Mechanical Licences Clause Samples
A Mechanical Licences clause defines the permissions and terms under which a party may reproduce and distribute copyrighted musical compositions, typically in the form of audio recordings. This clause outlines the scope of the licence, such as the specific songs covered, the formats allowed (like CDs or digital downloads), and the payment of royalties to the copyright holder. Its core function is to ensure that the rights to use and distribute musical works are clearly granted and that the appropriate compensation is provided, thereby preventing copyright infringement and clarifying the legal use of the music.
Mechanical Licences. 14.1 The Artist warrants and confirms that Company shall be able to obtain a mechanical reproduction licence in respect of each composition embodied in Masters recorded under this Agreement.
14.2 The Artist warrants and confirms that in respect of Controlled Compositions all such licences and consents shall be granted to Company on the statutory terms applying in each part of the Territory (or if none the standard terms). If in the USA and/or Canada the Company is unable to obtain an undertaking from its licensees to pay such mechanical royalties at a full statutory rate then the mechanical royalties shall be payable at seventy five percent (75%) of the minimum statutory rate at the date of recording of Records comprising the Artist’s compositions.
14.3 Mechanical royalties in the USA and/or Canada shall not be payable on more than eleven (11) Tracks per Album or two Tracks per Single or on Fifty per cent (50%) of Records used for promotional purposes.
14.4 Notwithstanding anything to the contrary contained in this Agreement mechanical royalties in respect of Controlled Compositions shall be subject to the terms of such bona fide agreements or licences as Company may enter into from time to time. In concluding any such agreement in the USA and/or Canada Company will use best commercial endeavours to secure a more favourable rate than is provided for in sub- clauses 14.2 and 14.3 above and in the event that Company is able to secure such more favourable rate then such rate shall apply under this Agreement.
14.5 The Artist hereby warrants and confirms that Company shall be able to obtain an unrestricted perpetual synchronisation licence from the owners of the copyright in respect of Controlled Compositions which are embodied on Videos made hereunder for promotional purposes to enable Company and its licensees to exploit such Videos throughout the Territory for the full period of copyright and any extensions and renewals thereof in any form and in any manner (including without limitation commercial exploitation). In respect of the exploitation of Videos made primarily for promotional purposes the said synchronisation licence shall be granted free of charge.
Mechanical Licences. 14.1. The Artist warrants and confirms that Company shall be able to obtain a mechanical reproduction licence in respect of each composition embodied in Masters recorded under this Agreement.