Music Business

Inside the Recording Artist Agreement: A Guide for Musicians

The Music Telegraph | Text 2025/10/17 [14:17]
Music Business

Inside the Recording Artist Agreement: A Guide for Musicians

The Music Telegraph| 입력 : 2025/10/17 [14:17]

 

© Unsplash (photo by Mana Akbarzadegan)



Inside the Recording Artist Agreement: A Guide for Musicians

 

In today's music industry, a recording artist agreement, often called a "recording contract", defines the relationship between an artist and a record label. It determines how music is created, distributed, and monetized, making it one of the most critical documents a musician will ever sign. A recording artist agreement is a legally binding contract outlining the rights, duties, and financial terms between the artist and the label. It specifies who owns the recordings, how profits are shared, and what each party must deliver.

 

Key Terms

  • Term & Territory: Defines how long the contract lasts and where the label can release the music (often worldwide)
  • Recording Commitment: Specifies the number of songs or albums and who has creative control over the final product
  • Master Ownership: Traditionally, the label owns the masters, though modern deals may let artist keep or reclaim them
  • Advances & Royalties: The artist receives an advance against future royalties—typically 10~20% of sales or streaming income after recoupment
  • Recoupment: The label recovers expenses (recording, videos, marketing) before paying royalties
  • Marketing & Promotion: Outlines the label's promotional duties and the artist's participation
  • 360 Clauses: Some contracts include publishing, touring, or merchandising income splits
  • Exclusivity & Termination: The artist usually records only for that label; terms for ending or reclaiming rights are defined

 

Independent and partnership-based deals are becoming more common. These may feature shorter terms, shared master ownership, or profit-split models (e.g., 50/50). Artists today seek more control and transparency than traditional contracts offer. A recording artist agreement can launch a career, but it can also restrict one if poorly negotiated. Before signing, musicians should consult an entertainment lawyer and fully understand terms like master ownership, recoupment, and royalties. In an era where self-releasing music is easier than ever, the best deal is one that balances artistic freedom with professional support.

 

 

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