A publisher takes care of the business aspects of songwriting such as finding users, issuing licenses, collecting money, and paying writers. Under a standard publishing deal, the writer assigns the copyright of their songs to the publisher, who then administers the songs. Traditionally, publishers and writers split income 50/50, though writers often receive an advance from the publisher. Major publishers are affiliated with record companies, while independent publishers handle their own administration. Publishers, songwriters, and performing rights organizations advocate for legislation that benefits their members and defend against changes that could reduce royalties or control.
This document summarizes key aspects of songwriter deals and standard contracts. It outlines that songwriters typically sign over ownership of their copyrights to a publisher in exchange for royalty payments. Standard contracts usually specify a 50/50 split of royalties between the publisher and songwriter. The document details various elements that commonly appear in these deals, such as limitations on royalty sources, accounting practices, and delivery requirements for songwriters signed to a publishing term contract.
This document summarizes various sources of secondary publishing income for songwriters and music publishers, including royalties from printed sheet music and folios, synchronization licenses for use of music in films and television, performance royalties from radio play and digital streaming services, and deals with foreign subpublishers. It provides details on typical royalty rates and fees across these different uses and mediums.
A publisher handles the business aspects of songwriting by finding users for songs, issuing licenses, collecting money, and paying writers. Traditionally, publishers split income evenly with writers, keeping 50% to cover overhead and profit while writers receive 50%. Major publishers are affiliated with large record companies, while some major writers now self-publish. Legislation aims to update mechanical licensing rates for streaming and address issues around 100% licensing that could impact writers' royalties and control over their works.
1. Music publishers administer songwriting copyrights by finding users of songs, issuing licenses to collect royalty payments, and distributing money to songwriters.
2. Major sources of income for publishers include mechanical royalties paid by record labels for songs used on recordings, as well as performance royalties collected by PROs like ASCAP and BMI.
3. Record labels use controlled composition clauses to limit the mechanical royalty rates paid for songs written by artists in order to reduce costs, though more successful artists can negotiate better terms.
This document discusses the reproduction right and mechanical licensing. It begins by explaining the bundle of rights granted to copyright owners, including the reproduction right. It then discusses compulsory mechanical licenses and negotiated mechanical licenses. It explains limitations on the reproduction right, such as controlled composition clauses and song caps that limit royalties paid. It also discusses mechanical licensing agencies like Harry Fox that issue licenses. Finally, it discusses digital phonorecord deliveries and the reproduction of sound recordings.
The document discusses the bundle of exclusive rights granted to copyright owners under US law, including the rights of reproduction, distribution, public performance, derivative works, and public display. It focuses on the reproduction right and limitations on this right such as compulsory mechanical licenses and negotiated mechanical licenses. It describes agencies like Harry Fox that administer mechanical licenses and issues related to digital downloads and sampling sound recordings.
The document discusses copyright and performance rights. It begins by outlining the bundle of rights granted to creators under US copyright law, including reproduction, distribution, public performance, derivatives, display, and digital audio transmission. It then focuses on the public performance right, explaining that it applies to compositions but not sound recordings. It describes what constitutes a public performance and discusses limitations on the right. The document also outlines the roles of Performing Rights Organizations (PROs) like ASCAP, BMI, and SESAC, which issue licenses and collect/distribute fees. It provides information on how PROs monitor performances to determine royalty payments. Finally, it discusses various pieces of legislation impacting copyright like the Songwriter's Equity Act and
This document discusses advanced copyright concepts related to joint works, works for hire, copyright duration, and digital performance rights. Some key points:
- For joint works created by multiple authors, each author owns a share of the entire work and either author can issue non-exclusive licenses as long as they pay the other authors.
- Works made for hire transfer full copyright ownership to the employer or commissioner of the work. Songwriters' songs are generally not considered works for hire.
- Copyright duration was extended in 1978 to the life of the author plus 50 years and pre-1978 works received an additional 20 years of protection.
- Authors have a right of termination to regain ownership of copyrights 35 years after
This document summarizes key aspects of songwriter deals and standard contracts. It outlines that songwriters typically sign over ownership of their copyrights to a publisher in exchange for royalty payments. Standard contracts usually specify a 50/50 split of royalties between the publisher and songwriter. The document details various elements that commonly appear in these deals, such as limitations on royalty sources, accounting practices, and delivery requirements for songwriters signed to a publishing term contract.
This document summarizes various sources of secondary publishing income for songwriters and music publishers, including royalties from printed sheet music and folios, synchronization licenses for use of music in films and television, performance royalties from radio play and digital streaming services, and deals with foreign subpublishers. It provides details on typical royalty rates and fees across these different uses and mediums.
A publisher handles the business aspects of songwriting by finding users for songs, issuing licenses, collecting money, and paying writers. Traditionally, publishers split income evenly with writers, keeping 50% to cover overhead and profit while writers receive 50%. Major publishers are affiliated with large record companies, while some major writers now self-publish. Legislation aims to update mechanical licensing rates for streaming and address issues around 100% licensing that could impact writers' royalties and control over their works.
1. Music publishers administer songwriting copyrights by finding users of songs, issuing licenses to collect royalty payments, and distributing money to songwriters.
2. Major sources of income for publishers include mechanical royalties paid by record labels for songs used on recordings, as well as performance royalties collected by PROs like ASCAP and BMI.
3. Record labels use controlled composition clauses to limit the mechanical royalty rates paid for songs written by artists in order to reduce costs, though more successful artists can negotiate better terms.
This document discusses the reproduction right and mechanical licensing. It begins by explaining the bundle of rights granted to copyright owners, including the reproduction right. It then discusses compulsory mechanical licenses and negotiated mechanical licenses. It explains limitations on the reproduction right, such as controlled composition clauses and song caps that limit royalties paid. It also discusses mechanical licensing agencies like Harry Fox that issue licenses. Finally, it discusses digital phonorecord deliveries and the reproduction of sound recordings.
The document discusses the bundle of exclusive rights granted to copyright owners under US law, including the rights of reproduction, distribution, public performance, derivative works, and public display. It focuses on the reproduction right and limitations on this right such as compulsory mechanical licenses and negotiated mechanical licenses. It describes agencies like Harry Fox that administer mechanical licenses and issues related to digital downloads and sampling sound recordings.
The document discusses copyright and performance rights. It begins by outlining the bundle of rights granted to creators under US copyright law, including reproduction, distribution, public performance, derivatives, display, and digital audio transmission. It then focuses on the public performance right, explaining that it applies to compositions but not sound recordings. It describes what constitutes a public performance and discusses limitations on the right. The document also outlines the roles of Performing Rights Organizations (PROs) like ASCAP, BMI, and SESAC, which issue licenses and collect/distribute fees. It provides information on how PROs monitor performances to determine royalty payments. Finally, it discusses various pieces of legislation impacting copyright like the Songwriter's Equity Act and
This document discusses advanced copyright concepts related to joint works, works for hire, copyright duration, and digital performance rights. Some key points:
- For joint works created by multiple authors, each author owns a share of the entire work and either author can issue non-exclusive licenses as long as they pay the other authors.
- Works made for hire transfer full copyright ownership to the employer or commissioner of the work. Songwriters' songs are generally not considered works for hire.
- Copyright duration was extended in 1978 to the life of the author plus 50 years and pre-1978 works received an additional 20 years of protection.
- Authors have a right of termination to regain ownership of copyrights 35 years after
The document discusses copyright and the bundle of rights it provides authors/creators, including the rights of reproduction, distribution, public performance, derivatives, display, and digital audio transmission. It focuses on the public performance right, explaining that it applies to compositions but not sound recordings. The public performance right covers live, recorded, and transmitted performances. It also discusses what constitutes a "public" performance and the organizations that collect public performance royalties, including ASCAP, BMI, and SESAC. It notes some limitations on the public performance right, including exemptions for educational and nonprofit uses.
The document discusses the distribution channels and ownership of music for two recording artists from rival record labels Sony and Time Warner. It instructs the reader to produce flow charts comparing how each artist is distributed and conclude their findings. Information is provided about record labels, how artists earn revenue, songwriting royalties, and mechanical royalties paid to recording artists. Key details include that record labels manage branding and copyrights, coordinate production and promotion, and maintain contracts with artists. Revenue comes from sales, performances, sheet music, and sync licenses. Ownership of songs is split between songwriters, publishers, recording artists, and record labels.
Recording artists earn royalties from album sales but not from public performances like radio, while songwriters earn royalties from both. Royalty rates are negotiated but typically range from 10-20% of wholesale album prices. However, recording and marketing costs are deducted from royalties. Most artists do not earn much from royalties unless their albums sell well. There are also alternative royalty models that split net profits between the record label and artist.
The record label industry consists of various roles like label managers, A&R representatives, studio engineers, and producers who are usually employed by labels. Record deals can be development deals where an act receives studio time and a producer, or exclusive recording deals where an act produces a number of albums for the label. Record contracts specify clauses around exclusivity, royalties, deductions, advances, licensing, and termination. Major labels have around 80% of the market share while independents have 20%. Organizations like IFPI, RIAA, and BIEM represent the industry globally.
This session reviews the basics of digital revenues streams for musicians using online radio, download and streaming sites to promote and sell their music.
The document discusses various aspects of record deals and music economics. It provides details on royalty payments, copyright ownership, and the different types of payments received by songwriters, recording artists, record labels, and music publishers. It also summarizes the key components of major label recording deals, including recording funds, advances, royalties, deductions, and recoupables. Common deal types are outlined, such as demo deals, distribution deals, and production deals. The economics of major label deals and do-it-yourself label deals are compared.
This document discusses various aspects of the music business, including intellectual property rights, types of music businesses, and protecting musical works. It covers topics such as how music is marketed and sold, the roles of record labels, publishers, and performing rights organizations. Specific points covered include how songwriting copyright is divided between melody and lyrics, different types of royalties like mechanical and performance royalties, what sync licensing and sampling entail, and how to legally operate as a music label.
This document provides a history of music publishing from the 17th century to modern times. It discusses the roles of music publishers in marketing songwriters' compositions and collecting various royalty streams. The types of publishers are outlined, including major publishers, independent publishers, and specialty publishers. Music publishing contracts and income sources are also summarized.
Songwriting, Considerations And Agreements Pptjnsnyder
Songwriter's drive the music business. When they write down or record an original song they are the publisher of that song. If they are going to sell those rights, including the rights to reproduce and distribute the song, they should be careful!
Major record companies sign artists, pay for production and distribution, and are responsible for advertising, promotion and marketing. Independent labels perform similar functions but don't directly distribute, instead negotiating distribution deals. Record labels have various departments that handle tasks like A&R, promotion, marketing, finance, and international operations. The music industry uses terminology around contracts, sales levels, royalties, advances, funds, and more. Demo deals can help artists create professional recordings to shop their music.
Music publishing involves acquiring, marketing, and managing song copyrights to generate income. Publishers earn money through licensing songs for use in films, TV, advertising, and other media. They provide services like registering copyrights, collecting royalties, and promoting songs. Publishing deals typically split ownership and income between songwriters and publishers. Major publishers have music industry connections and administrative infrastructure to support songwriters. The presentation cautions that songwriters should carefully consider long-term ownership and control of their copyrights in any publishing deal.
Copyright law shapes the music industry by granting exclusive rights over musical compositions and sound recordings. This leads to many middlemen taking advantage of these rights, including record labels, publishers, PROs, and collecting societies. Innovation in music business models has involved devising models without licenses, negotiating direct licenses, using statutory licenses, modifying licensing, or facilitating the music economy without needing licenses. However, copyright law and existing industry players can limit innovative startups. New efficiencies are being created through streamlining licensing and payments as well as empowering direct artist-to-fan connections.
The music industry consists of companies and individuals that create and sell live music, recorded music, and music videos. To use a song legally, permission must be obtained from the song's copyright owners. Record labels act as investors, paying for production and marketing. They handle documentation including royalty splits that determine what percentage of sales revenue goes to the artist and label. Artists also earn royalties from things like having their music placed in movies, TV, advertisements, and other public performances through collection agencies. Distribution deals are important for getting music sold physically and digitally through online stores.
Presentation about the fundamentals of the music business given to independent artists and songwriters by Ben Stauffer, Vice-President of Finance for Centricity Music, May 2014
This document summarizes key aspects of recording contracts and royalty structures for artists based on union agreements. It covers details for artists represented by AFTRA and AFM, including standard payment scales, health and retirement contributions, requirements around acquired masters, new uses of recordings, and special payments funds. It also outlines typical terms for major label recording contracts regarding things like recording commitments, royalty rates, production budgets, creative control, promotion commitments, recoupment of expenses, ownership of masters, publishing rights, video usage, auditing, and definitions of default.
The document discusses the role of Collective Management Organizations (CMOs) in managing digital and live music markets. CMOs license music on behalf of copyright owners and collect royalties, which are distributed to owners and artists. They provide a centralized solution for copyright owners to license their music and for music users like broadcasters to obtain blanket licenses. However, online commerce has disrupted traditional blanket licensing models by enabling easy tracking of individual music usages, leading to changes in licensing, reporting, and payment processes to account for the digital environment. Identifiers like ISWCs and ISNIs are now crucial to efficiently match vast amounts of usage data with rights ownership data.
This document provides an overview of music publishing and how CD Baby Pro collects publishing royalties on behalf of songwriters. It discusses what publishing royalties are, how they are collected from various revenue streams, and the terms of CD Baby Pro's publishing administration agreement. Key details include that CD Baby Pro keeps 15% of royalties collected and distributes the remaining 85% to songwriters, and that it can take 6-12 months from the time music is performed until songwriters receive their first royalty payments.
This document discusses royalties, licensing, and income streams in the music business. It defines the types of works that can be copyrighted and the organizations that collect fees for different uses of music, such as performance rights organizations. Royalties are fees paid for uses of copyrighted works, including mechanical royalties for cover songs and performance royalties for public performances. Licensing involves granting permission to use musical works for a fee. There are various types of licenses for different uses of music. Income can be generated from many music business activities that involve licensing copyrighted works.
This document discusses copyright infringement, including what constitutes infringement, how to prove infringement, and types of liability. It defines infringement as exercising any of the copyright owner's exclusive rights without permission. To prove infringement, a plaintiff must show ownership of a valid copyright and unauthorized copying. Copying can be proven directly or through circumstantial evidence of access and substantial similarity. There are two types of liability - direct liability for the direct infringer, and secondary liability for third parties who aid or benefit from the infringement, such as through contributory, vicarious, or inducement liability.
This document summarizes copyright formalities including registration, notice, and deposit. It discusses how registration provides evidence of ownership and allows for statutory damages and attorney fees. Registration can be done online or by mail and requires the proper application, work deposit, and fee. Notice of copyright is no longer required but is still recommended to provide notice of protected status. Deposit of the work is also required within 3 months of publication for the copyright office to maintain a copy.
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Similar to Mbu 1110 fall 2018 publishing - lecture 4
The document discusses copyright and the bundle of rights it provides authors/creators, including the rights of reproduction, distribution, public performance, derivatives, display, and digital audio transmission. It focuses on the public performance right, explaining that it applies to compositions but not sound recordings. The public performance right covers live, recorded, and transmitted performances. It also discusses what constitutes a "public" performance and the organizations that collect public performance royalties, including ASCAP, BMI, and SESAC. It notes some limitations on the public performance right, including exemptions for educational and nonprofit uses.
The document discusses the distribution channels and ownership of music for two recording artists from rival record labels Sony and Time Warner. It instructs the reader to produce flow charts comparing how each artist is distributed and conclude their findings. Information is provided about record labels, how artists earn revenue, songwriting royalties, and mechanical royalties paid to recording artists. Key details include that record labels manage branding and copyrights, coordinate production and promotion, and maintain contracts with artists. Revenue comes from sales, performances, sheet music, and sync licenses. Ownership of songs is split between songwriters, publishers, recording artists, and record labels.
Recording artists earn royalties from album sales but not from public performances like radio, while songwriters earn royalties from both. Royalty rates are negotiated but typically range from 10-20% of wholesale album prices. However, recording and marketing costs are deducted from royalties. Most artists do not earn much from royalties unless their albums sell well. There are also alternative royalty models that split net profits between the record label and artist.
The record label industry consists of various roles like label managers, A&R representatives, studio engineers, and producers who are usually employed by labels. Record deals can be development deals where an act receives studio time and a producer, or exclusive recording deals where an act produces a number of albums for the label. Record contracts specify clauses around exclusivity, royalties, deductions, advances, licensing, and termination. Major labels have around 80% of the market share while independents have 20%. Organizations like IFPI, RIAA, and BIEM represent the industry globally.
This session reviews the basics of digital revenues streams for musicians using online radio, download and streaming sites to promote and sell their music.
The document discusses various aspects of record deals and music economics. It provides details on royalty payments, copyright ownership, and the different types of payments received by songwriters, recording artists, record labels, and music publishers. It also summarizes the key components of major label recording deals, including recording funds, advances, royalties, deductions, and recoupables. Common deal types are outlined, such as demo deals, distribution deals, and production deals. The economics of major label deals and do-it-yourself label deals are compared.
This document discusses various aspects of the music business, including intellectual property rights, types of music businesses, and protecting musical works. It covers topics such as how music is marketed and sold, the roles of record labels, publishers, and performing rights organizations. Specific points covered include how songwriting copyright is divided between melody and lyrics, different types of royalties like mechanical and performance royalties, what sync licensing and sampling entail, and how to legally operate as a music label.
This document provides a history of music publishing from the 17th century to modern times. It discusses the roles of music publishers in marketing songwriters' compositions and collecting various royalty streams. The types of publishers are outlined, including major publishers, independent publishers, and specialty publishers. Music publishing contracts and income sources are also summarized.
Songwriting, Considerations And Agreements Pptjnsnyder
Songwriter's drive the music business. When they write down or record an original song they are the publisher of that song. If they are going to sell those rights, including the rights to reproduce and distribute the song, they should be careful!
Major record companies sign artists, pay for production and distribution, and are responsible for advertising, promotion and marketing. Independent labels perform similar functions but don't directly distribute, instead negotiating distribution deals. Record labels have various departments that handle tasks like A&R, promotion, marketing, finance, and international operations. The music industry uses terminology around contracts, sales levels, royalties, advances, funds, and more. Demo deals can help artists create professional recordings to shop their music.
Music publishing involves acquiring, marketing, and managing song copyrights to generate income. Publishers earn money through licensing songs for use in films, TV, advertising, and other media. They provide services like registering copyrights, collecting royalties, and promoting songs. Publishing deals typically split ownership and income between songwriters and publishers. Major publishers have music industry connections and administrative infrastructure to support songwriters. The presentation cautions that songwriters should carefully consider long-term ownership and control of their copyrights in any publishing deal.
Copyright law shapes the music industry by granting exclusive rights over musical compositions and sound recordings. This leads to many middlemen taking advantage of these rights, including record labels, publishers, PROs, and collecting societies. Innovation in music business models has involved devising models without licenses, negotiating direct licenses, using statutory licenses, modifying licensing, or facilitating the music economy without needing licenses. However, copyright law and existing industry players can limit innovative startups. New efficiencies are being created through streamlining licensing and payments as well as empowering direct artist-to-fan connections.
The music industry consists of companies and individuals that create and sell live music, recorded music, and music videos. To use a song legally, permission must be obtained from the song's copyright owners. Record labels act as investors, paying for production and marketing. They handle documentation including royalty splits that determine what percentage of sales revenue goes to the artist and label. Artists also earn royalties from things like having their music placed in movies, TV, advertisements, and other public performances through collection agencies. Distribution deals are important for getting music sold physically and digitally through online stores.
Presentation about the fundamentals of the music business given to independent artists and songwriters by Ben Stauffer, Vice-President of Finance for Centricity Music, May 2014
This document summarizes key aspects of recording contracts and royalty structures for artists based on union agreements. It covers details for artists represented by AFTRA and AFM, including standard payment scales, health and retirement contributions, requirements around acquired masters, new uses of recordings, and special payments funds. It also outlines typical terms for major label recording contracts regarding things like recording commitments, royalty rates, production budgets, creative control, promotion commitments, recoupment of expenses, ownership of masters, publishing rights, video usage, auditing, and definitions of default.
The document discusses the role of Collective Management Organizations (CMOs) in managing digital and live music markets. CMOs license music on behalf of copyright owners and collect royalties, which are distributed to owners and artists. They provide a centralized solution for copyright owners to license their music and for music users like broadcasters to obtain blanket licenses. However, online commerce has disrupted traditional blanket licensing models by enabling easy tracking of individual music usages, leading to changes in licensing, reporting, and payment processes to account for the digital environment. Identifiers like ISWCs and ISNIs are now crucial to efficiently match vast amounts of usage data with rights ownership data.
This document provides an overview of music publishing and how CD Baby Pro collects publishing royalties on behalf of songwriters. It discusses what publishing royalties are, how they are collected from various revenue streams, and the terms of CD Baby Pro's publishing administration agreement. Key details include that CD Baby Pro keeps 15% of royalties collected and distributes the remaining 85% to songwriters, and that it can take 6-12 months from the time music is performed until songwriters receive their first royalty payments.
This document discusses royalties, licensing, and income streams in the music business. It defines the types of works that can be copyrighted and the organizations that collect fees for different uses of music, such as performance rights organizations. Royalties are fees paid for uses of copyrighted works, including mechanical royalties for cover songs and performance royalties for public performances. Licensing involves granting permission to use musical works for a fee. There are various types of licenses for different uses of music. Income can be generated from many music business activities that involve licensing copyrighted works.
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This document discusses copyright infringement, including what constitutes infringement, how to prove infringement, and types of liability. It defines infringement as exercising any of the copyright owner's exclusive rights without permission. To prove infringement, a plaintiff must show ownership of a valid copyright and unauthorized copying. Copying can be proven directly or through circumstantial evidence of access and substantial similarity. There are two types of liability - direct liability for the direct infringer, and secondary liability for third parties who aid or benefit from the infringement, such as through contributory, vicarious, or inducement liability.
This document summarizes copyright formalities including registration, notice, and deposit. It discusses how registration provides evidence of ownership and allows for statutory damages and attorney fees. Registration can be done online or by mail and requires the proper application, work deposit, and fee. Notice of copyright is no longer required but is still recommended to provide notice of protected status. Deposit of the work is also required within 3 months of publication for the copyright office to maintain a copy.
The document summarizes copyright duration rules in the United States. It explains that under the 1909 Copyright Act, copyrights had an initial 28 year term that could be renewed for another 28 years. Many works fell into the public domain due to failure to renew. The 1976 Copyright Act replaced this system with a single copyright term based on the life of the author plus 70 years. The document provides details on determining copyright status and term length for works created before and after 1978. It also discusses some exceptions and amendments related to foreign and restored copyrights.
The document discusses copyright law and the bundle of rights it provides, including the derivative right and distribution right. It explains that the derivative right allows owners to adapt or revise a work, and provides examples of derivative works like translations, arrangements, and remixes/mashups. The distribution right allows owners to distribute and authorize distribution of copies. It discusses limitations like the first sale doctrine, and how piracy violates the reproduction and distribution rights.
The document discusses copyright ownership and transfers, noting that copyright initially belongs to the author of a work but can be transferred through assignment or exclusive license. It also examines joint works, works made for hire, and exceptions where initial ownership vests in employers rather than authors. The document further analyzes termination of transfers, explaining the author's ability to reclaim copyright ownership after a specified period of time.
This document provides an overview of copyright law as it relates to musical works and sound recordings. It discusses the categories of copyrightable works, including literary works, musical works, sound recordings, and compilations. For musical works, it explains that copyright protects the original expression of melody, harmony, rhythm, and optionally lyrics, but not individual musical elements alone. It also discusses requirements for musical works to be protected, such as originality, expression, and fixation in a tangible medium. Case law examples illustrate what constitutes an original musical work. The document also defines sound recordings and notes they are separate from the underlying musical works. It concludes with a summary of the Feist Publications Supreme Court case establishing that facts are not copyrightable.
The document summarizes the history of copyright law from the Licensing Act of 1662 to modern US copyright law under the Copyright Act of 1976. It discusses several important acts and developments, including the Statute of Anne in 1710, the US Constitution giving Congress power to establish copyright, and US Copyright Acts of 1790, 1831, 1909, and 1976 that expanded copyright terms and protections. The Berne Convention of 1886 established international copyright standards that the US later joined in 1989.
This document provides an overview of copyright including:
- Copyright gives creators control and profits from their creative works by granting exclusive rights.
- The bundle of rights includes reproduction, distribution, performance, derivatives, and display.
- Copyright duration is typically life of author plus 70 years or 95/120 years for works made for hire.
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This document discusses key provisions for record deals involving musical groups. It notes that group contracts often include key member clauses, giving the record label rights over any member that leaves or breaches the agreement. The document also recommends that musical groups establish band agreements to determine ownership of their name and brand, financial splits between members, rules for adding or removing members, and what will happen if the group dissolves. Finally, it stresses the importance of establishing a formal business entity like an LLC or corporation to manage the group's affairs and avoid legal issues.
Mbu 1100 fall 2019 lecture 8 getting started egEric Griffin
This document provides a checklist for new artists to get started in the music business. It recommends that artists register their copyrights, keep records of ownership, draft agreements between band members, trademark their name and logo, form necessary business entities, register with performing rights organizations, arrange for distribution of music and merchandise, embed metadata, register websites and social media, consider booking agents and publicists, and look into relevant industry organizations. The checklist covers important legal and business steps for artists to protect their work and maximize revenue opportunities.
The document discusses several topics related to touring and merchandising for musical artists. It provides guidance on matching an artist's image to appropriate venues and genres. It also outlines responsibilities of agents in areas like ticket sales, sponsorship deals, and financial accounting. New artists are advised to either play small venues on their own or open for established artists to gain exposure. The document also discusses strategies for merchandising, including different types of tour and retail merchandising deals.
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This document summarizes key aspects of copyright and digital technology, including benefits and challenges of digital music distribution, the reproduction and performance rights, legislation regarding radio performance royalties, and arguments for and against the Music Modernization Act. The Music Modernization Act aims to help ensure songwriters are paid for music streaming by creating a mechanical licensing collective to collect and distribute royalties, but some argue it favors major publishers and retroactively limits liability for services.
GRIFFIN COPYRIGHT MBU 2520 FALL 2019 THE FUTUREEric Griffin
Marc Geiger warned that music labels and publishers will have to adapt to digital technology and embrace change, or they will disappear within 5 years. The document also outlines recommendations to update copyright law for the digital age, including establishing a "Creator's Bill of Rights" that guarantees fair compensation and transparency for music creators. It proposes using blockchain technology and cryptocurrencies to better manage online payments to creators.
GRIFFIN COPYRIGHT MBU 2520 FALL 2019 chapter 15Eric Griffin
MP3.com launched a service that allowed users to access music collections online from any location by copying music from commercial CDs onto its servers. The court found this copying to not be fair use and awarded $53 million to UMG, as MP3.com was duplicating entire CDs for commercial purposes without authorization from copyright holders. While users had to prove CD ownership, MP3.com still engaged in unauthorized copying of the music files.
GRIFFIN COPYRIGHT MBU 2520 FALL 2019 chapter 12Eric Griffin
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GRIFFIN COPYRIGHT MBU 2520 FALL 2019 chapter 10Eric Griffin
This document discusses copyright infringement. It defines infringement as exercising any of the copyright owner's exclusive rights without permission. A single act can violate multiple rights. Examples of infringement include recording a song without permission or distributing a recording without permission. To prove infringement, a plaintiff must prove they own a valid copyright and that the defendant copied the copyrighted work without permission. This can be shown through access to the work and substantial similarity between the works. Fragmented copying of important elements can also constitute infringement. Federal court is where infringement lawsuits are typically brought.
This document discusses key provisions for group record deals and band agreements. It outlines clauses like the key member clause, rights to leaving members, ownership of the band name, splitting percentages and finances, controlling voting and decision making, adding or removing members, contributions, amending agreements, and what happens in cases of death, disability or dissolution of the band. It also reviews different types of business entities bands can form like sole proprietorships, partnerships, LLCs and corporations to establish ownership and liability structures.
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1. The image and genre of the artist should match the tour venues to attract their core audience. A small, full room is preferable to a large, empty arena.
2. Agents are responsible for collecting deposits from promoters, usually 50% of the guarantee in advance, to ensure the promoter pays what is owed. If a promoter does not pay the deposit, they may not pay the rest.
3. New artists will likely lose money on early tours due to poor conditions and small audiences waiting for the headliner. They can play small venues independently or open for an established artist.
Leonardo DiCaprio Super Bowl: Hollywood Meets America’s Favorite Gamegreendigital
Introduction
Leonardo DiCaprio is synonymous with Hollywood stardom and acclaimed performances. has a unique connection with one of America's most beloved sports events—the Super Bowl. The "Leonardo DiCaprio Super Bowl" phenomenon combines the worlds of cinema and sports. drawing attention from fans of both domains. This article delves into the multifaceted relationship between DiCaprio and the Super Bowl. exploring his appearances at the event, His involvement in Super Bowl advertisements. and his cultural impact that bridges the gap between these two massive entertainment industries.
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Leonardo DiCaprio: The Hollywood Icon
Early Life and Career Beginnings
Leonardo Wilhelm DiCaprio was born in Los Angeles, California, on November 11, 1974. His journey to stardom began at a young age with roles in television commercials and educational programs. DiCaprio's breakthrough came with his portrayal of Luke Brower in the sitcom "Growing Pains" and later as Tobias Wolff in "This Boy's Life" (1993). where he starred alongside Robert De Niro.
Rise to Stardom
DiCaprio's career skyrocketed with his performance in "What's Eating Gilbert Grape" (1993). earning him his first Academy Award nomination. He continued to gain acclaim with roles in "Romeo + Juliet" (1996) and "Titanic" (1997). the latter of which cemented his status as a global superstar. Over the years, DiCaprio has showcased his versatility in films like "The Aviator" (2004). "Start" (2010), and "The Revenant" (2015), for which he finally won an Academy Award for Best Actor.
Environmental Activism
Beyond his film career, DiCaprio is also renowned for his environmental activism. He established the Leonardo DiCaprio Foundation in 1998, focusing on global conservation efforts. His commitment to ecological issues often intersects with his public appearances. including those related to the Super Bowl.
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History and Significance
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Introduction
Tom Cruise long hair has often been more than a style choice. it has been a significant element of his persona both on and off the screen. From the tousled locks of the rebellious Maverick in "Top Gun" to the sleek, sophisticated mane in "Mission: Impossible II." Cruise's hair has played a pivotal role in shaping his image and the characters he portrays. This article explores the various stages of Tom Cruise long hair. Examining how this iconic look has evolved and influenced his career and broader fashion trends.
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Don’t forget to like, comment, and subscribe to SSA Philosophy for more in-depth explorations of the philosophies behind your favorite characters. Hit the notification bell to stay updated on our latest videos. Let’s explore the principles that shape these icons and the profound lessons they offer.
Link to video: https://youtu.be/hDak4cY0E1A
Riley Freeman: The Street Zen Master. The Philosophy of Riley Freeman!
Mbu 1110 fall 2018 publishing - lecture 4
1.
2.
3. What does a publisher do?
• Takes care of the business of songwriting
• Publisher finds users, issues licenses, collects the money, and pays the
writer.
• These are administration rights
• Standard publishing deal: writer assigns the copyright of the songs to
the publisher; publisher administers the songs.
4. Administration
• Traditionally, publishers split the income 50/50
with writer (except sheet music and
performance royalties).
• Publisher’s Share : 50% for overhead and profit
• Writer’s Share: 50%
• FYI - writers often get a “draw” – an advance on
royalties from the publisher. It’s like a monthly
paycheck so the writer can devote more time to
writing rather than some other job. It is
recouped just like an artist advance.
9. Publishing Today
• Not as many major writers under contract today.
• Many major songwriters keep their own publishing and administer
their works themselves
• A major writer can get to an artist or producer as easily as a
publisher can.
• Many artists are writing their own songs so there’s less need for a
publisher to get songs to them
10. Publishing Company Staff
• Administrator – registers copyrights, issues licenses, collects money,
pays writers and co-publishers, etc.
• Song Plugger – “pitches” songs; runs around and gets them cut by
artists.
• Creative Director – signs writers, works with writers, sets up co-
writes, etc.
• At a small company, these can be the same person.
11. Major Publishers
• Major companies affiliated with record companies:
• Warner/Chappell
• Universal
• Sony/ATV
• Major Affiliates – independent publishers whose administration is
handled by a major.
• Stand-Alones: not affiliated with a major and handles its own
administration.
12.
13.
14.
15.
16.
17.
18. MECHANICALS
• Mechanical Royalties– monies paid by record companies for the right to
reproduce songs
• Publisher issues a license to the record company that says for every
record made and distributed and each digital download.
• Harry Fox Agency – issues mechanical licenses for publishers; largest in
U.S.
• CMRRA – Canadian counterpart to Harry Fox Agency
• These act as publisher’s agent for mechanicals. They issue mechanical
licenses, police them, and report to the publisher
• Harry Fox charges 8.5% of gross monies collected for the license.
• CMAA charges 6%
19. Controlled Composition Clauses
• A controlled composition is a song that’s written, owned, or
controlled by the artist – in whole or in part.
• It means any song that the artist has an income or other interest.
• Even if the artist doesn’t own or control the song, if they make money
from the song it’s a controlled composition.
• Can apply to songs that producer owns or controls, too.
20. Controlled Composition Clauses
• A controlled composition clause puts a limit on the amount of
money that the record company has to pay for each controlled
composition.
• Since record companies don’t recoup any costs out of mechanical
royalties, it’s money going out before they break even. They want to
pay as little as possible.
• Artists should fight for mechanicals because it’s the only money
they’ll see for awhile.
21. Controlled Composition Clauses
• Artist only gets artist royalties after they’re recouped; if it doesn’t sell
well, that may never happen.
• Touring, especially early-on, can be a money-losing game. (remember
tour support?)
• Mechanical royalties are a very substantial part of the record deal.
Label wants to limit them, artists want to maximize them.
22. Two Ways to Limit Mechanicals
• Rate per song – record companies pay 75% of the statutory rate on
controlled compositions for most artists.
• *Actually, the label “requires” the artist to license the controlled
composition for 75% of the statutory rate.
• Rate per album – typically 10 times the single song rate for each
album.
23. Max Rate Per Song
• Percentage of Statutory – record companies pay standard 75% of
the statutory rate on controlled compositions for most artists.
• New artists can’t do anything, mid-level and superstars can get a little
better rate or an escalation on later albums.
• Minimum Statutory Rate – all songs on the album treated as if 5
minutes or less regardless of actual duration.
24. Max Rate Per Song
• Noncontrolled Songs - rate limits can be applied to all songs on the
record – not just controlled compositions!
• “Outside songs” – songs that the artist didn’t write; therefore not
controlled compositions. Artist must get publisher to go for the
reduced rate; many times this is impossible.
• Record company takes excess mechanical royalties due outside
writer/publishers out of their mechanical rates. How?
25. Effects on Outside Songs
4 Outside Songs on an 8 song album looks like this:
If not enough controlled comp songs to cover it, difference comes from artist’s
record royalties
26. 10 Song Limit
• If artist is limited to 10 times 75% of the statutory rate, to pay
outside publishers the full statutory rate:
• Artist has to take a reduced rate on their own songs or
• Put less than 10 songs on the album
• Ex- 5 outside songs and 5 controlled comps. Remember max per
album rate applies to all songs on the record; not just controlled
comps
27. Controlled Comp Clauses
• Ultimate is to only limit to 10, 11, or 12 times statutory. Still minimum
statutory rate, though.
• Multiple Albums – double albums don’t pay double the allowance on
controlled comps. Can get the ten-times limit raised but it won’t be to
twenty.
• Typically, companies only increase the mechanical royalties in
proportion that the wholesale price increases over that of a single
disc album.
• Box set mechanicals are negotiated beforehand.
28. Controlled Comps and Videos
• Promotional usage – record company should get a free promotional
video license. It’s being used to promote the artist’s records.
• Commercial Usage – for home videos, independent publishers not
subject to controlled comp typically get 8 to 15¢ per song.
• Hard for Artists to get anything for home video use.
29.
30. 30
The Major Players: Publishers +
Songwriters
WHO ARE THEY? Those with an interest in
the composition (the lyrics and underlying
melody).
The music publishers and songwriters want
to see things like the compulsory
mechanical rate and DMCA disappear.
. Want to create permanent collection
societies or private administrators for the
publisher’s mechanical rights and
synchronization rights - in order to
“streamline” and make for more efficient
music licensing to consumers and licensees.
31. 31
The Major Players: Publishers +
Songwriters
SESAC bought Harry Fox (HFA). HFA was formerly
owned by NMPA.
Allows SESAC overrall deals covering mechanical
licenses alongside broadcast, digital and performance
royalty collection.
SESAC to have access to digital music data that ASCAP
& BMI don’t have.
32. 32
The Major Players: The PRO’s
• Performance royalties are paid by radio
stations, venues, and TV networks to
Performing Rights Organizations like
ASCAP, BMI, SESAC, and SOCAN (in
Canada) who then distribute the money
to their affiliated songwriters, composers
and publishers
• What’s their position?
The PRO’s are very active defending the
interests of publisher and songwriter
members. They’ve always played a key
role in music industry/technology issues
and are a strong asset in national
legislation movements for the
publishing/songwriting community.
33. 33
The Major Players: The PRO’s
• Anticipate more legal battles between the PRO’s
and digital licensees. Until a genuine debate on
Capitol Hill takes place for the Next Great
Copyright Act, the PRO’s will continue to slug it
out with digital licensees one by one.
• SOUND EXCHANGE – Collects the digital
performance royalty for Featured Artist and
Owner of Sound Recording from non-interactive
digital sources. (satellite radio providers, cable
tv music, and webcasters) Admin fee of 4.9%
34. 34
LEGISLATION – 100% Licensing
In 2016 the DOJ began an investigation into 100% Licensing.
Today, and historically, BMI and ASCAP, and the licensees who use your
music, have operated under a model where each PRO collects for and
pays out for only the shares of musical works each represents in its
respective repertoire; this practice is known as fractional licensing. It
allows a co-owner to license only their own share in a work and receive
direct payment from their PRO for that share. To put it simply, each PRO
collects and pays their members for their share of a co-written song under
our specific valuation system
100% licensing would allow any one co-owner of a work to license 100%
of the work without needing the permission of the other co-owners.
Essentially, each writing partner could have 100% control over the
licensing of your song, without your say, subject only to an obligation to
account to you for your share of licensing revenues.
35. 35
LEGISLATION – 100% Licensing
What happens with 100% Licensing?
In an example where a BMI writer writes with ASCAP:
• ASCAP could license co-written works at ASCAP’s own
rate, not BMI’s.
• ASCAP could reduce payment by its own overhead rate
even before it enters BMI’s distribution system causing
double fees.
• writer could be subject to ASCAP’s distribution
methodology, not BMI’s.
• Distributions could be delayed by this process.
If this interpretation were put into action, in order to avoid
this and ensure your PRO licenses your share in co-written
works, you would have to collaborate only with other same
PRO writers.
36. 36
LEGISLATION – Songwriter’s Equity Act
In March of 2015 a bipartisan group reintroduced the Songwriter Equity
Act (H.R. 1283 and S. 662) in the 114th Congress.
This legislation, which was first introduced early 2014, is important to
music creators because it addresses two outdated sections of the US
Copyright Act that currently limit your ability to get paid fairly when
your music is streamed.
Section 115 of the law sets conditions by which mechanical
royalties are set, but doesn't include not allowing a rate
court to consider other royalty rates as evidence.
Section 114 of the Copyright Act prohibited rate courts for
considering rates paid to recording artist when setting
songwriter royalty rates.
37. 37
LEGISLATION – Songwriter’s Equity Act
Impact of a rate disparity is that the value of the
performance of a sound recordings is at a level
approximately 12 times greater than the actual musical
compositions from which they are created.
Simply put: The rate courts should be able to look at
evidence of other rates when setting the rates that
songwriters are to be paid.
i
38. 38
LEGISLATION – DOJ Consent Decrees
ASCAP and BMI are governed by “consent decrees” originally
issued by the US Department of Justice (DOJ) to curb the
anticompetitive tendencies of the publishing sector.
(Monopoly) Intended to promote competition in the
marketplace for musical works,
Music publishers, PROs and some songwriters have asked the
DOJ to eliminate or modify the existing consent decrees due
to concerns over rate-setting and other perceived limitations.
Government regulators have solicited public comment and are
currently deciding what approach—if any—to take.
PRO Income comes from Public performance of the
Composition. BMI reported distributing a record $977
million in revenue in 2014. Who collects public
performance of the Sound Recording?
39. 39
LEGISLATION – DOJ Consent Decrees
Why do the consent decrees exist in the first place?
Consent decrees are limitations agreed upon by parties in response
to regulatory concern over potential or actual market abuses. It
was a trade off to allow them to be monopoly-like without having
to face further regulation or break up.
The consent decrees encourage ASCAP and BMI to compete with
one another to attract licensees and recruit new
songwriter/publisher members.
Michael O’Neil – BMI Testimony to Congress
https://www.c-span.org/video/?c4500983/bmi-consent-decree
40. 40
LEGISLATION – DOJ Consent Decrees
What do the consent degrees do?
1. Only Performance Rights: ASCAP and BMI can only
administer performance rights, not any other, often related,
rights.
2. Non-Exclusive Licenses: PROs must have non-
exclusive licenses, meaning that publishers retain the ability
to directly license their catalogues.
3. Required to Grant License: ASCAP and BMI are
required to grant a license to any party that requests one.
This license is then valid while the two parties attempt to
negotiate a rate.
4. Rate Courts: If the two sides are unable to reach
an agreement on a rate, the dispute is settled by a special
rate court, which was created under the consent decree.
41. 41
LEGISLATION – DOJ Consent Decrees
2012 - Pandora filed a lawsuit against ASCAP in rate court.
Pandora said that ASCAP was failing to set “reasonable” license
fees for them and sought relief in the courts. However, the issue
changed from royalty rates to a different question, whether
publishers could pull their digital rights from ASCAP and other
PROs while staying with the PROs for other licensing, such as to
bars and restaurants. The court ruled they do that, that they
were “all or nothing” if they chose to partner with a PRO.
However, shortly after the ruling, the DOJ, at the request of ASCAP
and BMI, began to look at reviewing the terms of the consent
decrees, which coincided with a hearing by the House Judiciary
committee on the subject of music licensing.
The reasons for the reforms and the proposals are important to
understand.
42. 42
LEGISLATION – DOJ Consent Decrees
Changes being considered:
1. Whether content owners should be able to pull out of PROs
for certain types of rights, such as digital rights.
2. Whether to replace the rate court, which is a federal court
with all of the expense of a federal lawsuit, with mandatory
arbitration.
3. Whether PROs should be able to grant rights beyond
performance rights.
4. In general, whether the consent decrees are helping or
harming competition.
43. 43
LEGISLATION – DOJ Consent Decrees
Benefits for songwriters:
•More level playing field in which all composers, from
emerging young writers to veteran hitmakers, are treated
the same
•Writer’s share goes to writer without going to publisher
first.
•Prevent ASCAP and BMI (or their members) from playing
favorites with one service over another, which allows for
new radio stations and music platforms to more easily
enter the marketplace.
44. 44
LEGISLATION – DOJ Consent Decrees
Benefits for independent publishers:
• A performance of a song published by a small independent
publisher is worth the same as any other.
• Allow for efficiencies that are responsible for the
tremendous growth of AM/FM and digital radio, which has
expanded the pie for publisher compensation.
• The current system also means that smaller, independent
publishers can make their catalog available to potential
users just as easily as their multinational peers.
45. 45
LEGISLATION – DOJ Consent Decrees
Benefits of Consent Decrees for Licensees
• New services that may not have the capital or clout to
cut direct deals at the rates demanded by the big
publishers.
• Reduce concerns of copyright infringement for licensees
using a blanket license: if the agreed upon fee is paid,
they have access to the entire repertoire of works in
covered by a PRO, secure in the knowledge that the
PRO will pay songwriters and publishers directly.
46. 46
LEGISLATION – DOJ Consent Decrees
Criticisms of the consent decrees
•Publishers and PROs often criticize the consent decrees for
being “outdated.”
•Rate setting procedures established by the decrees have
resulted in unreasonably low royalty rates.
•Publishers wish to directly license their catalog and use
the PROs simply as a royalty collection and distribution
agency allowing them to secure far higher rates for their
catalog
•The process through which rates are determined can lead
to expensive litigation that can reduce the capital available
to ASCAP and BMI to provide better service to members
47. 47
LEGISLATION – DOJ Consent Decrees
What the major publishers and PROs want
•ASCAP and BMI have stated that the consent decrees should be
eliminated or gradually phased out. OR they should be allowed to
bundle other rights under their services offered to members,
including mechanical royalties and synch licenses.
•Arbitration.
•Use “interim rates” to cover periods being negotiated.
•The major publishers have threatened to remove their entire
catalogs from the PROs if the consent decrees aren’t either gotten rid
of or heavily modified to serve their interests. To avoid this
outcome—which would surely weaken the relevance of the PROs—
ASCAP and BMI advocate for partial catalog of digital rights by the
publishers in exchange for the ability to bundle other rights.
48. 48
LEGISLATION – DOJ Consent Decrees
Early July 2015 – Sony /ATV presented the “nuclear option.”
If there was not a resolution acceptable to the publishers,
they would consider withdrawing 100% from the PROS.
What might happen?
Independents would lose benefit of collective bargaining likely
leading rates to plummet.
Independents would have to take over the significant operating
costs no longer being paid by the majors.
Perhaps a disastrous effect on innovation in the streaming
marketplace. Streaming services would be forced to negotiate
licenses with the three major publishers, and possibly some of the
top independent publishers, in addition to obtaining licenses from
ASCAP, BMI, and the third PRO, SESAC. The combined cost of these
licenses would likely prove too great for any new startup to bear.
49. Public Performance Royalties
• Impossible to police every club and radio
station in the country and make them get a
separate license for every song they play.
• Blanket Licenses – covers all of the music that a
particular performance rights society
represents.
• The blanket license fee gives the user the right
to perform all of the songs controlled by all of
the publishers affiliated with that society
• ASCAP, BMI, and SESAC are the biggest in
performance rights societies U.S.
50. Public Performance Royalties
• Writers are paid directly by the societies with
which they are affiliated.
• A writer’s performance earnings (radio, T.V.,
clubs, restaurants, etc) are not paid to the
publisher, but paid directly to the writer.
• Writers can only affiliate with one society.
• Publishers can affiliate with both ASCAP and
BMI (and SESAC, if they want)
51. How Do Societies Keep Track?
• BMI requires licensee stations to keep logs of all the
music they play; rotating between the stations for
about 3 24-hr days per year.
• BMI projects from those logs to the entire country
• BMI also uses a digital listening service that
monitors major stations, matches the to a database
and reports what it hears.
• ASCAP doesn’t use station logs. They use a digital
monitoring service to listen to hundreds of
thousands of hours of programming and extrapolate
that for the rest of the country.
Radio
52. How Do Societies Keep Track?
• T.V. stations are required to keep cue sheets
• Lists all songs played, how long it was played, and how it
was used: theme, background, etc.
Cue sheets are filed with the societies and specific dollar
amounts are paid for each song and type of use
Amount also varies with size of market; Network pays a lot
more than local.
ASCAP and BMI supplement cue sheets with digital
monitoring of broadcasts.
Television
53. How Do Societies Keep Track?
• Societies now pay for domestic live performance
• Pay is based on set lists
• BMI recently started tracking sports stadiums and arenas.
Live Events
54. How Do Societies Keep Track?
ASCAP, BMI, and SESAC are not permitted to collect public
performance monies for motion pictures shown in theaters in
the U.S.
Reasons are historical and political
• Foreign film performance monies can and are collected.
• Can be substantial as they are a percentage of the box office
receipts.
• Fees are collected by local societies, then turned over to
ASCAP, BMI, and SESAC
Motion Picture Performance Money
55.
56.
57.
58.
59.
60.
61.
62. Fees for Synch Licenses
• Motion pictures:
• Major studios – typically run $15,000 to $100,000; buys out all rights in
perpetuity.
• Fees are higher if used in trailers and ads.
• Main title uses (opening credits) run $50,000 to $250,000
• End titles - $35,000 to $100,000. Why less?
• Will be less if more than one song over end credits
• If studio really wants a hot, recent hit song, fees can get well into six
figures.
63. Fees for Synch Licenses
• Uses include in-context advertising and trailers for the film.
• In-context means that the song is used in exactly the same way
it’s used in the film.
• i.e. – same song, same scene used in TV ad
• Trailer – “preview of coming attractions” online and in the
theater.
64. Fees for Synch Licenses
• Out-of-context use – song is used differently than in the film
• Song is used over different scene in same film in trailers, ads, etc.
• Any use other than the original use in film is considered out-of-
context
• Pays much more money because they’re using song like a
commercial.
• How much? $20,000 for instrumental cues; songs get from
$25,000 to $250,000 more!
65. Independent Films
• Step deals – money for song use comes in steps
• Say, initial fee of $2,500 plus another $2,500 when film released to home
video.
• “Kickers” – additional fees for certain benchmark successes. Say, additional
fee at over $3,000,000 box office gross.
• Can give film company limited rights for showing at film festivals,
then make them do a market-rate license if they sell the film.
66. Television
• Due to new and emerging technologies, most TV license
are in perpetuity.
• Include all rights now and hereafter known.
• Can get from $10,000 to $50,000 plus depending on
popularity of song.
• Indie artists can gain great exposure by getting their song
on a TV show; often licensing their song at a very cheap rate
($1,000 or less).
• Only uses not covered by these licenses (for which you can
get more money) are for out-of-context ads.
• Can typically get additional $1,500 to $5,000 per week
while out-of-context promotion runs.
67. Television
• Commercials:
• Songs can get from $50,000 to $200,000 for
one-year national usage in the U.S. on TV
and radio.
• Really well-known and classic songs can get
over $1,000,000!
• Current trend is downward
• Prices scaled down for regional or local
usages
• Periods of less than one year
68. Video Games
• Video games don’t typically pay royalties
• They typically pay flat fees
• Fees can be from nothing up to $50,000 for a major
hit.
• Typical video game fee is around $8,000 to
$10,000 for use in perpetuity.
• Only exception to royalties are song-centered
games like Guitar Hero and Rock Band. Pays a
fraction of mechanical rate and there’s usually an
advance.
69. Electronic Transmissions
• Untethered Downloads
• Typical iTunes-type unrestricted download
• Treated just like sales of CDs
• Copyright owners get full mechanical royalty rate
• Ringtones/ring backs – copyright owners get mechanical royalty of
24¢
FEES FOR OTHER USES:
70. Noninteractive Streaming
• Noninteractive means you hear what someone else decides to play
• Essentially a radio station that’s not over-the-air.
• Publisher only gets performance monies just like if a radio station
played the song.
• Rates are a percentage of revenue, with minimums.
FEES FOR OTHER USES:
71. Interactive Streaming
• Interactive streaming – streaming on demand
• Examples: Napster, Rhapsody, MySpace, Yahoo!
• Spotify Rate is the greater of:
• 10.5 % of subscription fees or 10.5% of ad revenue
• If record company pays publisher: 17% to 18% of the
monies paid to the record company for masters and
publishing combined.
• If streaming service pays publisher: 21-22% of money paid
to record company for masters alone
• 15¢ to 50¢ per subscriber, per month
FEES FOR OTHER USES:
72. Foreign Subpublishing
• U.S. publishers make deals with local publishers in
each territory – local publisher is called a subpublisher
• In most foreign territories, there is a mandatory
mechanical rights collection society; usually
government owned
• Society collects money, keeps it, makes interest on it,
then distributes it to the appropriate publishers.
• Remember – it’s the entire album that’s licensed; not
individual songs. Rate is a percentage of wholesale price
divided among all songs on the album.
73. Foreign Performances
• All foreign territories have some sort of
performance rights society.
• Usually only one per country and usually government
owned.
• These societies pay the publishers share of
performance monies to the local subpublisher, and
the writer’s share directly to ASCAP, BMI, and
SESAC.
• Takes much longer for U.S. publisher to get money if
there is no foreign subpublisher.
74. Subpublisher Charges
• Typical subpublisher deal is is from 15% to 25% of monies earned.
• Contracts read that the subpublisher collects the money then
‘remits’ 75% to 85% to the U.S. publisher.
• Referred to as 75/25 or 85/15 deals.
75.
76.
77.
78. The Big 3 accounted for over 50% of Global Music Publishing