An alternative to a traditional group agreement would be the creation of a limited liability company (LLC) and the development of a corporate contract that would almost resemble a group agreement, except that any member of the group would be a member. The advantage of this approach is that if the group enters into agreements with third parties, such as investors, the personal wealth of the group members would not be compromised. The first area of negotiation is the term in which the songwriter must provide the music publisher with his active songwriting services. In most contracts, there is first a (1) duration of the annual contract with options from the publisher to extend the duration of one (1) years. The agreement could provide, for example. B, a period of one (1) year with three (3) to six (6) separate option periods. Sometimes the initial period is longer than one (1) year (for example. B an initial period of two (2) years, consisting of two (2) distinct annual periods (1) with additional options or for a given period of years without options (for example. B the duration of an annual contract of three (3) without options). There are 6 types of basic chords that songwriters sign with a music publisher. These include the individual agreement on the song, the exclusive agreement on the authors of songs, the co-publication agreement, the participation agreement, the administration agreement and the sub-publication agreement. Other agreements include the songwriter and performer development agreement, as well as joint venture and joint venture agreements. A sharing sheet is a document that indicates who owns what percentage of a song and determines the credit each person should have.
At the end of this section, there is a split sheet. For each song created by more than one person, a split sheet must be created and completed and signed by all authors before being purchased from a third party or trying to concede it for investments. Every day around the world, songwriters work together on songs and never clarify who wrote what. If a songwriter ever has the chance to concede a song for an advertisement, film or television show, the author may find that he is fighting to find out who owns the percentage of the song`s revenue. Most songwriters and artists just want to make great music, and it may seem unpleasant to introduce a shared sheet and try to be creative, to divide the actions of the publisher. Yet it is a necessary part of the songwriting process. It`s important to have a split sheets meeting before they enter the studio. this way, everyone understands that it`s not personal, it`s just business. This gives everyone the feeling that their interests are protected, which can encourage creativity rather than hinder it.
This is the ninth part of an 11-part series on the basic agreements of the music industry. It includes two different, albeit related, discussions. The first part of the article deals with the commercial actions that a band should take and can take without the services of a lawyer at no or no minimal cost. The second part of the article examines the elements and benefits of an agreement between members of a group or a musical group on important issues such as decision-making, the distribution of money (including performance and recording revenues), the treatment of outgoing members and ownership of the group `ownership` (such as the name, songs and masters of the group). The songwriter agreement defines the basic relationship between the songwriter and the publisher. It entrusts the publishing house with control over most copyright issues, subject to certain areas of control that the songwriter and songwriter share over the royalties obtained by the work. As in most agreements, there are certain provisions that are considered “standard” boilerplate based on the customs and practice of the industry, but many points are totally negotiable by the parties depending on the stature of the songwriter, the economic realities and the flexibility of the publisher.