Contract Law
Contract law is an integral part of artists’ and cultural workers’ professional activities: for example, they conclude contracts to sell artworks, exhibit them, allow others to utilise their art, or be represented by an agency. Contract law regulates how and under what conditions legally binding agreements are concluded between parties. It creates clarity and reliability in the relationships between the contracting parties and minimises the risk of misunderstandings and conflicts: it provides legal protection. Artists and cultural workers need basic knowledge of contract law for their professional activities.
Contracts are often concluded between two contracting parties who live in the same country and fulfil the contract in the same country. In addition to these "national" contracts, international contract law is particularly important in the cultural sector. It regulates legal relationships across national borders. Cross-border contracts are often more complex than national contracts because they need to take different legal systems and cultural differences into account. For successful and legally secure cooperation, it is therefore important that parties concluding international contracts have a basic understanding of international contract law.
In the following chapters, you will receive non-binding initial information on the following topics:
- What you need to bear in mind with cross-border contracts;
- How contract law is regulated in Austria;
- What types of contracts are important for artists and cultural workers and what these contracts regulate.
Important links
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Under the following link you will find FAQs from the Austrian Federal Economic Chamber, the organisation representing the interests of all tradespeople operating in Austria, regarding contracts between entrepreneurs based in different countries.
- On the Chamber of Commerce’s website you will also find information on when the Consumer Warranty Act and the Consumer Protection Act apply under Austrian law .
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The Chamber of Labour, which represents the interests of all salaried employees in Austria, can help you check your employment contract.
Checklist
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Read every contract carefully! Don't sign anything you don't understand! Seek advice if you are unsure. You should also read the small print and not "just" the figures and dates.
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When concluding each contract, check which legal system applies to it and what the place of jurisdiction is, or what has been agreed in the event of disputes regarding the contract. Try to conclude contracts in which Austrian law is the choice of law, without conflict of law rules, and with Austria as the place of jurisdiction. If a different law and/or a place of jurisdiction in another country is to be agreed upon, make enquiries beforehand!
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Check whether the contract contains a jurisdiction agreement. If the contract does not contain one, you should check the laws of the applicable legal system to determine which courts a legal dispute would be brought before.
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Are you an entrepreneur? Clarify whether the remuneration stipulated in your contract is a gross or net amount (i.e. whether you still have to deduct tax from the amount). See the chapter on tax law.
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If you are not self-employed and conclude an employment contract, you should find out about the minimum labour law standards applicable in the respective country. See the chapter on labour law.
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Are you an artist concluding a contract involving a transfer of rights to your artistic work to someone else? Check which specific rights you are transferring and to what temporal and geographical extent.
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It always makes sense to seek legal advice before concluding a contract.