Mariah Carey came out of her 2002 split with EMI about $19 million richer, but it`s rare for an artist to triumph so impressively. If an artist wants to make an appearance on another artist`s record, he needs a “Sideman” regulation to cover that. Chris Martin, from coldplay fame, recently appeared on the Nelly Furtado Track `All Good Things`, though, with his plaintive singing a little hidden in the mix. Similarly, DJs and producers will sign contracts under a specific alias, which will allow them to enter into contracts with other labels under another pseudonym. Dave Lee, AKA Joey Negro, Raven Maize and Jakkata are examples. This relates to the length of the contract. It is calculated from an initial fixed period of 12 months – if you make your first album – followed by other option periods, usually 12 months, so that the record company can renew the contract if it wishes. There will be a minimum commitment in each period that requires you to provide a certain number of tracks, to a deductible standard, with perhaps a total of five or six albums expected as part of the agreement. You must also ensure that you only authorize your management commission for the unaccounted for portion of the fund – especially what is left after the registration budget has been agreed. It`s your personal progress on which your manager will take his 20 percent. Although the idea of great progress can excite you, they come at a price. Often, when progress is great, there will be more pressure on an artist to succeed immediately.
If the first record is a flop, the label can reduce its losses and let you down. If you are a little more stable and really believe in yourself, you should probably opt for a smaller lead and instead try to get a higher royalty rate. It is important not to allow the record company to return the artist`s licensing income to the producer. In the United Kingdom, the progress made by manufacturers is the responsibility of the label. Standard prints – or standard prints for record companies – include a 20 to 25 per cent deduction on CDs, a reduced licence rate for overseas sales, budget registrations and record clubs, a reduction in licensing fees for television albums and often no royalties for free products (discs given to retailers and media). Since you only get paid for licensed registrations, you need a cap on free goods, otherwise you`ll get into trouble. When the recordings are sold out, this usually happens because either the label has decided that the resale (or distribution) of the disc is not profitable, or the licensing agreement with the artist has expired. (Labels may also end distribution as a punitive measure if an artist does not comply with his contract, or as a strategic measure if negotiations on a new directive prove difficult.) Record labels can also go bankrupt like any other, and their owners and copyrights are sold or traded as part of their assets. (From time to time, they are bought by the artists themselves.) Another protection that the label will require is a limitation of reissue. This prevents the artist from resuming his music after the expiry of the contract for a number of years on another label. Any restrictions you agree should apply for up to five years after the end of the contract and should only cover actual published recordings.
A graphic design agreement is a contract used by an artist or record label when a graphic designer is hired to design the artwork used in the packaging or marketing of a recording.