Common use of Mechanical Royalties Clause in Contracts

Mechanical Royalties. Artist acknowledges and agrees that Company will pay a royalty for the mechanical license on all Records manufactured for sale or commercial distribution at __% of the minimum compulsory license rate (the "Company Mechanical Rate") applicable in the country of manufacture. The applicable minimum statutory rate shall be determined as of the date of the commencement of the recording of the applicable Master Recording. Mechanical Royalties shall not be payable with respect to musical compositions of one minute or less in duration.

Mechanical Royalties. Artist acknowledges and agrees that Company will pay a royalty for the mechanical license on all Records manufactured for sale or commercial distribution at __% of the minimum compulsory license rate (the "Company Mechanical Rate") applicable in the country of manufacture. The applicable minimum statutory rate shall be determined as of the date of the commencement of the recording of the applicable Master Recording. Mechanical Royalties shall not be payable with respect to musical compositions of one minute or less in duration.