MUSB 2505 Ch. 10 Study Guide

NAME                           DATE

MUSB 2305 CHAPTER 10 STUDY GUIDE

“Controlled Composition Clauses”

THE PLAIN AND SIMPLE GUIDE TO MUSIC PUBLISHING

by Randall D. Wixen

1. ______  Most record companies believe that it’s important to make full mechanical royalty payments promptly to their artists
2. ______  Record companies usually define the controlled composition as “any song written or cowritten by you, or any song owned, controlled, or administered by you”
3. ______ It’s important that your record company deal does not conflict with your publishing deal
4. ______  the mechanical rate paid under your controlled composition clause will usually vary, depending on when the recording is released
5. ______  You should try to have the controlled composition mechanical rate be the one in effect on the day of the release
6. ______  You will typically get a controlled composition rate based on 75% of the minimum statutory rate
7. ______  “Your Mechanical Rate” can give you additional itemized rate increases above the minimum
8. ______  When you agree to license your controlled compositions, you are not licensing your cowriter to this rate
9. ______  By using the term “for use on phonorecords” in your licensing clause, you may be granting the same rate for years to come

10.  ______  If your cowriter doesn’t agree with your license rate, their additional payments will come out of your aggregate mechanical royalty pool

11.  ______  Mechanicals in Canada are not reduced by controlled composition clauses

12.  ______  Your controlled composition clause will reduce your mechanical rates outside the U.S. and Canada

13.  ______  You might be entitled to a higher mechanical rate in Canada if you ask for it

14.  ______ American record companies are happy with the low “penny rates” for mechanicals

15.  ______ Wixen states that you should examine if you want one sole company to control your master and publishing rights

BRIEF OUTLINE/ESSAY

1. Why does Wixen say that music publishers refer to controlled composition clauses as “first born child” clauses P.119
2. Define for purposes of the controlled composition clause:

a) mid-line units

b) record club units

c) budget releases

d) royalty bearing units

e) free goods

f) special free goods

p.121

1. 3. What is an aggregate mechanical cap? How does it work? p.122
2. 4. What does min-max wording refer mean? P.124
3. 5. List thirteen provisions that should be included in a co-administration agreement. P. 117
4. 6. How have modern controlled composition clauses broadened their applicability? P. 125