'A must-have for anyone interested in historic vehicles... I advise acquisition, sooner rather than later...'
Hello,
Writing has prevailed over racing recently, and that is reflected in this Summer Newsletter.
I am grateful that some of these pieces have found a place in mainstream media. Increasingly, I will be using my newsletter and social media to bring you more of my personal thoughts about the matters of the historic car sector. I hope you enjoy my musings!
This newsletter brings you three articles - concerning fractional ownership, vehicle falsification and retail wrongdoing. And 'Monkey Business' also provides your opportunity to act as the judge, and demonstrate your understanding of the day-to-day buying and selling of historic cars!
I look forward to hearing your views. Thank you.
Best wishes,
Paul
As historic cars accelerate towards their place in the register of investment classes, so some of the ways of the established investment classes are coming visiting. One of these is Fractional Ownership and Octane Magazine kindly asked me to investigate.
Thank you to all those who have continued to place orders for my book, The Past And The Spurious - The Case of Legitimacy in Historic Cars. Proceeds of sales continue to provide for donations for those excellent bodies whose activities and works sustain historic cars and their use and memory.
Image - Autobild
Klaus Kienle and the Doppelgängers
"My friend, take a seat. You have come to the right person! I know just the vehicle identity to take this worthless maggot to a splendid and valuable butterfly, toot sweet."
Hooky works of art, valuables and even wine seem to attract the interest of UK law enforcement in a way that bogus historic cars and those who create them do not. Not so in Germany, where the police and the parliamentary body have recently taken assertive steps in relation to the businesses of Klaus Kienle.
A blind eye and a deaf ear to the damaging effects of counterfeit historic cars endanger their social acceptance and militate against their continued use and enjoyment. Why is it that the UK authorities seem to have so little regard for the history, provenance and well-being of these remaining symbols of the automotive age?
To commemorate the centenary of Bentley’s first Le Mans win in 1924, the Benjafield’s Racing Club ran a 24-Hour race at the Autodromo in Portimão – 24 WO Bentleys racing for 24 hours. And here is the driver team who experienced a real, visceral sense of Le Mans a century ago. A lifetime’s dream – I am so fortunate, and grateful to Chris Lunn for the invitation to take part.
Image - Classic & Sports Car
A Monkey Business?
Dispensing with pleasantries, Mr Seller demands an explanation – and the rest of his money:
‘But you’ve had your money,’ explains Mr Middleman. ‘You wanted 900 and I got 900 for you. You agreed 10% for me out of the deal and that’s what was deducted. That was our deal. You've not lost anything! This is how the business works. What’s the problem?’
‘It is not about a loss on my part. I am happy for you to have the commission we agreed. But it was my car, not yours, and to do your deal you have used my money, not yours. The money you made beyond your proper commission is not yours, it is mine. You owe me the profit you have made.’
Principal or agent? You be the judge…
The courts have been called on to address these questions in a number of historic car cases. When you next look at selling or buying a historic car, will you establish the basis on which your agent or counterparty is acting - for you or in his own interests?
The nefarious goings-on of Derek Hood and JD Classics are now well known. But how many recognise that the court's findings of liability to the order of tens of millions of pounds had to do with the differences between the buying and selling of historic cars as a principal or as a broker, dealer of some other form of middleman.
To mark the launch of The Past And The Spurious - The Case of Legitimacy in Historic Cars, the Pall Mall headquarters of The Royal Automobile Club kindly hosted an evening under the title of: 'Handshakes, Snakes and Possibly Fakes: Salutary Tales For Classic Car Owners'.
The gathering saw a panel of Gregor Fisken, Michael Squire, Matthew Collings KC, Neil Twyman and Eddie McGuire moderated by Simon Taylor in a discussion of some of the issues raised in the book.
Watch the video above to hear their first reactions.
