Agreement whereby a party (normally a record label or unsigned artist) grants a licence to a company to distribute a catalogue of songs. The main contract sections are term, exclusivity, number of songs, formats and territory and they are all fully customisable to reflect each scenario.
Royalties are calculated on an either “Net Receipts” basis or as percentage of each record sale. Accounting is set out quarterly and the party licensing the catalogue warrants that they have paid and will continue to pay all relevant mechanical licences, guest performers’ and producer’s fees.
This contract is used by companies distributing artists or label’s catalogue of music to retailers, service providers, aggregators and/or directly to users or to sub-license distribution rights to third parties
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