunath ๐ฉ๐ช Print Release โข Show News โข For Sale, by docean on Aug 17, 2021 16:26:12 GMT 1, I edited the post for you:
Hey everyone. I am thinking about definitely selling my Kunath: We're not here for long. Very rare[insert meaningless buzz word here], small edition size and high handfinished edition. I am in very big doubt, but to be completely honest I am about to lie to your face, my concern is that it is not protected by glass [and I have zero mental capacity to consider re-framing], and therefore i don't think my small apartment is suitable for it - without me running around extremely nervous every day. I came to the point where i dream about it getting destroyed, haha [], anyone tried that?
So please send me a DM if you are interested, i don't really know, how to price this one [because I am the first person dumb enough to try to flip it early]. Need a discreet buyer [so the gallery doesn't find out who I am and ban me ]
I edited the post for you:
Hey everyone. I am thinking about definitely selling my Kunath: We're not here for long. Very rare[insert meaningless buzz word here], small edition size and high handfinished edition. I am in very big doubt, but to be completely honest I am about to lie to your face, my concern is that it is not protected by glass [and I have zero mental capacity to consider re-framing], and therefore i don't think my small apartment is suitable for it - without me running around extremely nervous every day. I came to the point where i dream about it getting destroyed, haha [], anyone tried that? So please send me a DM if you are interested, i don't really know, how to price this one [because I am the first person dumb enough to try to flip it early]. Need a discreet buyer [so the gallery doesn't find out who I am and ban me ]
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Friedrich Kunath ๐ฉ๐ช Print Release โข Show News โข For Sale, by That Print Guy on Aug 17, 2021 17:00:28 GMT 1, as i need funds
This is often the best time to get the best deal.
as i need funds This is often the best time to get the best deal.
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Inknart
Junior Member
๐จ๏ธ 3,490
๐๐ป 3,288
April 2015
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Friedrich Kunath ๐ฉ๐ช Print Release โข Show News โข For Sale, by Inknart on Aug 17, 2021 17:05:00 GMT 1, He has another release coming end of year for those who want to wait.
He has another release coming end of year for those who want to wait.
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orchid
Junior Member
๐จ๏ธ 1,464
๐๐ป 1,150
May 2018
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Friedrich Kunath ๐ฉ๐ช Print Release โข Show News โข For Sale, by orchid on Aug 17, 2021 18:37:49 GMT 1, I edited the post for you:
Hey everyone. I am thinking about definitely selling my Kunath: We're not here for long. Very rare[insert meaningless buzz word here], small edition size and high handfinished edition. I am in very big doubt, but to be completely honest I am about to lie to your face, my concern is that it is not protected by glass [and I have zero mental capacity to consider re-framing], and therefore i don't think my small apartment is suitable for it - without me running around extremely nervous every day. I came to the point where i dream about it getting destroyed, haha [], anyone tried that? So please send me a DM if you are interested, i don't really know, how to price this one [because I am the first person dumb enough to try to flip it early]. Need a discreet buyer [so the gallery doesn't find out who I am and ban me ]
Fack. Hahaha
I edited the post for you:
Hey everyone. I am thinking about definitely selling my Kunath: We're not here for long. Very rare[insert meaningless buzz word here], small edition size and high handfinished edition. I am in very big doubt, but to be completely honest I am about to lie to your face, my concern is that it is not protected by glass [and I have zero mental capacity to consider re-framing], and therefore i don't think my small apartment is suitable for it - without me running around extremely nervous every day. I came to the point where i dream about it getting destroyed, haha [], anyone tried that? So please send me a DM if you are interested, i don't really know, how to price this one [because I am the first person dumb enough to try to flip it early]. Need a discreet buyer [so the gallery doesn't find out who I am and ban me ] Fack. Hahaha
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arte7
New Member
๐จ๏ธ 59
๐๐ป 11
May 2021
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Friedrich Kunath ๐ฉ๐ช Print Release โข Show News โข For Sale, by arte7 on Aug 25, 2021 11:21:08 GMT 1, I bought it 6 months ago - is that really so bad? Have you saints never sold something after 6 months?
I bought it 6 months ago - is that really so bad? Have you saints never sold something after 6 months?
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orchid
Junior Member
๐จ๏ธ 1,464
๐๐ป 1,150
May 2018
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Friedrich Kunath ๐ฉ๐ช Print Release โข Show News โข For Sale, by orchid on Aug 25, 2021 11:44:06 GMT 1, I bought it 6 months ago - is that really so bad? Have you saints never sold something after 6 months?
You signed a NSA. Not that it matters, can't even sell it.
I bought it 6 months ago - is that really so bad? Have you saints never sold something after 6 months? You signed a NSA. Not that it matters, can't even sell it.
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arte7
New Member
๐จ๏ธ 59
๐๐ป 11
May 2021
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Friedrich Kunath ๐ฉ๐ช Print Release โข Show News โข For Sale, by arte7 on Aug 30, 2021 16:59:39 GMT 1, Maybe i put this too high. Lowering to 6000 euro + shipping, in my currency.
Maybe i put this too high. Lowering to 6000 euro + shipping, in my currency.
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sean1397
New Member
๐จ๏ธ 800
๐๐ป 306
May 2019
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Friedrich Kunath ๐ฉ๐ช Print Release โข Show News โข For Sale, by sean1397 on Aug 31, 2021 16:24:52 GMT 1, I will pay cost - 4000 euros
I will pay cost - 4000 euros
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arte7
New Member
๐จ๏ธ 59
๐๐ป 11
May 2021
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Friedrich Kunath ๐ฉ๐ช Print Release โข Show News โข For Sale, by arte7 on Sept 3, 2021 11:49:06 GMT 1,
5200 euro + shipping, in my currency.
5200 euro + shipping, in my currency.
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sean1397
New Member
๐จ๏ธ 800
๐๐ป 306
May 2019
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Friedrich Kunath ๐ฉ๐ช Print Release โข Show News โข For Sale, by sean1397 on Sept 4, 2021 6:04:50 GMT 1, I think it's gonna be yours given others have sold at cost. Prob a good investment
I think it's gonna be yours given others have sold at cost. Prob a good investment
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arte7
New Member
๐จ๏ธ 59
๐๐ป 11
May 2021
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Friedrich Kunath ๐ฉ๐ช Print Release โข Show News โข For Sale, by arte7 on Sept 12, 2021 12:44:24 GMT 1, 5000 euro + shipping, in my currency.
Last bump here.
5000 euro + shipping, in my currency.
Last bump here.
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Friedrich Kunath ๐ฉ๐ช Print Release โข Show News โข For Sale, by A Broke Collector on Sept 12, 2021 16:35:26 GMT 1, Lol
Lol
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Deleted
๐จ๏ธ 0
๐๐ป
January 1970
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Friedrich Kunath ๐ฉ๐ช Print Release โข Show News โข For Sale, by Deleted on Sept 12, 2021 19:55:49 GMT 1, I will pay cost - 4000 euros
Youโd get that phone on standby for the call.. ๐๐
Why is everyone on here such a douchebag?
I will pay cost - 4000 euros Youโd get that phone on standby for the call.. ๐๐ Why is everyone on here such a douchebag?
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