Michael Jackson owned a large part of the Beatles catalog for years.
He also owned the official State song of Wisconsin!
^ I'd like to be proactive and avoid this type of thing, even though realistically, I got nuthin to worry about
I used to say, "If someone steals my music and can figure out how to make money on it, I'm not going to sue them....I'm going to make them my manager!"
But I wish now that I'd been better educated 10 years ago. If you are making recordings that you intend to promote outside of your local city, then it's smart to be prepared for success.
If there ever happened to be some sort of record deal, would a publisher necesarilly be involved? If they were, that's an extra cut of money that Id never see.
Oh yea, the publishing is often the
main concern for a label who is interested in signing you. That's why it might not be a good idea for an indie to form a publishing company because it might give the impression you don't own the publishing.
The publishing rights are often the very thing you are negotiating with a label if you are successfully writing your own music. This is why many labels only sign the songwriters of a band/group. Even if they sign an artist who doesn't write their own material, they will almost always choose music for that artist from a publishing catalogue they own.
I'd bet if you did the research, you'd find that all the American Idol winners are recording music owned by Simon's publishing company when they sign to a label also owned by him. The TV show is a marketing/promotion tool but perhaps the most money Simon makes is in the publishing royalties. It probably has a lot to do with which songs they sing on the show too. A very astute businessman.
To own the publishing rights means that NO ONE, not even the artist and songwriter, can use the music without paying a royalty to the publisher, who is often the copyright administrator (in charge of dividing percentage for all owners involved) though there are many who use a third-party administrator like Bug Music.
The artist doesn't really pay anything while they are with the label but if they ever leave and want to re-record that song, they will pay for it like anyone else.
John Fogerty was recently sued by his former publishing/record company for writing a new album that they said was too close to his old hits as Creedence Clearwater. Not sure how that case turned out, but that's what owning the publishing allows them to do.
But anyways, I think we, as a band, need an umbrella.
All songs get put under one entity and everybody gets equal share of any monies made.
Now that is a good reason to get everything spelled out. I didn't realize you were talking about multiple owners of songs, or a band situation.
I use BMI because they have all tools online. They tend to pay the big stars better, while ASCAP seems to be more accurate with their reporting system. SESAC is geared more towards classical music and film scoring.
But as a member of a licensing society like BMI/ASCAP, the songwriter can state legally through their forms the percentages of ownership for a song. If they ever sign with a publishing/record company, they will be asked to forward the publishing rights to the new administrator.
Songs are divided as a 200% pie.
100% is publishing ownership and another 100% is songwriting ownership. Giving away 100% of publishing doesn't mean you won't own anything (assuming you are the songwriter) but it does mean that they own the right to give you permission to use the song now.
Why does that matter? Imagine you are signed to (insert major label here) and have a hit album, but new A&R comes in and you are let go. You can't press any songs on that album and sell them at gigs now. You have to buy your own music from your former label if you want to sell that music any more. They alone have the rights to press a CD or sell your songs if they are the publishing copyright holder.
This exact scenario happened to Sixpence None the Richer when Warner Bros bought Word. They had the #1 Billboard song of the year with "Kiss Me" and had just recorded their follow up album on Squint (sub-label of Word) when a guy whose only business experience was running casinos in Atlantic City decided to cut them from the Warner label. It seemed insane!? Even I was looking for an investor to help Squint hold on to their roster!?! A close friend of mine had just gotten an artist deal with them a couple of days before Warner dissolved the label.
The artist can always record new music but you probably don't have the same muscle to distribute/market as the former label, so it's less likely you have a "hit". Your live audiences would always want to hear the music you no longer have the rights to press or distribute.
Though I'm not a major artist, I was on a label distributed by Sony/BMG for almost 9 years before buying out my contract, and this scenario has been my dilemna. I recently recorded and released a new CD that I push at live gigs, but I still play the older songs that my fans know me for, and still have to buy those CDs from the former label. I make 10 times more profit on the new CD they don't own, but the older stuff is what gets me in the door.
We've had a flare-up of internet radio stations wanting to play our stuff recently. One of them is in england.
We don't want to seem pompous, but we want to be protected.
I guess that would be a job for ASCAP eh?
Or BMI
It is prudent and very "non" pompous to be legally protected and set up as a business. Internet broadcasts are changing licensing laws every day and who knows where it will go in the future? For example, YouTube is now paying licensing too. If your music is legally licensed, you should receive a royalty for every time someone else plays it in a YouTube video.
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