360 Record Deal: Mock Negotiation, LaPolt, Mark, Van Zuidam
360 Record Deal: Mock Negotiation, LaPolt, Mark, Van Zuidam
With major changes in recording agreements over the past three years, multiple rights or so-called “360 deals” have become more common. In this latest installment of NARIP’s “Art of the Music Deal” series, two top music business attorneys and an artist manager face off in a live negotiation of key deal points and contractual issues that affect an artist’s rights and income, and a record company’s ability to acquire and monetize additional rights.
These experts come together to give you the inside track on major deal points, what they mean and what leverage you have to negotiate the best possible deal. Most people think they can just hand a negotiation to a lawyer, and leave it at that. But as a professional, you need to be
aware of the process and deal points, too, and what the short- and long-term implications to your artists’ careers may be.
Record & Music Publishing Executives
Producers, Artist Managers and Artist Reps
Music Attorneys, Business Managers, Accountants & CPAs
Concert Promoters, Merchandising Executives
Those seeking a record deal for themselves or for clients.
The eight (8) major areas of negotiation for record deals:
1. Artist advance / recording fund
2. Controlled composition clause
3. Guaranteed release clause
4. Pay or play clause
5. No cross-collateralization / separate ?pot? for mastertone, voicetone and DVD monies
6. Tour support / marketing and promotion commitment (videos, etc.)
7. Artist royalty and royalties payable on foreign sales
8. 360 deals: try to limit other ancillary rights (i.e., merchandise, publishing, touring, sponsorships, etc.)
This program also covers:
– Multiple rights: what are they?
– How to minimize a record company?s involvement in additional rights
– How to obligate a record company to monetize additional rights and maximize returns from a 360 deal
– Important deal points including new 360 provisions, ancillary rights, digital royalties, a discussion of the new publishing royalty rates for mobile, digital downloads, and interactive streaming services (see handouts for details).
– 360 deals for developing artists
NARIP PROGRAM NUMBER: B95
PROGRAM DATES: October 27, 2009.
PROGRAM TIME: 2 hours, 3 minutes, 10 seconds (2:03:10)
FILE SIZE: 266 MB
HANDOUTS (49 pages total, note that some items are duplicated):
1. Excerpt from “Meet the Millennial Generation”
2. Important Companies in the Music Business
3. Fact Pattern for Mock Negotiation (deal memo)
4. Dina’s Eight (8) MAJOR Areas of Negotiation for Record Deals
5. Types of Multiple Rights Deals
6. Record Royalty / Income Streams Available To The Artist
7. iTunes & Master Tone Royalty Calculations
8. Webcasting Royalties: Interactive vs. Non-Interactive
9. Public Performance Royalties For Internet Licenses
10. Form agreement of 360 recording deal
11. Harry Fox Agency 2009 Rates / Licensing Procedures
12. “Multiple Rights Deals in the US: 360 and Beyond” by Dina LaPolt and Bernard Resnick. Excerpted from Multiple Rights Deals In the Music Industry, MIDEM International Music Business Conference, Cannes France, January 2009 © International Association of Entertainment Lawyers. Used by permission.
SOURCES FOR MORE INFO
Dina LaPolt, Esq.
Dina LaPolt is an entertainment attorney at LaPolt Law, P.C. in Los Angeles. LaPolt Law is a boutique entertainment firm that specializes in representing clients in the music, merchandising, film, television, and book publishing industries. The firm’s clientele include recording artists, independent record companies, music publishers, songwriters, producers, managers, executives in the music and film industries, film production companies, photographers, directors, writers, authors, and actors. In addition to practicing law, Dina teaches “Legal and Practical Aspects of the Recording and Publishing Industries” in the Entertainment Studies Department at UCLA Extension and speaks regularly on panels at music industry conferences all over the country. On the film production side, Dina was the co-producer of the 2005 Academy Award-nominated documentary film entitled Tupac: Resurrection. For more information on Dina LaPolt or her firm, please log on to www.LaPoltLaw.com
Doug Mark, Esq.
For the past 23 years, music attorney Doug Mark has represented all possible entities in the music and film industries including independent and major record companies, independent and major music publishers, new and superstar recording artists, record producers, film composers, executives, technology companies and others. Founded in 2007, his firm Mark Music & Media Law, P.C. has offices in Los Angeles and New York. The firm?s current clients range from pop stars (Sara Bareilles, Michelle Branch, Jojo and Daniel Powter) to hip-hop stars (The Game, Mims), rock bands (Motley Crue, Lostprophets), alternative artists (Dashboard Confessional, Tegan and Sara, Ladytron), to film composers (Danny Elfman, Trevor Rabin) and others. The firm represents some of the biggest indie labels (Epitaph/Anti, 11-7 Recordings) and divisions of three out of the four major label groups. Other entities receive focus from Mark Music and Media Law as well. Start-ups, financing companies, management companies, writers, producers and executives all receive the finest advice and documentation from the firm. Transactions for these companies include equity financing, catalog sales, mergers, employment agreements and more.
Lisa Van Zuidam
As Chief Financial Officer and Chief Operating Officer of Tenth Street Entertainment and The Eleven Seven Music Group, Lisa Van Zuidam oversees the financial elements and overall operations for Tenth Street Entertainment and The Eleven Seven Music Group, new models for the successful entertainment marketing and content companies across a range of platforms including music, fashion, book and music publishing, film, live performance and more. Among the companies? content creation partners are Mötley Crüe, Buckcherry, Papa Roach, JET, Deborah Harry and Blondie, Sixx:A.M., Drowning Pool, The Last Vegas, Charm City Devils, Marion Raven, Royal Underground and others. Van Zuidam began her career with Tenth Street and Eleven Seven in 2005 as the Controller and expanded her duties to reach her current position. Van Zuidam was previously with Prager & Fenton as a business manager working with artists such as Gavin DeGraw, Neil Sedka, Jimmy Webb and AC/DC. For more information, please visit Tenth Street Entertainment or The Eleven Seven Music Group.
Program music courtesy of The G-Man (Golosio Music Publishing, BMI)
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