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Categotry Archives: Music Publishing

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What is a Contract Term?

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Categories: Articles, Law, Music Contracts, Music Industry, Music Publishing, Record Labels, Tags: , , , , , , , , , , , , , ,

By:  Erin M. Jacobson, Esq.

A “term” of a contract usually refers to the length of time an agreement covers. For example, two parties may decide to work together for a period of three years, thus the contract would have a “three year term.” Sometimes, the term is broken up into a firm amount of time, with the option to continue working together for longer.   This could look like an initial period of two years, with a one year option. If that option is exercised, then the total term of the contract would be three years. These options are often exercisable at the discretion of one party (like a manager or a record label), making that party obligated to initial period and only obligated to the option periods if they choose to exercise them. The other party (like the artist), however, would be obligated to the entire term (initial period plus options). In other types of agreements (like certain types of music library or publishing agreements) options may automatically renew on a yearly basis, making the contract last as long as the parties are willing to continue working together.

The other way the words “term” or “terms” are used in relation to contracts is to describe certain the actual provisions of the contract. People will say things like “according to the terms of the contract,” which means the provisions of that contract. They may also refer to a specific, singular term, meaning one provision in particular. You will usually know the difference of “the term” versus “a term” or “the terms” based on the context of the conversation.

Both the term length and actual terms are important due to the fact both could bind you to an agreement not ideal for your career. You could be stuck in a deal where the term length extends much longer than it should and prevents you from signing other deals, creating other projects, and stalls your career. In a situation like that, your career in music will effectively be over because without the ongoing momentum, people will forget about you and your music, newer artists will be on the scene, and you will be on a hamster wheel trying to play catch up while the industry moves forward without you.

If the other terms of the agreement aren’t ideal, you could also be broke by paying large amounts of commissions to those you work with without anything left over for you.   You could lose your copyrights and the right to continue profiting off of your work because someone else owns it. You could even lose the right to use your own name professionally, like one artist who told me her story of not being able to register her name as a URL, because she had unknowingly signed those rights away to someone else.

It is of the utmost importance to know what you are signing and have an experienced music attorney review your contract to make sure you do not become another music industry statistic of a promising young talent whose career was crushed by your own failure to hire the right person to protect you.

If you have been offered a deal, contact Erin now to have it reviewed.

Disclaimer: This article is for educational and informational purposes only and not for the purpose of providing legal advice. The content contained in this article is not legal advice or a legal opinion on any specific matter or matters. This article does not constitute or create an attorney-client relationship between Erin M. Jacobson, Esq. and you or any other user. The law may vary based on the facts or particular circumstances or the law in your state. You should not rely on, act, or fail to act, upon this information without seeking the professional counsel of an attorney licensed in your state.

If this article is considered an advertisement, it is general in nature and not directed towards any particular person or entity.

 

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What’s the Difference Between a Music Library and a Music Publisher?

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Categories: Articles, Music Contracts, Music Industry, Music Libraries, Music Publishing, Tags: , , , , , , , , , , , , , , , ,

music library music publisher music lawyer music attorney erin jacobson erin m jacobsonMusic libraries have exploded in popularity since musicians and composers discovered synchronization (“sync”) placements as an opportunity to make money and gain exposure in the music business. However, songwriters are often confused about the differences between music libraries and music publishers, especially because many libraries are trying to cross over into the publishing space. Here’s what you need to know.

Music Publishers

Music publishers have been around since the late 1700s in America, and they serve as the overall administrators of a songwriter’s compositions. Publishers perform many functions, including:

  • managing a writer’s catalog
  • promoting the compositions in the catalog
  • getting recording artists to record songs by the writer
  • working with a writer’s record label (if the writer is also a recording artist)
  • pairing a writer with co-writers
  • getting sync placements, etc.

Traditional music publishing contracts usually follow one of the following structures:

  • Songwriter agreement: the writer transfers 100 percent of the copyright in his or her catalog of music (including what he or she writes while under contract with that publisher), and the publisher and the writer split the income from the compositions 50/50. (Note: These deals can vary slightly based on the circumstances. For instance, it’s possible that a writer’s back catalog is tied up from a previous publishing deal, and a new publisher will only get new compositions by the writer.)
  • Co-publishing agreement: the writer transfers 50 percent of the copyright in his or her catalog to the publisher. The publisher takes 25 percent of the income from the compositions and the writer receives 75 percent.
  • Administration agreement: the writer retains ownership of all copyrights in his or her catalog, and the publisher simply performs all publishing duties for an administration fee of 10 percent (leaving 90 percent of income for the writer).

Music publishing deals often come with an advance, which justifies the fact that a writer may have to transfer copyright ownership upon signing a new deal. Because publishing deals are exclusive and manage all aspects of the compositions, no retitling of compositions is required.

Music Libraries

The first music library was formed in 1927 in the United Kingdom after movies gained the use of sound technology. The main purpose of that library, and those that followed, was to license music for film (and later TV). Licensing music for film and television is still the main purpose of music libraries today.

These deals can be exclusive or non-exclusive, require a transfer of copyright ownership or not, and may retitle the writer’s compositions (or not). Many libraries realized the value of owning the catalogs of music instead of just acting as a licensing agent and making money on licensing fees. Thus, many libraries decided to do their deals on an exclusive basis and require the writer to transfer to the library a copyright ownership share in the compositions, usually at least 50 percent. Typically, these deals have some sort of threshold where the writer has to earn a certain amount in licensing fees before the obligation to transfer copyright is triggered.

On a more frequent basis, I’m seeing library deals labeled as “co-publishing” deals. These deals provide for a 50 percent copyright ownership transfer, but only a 50/50 income split, which results in less money to the writer than under a traditional co-publishing deal with a music publisher. These deals offer no advance, and require a transfer of copyright ownership triggered by a low threshold of licensing fees. If a writer is close to the threshold but hasn’t met it yet, some companies will even pony up a few hundred bucks to meet the mark, which means the writers are selling out their copyrights for a very small chunk of change.

This scenario may be acceptable for a songwriter who makes his or her living from writing for film and TV and is churning out new songs every day. But in my opinion, these terms are unacceptable for career musicians who are marketing albums, playing gigs, etc. and are seeking placements for extra money and exposure.

The benefit to a library deal over a publishing deal is that a writer can give the library only certain compositions, while leaving others in his or her catalog open to a publishing deal or another opportunity. To be fair, libraries that are incorporating more publishing-like terms in their deals are also doing the work to manage and administer the compositions. However, with many of these companies it remains uncertain whether they have the connections to get other artists to record the writer’s compositions, pair the writer with substantial co-writers, etc. Anyone can act like a music publisher, but the difference lies with whether the longstanding business model and connections that publishers have are present.

For independent or new artists, it’s easier to get a library deal than a publishing deal, but signing with a library and transferring copyrights may complicate or even prevent a writer from signing a publishing deal later.

That’s not to say that a library deal can’t be a great start for a new artist or writer – it can be a great way to earn extra income with songs that otherwise wouldn’t generate any. However, you need to look carefully at your career goals to see which path is really right for your intended career direction. It would be beneficial to consult with an experienced music attorney to discuss which type of deal is the right career choice for you.

Disclaimer: This article is for educational and informational purposes only and not for the purpose of providing legal advice. The content contained in this article is not legal advice or a legal opinion on any specific matter or matters. This article does not constitute or create an attorney-client relationship between Erin M. Jacobson, Esq. and you or any other user. The law may vary based on the facts or particular circumstances or the law in your state. You should not rely on, act, or fail to act, upon this information without seeking the professional counsel of an attorney licensed in your state.
If this article is considered an advertisement, it is general in nature and not directed towards any particular person or entity.

 

This article was originally posted on Sonicbids.com.

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Contract Language Explained: “In all media now known or hereafter devised”

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Categories: Business, Digital Distribution, Law, Music, Music Contracts, Music Industry, Music Publishing, Record Labels, Tags: , , , , , , , , , , , , , , , ,

By:  Erin M. Jacobson, Esq.

music-791631_640It’s possible that you have seen or heard of the contract phrase “in all media now known or hereafter devised” or some similar variation.

In music contracts, this language is usually used to define in what media your music can be used.  This phrase allows a company that has the rights to your music to use the music in the formats currently used at the time the contract is signed, as well as any new formats that are invented in the future (and may or may not be known at the time of signing).

For example, pretend that this is 1995, the most popular music format is still CDs, and MP3s had not hit the scene yet.  If you signed a deal at that time that said the company had rights to your music “in all media now known or hereafter devised,” then that company also had the rights to start reproducing and distributing your music in MP3 format once that medium started being used circa 1998.

If you are signing a deal now with that language, the company can probably use your music on vinyl, cassette, CD, MP3/other digital file formats, and whatever they think of next.  So when they start implanting microchips with music, you can bet your music will probably be on that too.

Got questions on your contract?  Schedule a consultation now to get answers!

 

Disclaimer: This article is for educational and informational purposes only and not for the purpose of providing legal advice. The content contained in this article is not legal advice or a legal opinion on any specific matter or matters. This article does not constitute or create an attorney-client relationship between Erin M. Jacobson, Esq. and you or any other user and Erin M. Jacobson, Esq. is not acting as your attorney or providing you with legal advice.   The law may vary based on the facts or particular circumstances or the law in your state. You should not rely on,act, or fail to act, upon this information without seeking the professional counsel of an attorney licensed in your state.

If this article is considered an advertisement, it is general in nature and not directed towards any particular person or entity.

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Why Posting a Cover Song on YouTube is Copyright Infringement

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Categories: Articles, Copyright, Infringement, Legal Issues, Music, Music Industry, Music Publishing, Royalties, Social Media, Tags: , , , , , , , , , , , , ,

by Erin M. Jacobson, Esq.

Erin Jacobson music attorney music industry lawyer youtube cover song copyright infringement

New artists trying to get discovered will frequently cover famous songs and upload videos of them performing these songs on YouTube. Many artists do not realize that without securing the proper permissions, posting a cover song on YouTube is actually copyright infringement.

User-generated cover song videos require permission to use the composition and permission to synchronize the audio elements with the video.*

To cover a composition, one needs to get a mechanical license. A mechanical license allows someone to record a song that has already been recorded and distributed by another artist. A mechanical license is most often obtained through the Harry Fox Agency. The related royalty stream is called a “mechanical royalty” which is a royalty payable to a composition owner for the privilege of being allowed to record that composition. This is the 9.1 cent royalty often mentioned in the music business.

However, the mechanical license only covers audio recordings of the original composition. It does not cover the synchronization of the audio with the video portion, for which one needs to obtain a synchronization or “sync” license. This is where most people get tripped up because they don’t get a synchronization license from the composition owner (usually the music publisher).

An artist who does not get permission from the owner of the song he is covering to synchronize his cover version with the accompanying video is infringing the copyright of the original composition.  [tweetthis display_mode=”button_link”]Failure to get a sync license for your YouTube cover song video is copyright infringement.[/tweetthis]

The consequences of posting a cover song without the proper synchronization license vary. In some instances, the copyright owners of the original composition don’t know about the cover on YouTube or they choose to do nothing about it. In other cases, the copyright owners will send a DMCA takedown notice to YouTube and have the video taken down. Further still, someone who posts an unauthorized cover might get a cease-and-desist letter or the threat of legal action, and might actually get sued, leading to liability for a lot of money in copyright infringement damages.

Do you have more questions or need a license for your project?  Contact Erin now to get your questions answered.

* In the case of a cover song, the original master recording is not used because someone else is making his or her own recording of the song and therefore no label permission is necessary. If one plans to use the original master recording in a video, that person would have to go to the master owner (usually the record label) and get a master use license to be able to pair the master recording with the video. I won’t discuss the performance right here since YouTube and similar websites have blanket licenses from the performance rights organizations. However, if an artist is uploading these videos to his or her personal website, that artist is also liable for the payment of performance royalties.

Disclaimer: This article is for educational and informational purposes only and not for the purpose of providing legal advice. The content contained in this article is not legal advice or a legal opinion on any specific matter or matters. This article does not constitute or create an attorney-client relationship between Erin M. Jacobson, Esq. and you or any other user and Erin M. Jacobson, Esq. is not acting as your attorney or providing you with legal advice.   The law may vary based on the facts or particular circumstances or the law in your state. You should not rely on,act, or fail to act, upon this information without seeking the professional counsel of an attorney licensed in your state.

If this article is considered an advertisement, it is general in nature and not directed towards any particular person or entity.

 

 

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Do You Need a Music Publisher?

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Categories: Articles, Business, Music Industry, Music Publishing, Tags: , , , , , , , , , ,

Some musicians have music publishing deals, some musicians have their own publishing companies, and some have both. For many independent musicians, owning their own publishing companies often means nothing more than just having name for publishing matters rather than a fully functioning entity. Musicians often ask me the difference between handling their publishing themselves and what a music publisher will do for them.

1. Manage your catalog

A publisher will handle all copyright registrations, filings with performing rights organizations and mechanical rights collection societies, and other more procedural aspects of owning intellectual property. A publisher will also receive any license requests to use your music and handle the contracts associated with these uses, negotiating the best price they can, which makes sense because they get to take a cut of the proceeds. A publisher will also fight against any unwarranted uses of your music, including suing for infringement if necessary. Again, this is because the publisher usually has a stake in the copyright ownership and income generated from your compositions. A publisher will also have relationships with foreign companies and can enter into agreements so that your music can be promoted and administered in those countries, thus creating more opportunities for you and expanding your fanbase.

2. Promote your catalog

A good publisher that believes in you and stands to profit from your music will find ways to promote it and help you (and them) make more money. This will usually include pitching your music for use in TV and film, pitching your music to other artists in order to get those artists to record your compositions, arranging for sheet music or other reprints of your music for sale, and any other opportunities to promote your compositions and get them recorded.

3. Pair you with co-writers

Some writers mostly write alone, some only write with others, and some may write alone and with others. Sometimes, writing with other people can help a songwriter break into a new genre or get new creative juices flowing when the two writers can vibe on each other’s energy. A publisher will help to facilitate these relationships, as the more great songs its writer writes, the more everyone stands to benefit. Also, if you are a promising writer who has a deal but are still building your resume, your publisher may be able to pair you up with more seasoned writers to help advance your career.

4. Collect income

From a logistical standpoint, this is one of the most important functions of the publisher because an experienced publisher understands all the different revenue streams in the business, how to collect these revenues, and how and what you should be paid. A publisher can also pursue monies you should be receiving but haven’t, and audit your label or other companies with which you’ve collaborated to make sure you are getting paid correctly. In addition, if you are to pay any co-writers or other collaborators, your publisher can take care of this for you so that you don’t have to worry about understanding the complexities of the royalty streams and who gets paid what, as well as dealing with the minutiae of the task, leaving you more time to focus on creating great music.

 

In my opinion, the functions of the publisher can be grouped into two very important areas: promoting your music and taking care of the business end (registrations, contracts, and royalty collection and payment). Both of these aspects are helpful to you and allow you to focus your time on creating music instead of promoting or bookkeeping. A publisher’s relationships and connections can be key to moving your career forward, and any reputable publisher will have administrative systems already established so that the business side runs smoothly. However,most music publishing deals require you to give up all or a portion of your copyright ownership, and all publishing deals will require a percentage of your publishing income as payment for their services. For independent songwriters without a publishing deal or who want to retain full ownership of their compositions, the next best option is to hire a great music lawyer to handle the business part of the equation, but the promotional aspects will still be up to the songwriter. Only you can decide whether these trade-offs are right for your career, or if retaining full ownership and spending more of your time on business work makes you more comfortable.

 

This post was originally published on Sonicbids.com.

Disclaimer: This article is for educational and informational purposes only and not for the purpose of providing legal advice. The content contained in this article is not legal advice or a legal opinion on any specific matter or matters. If this article is considered an advertisement, it is general in nature and not directed towards any particular person or entity. This article does not constitute or create a lawyer-client relationship between Erin M. Jacobson, Esq. and you or any other user. The law may vary based on the facts or particular circumstances or the law in your state. You should not act, or fail to act, upon this information without seeking the professional counsel of an attorney licensed in your state.

 

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Interview with Michael Eames of PEN Music Group

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Categories: Business, Music, Music Industry, Music Industry Interviews, Music Publishing, Tags: , , , , , , , , , , , , , , , , , , , , , , , , , ,

I’m happy that the first post of 2014 is an interview with Michael Eames, President of PEN Music Group.

Michael Eames, President of PEN Music Group

Michael Eames, President of PEN Music Group

Founded in 1994, PEN is a full-service independent music publishing company with a worldwide presence who is celebrating its 20th Anniversary in 2014.  PEN offers efficiency and personal attention as a boutique company.  With PEN’s A-list music contacts in film, TV and advertising, and a success rate that continues to grow (with 100+ placements each year), it is an effective alternative to the large multinational publishing companies.  PEN has formed strategic partnerships with several record labels to leverage collective strengths and has joint ventures with other respected companies.  PEN’s songs have also been recorded by artists including The Black Eyed Peas, Celine Dion, the cast of GLEE, Selena Gomez, Miley Cyrus, kd lang, Santana, Christina Aguilera, Corinne Bailey Rae, Faith Hill, Paulina Rubio, Macy Gray, Kenny Rogers and Luther Vandross, among countless others.

 

1.  Describe a typical day at the office.

I am not sure there is a truly “typical” day which is why I like being a publisher.  But generally for me the office day starts at 8:00 am after I drop my son off at middle school.  Then the day for me will typically involve all of the following in no particular order:
– responding to emails from Europe or overseas that came in overnight
– seeking approvals from clients for requests for use of their music that we receive
– tackling some sort of software programming with our state-of-the-art copyright and royalty system called CORE so that I can continue to try to make our administrative processes as efficient as possible
– pitching our music to any needs or searches that we get (and we can sometimes get as many as 5 a day)
– seeking out new clients and business opportunities via either online research or reaching out to lawyers and business managers about their clients that may be looking for deals
– responding to inquiries from existing clients who have questions or needs
– meeting either individually or as a group with our staff so that we can keep focused on all the items that need to be done, both on the administrative side and the creative side.

 

2.  What is your favorite part of your job?

 

Even though we have been placing music in film/TV/ads for our entire 20 year existence (since 1994), nothing beats the email that we receive when someone says they want to license something and need a quote, etc.  You then feel all the effort is worthwhile and you can’t wait to let the client know that a use may happen.  And since things sometimes fall out in the mix, the ultimate satisfaction is tuning into TV and hearing our music and or in a film in a theater, etc.  There’s a sense of pride in knowing that that use would not have happened without our efforts and it’s a great feeling.

 

3.  What are some projects that you are currently working on that you can discuss?  

 

Since 2014 is PEN Music Group’s 20th anniversary, a lot of the projects these days are internal projects that we are doing to acknowledge and capitalize on the anniversary.  For example, in late January 2014 we are going to launch Phase 1 of our new website that we have been working on for a year.  There will be a few phases after this initial rollout, but we’re looking forward to getting this out there.  We are also always planning and refining our CORE software that handles all our copyright and royalties so that we can handle as much volume as possible with as little human interaction as possible.  This Spring we are also launching our web-based pitching system which completely integrates with CORE.  This will enable us to only have to enter certain data on a song once and then all that data gets pushed out to our pitching system so that as long as we have access to a browser on a laptop or mobile device, we will be able to search our catalogue of music and create pitches that we can send to music users who are in need of music for their projects and then we can track who streams what, who downloaded what, and generally see how the outside world is interacting with the music that we assemble and pitch.

 

4.  What do you think are the most important issues facing songwriters and publishers at this time?
I think the overall topic that we must address is the constant fight to devalue music.  And that fight is both with external forces as well as internal ones.  Let me explain.  First, it is clear we are moving towards a streaming-based world.  And fast.  Right now the streaming rates are crap, especially given that there seems to be more and more evidence that streaming is displacing sales that have historically given us our mechanical royalties.  We must work together as content owners as well as with the digital services to structure rates that are fair and that allow digital services to flourish.  I fear it is going to get a bit worse before it gets better, but I think ultimately this is going to be a lucrative world but it’s one in which music must be properly compensated for.  On the internal side, especially in the world of synchronization, there is a constant erosion of fees.  And this is partly due to some artists and publishers continuing to allow their music to be used for lesser and lesser fees for the increased broad media rights that producers need these days.  This is a tough one – because if you say no, there are probably 10 other companies right behind you who will allow their music to be used and you want the use to happen as opposed to not happen.  But sometimes you just have to take a stand and explain how your music is worth more than what is being offered and you can’t allow it to be used except for a fair price.  Every time you allow your music to be used for free or practically free, another content producer goes off thinking for their next project that they don’t need a big music budget because they can always get music for free or next to free.  This is a losing battle and if we are to maintain (or maybe even increase!) the value of music, we must think carefully now about what our individual and collective actions are doing to the perception of music’s value.

 

5.  Everyone is now on the “placement” train, where they think the only viable way to make money is to get placements in TV and film.  Do you agree with this?  

 

Generally speaking I do agree with this.  But I think it depends on what kind of artist and songwriter you are.  Albums aren’t selling what they used to so everyone is looking at synch to make up the difference (see previous answer directly above).  And the synch world can still be a lucrative area, especially in ads and trailers where the fees are still higher generally than uses in TV and film projects.  TV uses are also in many ways the only “radio” that many artists receive these days given the corporate dominance in mainstream radio programming.  A successful TV show using your music can mean 10 million+ people hearing your song in one night.  That kind of exposure can’t be beat, especially if it’s a placement where you can actually hear the song as opposed to it just being background in a bar for example under dialogue where no one will hear it.  But successful touring artists can still make a lot of money off their music and never get a placement.  I talk to the indie artists about the concept of the “superfan” – strive to find, develop and maintain a direct artist-fan relationship with 1,000 people who love what you do so much that through the year they will spend $100 on you (whether that be in CD sales or digital downloads, tickets to a show, merchandise, etc.).  If you can do that, that’s $100,000 a year and you are successful at music and you’ve been able to do that with just 1,000 people and no placements.  It can be done.  And then there are some artists that are just synch-focused and they work hard and make a good living.  It can be done a number of different ways, but either way it takes commitment and a dedicated work ethic.

 

6.  What other avenues are still profitable for publishers and writers?

 

Other than the placement world, I think everyone is looking to YouTube to be a new frontier of sorts in generating income.  And you can generate a lot of income on YouTube but it takes a LOT of views to have a decent financial impact.  We are in a visual world now – any artist who wants a fighting chance should plan on making videos of their songs – whether they are gimmicky videos that go viral or not.  It’s all about getting the exposure.  But once you can get it (however you do it and it can be done outside of the major label paradigm), it’s how you use it and manage it that will determine your financial success.  As mentioned before, successful touring artists sell records still and that generates mechanical income.  It all feeds upon itself – the trick is figuring out where an artist or songwriter will first connect and then you take that and run with it.

 

7.  What types of deals are mostly being offered now among the independent publishers?

 

I think generally speaking the deals fall into 1 of 3 types: 1) the placement/licensing deal; 2) the admin deal; and 3) the co-publishing deal.  Regarding the placement/licensing deal, as the name implies this deal’s main focus is synch.  The publisher generally doesn’t get involved in any aspect of the writer/artist other than synch.  This can be a way for a publisher and artist to develop an initial working relationship to scope each other out.  But one word of caution to the artist is non-exclusive deals that get offered that involve re-titling the songs.  This is increasingly being frowned upon for a variety of reasons, so consider deals of this nature that are offered very carefully.  Then there’s the admin deal.  In this scenario, the writer/artist owns everything 100% still and the publisher takes on the administrative and hopefully creative responsibility to make things happen for the artist.  The more things that happen, the more income is earned for both parties.  Then lastly there’s the co-pub deal.  In these deals the publisher and the writer/artist split the publishing 50/50 and this deal generally involves some sort of upfront financial payment or investment in the writer/artist.  This is the highest level of commitment and as long as you feel you have the right partner who believes in what you are doing, this deal structure can work out well.  It all depends on what you as the writer/artist feels comfortable with.  Meet lots of publishers and go with who you feel “gets you” and who is offering what you feel is a fair deal.

 

8.  What is an independent publishing company looking for when considering signing a new artist?

 

Speaking for us as PEN Music Group, we are looking for great music in genres that we don’t have much of.  We don’t like to take on too many artists of the same genre where they will be cannibalizing each other in the opportunities we bring to them.  But it has to be music that we all connect and react to.  This is sometimes hard to put into words – it’s just a gut feeling.  But you know it’s good when you hear it.  Then we want to spend the time getting others to hear the music since we feel they will like it.  We are also looking for writer/artists who know how much hard work is involved in this career and don’t expect that if we take them on we will do all the work for them.  No one will ever work as hard for what they do as they should.  And if we see someone who is smart and organized and business savvy on top of being creatively unique, then we know we have something.

 

9.  Is there any criteria an artist/writer needs to have to even be considered for a deal?

 

Existing income and activity is always nice, but in the end it comes down to the music.  It has to be great music.  If we don’t react to it, then we won’t fight for it.  It’s all about commitment.  If they have committed to doing the best music possible and that shows, then we will want to get involved whether there is any existing income or not.  Because at that point we believe we can generate the income.

 

Thanks to Michael for this very informative interview.   Learn more about PEN Music Group here.

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Copyright Registrar Supports Artists at ASCAP Meeting

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Categories: Copyright, Music, Music Industry, Music Publishing, Tags: , , ,

On November 6, 2013, Maria Pallante visited the ASCAP offices to discuss copyright reform. Pallante, the Registrar of Copyrights, said: “Congress has a duty to keep authors in its mind’s eye, including songwriters…A law that does not provide for authors would be illogical — hardly a copyright law at all.” See the full story at ASCAP’s website. Learn more about Maria Pallante at the Copyright Office website.

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Artists Fed Up With Low Streaming Royalties — Threaten to Sue Labels

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Categories: Digital Distribution, Music Industry, Music Publishing, Record Labels, Royalties

International music artists are fed up with low streaming royalty payments, and fed up with the labels getting a bigger cut of those royalties than the artists receive.  Warner and Universal Music are now facing possible lawsuits from artists unless they agree to increase the artists’ share of those royalties.  While The Guardian cites example figures in British pounds, today’s currency conversion rates show that while the artist could make roughly $800 on 1 million Spotify streams, the label would make over $7,000 for those same streams.  To further complicate things, some artists’ contracts pre-date the online wave and those artists’ royalty shares fall under the old model when online streams were not contemplated.  In addition, music publishers are joining the fight to complain they are not paid as much as labels from the digital streaming services.  (Source:  The Guardian — “Spotify row:  artists threaten to sue labels over music streaming)

Due to the speed of technology, many of the artists’ contracts are outdated in their terms even though the contracts themselves are still governing the relationships between artists and labels.  In this digital age, it is important for artist lawyers to attempt renegotiation of these older agreements to ensure artists are sharing fairly in the income from these new technologies and services.  The problem is that many labels may not be willing to renegotiate royalty terms.   In addition, major label contract terms often lag behind the times even for newly-signed deals, so it is important for the artist representative to stay current on industry trends and know which terms to update in deal negotiations.  Major labels have notoriously been somewhat behind the times in relation to many online and technological developments, and my prediction is that they will not be so willing to renegotiate a large number of contracts.  Sure, they might change terms for some of their most important (i.e. financially successful) artists, but I doubt they would do a long list of renegotiations without an influx of lawsuits — or at least the threat of them.

Technology definitely has a way of keeping the litigators busy…

© 2013 Erin M. Jacobson, Esq. All Rights Reserved. If you like this article and want to share it, please provide a link to www.themusicindustrylawyer.com or a direct link to the post for others to read it.

This site is not intended or offered as legal advice. These materials have been prepared for educational and information purposes only. They are not legal advice or legal opinions on any specific matters. If they are considered advertisements, they are general in nature and not directed towards any particular person or entity. Transmission of the information is not intended to create, and receipt does not constitute, a lawyer-client relationship between this site, Erin M. Jacobson, Esq., and you or any other user. The content is not guaranteed to be correct, complete, or up-to-date. The law may vary based on the facts of particular circumstances or the law in your state. You should not act, or fail to act, upon this information without seeking professional counsel. No person should act or fail to act on any legal matter based on the contents of this site. Unless expressly stated otherwise, no document herein should be assumed to be produced by an attorney licensed in your state. For more information, please click on the “Disclaimer” section in the top menu of this site.
 

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How to Protect Your Music and Avoid Legal Pitfalls

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Categories: Business, Copyright, Infringement, Law, Legal Issues, Music Industry, Music Publishing, Record Labels, Royalties, Trademark, Tags: , , , , , , , , , , , , , , , ,

I recently had the privilege of being interviewed for My Music Masterclass about how musicians can protect their music, avoid some common legal pitfalls, and more.  The video is available for a temporary stream or permanent download HERE.

My Music Masterclass is a fantastic website where users can view exclusive masterclass sessions with the top touring musicians and industry professionals.  (Registration required and there is a small fee for the streams and downloads.)

You can view a preview of the full video below.  This video is packed with a lot of information and I hope it helps artists to further understand and take control of their careers.

Please don’t hesitate to contact me so I can help you to protect your music and grow your career.

Stream or download the full video here!

This preview video is also available on YouTube – please like, comment, and share it!  (Subscribe to my YouTube channel here.)

The information contained in this video and any linked resource is intended to provide general information and does not constitute legal advice by Erin M. Jacobson, Esq. or My Music Masterclass. The content is not guaranteed to be correct, complete, or up-to-date. This video is not intended to create an attorney-client relationship between you and Erin M. Jacobson, Esq. and you should not act or rely on any information in this video without seeking the advice of an attorney.   YOUR USE OF THIS INFORMATION IS AT YOUR OWN RISK. YOU ASSUME FULL RESPONSIBILITY AND RISK OF LOSS RESULTING FROM THE USE OF THIS INFORMATION. ERIN M. JACOBSON, ESQ. AND/OR MY MUSIC MASTERCLASS WILL NOT BE LIABLE FOR ANY DAMAGES WHATSOEVER RELATING TO THE USE OF THIS INFORMATION.

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Mechanical Royalty Rate Stays at 9.1 Cents

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Categories: Business, Music, Music Industry, Music Publishing, Record Labels, Royalties

The Copyright Royalty Board has chosen to keep the statutory mechanical royalty rate at 9.1 cents.

The mechanical royalty rate is the royalty paid for reproduction/manufacture/distribution of a composition on records and sometimes other media.  The origin of the “mechanical” is that it is a royalty paid to mechanically reproduce the composition on a record.  It’s not done mechanically anymore, but the principle is the same.

The record labels always want the mechanical royalty rate to be lower, so they can pay less to the publishers.  On the other hand, the publishers understandably want the rate to be higher so that they can make more money.  Thus, this new decision by the CRB is a victory for publishers.

In addition to keeping the statutory mechanical rate at 9.1 cents, ringtones will remain at 24 cents.  The CRB also came out with new revenue sharing rates for publishers regarding some newly-created royalty categories, mostly having to do with the cloud, lockers, and interactive services.

You can read more detail in Billboard.

© 2012 Erin M. Jacobson, Esq. All Rights Reserved. If you like this article and want to share it, please provide a link to www.erinmjacobsonesq.com or a direct link to the post for others to read it.

This site is not intended or offered as legal advice. These materials have been prepared for educational and information purposes only. They are not legal advice or legal opinions on any specific matters. If they are considered advertisements, they are general in nature and not directed towards any particular person or entity. Transmission of the information is not intended to create, and receipt does not constitute, a lawyer-client relationship between this site, Erin M. Jacobson, Esq., and you or any other user. The content is not guaranteed to be correct, complete, or up-to-date. The law may vary based on the facts of particular circumstances or the law in your state. You should not act, or fail to act, upon this information without seeking professional counsel. No person should act or fail to act on any legal matter based on the contents of this site. Unless expressly stated otherwise, no document herein should be assumed to be produced by an attorney licensed in your state. For more information, please click on the “Disclaimer” section in the top menu of this site.

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