Ok, done.

code/modules/photography/photos/frame.dm

@@ -43,10 +43,10 @@
 		return list()
 	return ..()
 
-/obj/item/wallframe/picture/update_icon()
-	cut_overlays()
+/obj/item/wallframe/picture/update_overlays()
+	. = ..()
 	if(displayed)
-		add_overlay(image(displayed))
+		. += image(displayed)
 
 /obj/item/wallframe/picture/after_attach(obj/O)
 	..()
@@ -145,10 +145,10 @@
 	if(framed)
 		framed.show(user)
 
-/obj/structure/sign/picture_frame/update_icon()
-	cut_overlays()
+/obj/structure/sign/picture_frame/update_overlays()
+	. = ..()
 	if(framed)
-		add_overlay(image(framed))
+		. += image(framed)
 
 /obj/structure/sign/picture_frame/deconstruct(disassembled = TRUE)
 	if(!(flags_1 & NODECONSTRUCT_1))

code/modules/photography/photos/photo.dm

@@ -32,7 +32,7 @@
 	if(setdesc && P.picture_desc)
 		desc = P.picture_desc
 
-/obj/item/photo/update_icon()
+/obj/item/photo/update_icon_state()
 	if(!istype(picture) || !picture.picture_image)
 		return
 	var/icon/I = picture.get_small_icon()