Within this whole series of blogs, I think we have reached the most interesting part, because to close we are going to see for what activities a contract is made, this will also help us to know what each member does in our work team.
DISCOGRAPHIC.
An artist assigns and transfers the ownership of the copyrights of his sound recording(s) to a record label, in exchange for a recoverable advance of his future royalties. The record label agrees to market, promote and license the recordings to users of the music, such as digital streaming services and consumers.
IN-HOUSE/BAND AGREEMENT.
If you work as a member of a group or band, you may want to consider signing a band contract. This contract will help you and the other members regulate and agree on tax and legal issues. The most important aspects of this contract would be band name rights, sharing of income and jobs, death, retirement of band members, insurance, ownership of equipment/instruments, etc.
TRANSFER OF COPYRIGHT
If you are working with outside musicians, such as band members or guest singers, it is a good idea to sign a contract authorizing the "transfer of rights". This contract will help you determine fees and profit sharing and will ultimately ensure that you can reproduce or use the performances as you wish without infringing on the property rights of the guest artists.
EDITING
A composer assigns and transfers copyright ownership of his or her composition, in whole or in part, to a music publisher in exchange for an advance. The publisher agrees to place and license his compositions to third parties.
DISTRIBUTION
An independent artist grants a company the right to distribute his copyrighted sound recordings for a specified period of time. The company usually keeps a percentage of the royalties earned by the song(s). The artist retains ownership of his or her recordings.
PUBLISHING ADMINISTRATION
A publisher undertakes to manage the administrative work necessary to license and/or collect royalties for one or a set of copyrighted works for a specified period of time. The licensor retains ownership of its copyrights.
360 CONTRACT
A 360 agreement, between a record label and an artist, refers to the label's efforts to obtain a share of all other rights and revenue streams related to the artist in addition to exclusive recording rights.
Additional rights in a 360 agreement may include naming and likeness rights. Touring rights
Music publishing rights to compositions written by the artist
Merchandise sales rights
An increasing number of companies that started out as strictly publishing or management entities are now leaning toward a 360 approach in an attempt to become a one-stop shop for musicians, although ideally it should always be a tailored suit.
PRODUCTION
A producer's contract is usually between a producer and an artist, although sometimes it may be formed between a label and a producer. Remuneration to the producer may include between 1% and 6% of the artist's royalties from the label's net income. The producer's responsibilities are spelled out in the contract. Among other things they include:
Assisting the artist in the studio
Hiring the musicians
Creating musical arrangements
Making the album as commercial as possible
SPLIT SHEET
Often, songwriters compose songs in collaboration with other songwriters. In the absence of a formal written agreement, the law assumes 50/50 ownership when there are two songwriters.
Percentages that are not equally divided among all songwriters must be recorded in writing for the law to recognize them as such.
MASTER USE LICENSES
A master use license allows the licensee to use a copyrighted sound recording in a new project. Types of projects in which licensees intend to use the recordings include: For synchronizations such as in movies, and television series or programs. Background music in a video game
As a demo in a new audio recording
Music boxes or novelty items
For distribution
The master use license only includes the rights to the sound recording. Copyrights on the composition incorporated in the recording have to be licensed separately.
MECHANICAL LICENSES
A mechanical license grants the user the rights of reproduction and distribution of copyrighted musical compositions in the following configurations:
CD
Discs
Tapes
Ringtones
Permanent digital downloads
Interactive transmissions (livestreams)
The mechanical license provides that licensees pay a legal fee to the copyright owner for each reproduction.
SYNCHRONIZATION LICENSE
A synchronization license is the legal process by which producers of audiovisual works can use external music in their productions. Film production companies, for example, ask the copyright owners of a sound recording, and the owners of the underlying composition, to be able to use the work in sync with their project.
Synchronization or sync refers to the interpolation of a musical work with a visual work. Syncs are granted for films, television programs, commercials or advertising, video games or any other similar use.
PERFORMANCE LICENSE
An agreement between a public performance rights society (PRO) and a user of music. The PRO grants the licensee a license to its entire repertoire allowing the licensee to publicly perform the compositions for a fee.
BOOKING
An agreement between a concert promoter, or a venue, and an artist or the artist's agent. The artist's agent usually has power of attorney, which means that he or she can sign the agreement obligating the artist to perform at the venue on the specified date and time.
MANAGEMENT
An artist signs a contract with a manager or agent to assist with business and administrative matters, the payment will depend greatly on the size of the artist and the matters the manager regulates, it could range from a fixed monthly fee to a percentage (between 5% and 20%) of the artist's total income from record sales, concerts, and other sources of income.
MERCHANDISING
This is the agreement signed by the artist that details the channels through which the artist's music, image or merchandise will be distributed.
This series has probably been very long, but as you can see, reading and knowing the negotiations in a contract can be the difference between being in glory or hell itself. We know that seeking specialized and legal advice may represent a high expense that you may not have considered, but it is undoubtedly something necessary, vital, so that our interests and work are always protected.
At Indiefy, our philosophy is in favor of our artists, always giving them autonomy and self-management over their works, in addition to providing them with free digital distribution options, which will help them to position and professionalize their project. If at any time you have doubts, questions or need more information regarding this blog or our services, please visit our FAQ page and do not hesitate to contact us.
See you in the future!
