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Read the following Consignment Agreement Contract
We (the artist and the Mundaring Arts Centre Inc.) agree to all the arrangements related to this contract on the following terms:
1. RETAIL VENUE
Display for sale of the SUPPLIER’S original works will be at the MUNDARING ARTS CENTRE retail outlet at 7190 Great Eastern Highway Mundaring Perth, Western Australia. Presentation of work at additional venues will be discussed and agreed with the SUPPLIER
It is a condition of this agreement that the SUPPLIER will maintain current membership of the MUNDARING ARTS CENTRE.
3. SCOPE & PERIOD OF CONSIGNMENT
3.1 The SUPPLIER appoints the Mundaring Arts Centre as agent for the purpose of the sale of works.
3.2 All goods received on consignment from the date this contract is signed until December 2022 shall be covered by the terms and conditions of this contract.
3.3 Goods will be consigned for sale for three (3) months from the date the goods arrive at the Mundaring Arts Centre’s premises.
3.4 With the SUPPLIER’S agreement, MUNDARING ARTS CENTRE has the option to renew consigned goods remaining unsold at the end of a current consignment period. The SUPPLIER will be advised in writing or by verbal communication of the intent by MUNDARING ARTS CENTRE to return consignment goods. The return of goods will be subject to Clause 5 and Clause 6 of this agreement.
4.1 MUNDARING ARTS CENTRE will markup on the SUPPLIER’s cost price inclusive of the SUPPLIER’S GST (also referred to as wholesale price).
4.2 MUNDARING ARTS CENTRE’S commission (inclusive of GST) will be 35% of the retail price.
4.3 Costs of Sale: A separate charge will be applied to cover freight to and from Mundaring Arts Centre if required by the SUPPLIER.
4.4.1 The SUPPLIER shall advise MUNDARING ARTS CENTRE of any change in GST registration and/or Australian Business Number (ABN) status within two (2) weeks of such change. If the MUNDARING ARTS CENTRE is not advised in writing, the artist incurs the GST liability.
5. SUPPLIER PAYMENTS
5.1 Payment by MUNDARING ARTS CENTRE to the SUPPLIER for goods sold shall be posted no later than 16th day of the month following the sale of goods. Payment will be made by MUNDARING ARTS CENTRE by electronic transfer direct to the SUPPLIER'S bank account as nominated.
5.2 Where the SUPPLIER is not registered for GST the Recipient Generated Invoice will not include GST.
6. RETURN OF UNSOLD GOODS
6.1 The MUNDARING ARTS CENTRE reserves the right to request the SUPPLIER to collect unsold goods at any time after the conclusion of the initial consignment period. It is the responsibility of the SUPPLIER to arrange for the collection or transportation of goods within two (2) weeks of a written or verbal request for the collection of goods. Any costs related to the transportation of unsold goods will be the responsibility of the SUPPLIER.
6.2 If arrangements for transportation of unsold goods is not finalised within two weeks the MUNDARING ARTS CENTRE may, after having made all reasonable efforts to locate the SUPPLIER and return the work, exercise a right of sale over the uncollected work.
6.3 If the work is not able to be returned for any reason within two (2) months after the request for goods to be collected and no alternative arrangements have been negotiated, MUNDARING ARTS CENTRE may, after having made all reasonable efforts to locate the SUPPLIER and return the work, place the work in storage (at the cost and risk of the SUPPLIER). If the cost of storage exceeds the value of the work, the MUNDARING ARTS CENTRE may retain possession of the goods and may exercise a right of sale or dispose of the goods at their discretion. Any insurance and/or storage fees for the goods during this period will be at the cost of the SUPPLIER.
6.4 Any balance of monies from the sale of goods by MUNDARING ARTS CENTRE, after the payment of all storage and insurance costs as stated in clause 6.3, shall be held by the MUNDARING ARTS CENTRE and be recoverable by the SUPPLIER as a debt.
7. TRANSPORTATION & GOODS DAMAGED IN TRANSIT
7.1 Re-packing and return of works to the SUPPLIER from MUNDARING ARTS CENTRE will be the responsibility of the SUPPLIER unless otherwise negotiated.
7.2 Goods Damaged In Transit: In the case of works transported which are received in a damaged condition:
7.2.1 If, in the opinion of MUNDARING ARTS CENTRE, the fault lies with the original packaging carried out by the SUPPLIER, no insurance claim will be made. The SUPPLIER will be notified within three (3) days and damaged goods returned to the SUPPLIER by MUNDARING ARTS CENTRE within two weeks of receipt of the damaged goods or as instructed by the SUPPLIER.
7.2.2 If, in the opinion of MUNDARING ARTS CENTRE, damage was caused by inadequate packaging by any freight company commissioned by MUNDARING ARTS CENTRE, or is otherwise the fault of the freight company, MUNDARING ARTS CENTRE will undertake to make an insurance claim for the goods, if the cost of goods is of greater value than the excess payable to the insurer ($300).
8.1 The MUNDARING ARTS CENTRE will be responsible for the hanging, supporting or other aids necessary for the proper presentation of the goods for sale.
8.2 The MUNDARING ARTS CENTRE shall have total discretion in the presentation of goods for sale.
9. SALE OF WORK - CONDITIONS
9.1 Trading Hours: MUNDARING ARTS CENTRE reserves the right to vary trading hours without prior notice to the SUPPLIER.
9.2 Full Payment of Purchase Price: Title to goods will not pass to the Purchaser and works will not be handed to the Purchaser unless full payment has been made to MUNDARING ARTS CENTRE.
9.3 Discount: MUNDARING ARTS CENTRE reserves the right to sell any goods at a discount to Corporate Customers, Members of Mundaring Arts Centre and any other individual or group.
9.4 Lay-by: A layby deposit will be required to be paid by the Purchaser to MUNDARING ARTS CENTRE. Name, address and telephone number of the Purchaser is required. In the case of monies not being received by MUNDARING ARTS CENTRE within the specified period of lay-by, MUNDARING ARTS CENTRE will endeavour to ensure payment by the Purchaser. Where there is any default by a Purchaser, no refund of any lay-by deposits will be made to the Purchaser. Title to the work does not pass to the purchaser until the final layby installment is paid. In the case of layby, the date of sale is the date on which final layby installment payment is made.
9.5 Works on Approval: Other than in the case of proposed purchases by public collections, MUNDARING ARTS CENTRE will not hold works on approval for purchase for longer than 24 hours.
MUNDARING ARTS CENTRE is insured for theft and vandalism resulting from forced entry burglary and damage resulting from fire with a limit of $5,000 for any one item. Excess payable by MUNDARING ARTS CENTRE is $300 for any item. Any SUPPLIER who wishes to insure their goods for any other risks should make personal arrangements with their insurer.
11. DUTY OF CARE
11.1 MUNDARING ARTS CENTRE acknowledges that the work consigned always remains the property of the SUPPLIER until sold and will handle the work with special care at all times to prevent damage and deterioration to the work, that is not characteristic of the work.
11.2 MUNDARING ARTS CENTRE will ensure the safe protection of the work at all times including but not limited to, protection from hazards of fire, flood, dirt, food, smoking or handling by un-authorised or inexperienced personnel, including members of the public.
11.3 MUNDARING ARTS CENTRE will provide a basic minimum security arrangement which includes:
a staff member present while the works are accessible to the public;
electronic systems operating when premises are closed to the public.
12. PUBLICITY & PROMOTION
12.1 MUNDARING ARTS CENTRE may use any work or any image of any work for promotional or publicity purposes for MUNDARING ARTS CENTRE. Full artist attribution will be included.
12.2 MUNDARING ARTS CENTRE may request further information from the artist in order to assist in the promotion and publicity of the SUPPLIER’S work.
12.3 If MUNDARING ARTS CENTRE publishes a catalogue, it shall have full responsibility for the inclusion of work, selection of its writers, editorship of its text and reproductions and its design.
13. ALTERATIONS TO THE AGREEMENT
This agreement constitutes the entire understanding between the parties. Any changes must be in writing and signed by both parties.