Protecting Property Rights and Unleashing Capital in Art

A federal cultural property registration system could help to solve most of these problems. Claimants could obtain compensation without expensive legal battles, leading to more just results. Museums and collectors would have a means to purchase with confidence and protect their collections despite the oftenundiscoverable transgressions of others in the past. Museums could borrow money secured by their collections and avoid having to sell works to pay expenses or go out of business, provided that the museum community relaxes its prohibitions on collateralizing collections.

In short, a registration system would benefit all of the stakeholders; it would provide “win-win” solutions to the aforementioned problems. Moreover, it would generate its own income, which would mean that little, if any, government funding would be necessary for its operating expenses. At this critical time, with the Department of State planning to establish a commission to research and resolve Holocaust-era claims, the idea of a Federal Bureau of Cultural Property Registration deserves serious consideration.