Quote:
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Originally Posted by fiveminuteplan [I]Regarding the materials on your web site.
I am interested in the materials on your site. Statue is a major
independent record company and would like to discuss the possibility of
releasing this material and doing some radio promotion on it.
If your record is available for licensing and distribution please
contact
me at your earliest opportunity. |
I e-mailed this guy about this about a month ago saying that I'd like more information. He just got back to me today:
"Sorry for the late reply.
Here are the general contract terms we are proposing relative to licensing your product. I am proposing to make CD's of the tracks you have available now for radio promotion, if statue gets air we will get retail orders which we will fill and you will get a royalty percentage of the sales. You have no cost or expenses associated with this, statue pays all costs associated with manufacturing and marketing. In addition to breaking records we place some of our music in major motion pictures such as Warner Bothers Outbreak featuring Dustin Hoffman, Morgan Freeman and Donald Sutherland.
We are looking forward to launching our new web site in several weeks that will allow customers to download individual songs or an entire record for a fee. We are excited about this because the ARTIST and the Label will make more than with traditional CD manufacturing. There are very few that have this powerful new delivery option outside of the majors. We are developing a new artist only private section where act’s can see their CMJ and R&R charts and other radio and media proprietary information along with management and booking agent contacts. Then there is the new video streaming which we are really excited about.
Statue looks forward to working with you and are hopeful that we can come to an understanding regarding the licensing of your material. If you decide you want to move forward after reviewing our proposal, please print out the agreement fill in the blanks and mail it back to me at the address below. Please see the bottom of this email for a list of the files and items we would like to see accompany the contract.
Best regards
Warren Ryan
DISTRIBUTION CONTRACT
DEAL POINTS
• ARTIST RETAINS OWNERSHIP OF MASTERS.
• ARTIST RETAINS OWNERSHIP OF PUBLISHING.
• TERM OF AGREEMENT IS AT DISCRETION OF ARTIST (TO BE
DETERMINED PRIOR TO EXECUTION)
• STATUE MANUFACTURES AND PACKAGES RECORDINGS AND ARTWORK.
• ARTIST MAY PURCHASE RECORDINGS MANUFACTURED BY STATUE AT A
DISCOUNTED RATE.
• ARTIST MAY CONTINUE TO MANUFACTURE AND SELL CD’S ON THEIR
OWN. IF ARTIST HAS MANUFACTURED CD’S, AT ARTIST OPTION,
STATUE WILL DISTRIBUTE THOSE CD’S AT AN ALTERNATIVE ROYALTY
RATE THAN THAT OFFERED BELOW."
What follows is a long contract with a bunch of legal mumbo-jumbo. The main points of it that I'm interested in is that it's a non-exclusive agreement which is terminable after one year, if we choose. There's no investment on our part either.
Honestly, I'm considering doing this. They pay 25% royalties, which isn't bad. It's not very good compared to the 100% we make now, but to be blunt, we really don't sell very many CDs. If these people can promote us and get our music into people's hands (which it's in their best interest to), then I'm all for it. Are they going to get our song in the next Morgan Freeman movie? Probably not, that's a bit of smoke blowing; but whatever.
I'd like to release our new album with them though, instead of The Cycle. I think I'll e-mail him about that...
Anyway, I'd love to get some feedback about this. Does anyone think it's a scam?