Von Saher v. Norton Simon Museum of Art

578 F.3d 1016, 2009 U.S. App. LEXIS 18604, 2009 WL 2516336
Court of Appeals for the Ninth Circuit·Decided August 19, 2009·No. 07-56691·Published·Cited by 10 cases

Opinions

Opinion by Judge THOMPSON; Dissent by Judge PREGERSON.

OPINION

THOMPSON, Senior Circuit Judge:

Marei von Saher (“Saher”) seeks the return of two paintings alleged to have been looted by the Nazis during World War II. The paintings were purchased in or around 1971 by the Norton Simon Museum of Art in Pasadena, California (“the Museum”), and are now on display there. Saher brought this claim against the Museum under § 354.3 of the California Code of Civil Procedure, which extends the statute of limitations until 2010 for actions for the recovery of Holocaust-era art. The primary issue on appeal is whether § 354.3 infringes on the national government’s exclusive foreign affairs powers. The district court held that it does. We agree, and affirm the district court’s holding that § 354.3 is preempted.

California also has a three-year statute of limitations for actions to recover stolen property. California Code of Civil Procedure § 338. The district court granted the Museum’s Rule 12(b)(6) motion to dismiss Saher’s complaint under that statute without leave to amend. Because it is possible Saher might be able to amend her complaint to bring her action within § 338, we reverse the district court’s dismissal without leave to amend, and remand for further proceedings.

I. Background

A. Nazi Art Looting in WWII

During World War II, the Nazis stole hundreds of thousands of artworks from museums and private collections throughout Europe, in what has been termed the “greatest displacement of art in human history.” Michael J. Bazyler, Holocaust Justice: The Battle for Restitution in America’s Courts 202 (N.Y.U Press 2003).

Following the end of World War II, the Allied Forces embarked on the task of returning the looted art to its country of origin. In July 1945, President Truman authorized the return of “readily identifiable” works of art from U.S. collecting points. See, e.g., Presidential Advisory Commission on Holocaust Assets in the United States, Plunder and Restitution: The U.S. and Holocaust Victims’ Assets SR-142 (Dee.2000) (hereinafter Plunder and Restitution). At the Potsdam Conference, President Truman formally adopted a policy of “external restitution,” under which the looted art was returned to the countries of origin — not to the individual owners. American Commission for the Protection and Salvage of Artistic and Historic Monuments in War Areas, Report, 148 (1946) (hereinafter Roberts Commission Report).

Despite these restitution efforts, many paintings stolen by the Nazis were never returned to their rightful owners. See, e.g., Bazyler at 204. Tracking the provenance of Nazi-looted art is nearly impossible, since many changes of ownership went undocumented, and most of the transactions took place on the black market. Id. In recent years, a number of the world’s most prominent museums have discovered their collections include art stolen during World War II. Id. at 205-06.

The federal government has continued to take action to address the recovery of Holocaust-era art. In 1998, Congress enacted the U.S. Holocaust Assets Commission Act of 1998, Pub.L. No. 105-186, 112 Stat. 611 (codified as amended at 22 U.S.C. § 1621). This Act established the Presidential Advisory Commission on Holocaust Assets, which conducted research on the fate of Holocaust-era assets, and advised the President on future policies concerning [1020]*1020the recovery of these assets. Id. That same year, the State Department convened a conference with forty-four other nations to address the recovery of Holocaust-era assets. U.S. Dep’t of State, Proceedings of the Washington Conference on Nazi-Confiscated Art (Dec. 3, 1998), http:// www.state.gov/p/eur/rVhlcst/23231.htm (hereinafter Washington Conference Proceedings). In the meantime, numerous Holocaust victims and their heirs have turned to the courts to recover their looted art. See, e.g., Republic of Austria v. Altmann, 541 U.S. 677, 124 S.Ct. 2240, 159 L.Ed.2d 1 (2004).

B. Section 354.3

Many obstacles face those who attempt to recover Holocaust-era art through lawsuits. The challenges range from procedural hurdles such as statutes of limitations, to prudential standing doctrines. See, e.g., Benjamin E. Pollock, Out of the Night and Fog: Permitting Litigation to Prompt an International Resolution to Nazi-Looted Art Claims, 43 Houston L.Rev. 193, 213-28 (2006); Lawrence M. Kaye, Avoidance and Resolution of Cultural Heritage Disputes: Recovery of Art Looted During the Holocaust, 14 Williamette J. Int’l L. & Disp. Resol. 243, 252-58 (2006). In 2002, California responded to these difficulties by enacting California Code of Civil Procedure § 354.3.1 Section 354.3 provides:

Notwithstanding any other provision of law, any owner, or heir or beneficiary of an owner, of Holocaust-era artwork, may bring an action to recover Holocaust-era artwork from any entity described in paragraph (1) of subdivision (a). Subject to Section 410.10, that action may be brought in a superior court of this state, which court shall have jurisdiction over that action until its completion or resolution.

Section 354.3(b). The California statute allows suits against “any museum or gallery that displays, exhibits, or sells any article of historical, interpretive, scientific, or artistic significance.” Section 354(a)(1). The statute also extends the statute of limitations for § 354.3 claims until December 31, 2010. Section 354.3(c).

California has enacted several other laws extending the statute of limitations for claims relating to the Holocaust. See, e.g., Section 354.5 (extending statute of limitations for insurance policy claims by Holocaust victims or their heirs); Section 354.6 (creating a cause of action and extending the statute of limitations for slave labor claims arising out of WWII). Both of these sister statutes have been found unconstitutional under the foreign affairs doctrine. Steinberg v. Int’l Comm’n on Holocaust Era Ins. Claims, 133 Cal.App.4th 689, 34 Cal.Rptr.3d 944, 953 (2005) (finding § 354.5 unconstitutional); Deutsch v. Turner, 324 F.3d 692, 716 (9th Cir.2003) (finding § 354.6 unconstitutional).

C. The Cranachs

Saher, the only surviving heir of Jacques Goudstikker, a deceased art dealer, filed this suit in 2007 against the Museum under § 354.3 and California Penal Code § 496, seeking the return of a diptych entitled “Adam and Eve.” The diptych, a pair of oil paintings by sixteenth-century artist Lucas Cranach the Elder (hereinafter the “Cranachs”), is currently on public display at the Museum.

Goudstikker bought the Cranachs at an art auction in Berlin in or about May 1931.2 Goudstikker was a prominent art [1021]*1021dealer in the Netherlands; he specialized in Old Master paintings. Goudstikker’s collection contained more than 1,200 artworks, including Rembrandts, Steens, Ruisdaels, and van Goghs.

When the Nazis invaded the Netherlands in May 1940, Goudstikker and his family fled the country.

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Von Saher v. Norton Simon Museum of Art, 578 F.3d 1016, 2009 U.S. App. LEXIS 18604, 2009 WL 2516336 (9th Cir. 2009).

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