Two Louies September 2003

OREGON MUSIC photo Chauncene Page 2 - TWO LOUIES, September 2003 TWO LOUIES, September 2003 - Page 3 photo David Ackerman Beauty Stab upstairs at Eli’s. The band lasted about a year but earned drummer Courtney Taylor a reputation as a rocker on the rise. “He always said he was going to the top,” says former Beauty Stab manager Tony DeMicoli. Taylor also worked the door at Tony’s club the Key Largo. “Courtney says the wide variety of acts at the Key had a big infl uence on his musical tastes”. This month Courtney and the Dandy Warhols set out to conquer the world with their new Capitol album “Welcome To The Monkey House” (See Jonny Hollywood page 8.) the music business. part of MusicFest NW, an expert from the AFM I wondered if any of these bands would like to (American Federation of Musicians) will be sitting regain the song rights that they signed away. At fi rst on a panel at the Roseland Grill. The panel discus- glance, there seems to be no legal way to achieve sion is titled “Sign on the Dotted Line”. The date this. Certainly, there could be a public outcry and is September 6, 2003, from 12-4 PM. As one of an attempt to shine some light on these predatory six panelists, there should be much insight offered promoters. Strangely, however, no one that entered regarding protection of your music. Secondly, I AFM ON KUFO this contest seems to be outraged. They should be. would like to invite all musicians interested in Dear Editor, The music business offers enough challenges with- improving their working environment to join me I was stunned upon learning the details of the “It’s Your Fault Band Search” contest, sponsored “I was stunned upon learning the details of the ‘It’s by Infi nity Broadcasting’s KUFO. The details to Your Fault Band Search’ contest, sponsored by Infinity which I refer being that (1) entry of a song in the Broadcasting’s KUFO...In an industry that has a decorated contest transfers all copyrights (i.e., money) in history of exploitation, there can be no clearer, contemporary perpetuity to Infi nity Broadcasting and that (2) the prize for winning this contest is the opportu- example of abuse.” nity (?!) to play up to 31 shows with no monetary out being lured into such corporate fl ytraps. in an open meeting at the local. By utilizing this remuneration (i.e., pay to play). In an industry that The Musicians Union has a clear mission. Col- abusive situation, we have an excuse to join forces has a decorated history of exploitation, there can lectively, we strive to protect the artistry of musi- and brainstorm ways to improve our local music be no clearer, contemporary example of abuse. It cians, to be compensated fairly, and to oppose the community/scene. Only collectively can we create becomes clear that there are at least 50 bands in the forces of exploitation through our solidarity. Given Portland area that need some help understanding these goals, I have a couple of offerings. First, as a Continued on page 23 Page 2 - TWO LOUIES, September 2003 TWO LOUIES, September 2003 - Page 3 Page 4 - TWO LOUIES, September 2003 TWO LOUIES, September 2003 - Page 5 EIGHT TYPES OF PUBLISHING DEALS: mentioned above involve the transfer of at least 4. Income Sharing. The publisher receives AN OVERVIEW part of the copyright ownership of the songs. Not all income from third parties, then pays the eople often speak of “publishing deals” so, usually, with the last four kinds of deals men- writer one-half of that income. The publisher in a generic way, which implies that tioned above. here is getting a larger share of the publishing Pthere is only one kind of publishing Of the eight kinds of deals mentioned above, income than in most of the other types of deals deal. In fact, there are a number of different kinds there will almost always be one particular kind mentioned below. That is because, in the case of publishing deals. of deal that will be the most appropriate type of of this “traditional” kind of publishing deal, the But fi rst, some historical background. In the very early days of music publishing, songwriters simply sold their songs to music publishers for a fl at amount. Later, as songwriters became more business savvy and gained a little more negotiating leverage, a new kind of contract evolved, consisting of three basic elements: (1) The songwriter would assign all copyright ownership of the songwriter’s songs to the publisher; (2) agreement for a particular situation. By the same publisher’s responsibility is to proactively promote The publisher would have the right to try to get token, that same contract will likely be totally the songs involved and, theoretically at least, it is the songs commercially exploited; and (3) The inappropriate for many other types of situations. the publisher’s efforts that will cause any future publisher would agree to pay royalties to the For example, an Administrative Publishing deal success of the songs. On the other hand, in the songwriter based on income received from third might be the perfect kind of deal for one situation, case of many of the other types of deals involved, parties from any commercial exploitation of the and totally inappropriate for a different situation. the publisher’s role is less promotional and pro- songs. Therefore, I will outline below, for each type of active in nature, hence the publisher gets a small Although that basic type of deal (which I refer deal, the kind of situations that each kind of deal piece of the pie. to below as the “traditional publishing deal”) still is particularly appropriate for. 5. Term. Normally, the agreement will be widely exists today, various newer kinds of “pub- And now, for a thumbnail sketch of each of for an initial one-year period (with the writer lishing deals” have evolved over the years. the eight kinds of deals mentioned above. obligated to deliver a certain number of songs Incidentally, when I use the term “publishing to the publisher in that one year), then the pub- deal” here, I’m using the term broadly, to refer The “Traditional” Publishing Deal lisher will have several (in the range of three to to any kind of deal whereby some individual or First, of all, the term “Traditional Publish- six) consecutive one-year options following that company (other than the songwriter) obtains the ing Deal” is not a term customarily used in the initial one year. right to receive a share of the songwriter’s music music industry. I am only using that term here Incidentally – and this is very important -- publishing income (for example, mechanical for purposes of distinguishing this type of deal the “term” means the period of time during which royalties from the use of songs on records, public from the other types of publishing deals men- the songwriter is writing songs for the publisher, performance income from BMI and ASCAP for tioned below. and not how long the publisher will have rights in radio airplay, and synchronization income from 1. Typical Scenario. As mentioned above, this those songs. Normally even though the term of the the use of songs in fi lms, television shows, com- kind of deal dates back to the days of Tin Pan Alley. agreement may be only a few years, the publisher puter games, etc.). will be the owner of those songs for a much, much “The ‘term’ means the period of time during longer period of time, i.e., until they go into public domain many years later. (There is one exception which the songwriter is writing songs for the here: If there is a reversion clause in the contract, publisher, and not how long the publisher will then copyright ownership may revert to the songwriter at some future specifi ed time.) have rights in those songs.” 6. Advances. The larger established publish- Today it’s used when a songwriter and a publisher ers typically pay a recoupable advance to the The Different Kinds of Deals want to have a long-term relationship for all of songwriter for the fi rst year (payable in install- In short, the eight kinds of publishing deals the material that the songwriter will be writing ments), often in the range of $25,000 to $50,000), today are as follows: (1) The “traditional” Pub- during the duration of the contract. This type then an additional advance each following year lishing Agreement; (2) Single Song Agreements; of deal is usually not used when the songwriter the publisher exercises its option to continue the (3) Co-Publishing Agreements; (4) “Step Deals”; is signed to a record deal. (See “Co-Publishing contract for another year. Normally the contract (5) Administration Agreements; (6) Income Deals” below.) will contain somewhat complicated provisions for Participation Agreements; (7) Catalog Repre- 2. Material Covered by the Deal. This kind of how the amounts of the advances for the follow-up sentation Agreements; and (8) Sub-Publishing deal will cover material written during the term of years will be calculated. Agreements. the contract, and sometimes may include certain These eight kinds of deals vary from one to specifi ed songs written before the contract was The Single Song Agreement the other in many respects, most importantly the entered into. Usually the contract will require the 1. Typical Scenario. This type of agreement following: (1) What percentage of copyright own- songwriter to deliver a certain number of new basically is based on the same concept and struc- ership, if any, is given to the publisher; (2) What original songs to the publisher during each year ture as the “traditional” type of deal mentioned share of future publishing income the publisher of the contract.

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