Common use of AR- Clause in Contracts

AR-. 1. AD shall sign at least 3 Artists during each year of the Label Term. If at the end of any year of the Label Term, AD has signed less than 3 Artists in such year, RCA shall have the right, by written notice to AD, to suspend its obligations to AD (other than the payment of Artist and producer advances and royalties) and the term of the Term until such artists are signed. If any such suspension continues for 12 months, RCA shall have the right, within 30 days thereafter, to terminate the Term, and the assets of the Label will not be divided between RCA and AD. 2. If at the end of the second year of the Term, less than [***] albums have been delivered by the Artists, RCA shall have the right, by written notice to AD, to suspend its obligations to AD (other than the payment of Artist and producer advances and royalties) and the Term until such albums are delivered. Further, if at the end of the third year of the Term and each year thereafter, less than [***] albums have been delivered by the Artists in such year, RCA shall have the right, by written notice to AD, to suspend its obligations to AD (other than the payment of Artist and producer advances and royalties) and the Term. If any such suspension continues for 6 months, RCA shall have the right within 30 days thereafter to terminate the Term, and the assets of the Label will not be divided between RCA and AD.