While most of our music clients are performing artists, we also work with managers, producers, music festivals, singers, composers… and even music labels and distributors.
While the major labels have “in house” lawyers, medium, small, and artist run labels and distributers often have outside counsel, meaning lawyers that don’t work full time for the company but take on the label as a client. Sometimes, these labels and distributors are run by artists. They are respected artists in their musical lanes, and have developed relationships with others, sufficiently that they chose to both pursue their career as an artist and start a distribution company or record label.
Whether a label or distributor, we help both with their contractual needs: from agreements with talent to contracts with larger distribution companies, and contracts with third parties for use of music in such things as synchronization uses or games.
Join Our Community
Be the first to read new articles, industry news, and more. Sign up to our newsletter today!
One of the most common tasks we help music labels and distributors with is the general template they will use when contracting with artists. Once the label or distributor is ready to make an offer to an artist, we then help the music company with the negotiation of the agreement with the artist.
When starting a conversation with a music company about their general artist agreement template, below are some of the questions we might ask. The purpose of including these concepts in this blog is so that you can think about the kind of relationship you want between your company and the artists that you want to sign, recognizing that these questions will lead to others, and not every artist necessarily needs to be provided with the same agreement terms.
Scope of Music
- Will the artist be delivering existing recordings to you or will you be providing funds to record new recordings?
- How much music is required to be delivered?
- Will there be options for future recordings that your company will have the right to distribute?
- If the scope is more limited, will the agreement clarify which particular recordings will be distributed?
- Who owns the music recordings – the artist or your music company?
Term
- Is there any exclusivity term with the artist, and if so, how long will it be?
- How long is the exploitation period of the music?
- Will either of the above automatically extend?
- How is the term terminated?
Territory
- Will the territory of rights be worldwide, or be more limited?
Video
- Will your company be distributing music video content?
- Will your company be funding the creation of music video content?
- Will your company control the artist’s YouTube and other video channels?
Financial
- What’s the overall financial arrangement with the artist?
- Will there be a royalty or a fee payable to the artist?
- What is the basis of the royalty?
- Is your music company committing to a minimum contribution to the costs to record and produce the recordings and/or regarding the marketing/promotion of the recordings?
- Is the revenue going to your music company’s distributor calculated before your music company takes its cut, or is the other distributor’s share of royalties and any other fees included in the share of royalties your music company is earning?
- Will your music company provide a sales advance, or any other kind of advance, to the artist?
- Are you going to pay the artist’s producer(s) directly?
- Are you getting involved with physical distribution?
- How often will your music company provide a statement to the artist?
- Will your music company be collecting the rights owner share of digital performance royalties (such as SOPROQ in Canada, SoundExchange in the US, etc.)? If so will it retain these funds or include it as revenue being shared with the artist?
Approvals
- What approvals are you providing to artists regarding any decisions your music company will make?
If you’re starting a music label or distribution company and need a template, or already have an artist agreement template but are looking for assistance in the negotiation agreement with artists and other parties, please let us know and we can have a discussion to assist.
We also help music labels with legal services such as the following:
- Setting up your corporation and assisting with related corporate needs including a shareholders’ agreement.
- Preparing your employment and independent contractor agreements for your team to sign.
- Writing the Terms of Service and Privacy Policy for your music company’s web site.
- Helping you navigate the process to get a trademark registration for your company’s name and/or logo.
- Helping with potential claims of defamation.
- Assisting with litigation should the need arise.
© 2025 Edwards Creative Law, LLP
Updated to June 6, 2025
Edwards Creative Law is Canada’s Entertainment Law Boutique™, providing legal services to Canadians, and international clients who partner with Canadians, in the Film & Television, Music, Video Games and Apps, Publishing and Literary industries.
For more information or to set up a minute Discovery Call with one of our entertainment lawyers please feel free to Contact Us.
* This blog is for general informational purposes only and is not to be construed as legal advice. Please contact Edwards Creative Law or another lawyer, if you wish to apply these concepts to your specific circumstances.
Check out our popular blog posts:
Neighbouring Rights in Canada – Being a Musician is a Business
Setting up a Music Publishing Company in Canada
Copyright Protection & Classical Music
Work Made for Hire Explained
10 Co-Production Considerations in Canada – Ask an Entertainment Lawyer
Film Profits & Points – Ask an Entertainment Lawyer
The “Just Trust Me” Legal Agreement
Learn more about our services:
Model and Talent Law
Film and Television Law
Music Law
Video Game and App Law
Publishing and Literary Law
Employment Law
Dispute Resolution and Litigation
Corporate Law
International Services
