MUSIC GRANT INC
Music Glossary
The music community is diverse, as is the terminology used to discuss roles and aspects of the music ecosystem. Understanding and utilizing music terms can help you better navigate the music industry. Here is a glossary of music terms based on the functionality.
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180 DEAL
180 Deal is exclusive to recording artist contracts that entitle Music Grant Inc. to a percentage of earnings from the partnership. Independent recording artists receive access to services that the recording artist would only have access to if signed to a traditional record label. The support extends to helping the recording artist locate grant funding (i.e., intergovernmental, federal, state, local) and collaborate with other recording artists, creators, and cultural and creative sectors worldwide. The revenue streams derived from these partnerships look different for each recording artist to meet the independent recording artist's needs. These revenue streams include recorded music sales, publishing royalties, live concert revenue, merchandise sales, endorsement deals, book and movie deals, ringtones, and more.
RELATED TERM(S):Music Grant Inc., Music Grant, Music Grant Funding, Music Grant Writer
360 DEAL
360 Deals are exclusive recording artist contracts that entitle a record label to a percentage of earnings from all of an artist's revenue streams rather than just recorded music sales. These revenues include publishing royalties, live concert revenue, merchandise sales, endorsement deals, book and movie deals, ringtones, and more.
RELATED TERM(S): Music Publishing, Sound Recording
A
ADAPTATION
The new version of a song that is based on the original music.
RELATED TERM(S): Derivative Work, Composition, Sound Recording
ADMINISTRATION
The practice and process of business functions relating to individual compositions or a catalog of compositions. This includes registering works with collection societies, registering copyrights, issuing licenses directly or via a collection society or agent on behalf of the copyright owner, collecting and distributing fees and royalties, and all other responsibilities related to using a musical work and/or sound recording.
RELATED TERM(S): Administration Agreement (Deal), Administrator, Music Publishing
ADMINISTRATION AGREEMENT (DEAL)
A partnership deal in which a songwriter contracts with a publishing administrator. In this arrangement, the songwriter keeps 100 percent ownership of the copyright and pays the publisher/administrator an administrative fee. The administrator usually provides limited or no creative services.
RELATED TERM(S): Administration, Administrator, Music Publishing
ADMINISTRATOR
A professional who supervises finances and copyright matters for a song or catalog. An administrator’s primary role is protecting song copyrights, collecting royalties, issuing licenses, and ensuring that songwriters are paid correctly. All major publishers and most independents handle administration for the catalogs they own and control internally. Smaller publishers and many individual songwriters who don’t want to give up their copyrights sign deals with companies like Songtrust that focus exclusively on providing administration services without taking an ownership interest.
RELATED TERM(S): Administration, Administration Agreement (Deal), Music Publishing
ADVANCE
In this context, a songwriter receives payment when signing a contract with a publishing company. Advances are typically recoupable, meaning the publishing company collects and keeps the songwriter’s royalty income until the advance amount has been repaid.
RELATED TERM(S): Co-Publishing Agreement, Major Publishers, Music Publishing, Publisher Share
AFFILIATION
Affiliation means becoming a member of an organization or society and granting them several rights and responsibilities regarding your work. These include licensing, tracking, and protecting usage of your songs, authorizing other societies through reciprocal agreements, licensing rights to your songs on your behalf, and accounting for and paying royalties out to you, the songwriter.
RELATED TERM(S): Collection Society, Interested Parties Information (IPI), Pay Source
AGGREGATOR
A name for a business that collects, organizes, and monetizes music recordings and/or music rights, such as an online music distributor like CD Baby or DistroKid.
RELATED TERM(S): Digital Service Provider (DSP), Music Distribution
ARRANGEMENT
A type of adaptation of a musical composition that updates how instruments, sounds, and voices are used to present the composition. Often, the arranger will receive songwriting credit for the new arrangement, in agreement with and alongside the original songwriters. When a composer creates a new arrangement of a public domain work, they are entitled to songwriting credit for the new version.
RELATED TERM(S): Composition, Composer, Producer, Songwriter
AUDIO HOME RECORDING ACT OF 1992 (AHRA)
Congress passed an act that made it legal for consumers to copy records at home for private, non-commercial use without committing copyright infringement. This act also taxed the sale of digital audio recorders and blank media, passed to music recording and publishing rights holders.
RELATED TERM(S): Author, Composer, Copyright, Songwriter
AUTHOR
The creator of an artistic, literary, musical, or dramatic work.
RELATED TERM(S): Composer, Producer, Songwriter
B
BLANKET LICENSE
A license issued by a rights holder or their representative provides for using their entire catalog for a pre-determined period. Examples of blanket licenses include those signed by digital service providers like Spotify with performing and mechanical rights organizations or radio stations' agreements with performing rights organizations to broadcast their clients' works.
RELATED TERM(S): Digital Service Provider (DSP), License, Performing Rights Organizations (PRO)
BROADCAST MECHANICAL
In some countries, primarily in Europe, a mechanical royalty is earned when a music recording is broadcast on television or radio, to be collected by collective management organizations or mechanical rights organizations.
RELATED TERM(S): Collective Management Organization (CMO), Mechanical Rights, Mechanical Rights Organization (MRO), Sound Recording
C
CATALOG
A collection of works controlled by a songwriter or publisher.
RELATED TERM(S): Composer, Producer, Songwriter
COLLAPSED COPYRIGHT
A term used when a creator owns and controls the copyrights in both their sound recordings and compositions.
RELATED TERM(S):Composition, Copyright, Sound Recording
COLLECTION SOCIETY
Collection Societies are organizations that protect, register, license, and collect royalties for their members' works. The most commonly known types of collection societies are PROs (performing rights organizations), CMOs (collective management organizations), and MROs (mechanical rights organizations). When you join a collection society, you give them the right and responsibility to track the usage of your works for their rights types, account for them, and pay you accordingly. Collection societies are a key pay source, but not all pay sources are collection societies.
RELATED TERM(S):Composition, Collective Management Organization (CMO), Mechanical Rights Organization (MRO), Pay Source, Performing Rights Organizations (PRO), Rights Administration Entity (RAE), Music Publishing
COLLECTIVE MANAGEMENT ORGANIZATION (CMO)
These non-profit organizations are responsible for licensing, tracking, and collecting publishing royalties earned and then paying them to the respective songwriters and/or publishers. CMOs generally have open and non-discriminatory criteria to join, are owned by their members, and typically need legal authorization to operate. Each CMO operates within a specific country or territory and may vary in the type of royalties they collect.
RELATED TERM(S):Mechanical Rights Organization (MRO), Music Publishing, Pay Source, Performing Rights Organizations (PRO), Rights Administration Entity (RAE)
COMMISSION
In this context, the commission is the percentage an administrator retains of royalties collected before paying them to their client. Commissions are the primary - and sometimes only - method in which administrators are paid for their work on a client's catalog.
RELATED TERM(S):Administration, Administration Agreement (Deal), Administrator, Music Publishing, Publishing Administrator, Royalties
COMPOSER
A name denoting anyone who writes or collaborates on the writing of music. Colloquially, it's most often used for the writers of classical music and film or video game scores.
RELATED TERM(S):Author, Producer, Songwriter
COMPOSITION
The elements that make a specific song (not a specific recording) unique (i.e., melody, lyrics, and beat). A composition can have many recordings.
RELATED TERM(S):Composer, Copyright, Producer, Songwriter
COMPULSORY LICENSE
An exception to U.S. Copyright Law that grants permission to anyone wishing to use a songwriter's work - whether or not the songwriter wants to grant the license - if the song has already been commercially released. Compulsory licenses must be issued for physical reproductions of a song (such as an LP, CD, or digital download), streaming a song for use in cable television rebroadcast, on the Public Broadcasting System (PBS), or in jukeboxes.
RELATED TERM(S):Composition, License, Music Publishing, Sound Recording
COMPULSORY MECHANICAL LICENSE
The clause in copyright law that grants permission to anyone wishing to re-record a song that has already been commercially released. For instance, if you (or anyone else) wanted to record a cover version of "Old Town Road" (or any other song that has been commercially released), you would not need explicit permission from Lil Nas X's publisher to do so. You must pay the compulsory mechanical rate to release this cover version via download or physical media like LPs or CDs, but your license request cannot be denied. To release this cover version via streaming only, no additional fee or license is required because covers are included in the blanket mechanical licenses DSPs have with music publishers and rights organizations.
RELATED TERM(S):License, Mechanical License, Mechanical Royalties, Music Publishing
CONTROLLED COMPOSITION CLAUSE
A clause in some recording contracts that limits how much record labels will pay in mechanical royalties for songs written, co-written, or owned (and therefore "controlled") by the performing artist on whose album it appears. The record company and publisher often agree on a reduced rate (generally 75 of the statutory rate) for the songs/shares of the songs written by the recording artist and/or a cap on the total mechanical royalties payable per album sale (generally equivalent to 10 tracks).
RELATED TERM(S):Fair Use, Mechanical Royalties, Statutory Mechanical Royalty Rate
CO-PUBLISHING AGREEMENT
In a publishing agreement, a songwriter assigns a certain percentage of their copyright to a publishing company in exchange for creative and administrative services. Songwriters are often paid an advance under these agreements.
RELATED TERM(S):Advance, Copyright, Music Publishing
COPYRIGHT
The rights granted by law to the creator of an original work. A creator (e.g., a songwriter or author) is entitled to the right to copy, distribute, and adapt their work. Under U.S. copyright law, as soon as you make a tangible copy of a work, you own its copyright. Put another way, if you imagine a song in your head, you have no copyright—but once you write the song down or record it, you are its copyright holder.
RELATED TERM(S):Music Publishing
COPYRIGHT ACT
The Copyright Act of 1976 is a United States law spelling out the basic rights of copyright holders. It codifies the doctrine of “fair use” and adopts a unitary term based on the date of the author’s death for most new copyrights rather than the prior scheme of fixed initial and renewal terms. It protects musical works, including songs and any accompanying words, orchestral works, librettos, and other musical compositions. A separate copyright protects individual recordings of musical compositions.
RELATED TERM(S):Copyright, Music Publishing
COPYRIGHT REGISTRATION
A legal record of a work's creation date and its exact content so that in the event of infringement or plagiarism, the copyright owner has legal proof that they own the material.
RELATED TERM(S):Copyright, Music Publishing
COPYRIGHT ROYALTY BOARD (CRB)
The CRB consists of three U.S. judges responsible for setting statutory royalty rates for compulsory mechanical licenses. This board periodically sets the statutory mechanical royalty rate, which for physical and download track sales is currently 9.1 cents per track or 1.75 cents for each minute of playing time, whichever is greater. Visit the Copyright Royalty Board website (www.crb.gov) for more.
RELATED TERM(S):Copyright, Music Publishing, Statutory Mechanical Royalty Rate
COVER
A cover is an artist's performance of a song made famous by and/or written by another artist, whether during a live performance or recorded. See Compulsory Mechanical License for more about how cover recordings are licensed.
RELATED TERM(S):Compulsory Mechanical License, Mechanical License, Sound Recording
CO-WRITER
Any person who contributes to a composition along with you. (A co-writer may be a songwriting collaborator you work with in the studio, but also, less obviously, could be the original writer of a song you sample.)
RELATED TERM(S):Author, Composer, Composition, Producer, Songwriter, Split, Split Sheet
CROSS COLLATERALIZATION
A recording and publishing agreement clause allows the contracting company to recoup outstanding advance balances from one album release with revenues from forthcoming releases.
RELATED TERM(S):Co-Publishing Agreement, Publishing Agreement Advance
CUE
In the context of audiovisual production, a piece of music is used during a specific production point.
RELATED TERM(S):Cue Sheet
CUE SHEET
A document that itemizes the music used in a television or film production by ownership, time, and type of usage. The production company generally creates cue sheets on how music usage of audiovisual output is tracked and eventually paid to rights holders.
RELATED TERM(S):Cue
D
DERIVATIVE WORK
Any work that is based on or uses elements from a pre-existing work. This can be a translation, dramatization, fictionalization, art reproduction, abridged or condensed version, or any other transformation or adaptation of an existing work. (For example, Kanye West’s “Stronger,” which samples Daft Punk’s “Harder, Better, Faster, Stronger,” is considered to be a derivative work because it uses elements from a pre-existing song.) Under U.S. copyright law, the only person who can grant the rights for a derivative work to be created is the copyright holder for the original work.
RELATED TERM(S):Composition, Copyright, Sound Recording
DIGITAL MILLENNIUM COPYRIGHT ACT (DMCA)
A Federal anti-piracy law that makes it illegal to create and/or use technology that allows people to bypass measures intended to restrict access to copyrighted material. The DMCA also criminalizes the distribution of copyright-protected material and targets music, film, and software piracy.
RELATED TERM(S):Copyright
DIGITAL PHONORECORD DELIVERY (DPD)
DPD is the technical term for the digital download of a sound recording. For example, an iTunes download is a DPD.
RELATED TERM(S):Sound Recording
DIGITAL RIGHTS MANAGEMENT (DRM)
A term for restricting or controlling how digital content is used on electronic devices. For example, a download that can only be activated on a set number of devices has DRM.
RELATED TERM(S):Music Publishing
DIGITAL SERVICE PROVIDER (DSP)
A Digital Service Provider ("DSP") is an entity that provides digital music services (whether streaming, downloads, or both) via computer or phone networks. DSPs focus on driving almost all interactions online and across devices. Examples are Apple Music, Spotify, and Deezer.
RELATED TERM(S): Composition, Interactive/Non-Interactive Streaming, Music Publishing
E
EXCLUSIVE SONGWRITER AGREEMENT ("STAFF WRITER" CONTRACT)
A contract with a publishing company in which a songwriter assigns the entire publisher’s share of any songs written during the term of the agreement to the publishing company. In return, the songwriter receives advances regularly (similar to being paid a salary), which are then generally subject to recoupment by the publishing company.
RELATED TERM(S):Co-Publishing Agreement, Music Publishing, Publisher Share, Publishing Agreement
EXPLOITATION
In some countries, primarily in Europe, a mechanical royalty is earned when a music recording is broadcast on television or radio, to be collected by collective management organizations or mechanical rights organizations.
RELATED TERM(S):Collective Management Organization (CMO), Mechanical Rights, Mechanical Rights Organization (MRO), Sound Recording
F
FAIR USE
An exception to the exclusive rights granted to the copyright holder of a creative work. If something falls under the doctrine of “fair use,” another party can use the copyrighted material in a limited way without acquiring permission from the rights holder. Parody, commentary, search engines, criticism, news reporting, research, teaching, library archiving, and scholarship may be considered fair use in certain situations.
RELATED TERM(S):Composition, Copyright, Music Publishing
G
GRAND RIGHTS
The legal rights necessary to stage any staged production using musical works.
RELATED TERM(S):Composition, Music Publishing, Sound Recording
I
INDEPENDENT PUBLISHERS
A license issued by a rights holder or their representative provides for using their entire catalog for a pre-determined period. Examples of blanket licenses include those signed by digital service providers like Spotify with performing and mechanical rights organizations or radio stations' agreements with performing rights organizations to broadcast their clients' works.
RELATED TERM(S):Digital Service Provider (DSP), License, Performing Rights Organizations (PRO)
INFRINGEMENT
Infringement occurs when someone other than the rights holder of a musical copyright distributes, broadcasts, or otherwise uses a musical work without a license or additional agreement.
RELATED TERM(S):Composition, Copyright, Sound Recording
INTELLECTUAL PROPERTY (IP)
Any conceptual product that has commercial value. This includes any form of creative expression and knowledge (such as symbols, names, and images), whether copyrighted or not. Intellectual property can be protected through copyrights, patents, trademarks, and trade secrets laws. For example, Nike’s signature checkmark logo is protected through a trademark, and Coca-Cola’s secret recipe for Coke is protected through trade secrets law. Visit the World Intellectual Property Organization website (www.wipo.int) for more information.
RELATED TERM(S):Copyright, Music Publishing
INTERACTIVE/NON-INTERACTIVE STREAMING
Interactive or "on-demand" streaming services (like Spotify, Tidal, or Apple Music) allow listeners to choose what recordings they listen to, and they generate both performance and mechanical royalties. Non-interactive streaming services (notably Pandora) - sometimes loosely referred to as streaming radio - in which the listener does not choose the specific songs and pays only performance royalties.
RELATED TERM(S):Digital Service Provider, Mechanical Royalties, Performance Royalties, Royalties
INTERESTED PARTIES INFORMATION (IPI)
A nine-digit number used to uniquely identify a songwriter or publisher. The IPI database replaced the CAE database as the industry standard in 2001, but the two are often used interchangeably. A few CMOs assign their songwriters both an IPI and a CAE - but you'll know if you're a member of one of these. Rightsholders are assigned IPI numbers when they are granted membership to a PRO. Your IPI number is different from your collection society account or member number.
RELATED TERM(S):Copyright, Copyright Registration, Music Publishing
INTERNATIONAL MECHANICAL ROYALTIES
From the U.S. perspective, these are mechanical royalties paid for uses of a composition that occur outside the U.S. In general, ex-U.S. physical mechanicals do not have a fixed penny rate like the U.S. statutory rate but are usually paid as a percentage of the wholesale price. International mechanical royalties are one of the royalty types most often not collected by U.S.-based songwriters who do not have a publishing administrator.
RELATED TERM(S):Composition, Mechanical Royalties, Royalties
INTERNATIONAL STANDARD RECORDING CODE (ISRC)
A 12-character alphanumeric code used to identify a unique sound recording. One song can have multiple ISRCs if more than one recording of the song has been released - like live, acoustic, or cover versions. Publishers, collection societies, and music services use ISRCs to match specific recordings to the underlying compositions. ISRCs are typically assigned by labels or distributors. An ISRC looks like this: USS1Z9900001.
RELATED TERM(S):Copyright, Copyright Registration, International Standard Work Code (ISWC), Music Publishing
INTERNATIONAL STANDARD WORK CODE (ISWC)
An 11-character alphanumeric code used to identify a unique musical composition. A song only has one ISWC, but arrangements, adaptations, and translations should receive their own unique ISWCs, as they represent new works and often have new songwriters share splits. ISWCs are issued by collection societies upon work registration. An ISWC looks like this: T-123.456.789-Z.
RELATED TERM(S):Copyright Registration, International Standard Recording Code (ISRC), Music Publishing
INTERPOLATED WORK
A song that is not written expressly for an audio-visual production but is taken from an outside source (e.g., recording) and used within that production.
RELATED TERM(S):Composition, Copyright, Sound Recording
J
JOINT WORK
A license issued by a rights holder or their representative provides for using their entire catalog for a pre-determined period. Examples of blanket licenses include those signed by digital service providers like Spotify with performing and mechanical rights organizations or radio stations' agreements with performing rights organizations to broadcast their clients' works.
RELATED TERM(S):License, Digital Service Provider (DSP), Performing Rights Organizations (PRO)
L
LETTER OF DIRECTION (LOD)
The formal notice to a collection society that a publisher will take administrative control of a songwriter’s catalog on that songwriter’s behalf.
RELATED TERM(S): Administration, Administration Agreement (Deal), Administrator, Publishing Administrator
LICENSE
A legal agreement granting someone permission to use a work for specific purposes or under certain conditions, generally for a limited period of time. A license does not change the ownership of the copyright.
RELATED TERM(S): Copyright, Music Publishing
LICENSE FEE
The fee associated with a license agreement. Depending on the nature of this agreement, the fee can be a one-time upfront payment, an ongoing usage fee, and/or a percentage of the revenue the licensee earns from the licensed work. For example, a streaming service pays a percentage of its revenue to the publishers who control the works it licenses.
RELATED TERM(S): Blanket License, Composition, Compulsory License, License, Sound Recording
M
MAJOR PUBLISHERS
Major music publishers are those affiliated with the major record labels. These are Warner Chappell (WMG), UMPG (UMG), Sony Publishing (Sony), and BMG Rights Management.
RELATED TERM(S): Copyright, Music Publishing
MECHANICAL LICENSE
A rights holder grants a mechanical license to a licensee that enables them to reproduce (digitally or physically) an original composition.
RELATED TERM(S): Composition, Mechanical Rights
MECHANICAL RIGHTS
The rights to reproduce and distribute copyrighted musical compositions (songs) on CDs, records, tapes, ringtones, permanent digital downloads, interactive streams, and other digital configurations supporting various business models, including locker-based music services and bundled music offerings. Mechanical rights are obtained via mechanical licenses.
RELATED TERM(S):Composition
MECHANICAL RIGHTS ORGANIZATION (MRO)
A type of collection society responsible for the administration of mechanical licenses and, depending on the MRO, the collection and payout of mechanical royalties to publishers. Often, if a territory or country does not have a single CMO responsible for both performance and mechanical royalty collections, they split these responsibilities between a PRO and an MRO.
RELATED TERM(S):Collection Society, Collective Management Organization (CMO), Pay Source, Performing Rights Organizations (PRO), Rights Administration Entity (RAE)
MECHANICAL ROYALTIES
Royalties earned through the reproduction of copyrighted works in digital and physical formats. Songwriters are paid mechanical royalties per song sold, downloaded, and streamed via "on-demand" streaming services.
RELATED TERM(S):Composition, Music Publishing, Performance Royalties, Royalties
MICRO-SYNC ROYALTIES
Royalties earned by synchronizing music with moving images in online platforms like YouTube or TikTok, including user-generated videos. Depending on the platform, these uses usually generate both performance and mechanical royalties and additional revenues for the video creator/uploader and the recording owner.
RELATED TERM(S):Music Publishing, Royalties, User-Generated Content (UGC)
MUSIC DISTRIBUTION
Distribution is how recorded music gets into the hands of consumers, whether in the form of physical product shipping to brick-and-mortar storefronts or digital files being uploaded to Digital Service Providers for download and streaming. Because digital music is much less expensive to produce and distribute than in the physical product era, the once-inaccessible distribution aspect of releasing music is now widely available to creators via platforms like CD Baby and DistroKid.
RELATED TERM(S):Copyright, Sound Recording
MUSIC GRANT
A type of grant that provides a valuable source of funding for music artists, creators, and cultural and creative sectors, allowing the recipients to achieve their goals and continue to improve the quality of life for others through projects, programs, and services at a community, local, state, national or even global level.
RELATED TERM(S):Music Grant Inc., Music Grant Funding, Music Grant Writer, 180 Deal
MUSIC GRANT FUNDING
Music Grant funding is one way that artists, creators, and the cultural and creative sectors (Nonprofit Organizations (NPO), Not-For-Profit Organizations (NFPO), Non-Governmental Organizations (NGO) and For-Profit Organizations (FPO), or Artists & Creators starting a 501(c)3) obtain the funding they need for continued operations to support the music sector.
RELATED TERM(S):Music Grant Inc., Music Grant, Music Grant Writer, 180 Deal
MUSIC GRANT WRITER
A music grant writer is a professional who specializes in music grants and works with artists, creators, and cultural and creative sectors to secure funding for various services, programs, and projects. Music grant writers help connect these individuals and organizations with grant funding by writing proposals that identify how they will use the funds.
RELATED TERM(S):Music Grant Inc., Music Grant, Music Grant Funding, 180 Deal
MUSIC MODERNIZATION ACT (MMA)
A major piece of U.S. music business legislation passed in 2018, the MMA is intended to improve the financial landscape for artists, songwriters, and publishers through updates to the regulations around royalties from online streaming services and other outlets. One major piece of the MMA was the creation of The Mechanical Licensing Collective (MLC).
RELATED TERM(S):Music Publishing, Royalties, The Mechanical Licensing Collective (The MLC)
MUSIC PUBLISHING
The business of acquiring, protecting, and promoting song (composition) copyrights and collecting the royalties that these copyrights generate. Music publishing ensures that songwriters get paid fairly when their intellectual property—their musical works—are used by companies such as record labels (which pay mechanical royalties); radio stations, bars, and restaurants (which pay performance royalties); or film studios and advertising agencies (which pay sync license fees), among others. Music publishing pays royalties only to the writer of a song, not to performing artists or recording owners.
RELATED TERM(S):Independent Publishers, Major Publishers, Publishing Administrator, Royalties
MUSIC SUPERVISOR
This person, often employed by a studio or advertising firm, selects music for audiovisual production such as a film or TV show. The music supervisor may also be responsible for acquiring the necessary licenses for the music uses selected.
RELATED TERM(S):Sound Recording, Sync License, Synchronization License
N
NEIGHBORING RIGHTS
The public performance right associated with a recording copyright. Also called “related rights,” neighboring rights are similar to the public performance rights associated with compositions, but they are paid to recording owners (usually labels) and performing artists rather than songwriters and publishers. In the U.S., this is called a "digital performance" right and is only recognized for non-interactive digital transmissions, such as satellite and digital radio (e.g., Sirius XM and Pandora) - notably not for broadcast radio.
RELATED TERM(S): Music Distribution, Sound Recording
NOTICE OF INTENTION (NOI)
A legal document pertaining to Section 115 of the U.S. Copyright Act that is required to record or distribute someone else’s original composition. Sending an NOI to the original copyright owner of the composition is necessary to obtain a compulsory mechanical license.
Related Term(s):
Composition, Compulsory Mechanical License, Copyright, Copyright Act
O
ORPHAN WORKS
Works under copyright for which a clear owner cannot be identified or located, making them nearly impossible to license.
RELATED TERM(S): Composition, Copyright, Royalties, Music Publishing, Sound Recording
P
PAY SOURCE
A pay source is a general term to identify any rights organization, collection society, or digital service provider that pays out royalties earned for using a song.
RELATED TERM(S): Collection Society, Collective Management Organization (CMO), Rights Administration Entity (RAE), Mechanical Rights Organization (MRO), Performing Rights Organizations (PRO)
PERFORMANCE ROYALTIES
Royalties collected when a composition is broadcast (e.g., on the radio) or publicly performed (e.g., live in concert or over the speakers at a nightclub). Performance royalties are collected by performing rights organizations, such as ASCAP in the U.S., and by PROs or collective management organizations, such as SACEM in France.
RELATED TERM(S): Performance Royalties, Music Publishing, Royalties
PERFORMING RIGHTS ORGANIZATIONS (PRO)
PROs are responsible for collecting income on behalf of songwriters and music publishers when a song is publicly broadcast or performed. Public performances can include play on television or radio, in clubs and restaurants, on websites, or other broadcasting systems. PROs collect license fees for this usage, which they pay to their registered songwriters after taking a small fee.
RELATED TERM(S):Collection Society, Collective Management Organization (CMO), Mechanical Rights Organization (MRO), Rights Administration Entity (RAE)
PRINTED MUSIC ROYALTIES
Royalties collected for the sale of printed sheet music, including musical notation and lyrics, separately or in combination. Printed music royalties are generally paid directly to the publisher and will vary depending on the usage type and whether it's a physical or digital reproduction.
RELATED TERM(S):Music Publishing, Royalties
PRODUCER
In this case, the "producer" of a song oversees the performers, mixing, and arrangement of a song and/or a specific song recording. They often own the studio and will retain session performers and other subcontractors. Producers often collaborate in the songwriting process and, therefore, are part of the song's overall shared picture. In this case, the producer is a songwriter and is generating songwriting royalties, which they can collect.
RELATED TERM(S):Composer, Songwriter
PUBLIC DOMAIN WORK
A public domain work is one for whom copyright protections do not apply and can, therefore, be used by anyone and for any purpose without any license or agreement required. Many works commissioned by the government are in the public domain, and other works enter the public domain when their copyrights expire. Many traditional folk songs and hymns like "She'll Be Coming Round the Mountain" and "We Shall Overcome," as well as all pre-modern classical works, are in the public domain.
RELATED TERM(S):Composition, Music Publishing, Sound Recording
PUBLIC PERFORMANCE
Public performance includes transmitting or broadcasting a work outside of a closed group. It includes digital streaming, television or radio broadcasts, played over the speakers in clubs and restaurants, on websites, or other broadcasting systems.
RELATED TERM(S):Interactive/Non-Interactive Streaming, Music Publishing, Performance Royalties
PUBLISHER SHARE
The publisher share, or "publisher's share of performance," is the portion of performance royalties paid to a publisher, publishing administrator, or songwriter if they are self-published. It is distinguished in this way from the writer's share.
RELATED TERM(S):Music Publishing, Performance Royalties
PUBLISHING ADMINISTRATOR
A third-party publisher that, for a fixed term, controls all licensing and the collection of publishing revenue streams on behalf of a composer or copyright owner.
RELATED TERM(S):Music Publishing, Publishing Agreement
PUBLISHING AGREEMENT
A legal contract between a composer/lyricist/author/songwriter and a publisher.
RELATED TERM(S):Music Publishing
R
RETROACTIVE ROYALTIES
Retroactive royalties are unallocated royalties waiting to be paid to the copyright owners. This happens when songs aren’t registered correctly, or the contact information for the songwriter is unavailable. These royalties generally sit at the collection society for a length of time, which varies based on the society, until they enter the black box. Refer to unallocated royalties for more.
RELATED TERM(S): Royalties, Unallocated Royalties
REVERSION CLAUSE
A clause in some publishing contracts states that ownership of some or all works contained within the agreement will revert back to the songwriter after a certain period or if certain conditions are met, like successful placement on a major label release.
RELATED TERM(S): Music Publishing, Publishing Agreement
RIGHTS ADMINISTRATION ENTITY (RAE)
RAEs are a type of organization that issues mechanical licenses and collects and distributes mechanical royalties. Unlike CMOs, RAEs are for-profit organizations; they can discriminate against those they accept as members and do not need legal permission to operate as they are privately owned. An example in the U.S. is Music Reports (MRI).
RELATED TERM(S): Collection Society, Collective Management Organization (CMO), Mechanical Rights Organization (MRO), Performing Rights Organizations (PRO)
ROYALTIES
Payments made on a per-use or blanket basis as established by a license agreement. In the context of music publishing, royalties refer to the income earned through the use of a song. This can include album sales, digital downloads, streams, radio airplay, and a host of other forms through which songs earn income for songwriters and music publishers.
RELATED TERM(S): Music Publishing, Mechanical Royalties, Performance Royalties
S
SAMPLING
The act of taking material from a previously existing sound recording and incorporating it into an entirely new sound recording and composition. Sampling began as a technique used by experimental composers but became a popular production technique in early hip-hop and was later adopted by almost all other popular music genres. To use a sample legally, you must come to a legal agreement with the composition owner and the sound recording owner.
RELATED TERM(S): Composition, Producer, Sound Recording
SCORE
The music composed for an audiovisual work, such as a film, television show, or video game. Scores are often needed to create a specific mood in a way that licensing previously existing musical works cannot. A score composer may be paid up-front and relinquish their copyright in a "work-for-hire" agreement, or they may receive a combination of fees and the ongoing royalties associated with their copyright ownership for the score compositions.
RELATED TERM(S): Composer, Copyright, Work-For-Hire
SONGWRITER
A songwriter is anyone who creates any part of a musical composition - whether it's the lyrics, beat, underlying melody, chorus, hook, or other element.
RELATED TERM(S): Composer, Composition, Producer
SOUND RECORDING
A specific instance of a musical performance - whether voice, instrument, or both - being written onto a "sound carrier," whether that medium is physical or digital.
RELATED TERM(S): Composition, Music Distribution
SPLIT
In a co-writing or joint work situation, a split is the percentage of ownership each co-writer has in a specific composition.
RELATED TERM(S): Co-Writer, Split Sheet
SPLIT SHEET
A signed document that outlines the shares of an individual musical work each co-writer will control. A split agreement should be finalized between collaborators before it is exploited commercially in any way, including commercial release to streaming services.
RELATED TERM(S): Co-Writer, Split
STATUTORY MECHANICAL ROYALTY RATE
The Statutory Mechanical Royalty Rate is the rate the Copyright Arbitration Royalty Panel sets forth for physical or digital download mechanical royalties. In the U.S., this rate is currently set at 9.1¢ per track or 1.75¢ for each minute of playing time, whichever is greater.
RELATED TERM(S): Copyright Royalty Board (CRB), Mechanical Royalties
SUB-PUBLISHER
A sub-publisher is a company a rights holder engages in licensing and administering its works in a specific territory. For example, an American publisher might engage the services of a sub-publisher in Germany to handle its affairs in that country.
RELATED TERM(S):Collection Society, Music Publishing, Pay Source, Royalties
SYNC AGREEMENT
An agreement for the use of music in an audiovisual project. Sync (short for "synchronization") licenses must be obtained from both the composition and recording rights holders to clear a usage.
RELATED TERM(S): License, License Fee, Synchronization License
SYNCHRONIZATION LICENSE
A license granting permission to synchronize a song with moving images on a screen - generally in television, film, or advertisements. Sync licenses are required from both the recording and composition owners when a song is used, and they are most often paid as a one-time up-front fee. In addition to the upfront fee, songs earn a performance royalty (payable to songwriters/publishers) when the program containing their song is broadcast or streamed.
RELATED TERM(S): Mechanical Royalties, Micro-Sync Royalties, Performance Royalties, Sync License
T
THE MECHANICAL COLLECTIVE (THE MLC)
The MLC is responsible for providing blanket licenses to all U.S. streaming services and collecting and distributing all resulting royalties. The MLC's remit is to attempt actively to match as many unmatched royalties and compositions with the correct rights holders as possible. In that connection, it is responsible for creating and maintaining a publicly accessible database of works, songwriters, rights holders, and related recordings. The MLC was established as part of 2018's Music Modernization Act.
RELATED TERM(S): Music Publishing, Royalties, Unallocated Royalties
U
U.S. COPYRIGHT OFFICE
The U.S. government body that maintains records of copyright registration. A work is technically copyrighted once it’s in tangible form, but registering it with the U.S. copyright office is an additional way to protect its copyright. In order to file an infringement action (i.e., to recover damages or stop someone from using your copyright without your permission), your work must be registered with the U.S. Copyright Office. Visit copyright.gov for more.
RELATED TERM(S):Copyright
UNALLOCATED ROYALTIES
They are sometimes called "black box" royalties; these are royalties for which a publisher or writer is named but cannot be traced by a pay source. Writers who earn royalties for usage but cannot be found are often called “lost” writers. After an established waiting period, these royalties are no longer payable and are generally distributed by top earners by market share.
RELATED TERM(S): Music Publishing, Royalties, The Mechanical Licensing Collective
UNIVERSAL PRODUCT CODE (UPC)
It is a unique code to identify a product, such as an album or single.
RELATED TERM(S): UPC Barcode
USER-GENERATED CONTENT (UGC)
User-generated content, or "UGC," in the context of song rights, refers to content created by a platform's users (e.g., YouTube or TikTok) that contains copyrighted music. This is often unlicensed or subject to a blanket use license between the platform and the rights holder.
RELATED TERM(S): Blanket License, Micro-Sync Royalties
W
WORK-FOR-HIRE
In this context, an agreement in which a songwriter composes a musical work within the scope of their employment for another entity and does not retain copyright or publishing ownership over the work. Work-for-hire agreements are standard in film, TV, and advertising, in which production companies often hire composers to create music specifically for their projects. Instead of receiving an initial fee and subsequent royalties, a work-for-hire creator receives only a one-time up-front fee for their work.
RELATED TERM(S): Producer, Publishing Agreement
WRITER SHARE
The writer share, or "writer's share of performance," is the portion of performance royalties paid directly to a songwriter, whether or not they have a publisher. It is distinguished in this way from the publisher share.
RELATED TERM(S): Music Publishing, Performance Royalties, Songwriter
