New York Gallery The Hole Sued by Artists for Nearly $50,000 in Outstanding Payments
Artists Daniel Um and Nastaran Shahbazi sued the Manhattan gallery The Hole in Manhattan Supreme Court on July 16, alleging nearly $50,000 in unpaid proceeds from consigned artwork sales. The complaint says they consigned works to the gallery between 2024 and 2026 and are still owed $28,975 (Um) and $21,000 (Shahbazi) despite partial payments, with the gallery allegedly citing financial strain when asked to pay. The suit claims The Hole violated New York’s Arts and Cultural Affairs Law by failing to treat consignment proceeds as the artists’ property and instead using the funds for rent and operating expenses, and it alleges unjust enrichment and breach of contract. The Hole was founded in 2010 by Kathy Grayson, expanded to a Tribeca location in 2021 and a West Hollywood space in 2022 (since shuttered), and has faced reported financial pressure after a 2023 market contraction, alongside landlord nonpayment complaints in summer 2025 alleging more than $120,000 owed at Tribeca and more than $60,000 at Bowery under a lease running through January 2031.
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This story was covered in Repatriation Pride, Museum Scandals, and Heat Strikes