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Copyrights
Royalties
Record Companies
Bar Codes
ASCAP & BMI
Licensing
Promotion
Cover Songs
Release Numbers
Royalty Rates
NMPA
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"The Dream Stream"
The
recording industry is dominated by the Big Five (Universal, EMI, BMG, Warner
and Sony)
who between
them have controlling interests in the majority of the major labels.
However
there are also successful record companies not associated with the Big
Five
(often
known as 'independent' labels) and some of these are listed in the links
below.
Universal Music Group
EMI
BMG
Warner
Music Group (AOL Time Warner)
Sony
Music
Other
labels
Label
guides on the web
Reference
works
What is a release number, and do I need to have one?
Record
business professionals and anyone that inventories music (stores, etc.)
don't refer to records by name,
but by
release number. A release number, also known as matrix number or catalog
number, is an identification number for
your
CD or tape. The number generally consists of a combination of up to seven
letters and numbers (such as CD1001),
which
can be picked by you and based on any combination of letters or numbers
- your band name, artist's name,
special
dates or numbers, etc. Every project needs a release number since retailers
keep their inventories that way.
If you
do not indicate a release number on your order form, we will assign one
to your project
A
barcode, or UPC code, is essential if you're planning to sell your CDs
or cassettes in stores, to make them
[retail-ready]
products. As a special service to our customers, This link. will
save $700, and stores will be able to
scan
and sell your merchandise. Please download or special SOUND SCAN form.
(Adobe Acrobat Reader required)To get
your
own barcode (recommended if you have regularly scheduled releases) assigned
by the Uniform Code Council,
call
1 800-543-8137 for an application kit, or visit their site at http://www.uc-council.org/
How can I get a resale certificate?
If
you take delivery of your product in California, and you don't have a resale
certificate, you have to pay sales tax.
Resale
certificates are issued by the state to legitimate businesses who resell
their merchandise to distributors and retailers,
and exempt
you from paying taxes for CD and cassette manufacturing. Instead, those
taxes will be passed on to the consumer.
For more
information and the necessary forms call 510-286 0347. Note: Unless you
run a full time business that sells to
distributors
and retailers, it is often difficult to get a resale certificate in California,
and the Franchise Tax Board will want
annual
payments of at least $1,800.00 even if you don't sell anything!
I've written a number of original songs. How can I protect them?
Although
any song you write is officially your property, it can be very difficult
to prove that in a court of law.
Therefore,
we strongly advises you to copyright all of your original material. Once
officially copyrighted, no one else will be able
to record
your songs without your permission. (And if they do, this establishes your
legal grounds for claiming damages due to
infringement
of your copyright.) Call the Library of Congress in Washington, D.C.(202-707-9100)
to get the necessary forms.
You'll
have to send them back the completed forms, the songs on a tape, and a
lyric sheet, along with a $20 fee. We recommend
that
you send these materials via certified mail to ensure that they arrive
safely. You can send as many songs as you like for the
one-time
fee, as long as all of the selections in the collection are by the same
author. If they are by different authors, at least one
of the
authors must have contributed copyrighted material to each selection. In
a few weeks, you'll receive a clearance form,
confirming
that your material has been copyrighted. After you've done this, you may
want to become an affiliate of a
music
licensing company. Companies like BMI and ASCAP offer licensing services
which track radio play and television
usage
to ensure that you are paid performance rights. For more information on
these services, call: ASCAP:212-621-6000,
or BMI:
212-586-2000, SESAC: 212-586-3450. In audio duplication, the best surprise
is no surprise, and the
Hot Tracks
master reference is an extra step we take to ensure that you are completely
satisfied with your finished CDs.
What should I do if I have a cover song on my album?
If you are using someone else's copyrighted composition(s), you need to
get a mechanical license in writing.
A mechanical
license is referred to by lawyers as a (compulsory) license, which means
that it cannot be denied to you or
anybody
that wants to use a cover song, but it can be a long and sometimes complicated
process. Some studio's require
that
you affirm that you have the proper licensing on hand, or have applied
for it, before they will manufacture your work.
There
are three ways to get mechanical licenses:
1) First,
find out who owns the copyright on the composition by contacting BMI (212-586-2000
or www.bmi.com ),
ASCAP
(212-621-6160 or www.ascap.com ), or SESAC (800-826-9966 or www.sesac.com
). Or, if you are Internet savvy,
you can
Telnet into the Copyright Office's database and look up the official record.
Armed with this info, you can contact
the publisher
and negotiate your own rates. For a song that is not that well known or
that is not in the current music scene,
this
can often be easy to do. After all, more exposure is what most songwriters
are looking for.
2) If
you don't want to negotiate your own rates or if the song is currently
or was popular, contact the Harry Fox Agency
(212-370-5330
or
http://www.harryfox.com/). They
are authorized to issue mechanical licenses at the statutory rate .
3) If
you cannot afford the standard fees, contact a group like the Volunteer
Lawyers for the Arts
(call
215-545-3385 for the chapter nearest you). They can often help negotiate
reduced royalties for schools and nonprofit groups.
Licensing
Do
you have questions regarding any of these subjects? If So visit The
Harry Fox Link below.
Mechanical
Licensing | Digital Licensing | International Monitoring | Royalty Compliance
| Royalty Collections & Distributions
The Harry Fox Agency, Inc. (HFA)
Statutory Royalty Rates
Current Statutory & Historical Royalty Rates
National Music Publishers' Association (NMPA)
For the period January 1, 2002 to December 31, 2003 the statutory mechanical royalty rate is as follows:
8.00 Cents
for songs
5 minutes or less
-
or -
1.55
Cents per minute or fraction thereof
for all
songs over 5 minutes.*
* For
example:
5:01 to 6:00 = $.093 (6 X $.0155 = $.093)
6:01 to 7:00 = $.1085 (7 X $.0155 = $.1085)
7:01 to 8:00 = $.124 (8 X $.0155 = $.124)
CONTROLLED
COMPOSITION CLAUSES
ASCAP
It should
be mentioned that the per-song statutory mechanical royalty can be reduced
under certain circumstances
(for
example, if the writer is the recording artist or if the record is sold
as a mid line, record club, TV-only, special-products
compilation,
or budget album), in which case the royalty figures may be less than those
mentioned above. However, such
reduced
rates are voluntary and occur only if the publisher agrees or if the songwriter
is a recording artist and has to
accept
such lower royalties in the record company contract.
Here’s
where things get complicated, so bear with us, and read carefully. Many
agreements the majority, in fact contain
language
which provides that if the recording artist or producer has written or
courtier a song, has ownership or control of a song,
or has
any interest in any composition on the album or single, the mechanical
royalty rate payable by the record company for
that
composition is reduced. Such compositions are referred to as controlled
compositions. Most contracts attempt to establish
a 75%
rate (specifically, 6¢, which is three quarters of the 8¢ full
statutory rate) for all controlled compositions.
The figures
are computed at the mechanical rate in effect at either (a) the time the
recording is produced,
(b) the
date of the recording contract with the artist, (c) the date that a particular
album commenced recording
(or should
have commenced recording per the contract), or (d) the date the recording
is originally released
(regardless
of whether the same recording is released again at a later date in another
album).
In other
cases, the record company will establish a maximum aggregate mechanical
penny royalty limit for an album
(for
example, 10 songs x 6¢ = 60¢ per album). In a sense, a cap on
royalties. Under these clauses, the artist or producer
guarantees
that he/she will secure reduced mechanical rates on all songs on the album
so that the maximum
penny
rate (e.g., 60¢) payable by the record company to music publishers
and songwriters for all songs is not exceeded.
If this
maximum aggregate album royalty rate is surpassed for example, if the writer/artist
wants to put 12 songs rather than
10 on
the album- the difference is normally deducted from the artists or producers
record, songwriter, and publishing
royalties,
or, the per-song royalty rates for the writer/artist or writer/producer
will be reduced proportionately.
Now, lets
take a look at how this arithmetic affects a specific situation: Lets say
that the writer/ performer has
a 10
song x 6¢ maximum royalty rate on his/her album (in other words, 60¢
total) and, instead of writing all 10 songs,
writes
only eight and records two songs from outside writers who demand the 8¢
statutory 2002-2003 rate per song.
In this
case, the mechanical royalties would look like this:
60¢
album
royalty maximum payable by record company
- 16¢
two
outside songs at 8 ¢ each
44¢
/ 8
the
number of artist written songs
5.5¢
per-song
royalty to artist/writer and publisher
As you
can see, the writer/artist’s mechanical royalty has been reduced to 5.5¢
per song from 6¢ per song due to
the inclusion
of two outside written songs on the album. By the same token, as the writer/artist
records more outside
written
songs, the artists per-song royalties for his/her own works will be further
reduced. Sometimes, in fact, when a
writer/artist
has recorded a substantial number of songs by other writers, he/she has
been put in a position of receiving
no royalties
for his/her own songs, since the aggregate album royalty maximum has been
paid out to outside songwriters
and publishers.
Ouch! But it can get even worse. There have actually been instances in
which the writer/artist’s mechanical
royalties
have been in the minus column for every album sold because of the operation
of these controlled composition clauses.
Additionally,
the era of multiple remixes has given rise to a clause which provides that
the writer/artist will only receive a
mechanical
royalty for one use of his/her song regardless of the number of versions
contained on the single or album.
Writers
Application
writerapp
Publishers Application publisherapp
Copyright
is a legal device that protects the music itself -- not the paper on which
it is printed nor
the recording
on which it is performed.
It is
copyright alone that makes music publishing feasible, for without it there
is no protection against the
unrestricted
and uncompensated use of the property of a composer/lyricist and their
publisher.
ALWAYS
COPYRIGHT YOUR ORIGINAL MATERIAL WITH LIBRARY OF CONGRESS
DOWNLOAD
SOUND RECORDING FORM HERE copyright
formsr
Cover Songs
If you
have recorded a cover version of someone else's song, and you plan
to sell
that recording over the internet, the following information
applies
to you.
Selling
downloads of cover songs is easy an inexpensive.
If you
have recorded a cover version of someone else's song, and you plan to sell
that recording over the Internet,
the following
information applies to you.
You Should follow these steps before you make your recording available for distribution to the public!
If you
record a cover version of a song, (meaning your performance of a song that
has been released in the U.S.
with
consent of the copyright owner), you are entitled by law to release your
recording commercially,
and the
owner of the copyright to the song cannot prevent you from doing so.
The Copyright
Act provides for what is called a “Compulsory License” for downloads and
CD sales,
which
means that if you follow the steps set forth by statute, you can distribute
your recording of that song on a CD or over the internet.
This
Compulsory License is only available for sales in the United States. Other
uses of masters, such as streaming,
conditional
downloads, and the like, are not subject to a Compulsory License. A separate
license from the publisher is needed in those cases.
The following
details the procedure for individuals to obtain a compulsory license to
digitally distribute cover
songs
over the Internet to end users in the United States.
Identify
the Copyright Owner - the publisher
The first
step is to identify the owner(s) of the copyright to the song. The publisher.
The easiest
way to do this is to search the song writer/publisher databases, on the
links below.
We recommend
Harry Fox.
BMI
ASCAP
SESAC
Harry Fox
U.S. Copyright Office
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