Record Contracts Review MUM 2700 Professor Calle MUM 2700 Professor Calle

Rules / Class will be split into 6 groups. / You will have 15 seconds to confer with your group and answer the question. / Correct answers will be awarded a golf ball. / The group with the most golf balls at the end wins the prize. / You may not throw the golf balls. / Class will be split into 6 groups. / You will have 15 seconds to confer with your group and answer the question. / Correct answers will be awarded a golf ball. / The group with the most golf balls at the end wins the prize. / You may not throw the golf balls.

1 1 / Define cross-collateralization.

2 2 / If you are profitable, your position is known as a _______ position?

3 3 / What does A & R stand for?

4 4 / What is the contractual definition of a “record” since the 1960’s?

5 5 / A rough mix, a hard drive containing audio files & Pro Tools sessions, 2- inch reels or the final mix are all known as a / _ _ _ _ _ _. / A rough mix, a hard drive containing audio files & Pro Tools sessions, 2- inch reels or the final mix are all known as a / _ _ _ _ _ _.

6 6 / This record company preset amount determines the base for the artists royalties.

7 7 / What is the standard packaging deduction?

8 8 / A mini-major does everything a major does except what?

9 9 / Traditionally, records contain how many masters?

10 / A record company not owned or controlled by a major is called an?

11 / 1 point = 1 _?

12 / You are issued a sum of money and asked to record and deliver a finished product. The amount issued to you is called an ___________?

13 / The deduction for free goods is?

14 / Reserves are necessary to offset _______?

15 / The current standard return privilege is?

16 / The standard return privilege until the 1980’s was?

17 / True or False / The base price or royalty base for CDs is computed this way: SRLP - packaging. / True or False / The base price or royalty base for CDs is computed this way: SRLP - packaging.

18 / Which record company, located in Beverly Hills at the old home of Charlie Chaplin, demanded the “90% of net sales rule” in order to account for breakage?

19 / A new artist is described as someone having sold less than __________ records?

20 / 500,000 U.S. copies sold.

21 / 1,000,000 copies sold.

22 / Define the term recoupable.

23 / What percentage of mechanical royalties is the controlled composition reduction?

24 / Define the all-in royalty rate.

25 / Compute the mechanical royalties owed to a publisher for a song of length 8:34. / Who determines if an option is exercised? / Compute the mechanical royalties owed to a publisher for a song of length 8:34. / Who determines if an option is exercised?

26 / Define the net royalty rate.

27 / Which of these should you negotiate in your contract: / A retroactive escalation / A prospective escalation / WHY? / Which of these should you negotiate in your contract: / A retroactive escalation / A prospective escalation / WHY?

28 / Min/Max formulas are called _____ & _________ in the Passman book.

29 / When the company accepts your record because they feel it properly represents you and will therefore sell, the record is said to be _________ satisfactory.

30 / The number of records an artist will record during the term of the contract is determined by what factors?

31 / Which of these should you negotiate into your demo deal, calendar days or work days?

32 / Discuss trends involving second albums?

33 / These fees are paid as compensation for the use of the intellectual property.

34 / In a demo deal, the contract guarantees the record company what important right?

35 / When the company accepts your record because they determine it was professionally recorded and produced, the record is said to be _________ satisfactory.

36 / The current statutory mechanical rate is in effect until the year _____?

37 / 30 work days = _____ weeks

38 / Your video cost the record company $150,000 to produce. / How much of that money is recoupable by you? / Your video cost the record company $150,000 to produce. / How much of that money is recoupable by you?

39 / What company and digital recording product first afforded musicians and producers the ability to produce professional recordings in their home studios?

40 / What does an independent promoter do?

41 / The constructed retail price is computed this way: / ____ % of the wholesale price. / The constructed retail price is computed this way: / ____ % of the wholesale price.

42 / Which is usually higher, the constructed retail price or the SRLP?

43 / The record company spends $100,000 on tour support. How much is recoupable by the artist.

44 / Define the concept of the “term of a contract”.

45 / How long does it take to produce a studio album?

46 / A mid-level artist has sold how many units?

47 / What is the standard artist-points range for a new artist signing with an independent record label?

48 / What is the standard artist-points range for a new artist signing with a major record label?

49 / What is the standard artist-points range for a mid-level artist signing with a major record label?

50 / What is the standard artist-points range for a superstar signing with a record label?

51 / What is the difference between an advance and a fund?

52 / Your contract is for a term of 5 CDs. Two are firm and three are options. / How many CDs are you guaranteed to record? / Your contract is for a term of 5 CDs. Two are firm and three are options. / How many CDs are you guaranteed to record?

53 / True or False / A company can get out of recording a firm CD by exercising the pay or play clause. / True or False / A company can get out of recording a firm CD by exercising the pay or play clause.

54 / True or False / You can shop a demo produced for one record company via a demo deal to another record company. / True or False / You can shop a demo produced for one record company via a demo deal to another record company.

55 / True or False / You may package and sell a demo produced for a record company demo contract after the contract term has expired. / True or False / You may package and sell a demo produced for a record company demo contract after the contract term has expired.