LEGAL FILE

A state court judge in New York will hear arguments today on a request for an order formally attaching more than $40 million in art auction sale proceeds that are involved in a legal dispute between the Los Angeles County Museum of Art and a foundation set up by the late film producer Hal B. Wallis. Justice William Davis will hear arguments by lawyers for the museum who contend the money should be tied up by the court until resolution of a legal dispute over whether the Wallis Foundation was within its rights when it withdrew eight impressionist paintings and other artworks from permanent loan to the museum early this year. The paintings were subsequently sold. Foundation attorneys contend the sale was not precluded by a letter of instructions signed by Wallis two weeks before his death in 1986 that spelled out the permanent loan arrangement. Attorneys for both sides said it was uncertain whether Davis would rule on the issue immediately. The money is being held in a temporary escrow account at the Christie’s auction house, which handled the sale.