Music License Agreement

Saptaparni Raha
Sep 13, 2022
2 min read

Written by Saptaparni Raha, Lawyer

Introduction:

The music composers hold exclusive copyright on their work. Still, they are allowed to provide selective and absolute rights to a third party for the usage of their composition for commercial purposes.

The legal owners of the property are paid for the use of their property. This is known as a royalty. Musicians are awarded royalty depending upon their popularity, what the license deems as the worth of composition etc.

Purpose:

The Music Licence Agreement lends the copyright of music compositions to a third party. It helps the music reach a large audience.

Requirements of a Music Licence Agreement:

There must be a confirmation of royalties and mode of payment.
The duration for which the use is permitted needs to be mentioned.
The indication of the geographical area where music is permitted to be used.
Rights of the license owners to receive a sublicense.
Stipulations in case the music gets duplicated.

Essential Clauses for a Music Licence Agreement:

The first clause is the license grant which clarifies the nature of the license. In this clause, the licensor should specify if their license is exclusive or non-exclusive.
The next clause is related to royalty and payment, where the licensor is paid a sum of money in return for the license granted to the licensee.
The next clause mentions the rights and duties of the parties. The licensor should reserve all rights in this clause, and he may also set out a provision to state his name as the owner of all promotional activities.
The next clause mentions the date from when the agreement will come into force.
The following clause specifies the effect of termination on the rights granted to the licensee.
Now the copyright owner shall indemnify the licensee from all the damages.
In the representation and warranty clause, the licensor specifies certain warranties where the publisher shall be required to represent that he is a member of a registered copyright society.
In a dispute resolution clause, the parties should agree with the laws according to which the agreement should be interpreted.

Conclusion:

This agreement affects the daily lives of those who listen to music. The intellectual property laws apply to everyone who downloads a song, whether legally or illegally.

References:

Suprateek Neogi. (2017). Everything You Need To Know About The Music License Agreement. retrieved from Everything You Need To Know About Music License Agreement (ipleaders.in).
M.Arjun.(2020). Ten essential clauses of a music license agreement under Indian copyright Act,1957. retrieved from Ten Essential Clauses Of A Music License Agreement Under Indian Copyright Act, 1957 (ipleaders.in).