ART ON BOARD
Jaime Botin, in which he was convicted of smuggling a Picasso painting. Ensure that you obtain proper advice from experienced specialists, and are able to prove your compliance with the relevant regulatory regimes. • Conservation: Less of a legal point and more of a practical one: have you considered the potential risks of displaying your artwork on your superyacht? Humidity levels and vibration (not to mention human error) on board could cause irreversible damage to a priceless piece if not properly managed and controlled for. If you have a significant collection, consider enlisting the assistance of an art specialist. If your art is covered by your standard insurance policy it is worth checking what limitations apply to its cover. For example, geographical limitations may apply.
For some owners, housing their art collection on board is a necessity. It represents the style and tone that they wish to impart upon the superyacht. In doing so, there are a number of factors to consider to ensure art on board the superyacht is properly owned and maintained.
• Ownership: It is necessary to consider who owns the art work on board the superyacht to ensure they are aware of any tax, customs or insurance implications. Will the ultimate beneficial owner of the superyacht own the artwork? Or will it be the superyacht owning company or a different company altogether? • Security: A robust security system on board the superyacht to prevent theft is essential. The captain should also keep an inventory of all artwork on board with appropriate documentation. It is also worth educating the crew about correct methods of care for different art pieces to ensure they are not inadvertently damaged. • Insurance: You may need to have separate specialist cover for high-value items. This will require you to declare to your insurer the art on board the superyacht and its estimated value. Don’t assume that the yacht’s hull and machinery cover will protect your art.
• Tax: If the art is not physically part of the superyacht, it may have its own separate tax treatment , which may not be consistent with that of the yacht — as with helicopters, the yacht’s Temporary Importation Regime is unlikely to extend to art on board — and you may well need separate import and export papers for each piece of art. It may have a shorter right to stay in the EU than the superyacht. • Regulatory: Antiquities, artworks of particular cultural importance, and objects incorporating materials derived from rare plants or animals are subject to additional (and stringent) regulation. For example, Spain has some of the strictest heritage laws in Europe, including those that say that any work of art more than 100 years old that is considered culturally important can be deemed a national treasure. The relevant legislation forces owners to obtain a permit before taking any such works out of the country — as was illustrated in a high- profile case involving Spanish billionaire
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