The sale of Gustav Klimt's *Portrait of Fräulein Lieser* (1917), which fetched €35 million ($37.51 million) at im Kinsky in Vienna in 2024, has collapsed after the anonymous Hong Kong buyer withdrew. The buyer had attempted to negotiate indemnification settlements with all known heirs of Adolf and Henriette Lieser for 60% of the sale proceeds, but one heir refused to sign, causing the deal to fall through. The auction house now faces estimated losses of at least €1.5 million ($1.7 million).
The failed sale underscores the persistent complexities of Nazi-era art restitution, particularly for works with gaps in provenance during the Anschluss period. The painting, lost for nearly a century and known only from a 1925 black-and-white photo, became entangled in disputes over the sitter's identity and multiple ownership claims. This case highlights how unresolved restitution agreements can derail high-profile art transactions, even after a record-breaking auction for Austria.