Are two-for-one deals lawful?
Photo by Kerensa Pickett on Unsplash
The art market has always been driven by relationships — but sometimes those relationships come with strings attached.
A recent report by The Art Newspaper highlights the rise (and recent decline) of the “buy-one, give-one” sales practice known informally as ‘Bogo.’ Under this arrangement, collectors may be offered access to a highly sought-after artwork on the condition that they purchase two works and donate one to a museum.
For galleries, the strategy can help accelerate an artist’s market trajectory. Placing works in museum collections strengthens institutional credibility and can reinforce the artist’s reputation in the primary market.
From a legal perspective, these arrangements aren’t straightforward:
conditioning access to sought-after works on additional purchases can distort the market and limit fair competition
contractual obligations to buy, hold, or donate works may be challenged as restraints on trade
if the true nature of the deal isn’t clearly disclosed, collectors (and even museums) may be misled
museums accepting donated works must ensure independence, proper title and no artificial inflation of value
For collectors, these arrangements also raise practical questions:
what obligations are attached to the purchase?
are there resale restrictions?
what representations have been made?
are there any tax considerations or deductions?
Artists may also be indirectly affected by these arrangements. Gallery sales strategies can influence how an artist’s work enters museum or private collections, and the broader market. Therefore, institutional acquisitions often form part of an artist’s provenance and career narrative; the way works are placed can have lasting implications for reputation and value (in terms of dollars, too).
As the market cools, practices like these appear to be facing greater scrutiny. Because ultimately, how a work is sold can be just as important as what is sold.
Looking Ahead
If you are considering acquiring, selling, or donating artworks — particularly where conditions or institutional placements are involved — it is important to understand the contractual terms, disclosure obligations, and market regulations.
Aurelian Lawyers & Advisers works with families, collectors, and cultural stakeholders to structure these relationships thoughtfully and with foresight. Get in touch with us.
This is general information only and not legal advice. Every situation is different, so it’s important to obtain advice from a lawyer suited to your circumstances