Video Game Music!! 207
Term.The term shall be for (number of years) from the initial date of
release of the game. The Company will have the option to extend the
license either on the same terms specified in the agreement or with addi-
tional stipulations.
Territory.The rights are usually worldwide, unless there are unusual
circumstances. For instance, if an established song (instrumental) has a
variety of publishers throughout the world, the Company must obtain
licenses from each publisher. This is not usually a problem.
Fee.In some agreements, composers and publishers are paid a one-
time fee for all rights in perpetuity. In other agreements, composers and
publishers may receive royalties after the Company has recouped their
advance against royalties. All agreements are negotiable.
Warranties.Licensor warrants and represents:
- The composers and publishers have to state that they can legally
enter into the Agreement. - The Licensee must state that they are not infringing on the rights of
any third parties. - The Licensee must state that the composition(s) does not include
unauthorized use of samples from other compositions without
obtaining the rights. - They must state that they own the copyright and publishing rights.
- If there are multiple writers and multiple publishers, the division of
ownership must be stated. For example, John (writer) owns 10 percent
of the writer’s royalties, Jim (writer) owns 90 percent of the writer’s
royalties, XXX Music Publishing owns 10 percent of the music pub-
lishing royalties (territory must be stated), YYY owns 90 percent of
the publishing royalties (territory must be stated), and so on.
!!The previous sample
agreement is not a legal
document. The terms stated
are an outline of the general
terms that would be legally
stated by an entertainment
attorney.
Indemnification.The Licensor indem-
nifies and holds harmless the Licensee
against any Licensor’s breach of the
License.
Assignment.The parties may assign
this agreement to third parties. For
instance, if the Company is sold, the new
Company will inherit the agreement.
Legal fees and limitation on dam-
ages.In the event that either party claims that an agreement has been
breached, this clause will define how the legal issues will be resolved (e.g.,
arbitration or through the court system).
Miscellaneous.This clause names the state in which the agreement
will be litigated in the event of a claim.