1. What MLG Does for Label
MLG will help Label share its music (songs, videos, photos, etc.) online. We work with various online services (like iTunes, Spotify, YouTube) to make sure your content can be downloaded, streamed, or offered through subscription or ad-supported services. We'll use any current or future online methods we think are best.
Label will provide MLG with its music. This agreement covers digital distribution only, not physical copies. Label promises that it owns all the rights needed for the music it gives to MLG, including agreements with artists, composers, and any necessary clearances for samples or cover songs.
2. Giving MLG the Rights
Label gives MLG the worldwide right to:
• Offer Label's music and videos for paid downloads, streaming, ad-supported services, ringtones, or subscriptions to customers online or on mobile devices.
• Use Label's music, videos, project names, and artist names for these services.
• Change (adapt) the material as needed for these services (like making ringtones).
• Store and share necessary information about the music in databases.
Label guarantees that signing this agreement doesn't conflict with any other agreements it has. Label also agrees to handle and pay for any legal problems or costs that come up because of this agreement.
3. How Long This Agreement Lasts
This agreement starts on the date you receive your login credentials, and will continues indefinitely.
Either party can end this agreement by giving 3 months' written notice. If no written notice is given, the agreement will automatically extend for another year, and this will keep happening until 3 months' written notice is given before the extension ends.
4. How Label Gets Paid (Royalty Share)
For every music track sold or used through MLG's services or third-party platforms, Label will receive 85% of the net income that MLG gets from these services.
5. Royalties and Other Payments
Label is responsible for paying its own artists, producers, and other labels from the money it receives from MLG.
• Most of the time, mechanical royalties (for reproducing music), public performance royalties, and broadcasting royalties (for playing music on radio/TV) will be paid directly by the online services (DSPs) to the copyright organizations (like Harry Fox, GEMA) or music publishers, if MLG has arranged this with the DSPs.
• If any of these royalties aren't collected, MLG can help collect them through a separate "Rights management and publishing agreement" if Label signs up for that service.
6. Statements and Payments
MLG will send Label a statement every month within 60 days of getting paid by the online services. The statement will show where each item was sold and the price paid by the customer.
7. Taking Down Content Due to Copyright Claims
If a third party (like an artist, producer, or other rights owner) claims to own the rights to Label's music or content and asks for it to be removed from online services, Label will pay a fee of $50.00 for each item (album, single, track, etc.) that needs to be taken down.
Label must pay this fee when MLG sends an invoice. If Label doesn't pay, MLG can take these fees out of the royalties owed to Label.
8. Other Important Details
• Label will provide MLG with all the necessary information for its music (metadata, audio, video, artwork) through MLG's online system or another agreed method.
• Label can choose which online services and countries it wants its music to be available in, for each release. This can be done through MLG's online system or another agreed method.
• MLG can transfer this agreement to another company that it owns, or that owns MLG, or that buys a large part of MLG.
• MLG can refuse to distribute any of Label's music if it chooses.
• If there's a third-party claim (as mentioned in section 7), MLG can remove the content without discussing it with Label first.