THIS AGREEMENT, made and entered into on the %ORDER_DATE% [“Effective Date”] by and between %CLIENT_NAME% (hereinafter referred to as the “Licensee”), and the production company, also professionally known as “Tha Beat Creators” (hereinafter referred to as the “Licensor”) serves as a legally binding contract. Licensor warrants that it controls the mechanical rights and the copyrighted musical work entitled “%BEAT_NAME%” (“Composition”) as of and prior to the Effective Date first written above. The Licensee and Licensor have agreed to the following terms:
1. Master Use
The Licensor hereby grants to Licensee a non-exclusive license (this “License”) to record vocal and/or instrumental synchronization to any or all parts of the Composition. The Licensee understands that their non-exclusive usage of the Instrumental is limited to one new composition and if the Licensee wishes to use the Instrumental in other new compositions, then the Licensee must obtain another license to use the Instrumental from the Licensor. The Licensee also agrees to refrain from editing the Instrumental that is being licensed in this agreement, by changing the arrangement of the Instrumental or by removing any melodies, instruments, drum programming or sounds that are contained within the Instrumental.
2. Mechanical Rights
The Licensor hereby grants to Licensee a non-exclusive license to use Master Recording in the reproduction, duplication, manufacture, and distribution of phonograph records, cassette tapes, compact disk, digital downloads, other miscellaneous audio and digital recordings, and any lifts and versions thereof (collectively, the “Recordings”, and individually, a “Recordings”) worldwide for up to the pressing or selling a total of Twelve Thousand ( 12,000) copies of such Recordings or any combination of such Recordings, condition upon the payment to the Licensor, receipt of which is confirmed. The Licensee is required to contact the Licensor for a lease renewal or upgrade once the units sold limit has been reached. Once the limit has been reached, all terms in this agreement will be considered null and void until a new license has been purchased.
3. Performance Rights
The Licensor hereby grants to Licensee a non-exclusive license to use the Master Recording in unlimited non-profit performances, shows, or concerts. Licensee may receive compensation from up to Fifty (50) paid performances with this license. The Licensee is required to contact the Licensor for a lease renewal or upgrade once the max limit of paid performances has been reached. Once the paid performance limit has been reached, all terms in this agreement will be considered null and void until a new license has been purchased.
4. Synchronization Rights
The Licensor hereby grants a non-exclusive license, for limited synchronization rights for an unlimited number of music videos streamed online (YouTube, Vimeo, etc..) for up to Five Hundred Thousand (500,000) non-monetized video streams on all total sites. The Licensee is required to contact the Licensor for a lease renewal or upgrade once the streaming limit has been reached. Once the limit has been reached, all terms in this agreement will be considered null and void until a new license has been purchased. This license does not allow Master Recording or Recordings to be used for monetized video streams like (YouTube, Dailymotion, etc.). A separate synchronization license will need to be purchased for distribution of video to Television, Film or Video game
5. Broadcast Rights
The Licensor hereby grants to Licensee no broadcasting rights. A separate license will need to be purchased for rights to broadcast or air the Master Recording or Recordings on radio stations, or channels.
6. Publishing Rights
The Licensor grants Licensee 0% of publishing rights. Licensor maintains all publishing rights for the music production. Licensor maintains all publishing rights.
The Licensor maintains 100% full rights (copyright and ownership) of the instrumental, and can continue to sell it non-exclusively and/or exclusively. The Licensee has neither the right nor authority to sell or license the rights to the Instrumental whether in whole or part to any other party. In the event another individual purchases exclusive rights to your licensed Instrumental you will retain your non-exclusive rights under the limitations listed in this agreement and until these terms have been fulfilled. The Licensee understands that the Composition will remain available for sale by the Licensor, and may continue to be leased by the Licensor, or purchased by another party at any given day or time. Only in the event of ‘Exclusive Rights’ being purchased will the Composition be deleted from Tha Beat Creators website(s) website(s) and no longer sold.
The Licensee shall acknowledge the original authorship of the Composition appropriately and reasonably by giving production credit to the Licensor for any and all distributed media. This should be done in writing with “Produced by Tha Beat Creators” Including, but not limited to, CD’s, CD covers, Cassette tapes, Cards, Mixtapes, digital downloads, videos, websites, etc. Licensor reserves the right to keep an audio signature at the beginning of all non-exclusive instrumentals.
If the Instrumental includes samples, the Licensee understands that the sequence and music arrangement is considered original work. The Licensee agrees that the Composition is purchased as a “Work Made for Hire” whereby the clearing of any sampled materials is the sole responsibility of the Licensee. Samples may not be cleared before composition, and Licensee is required to seek clearance for the samples. The Licensee is responsible for clearing all samples used (if any) and the Licensor cannot and will not be held liable for the misuse of any sampled material that the Licensee uses in conjunction with the composition/arrangement that is being licensed in this agreement.
Executed by the Licensor and the Licensee, this License agreement is to be effective as for all purposes as of the Effective Date and shall not expire. In the event that an exclusive license is sold by Licensor to the Composition, the terms of this agreement shall be upheld.
Payment for this License is non-refundable. If the Licensee fails to account to the Licensor timely and complete the payments provided for hereunder, including having insufficient bank balance, all terms will be null and void. In the event that payment is refunded to the Licensee, this license will automatically become null and void and all usage rights will be revoked. Such termination shall render the recording, manufacture and/or distribution of Recordings for which monies have not been paid subject to and actionable as infringements under applicable law, including, without limitation, the United States Copyright Act, as amended.
Accordingly, Licensee agrees to indemnify and hold Licensor harmless from and against any and all claims, losses, damages, costs, expenses, including, without limitation, reasonable attorney’s fees, arising out of or resulting from a claimed breach of any of Licensee’s representations, warranties or agreements hereunder. Audio Samples, and 3rd party sample clearance, if applicable, are the sole responsibility of the Licensee.
This license is non-transferable and is limited to the Composition specified, does not convey or grant any right of public performance for profit, constitutes the entire agreement between the Licensor and the Licensee relating to the Composition, and shall be binding upon both the Licensor and the Licensee and their respective successors, assigns, and legal representatives.
14. Governing Law
This License is governed by and shall be construed under the law of The United States of America, without regard to the conflicts of laws principles thereof.
By receiving this contract via email, you automatically agree to the terms stated above and gain non-exclusive rights to the Composition. Any breach of this contract will result in this agreement to automatically become null and void, and will result in the revocation of any usage rights. Should these privileges be revoked, the Licensee understands that selling any recordings that contain any sum or portion of the Composition being licensed in this agreement, without written permission from the Licensor would constitute a violation of copyright law punishable by legal action.