Seventeen prominent comic book artists have filed a federal lawsuit against Cadence Comic Art Inc. and its owner Paolo Belfiore, alleging systematic fraud involving hundreds of thousands of dollars. The plaintiffs include some of the industry's most respected names: Becky Cloonan, David Marquez, Valerio Schiti, Jill Thompson, Wesley Craig, Paolo Villanelli, Leila Leiz, Alessandro Cappuccio, Danai Christina Kilaidoni, Elena Casagrande, Mahmud Anjum Asrar, Joelle Jones, Yildiray Cinar, Rafael Albuquerque, Tyler Crook, Jenny Frison, and Pia Guerra.

Cadence Comic Art, owned by art dealer Paolo Belfiore, specializes in selling original comic book artwork and often signs exclusive representation deals with creators. The company also handles individual commissions and convention appearances for artists. However, in February of last year, several comic book creators announced they would no longer work with Cadence Comic Art, signaling the beginning of what has now become a major legal battle.

The complaint, filed in the Southern District of New York, accuses the defendants of "egregious misconduct" and "reprehensible conduct." According to the lawsuit, Cadence Comic Art "systematically deceived and defrauded" the artists "out of substantial sums of money" while "flagrantly violating their fiduciary and statutory obligations under New York's Arts and Cultural Affairs Law." The artists allege that Belfiore and his gallery have been "misappropriating hundreds of thousands of dollars through unreported sales, unauthorized commissions, improper deductions, and other deceptive practices."

One of the most serious allegations involves what the lawsuit terms "Secret Sales." The complaint states that defendants "secretly sold numerous works for which it received in excess of $473,000." According to the filing, "The Gallery, and Dealer in particular failed to disclose to Artists that these sales and transfers were made and refused to respond to repeated requests for information regarding the status of these artworks." Additionally, the lawsuit alleges "Secret Transfers" where Cadence Comic Art "secretly transferred artworks for which it received cash and/or other forms of consideration" without disclosing these transactions to the artists or paying them their agreed-upon share.

The artists had consigned hundreds of original comic book artworks to Cadence for exhibition and sale on a commission basis. However, the defendants allegedly sold pieces without proper disclosure, transferred artworks for undisclosed considerations, and failed to properly safeguard the art from loss, damage, or theft. The lawsuit details over 49 unreturned pieces, with works primarily from artists Leila Leiz and Elena Casagrande remaining unaccounted for. These include covers and pages from popular titles such as "M.O.M.: Mother of Madness," "Knight Terrors: Catwoman," and "Hack/Slash."

The complaint describes the situation regarding unsold works as defendants "holding these works hostage" despite repeated demands for their return. The filing emphasizes the long-standing nature of these business relationships, stating that these "acts of fiduciary chicanery have caused significant financial harm and undermined the trust placed in Defendants by Artists, each of whom has been represented by Cadence Comic Art Inc. and its owner, Paolo Belfiore, for over fifteen years on average."

Before filing the lawsuit, the artists made good-faith efforts to resolve the matter outside of court. Their attorneys at Adwar Ivko sent demand letters in September and November of last year, requesting payment of unpaid proceeds, return of artworks, and a full accounting of all transactions. Delivery confirmations through FedEx and email tracking showed that the letters were received and opened multiple times, but the defendants allegedly ignored these communications entirely, leaving the artists with no choice but to pursue legal action.

The comprehensive lawsuit outlines seven specific causes of action against the defendants. These include violations of New York's Arts and Cultural Affairs Law (ACAL), breach of fiduciary duties, conversion, and unjust enrichment. The legal action seeks substantial remedies including at least $473,000 in damages plus accrued interest, punitive damages, and attorneys' fees. The artists are also requesting an injunction to prevent any further unauthorized sales, a declaratory judgment affirming their ownership rights to all consigned works, and a court order requiring the immediate return of all unsold artwork and business records at the defendants' expense.

As of now, neither Cadence Comic Art nor Paolo Belfiore have issued any public statements regarding the allegations or the pending lawsuit. Attempts to reach them for comment have been unsuccessful, leaving questions about their defense strategy unanswered.

This case highlights broader issues within the comic art market, where artists frequently rely on galleries and dealers to handle sales and representation but often face challenges related to transparency and accountability. The lawsuit underscores the vulnerability of creative professionals who entrust their valuable original works to third-party representatives and the importance of proper oversight in these business relationships.

The case has been assigned to Judge Jennifer L. Rochon in the Southern District of New York. As the legal proceedings move forward, further developments are expected as the defendants file their response to the allegations and the court begins to address the complex issues of artist representation, fiduciary responsibility, and art market practices that lie at the heart of this significant lawsuit.