Record Label Licensing Agreement Template for United States

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Key Requirements PROMPT example:

Record Label Licensing Agreement

"I need a Record Label Licensing Agreement for a new electronic music artist based in California, with specific provisions for digital-only distribution and streaming platforms, including a 70/30 revenue split in favor of the artist and quarterly royalty payments."

Document background

The Record Label Licensing Agreement serves as a fundamental document in the music industry, establishing the legal framework for the commercial exploitation of musical works. This contract type is essential when artists or rights holders want to grant specific rights to a record label while maintaining certain controls and ensuring appropriate compensation. Used primarily in the United States music market, it must comply with federal copyright laws, state-specific regulations, and digital music distribution requirements. The agreement typically covers aspects such as territory rights, royalty structures, delivery specifications, and marketing commitments.

Suggested Sections

1. Parties: Identification of the record label and artist/rights holder

2. Background: Context of the agreement and relationship between parties

3. Definitions: Key terms used throughout the agreement including copyright, recordings, territory, and royalty-related definitions

4. Grant of Rights: Specific rights being licensed to the record label including recording, distribution, and exploitation rights

5. Term and Territory: Duration of agreement and geographical scope of the license

6. Royalties and Payments: Payment terms, royalty rates, accounting periods, and calculation methods

7. Delivery Requirements: Specifications for content delivery including format, quality, and timeline

8. Representations and Warranties: Legal guarantees from both parties regarding rights ownership and authority to contract

9. Termination: Conditions for ending the agreement and post-termination obligations

Optional Sections

1. Marketing and Promotion: Terms for promotional activities and marketing commitments

2. Third Party Licensing: Rights and conditions for sub-licensing to third parties

3. Creative Control: Provisions for approval rights over creative decisions and content

4. Minimum Performance Requirements: Specific targets, obligations, and performance metrics

Suggested Schedules

1. Schedule A - Licensed Works: Detailed list of musical works covered by the agreement

2. Schedule B - Royalty Rates: Detailed breakdown of royalty calculations and rates for different types of exploitation

3. Schedule C - Territory Restrictions: Specific territorial limitations or requirements for different regions

4. Schedule D - Technical Specifications: Required format and quality specifications for recordings and materials

5. Schedule E - Marketing Commitments: Detailed marketing obligations, budgets, and promotional requirements

Authors

Alex Denne

Head of Growth (Open Source Law) @ Genie AI | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

alex.den.21@genieai.co

Relevant legal definitions

Clauses

Relevant Industries

Music Industry
Entertainment
Digital Media
Broadcasting

Relevant Teams

Legal
Business Affairs
Rights Management
A&R
Finance

Relevant Roles

A&R Director
Music Industry Lawyer
Licensing Manager
Business Affairs Executive
Rights Management Director

Industries

U.S. Copyright Act: Primary federal legislation governing copyright protection in the United States (17 U.S.C.), covering creation, distribution, and protection of original works including musical compositions and sound recordings

Digital Millennium Copyright Act (DMCA): Federal law addressing digital copyright issues, online service provider liability, and anti-circumvention provisions for digital content protection

Music Modernization Act (MMA): 2018 law modernizing copyright legislation for the streaming era, including mechanical licensing reform and pre-1972 sound recordings protection

Lanham Act: Federal trademark law protecting brand names, logos, and other commercial identifiers used in the music industry

Right of Publicity Laws: State-specific laws protecting an individual's right to control and profit from commercial use of their name, image, and likeness

Uniform Commercial Code (UCC): Standardized state laws governing commercial transactions, including contract formation and enforcement

Fair Labor Standards Act: Federal law establishing wage, overtime, and labor standards affecting music industry employment relationships

Digital Performance Right in Sound Recordings Act: Legislation establishing copyright owners' exclusive rights for digital audio transmissions of their recordings

Mechanical Licensing Regulations: Rules governing the reproduction and distribution of copyrighted musical works, including compulsory licensing provisions

Performance Rights Regulations: Laws governing public performance rights for musical works and sound recordings, including digital and traditional broadcasts

International Copyright Treaties: Agreements like the Berne Convention and WIPO treaties affecting international music rights management

Payola Laws: Federal regulations prohibiting undisclosed payments for broadcast music promotion

FCC Regulations: Federal Communications Commission rules affecting music broadcasting and content restrictions

State Privacy Laws: State-specific regulations governing the collection, use, and protection of personal information in the music industry

Federal Trade Commission Regulations: Rules governing fair competition, advertising, and consumer protection in the music industry

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