Justice Lowy to Berkshire Museum Attorney Lee at Massachusetts Supreme Court: “So in other words, I have to tell you, I’m watching two different movies.”

In 2017, the Berkshire Museum was sued multiple times because of the possible sales of 40 works of art at public auctions. The art has long left the building. The winning consignor, Sotheby’s auction house, received all property prior to the 2017 public announcement from museum leadership blowing its “New Vision” horn. The art remains on hold at Sotheby’s.

At high noon on March 20, 2018, in Courtroom 2 of the John Adams Courthouse in Boston, Massachusetts, Justice David Lowy presided over the ongoing Berkshire Museum deaccession litigation. Four attorneys, two for each side, were summoned before the Massachusetts Supreme Court to argue positions. Justice Lowy began the hearing by addressing the elephant in the room. He announced that because the Attorney General Office and the Berkshire Museum, former adversaries, petitioned the court together for necessary relief, he thought it was important to hear opposing views. Therefore, he invited amici to present their arguments, too.

(A third amicus brief by a former director of Museum Services at Bonhams auction house, Martin Gammon,  has since been filed and is under review.)

Naturally, this hearing was welcome news for opponents of the museum’s plans to liquidate a priceless core collection in favor of a makeover, still reeling from their perception that the Attorney General abdicated mightily February 9, 2018. Trustees, who believe the museum is broke and will shutter any day if not for this new strategy, were disheartened but determined.

Justice Lowy made the stunning announcement upfront that restrictions do apply, and are a given. The Office of the Attorney General (AGO) and the Supreme Court agree about standing. The museum maintains it has the right to liquidate. The only way that any art can be sold is if the legal contracts pertaining to the Berkshire Museum’s charter and mission and provenance for the art are abandoned because the museum successfully conveys its pending demise. Then it gets a do-over. The legal term is cy pres (pronounced say, pray. I prefer pray stay!)

IF sold, Norman Rockwell’s Shuffleton’s Barbershop, which has crystal clear provenance, was estimated  to fetch  the highest price at auction. Inexplicably, the petition before the court boasted of a breezy compromise between the AGO and Berkshire Museum: an anonymous museum will purchase the painting for 1)an undisclosed price (I guarantee that it’s less than public auction), 2) promises a temporary display in Massachusetts, at the Norman Rockwell Museum, and 3)eventually feature it as part of the mystery museum’s permanent collection. Where is the museum? What is the sale price and terms? If its destiny is beyond a Massachusetts border, why isn’t the Commonwealth protecting its resources?*

*Which museum committed funds for Shuffleton Barbershop  and can afford to pounce and avoid driving up the price at auction? Perhaps Crystal Bridges Museum backed by Wal-Mart heiress, Alice Walton, could strike again. Norman Rockwell is already represented in its collection. Is it worth it to add another? The Lucas Museum of Narrative Art could be a contender. George Lucas boasts an impressive Rockwell collection, including ideal examples with cinematic connections or narratives, like the stunning study for charwomen (in movie theater). Is that enough representation to let it go were Berkshire Museum Rockwells cleared to sell?

The other works of art could be sold, or not. One doesn’t get the impression that the AGO was stepping in for the underdog. Leave it to Norman Rockwell to capture the attention of a busy world to illustrate a simple maxim: do the right thing. If legal manuevering is necessary, like crazy zoning variances for unfair construction, most collections will be at a disadvantage. It’s up to the Massachusetts Supreme Court to remedy this balderdash & betrayal else risk breaking the bank of non profits across the country.

Justice Lowy asked that the attorneys focus their arguments on selling with restrictions: “Is it necessary and impossible or impracticable for the Museum’s charitable mission to continue?” All parties stuck to this request, and to their filed briefs more or less. I tried to capture word for word the moments when Justice Lowy interrupted rote statements. Justice Lowy has made no decisions, yet. Eventually, he will decide whether to allow the parties’ petition, deny it, or reserve and report which means bringing the case back to the full court.

Proponents side or Opponents side?

Upon arrival, where to sit at the courtroom felt like where to sit at a wedding. The Berkshire Museum Trustees, Director Van Shields, and those in favor of the Berkshire Museum deaccession sale sat together on the left side of the courtroom. Opponents, numbering 2:1, sat in the center, off to the right, and spilled into the hall. With every available chair claimed some were left standing in the back.

TRUSTEES few smiles - Boston MA John Adams Courthouse -Berkshire Museum deaccession case oral arguments before SJO Justice Judge Lowy_Mar 20 2018 _102144 © catherine ryan (12)
Berkshire Museum Trustees March 20, 2018 at Massachusetts Supreme Court (front row far left Director Van Shields seated next to Trustees Chair Elizabeth McGraw)

Up first – Attorney Nicholas M. O’Donnell

of Sullivan & Worcester LLP law firm and Erika Todd on behalf of ‘Berkshire Museum Member Plaintiffs’: James Hatt,  Kristin Hatt,  and Elizabeth Weinberg 

ATTORNEY O'DONNELL AMICUS GOES FIRST Boston MA John Adams Courthouse -Berkshire Museum deaccession case oral arguments before SJO Justice Judge Lowy_Mar 20 2018 _102144 © catherine ryan

O’Donnell excerpt- “Massachusetts stands alone, this decision puts Massachusetts alone …That this court, this petition, this hearing, may be the ONLY obstacle left to account for this action should be unimaginable. IF a conclusory report of operational deficits can support the liquidation for the sale…Make no mistake, I say the art market is watching–”

Justice Lowy cut in- “Maybe they are. I’ve certainly read your key points, Maybe not. Systemic issues that flow from this are not my focus…”

Continue reading “Justice Lowy to Berkshire Museum Attorney Lee at Massachusetts Supreme Court: “So in other words, I have to tell you, I’m watching two different movies.””

What will Justice Lowy decide and the room where it happens | Last stop for Berkshire Museum docket SJ-2018-065 at John Adams Courthouse #BostonMA Supreme Court

John Adams Courthouse Superior Court Boston MA_20180301_© C Ryan (9)
Front entrance John Adams Courthouse, Boston, MA. The Berkshire Museum case is under review by Supreme Court Justice Lowy

How did the Berkshire Museum brouhaha wind up in the highest court under SJO (Single Justice) review by Justice David A Lowy?

The Berkshire Museum in Pittsfield, Massachusetts, deemed it necessary to alter an original historic building and sell off its priceless core art collection in order to build a dream and survive. This controvertial move garnered attention and divided opinion.  The Trustees of the Museum explained that they hired a consultancy firm which confirmed this new direction (“New Vision”), via extensive public outreach* no less, so what gives? (*22 focus groups involving over 200 people is hardly extensive.) Opponents cried, “Foul!”, and pointed out questionable and perhaps shady fodder, i.e. would museum members and the Berkshire community have voted YES had they been told that the best works from the permanent collection must be sold off to make it happen? Also, the art was consigned to Sotheby’s June 13, 2017, but the Trustees altered the museum’s Charter after the consignment date and only then informed the “public”.  Timing is everything. There was even an infamous email with a ‘loose lips sink ships’ subject line.  We know these details because of dogged reporting by the The Berkshire Eagle, notably Larry Parnass, and a wide network. The story is urgent and compelling, the art world equivalent of a Spotlight-All the President’s Men-Pentagon Papers type investigation.

The first auctions were slated for November 2017. Shuffleton’s Barbershop by Norman Rockwell was to have been the Berkshire Museum star lot. Its presale estimate alone was 20 to 30 million. By the Fall of 2017, the museum was hit with multiple lawsuits, sued by the Massachusetts Office of the Attorney General, Norman Rockwell descendants, and various plaintiffs. Eventually, all were folded into #TeamAGO vs. the Berkshire Museum. On November 8th, the Lower Court ruled in favor of the Museum, clearing the legal right of way to auction. The Attorney General Office appealed to the State’s supreme judicial court to block the sale for more time to evaluate and investigate the case. Attorneys for the Museum fought that request vigorously, but were denied. On November 10, 2017, the AGO procured an injunction from Judge Trainor of the Massachusetts Appeals Court, scuttling any scheduled auction prior to December 11, 2017. Allowances for extensions to build the case were granted. On February 5th, the AGO switched teams and filed jointly with its former adversary, the Berkshire Museum, petitioning the court to apply cy pres and maintaining its opinion that indeed all the art is restricted:

“As detailed elsewhere (e.g., in its filings in the litigation referenced above) the AGO believes that all of the works of art deaccessioned and proposed for sale are subject to one or more restrictions that limit the Museum’s ability to proceed with its planned sale and use of proceeds to fund an endowment, pay for operating expenses and fund renovations. The Museum continues to believe no restrictions (beyond the Museum’s charitable purposes) apply.”

This alliance left many scratching their heads  and interested parties formerly #TeamAGO adrift. Although the Rockwell plaintiffs backed off and dropped their case, law firms Sullivan & Worcester and  Foley Hoag with Barker, Epstein & Loscocco solicited amicus status on behalf of their clients.

Sullivan & Worcester Berkshire Museum
Sullivan & Worcester blog post about their position

Immediately, the AGO and the Berkshire Museum filed opposition papers. They weren’t persuasive. The Justice granted the participation of the law firms which means that the SJ-2018-065 docket was vastly enlarged and enlightened on February 27, 2018, and I had to see. And share. (Although everything I was looking for and questioned was not there.) The attorneys disagree with the AGO and Berkshire Museum proposal, and request oral argument. The AGO and Museum responses were filed after I visited. Justice David A Lowy will make that decision. He can act on filed papers related to Docket SJ-2018-065, order a hearing, or pass the case back to the full court. What will he do? I’m crossing fingers that arguments will be heard, and with the full court (which meets the first week each month and is open to the public), especially after I considered the material in person.  The Berkshire Museum could inspire a Frank Capra-esque courtroom movie treatment one day.

In the meantime, the art remains in Sotheby’s possession and the auction house stands down as the case is sorted. The docket includes Sotheby’s contract.

For armchair lawyers and detail detectives: I offer a blizzard of documents, on the eve of the next Nor’Easter blizzard and hope I’ve peaked your interest. (Leaving my analysis aside for now.)  Scroll past this post’s “read more” indicator to see interior architectural photos I took of the stunning John Adams Courthouse, and to read some of the complete and unfiltered new filings and documents related to the Berkshire Museum case, specifically-

  • AMICI CURIAE Sullivan & Worcester LLP law firm on behalf of ‘Berkshire Museum Member Plaintiffs’: James Hatt,  Kristin Hatt,  and Elizabeth Weinberg, filed Feb 26 2018, case SJ-2018-065 (52 pages)
  • AMICUS CURIAE Foley Hoag and Barker, Epstein & Loscocco – attorney Michael B Keating of Foley Hoag with attorney Daniel Epstein of Barker, Epstein & Loscocco on behalf of clients: Tom Patti, who completed two commissioned installations for the Berkshire Museum entrance and reception areas–spaces that will be gutted if the historic building is disfigured for the New Vision; Marilyn Holtz Patti – resides and works in Berkshire County as does Tom Patti; Jean Rosseau and Jonas Dovydenas- residents of Stockbridge and Lenox; James Lamme, resident of Egremont; and Donald MacGillis, resident of Pittsfield, MA. (21 pages)
  • Sotheby’s Contract with the Berkshire Museum (9 pages)
  • Affidavit from Dan Monroe, Director of the Peabody Essex Museum opposed the Berkshire Museum sale (4 pages)
  • Massachusetts Cultural Council (MCC) provided major facility funding since 2000. Some related construction was completed by a board member and warrants scrutiny
  • links to prior GMG Berkshire Museum posts

Interior views John Adams Courthouse 

John Adams Courthouse Superior Court Boston MA_20180301_© C Ryan (2)
The John Adams Courthouse Great Hall is stunning. On the right side in this photos is a Daniel Chester French gilded sculpture of Rufus Choate

 

Continue reading “What will Justice Lowy decide and the room where it happens | Last stop for Berkshire Museum docket SJ-2018-065 at John Adams Courthouse #BostonMA Supreme Court”