{"id":4693,"date":"2019-02-11T14:02:38","date_gmt":"2019-02-11T19:02:38","guid":{"rendered":"http:\/\/utopsie.com\/work\/menonb\/contrat-de-disque-5-clauses-essentielles-a-comprendre\/"},"modified":"2020-06-10T15:58:34","modified_gmt":"2020-06-10T19:58:34","slug":"record-deal-5-essential-clauses","status":"publish","type":"post","link":"https:\/\/utopsie.com\/work\/menonb\/en\/record-deal-5-essential-clauses\/","title":{"rendered":"THE RECORD DEAL \u2013 5 ESSENTIAL CLAUSES"},"content":{"rendered":"

The record deal is one of the most symbolic contracts of the music industry.<\/p>\n

Perhaps because it encapsulates a turning point in Music History (the Album era), or perhaps because it is a milestone in an musicians\u2019 career\u2026 [or perhaps I am alone in giving poetic meanings to legal documents].<\/p>\n

The record deal is known by many names\u2026 the recording contract\u2026 the production contract\u2026the artist contract\u2026 the sound recording agreement… but generally refers to the same thing:<\/p>\n

The maker (often the record company) retains the exclusive services of the artist for the purpose of recording one or more albums, which the maker owns and exploits in exchange of paying royalties to the artist.<\/em><\/p>\n

Here are five essential clauses in a RECORD DEAL:<\/p>\n

1. Exclusive services <\/strong><\/h4>\n

A record deal will generally stipulate that the artist will provide their performing services exclusively to the record company for the duration of the contract. Indeed, few record labels will agree to invest money in an artist\u2019s career only to have them record with a competitor\u2026<\/p>\n

That said, it is important to ensure that the contract does not prevent you from being an accompanying musician to other artists.<\/p>\n

:: Can the contract be limited to the featured artist<\/em>\u2019s exclusive services? In the case of a band, can the contract be limited to performances played by any combination of three to five of the members? Can the contract be limited to performances played under the band\u2019s name? What happens if the record company sells its business or assets to a third party \u2013 will the artist be tied to the new owner for future albums?  ::<\/p>\n

2. Term<\/strong><\/h4>\n

Generally, the duration of a record deal is calculated in terms of number of albums or recordings. The artist guarantees their services for 1 album; for 1 album and 2 options; for 4 options [not recommended<\/strong>], etc.<\/p>\n

As the master recordings belong to the record company, they can exploit the recordings forever. For the artist, the important thing will thus be to limit the length of time for which they are tied<\/strong> to the record company. By reducing the number of album options, they will be able to approach another record if their experience has not been conclusive.<\/p>\n

It is also important for artists to ensure that the refusal (or omission) of the record company to exercise an option will cancel subsequent options, if any.<\/p>\n

3. Budget<\/strong><\/h4>\n

Although record companies rarely offer it firsthand, artists should always try to obtain a guarantee: how much will they invest on the album(s)? If their only response is \u201cit depends on grants\u201d or \u201cwe have $500 to start with\u201d, seriously ask yourself how badly you need a record need.<\/p>\n

4. Royalties<\/strong><\/h4>\n

In my experience, there are two main schools of thought on how to compensate artists:<\/p>\n