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Music Licensing Terminology

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License Agreement

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A license agreement in music is a legal contract between a rights holder and a licensee that outlines the terms regarding the use of a musical work or recording. It specifies usage rights, fees, duration, and territory, among other factors.

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Grand Rights License

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A grand rights license is necessary for large-scale performances that involve dramatic works, such as operas, musical theater, and ballets, particularly when they're presented in a narrative context that extends beyond a standard concert performance.

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Master Recording

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The master recording is the original final version of a song or sound recording. It is the version that is used for duplication and distribution to the public.

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Master License

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A master license grants permission to use a pre-recorded version of a song, also known as a master recording, in various media formats. This is typically owned by the record label or artist who owns the recording rights.

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Work Made for Hire

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A 'work made for hire' is a work created by an employee within the scope of employment or a work specially ordered/commissioned for certain specified uses, where the parties agree in writing that it is a work made for hire. In the music industry, it might be used for commissioned songs for specific purposes, like a soundtrack.

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Performance License

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A performance license gives permission to play a song or any portion of a song in a public setting such as radio, TV, online streaming, or live venues.

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Mechanical License

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A mechanical license grants the rights to reproduce and distribute a musical composition on CDs, records, tapes, ringtones, and digital downloads. It is most commonly used when an artist records and releases another songwriter's work.

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Blanket License

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A blanket license allows the licensee to use any music in a PRO's catalog for a set period in exchange for a negotiated fee. It is commonly used by broadcasters, venues, and streaming services.

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Synchronization License

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A synchronization license, or 'sync' license, is the right to use a piece of music in timed relation with visual media such as movies, TV shows, advertisements, video games, and presentations.

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Digital Performance Right

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Digital performance right is the right to control and earn royalties from the digital transmission of sound recordings, such as internet radio or online music streaming services.

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Production Music

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Production music, also known as stock or library music, is pre-recorded music made available for licensing to use in film, TV, radio, and other media. Such music is ready-made, clearing the necessity for custom music production.

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Composer

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In music licensing, a composer is an individual who creates original music, which may then be licensed for use in various media platforms or performances.

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Publisher

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A publisher in the context of music is an entity that deals with the business side of music copyright, including issuing licenses, collecting royalties, and promoting compositions.

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Print Rights License

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Print rights license allows for the reproduction of a musical composition in printed form, like sheet music or a songbook.

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Cue Sheet

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A cue sheet is a detailed listing of all the music used in a television program, film, or other media project. It includes details about titles, composers, and publishers, and is used to ensure proper royalty payments to rights holders for public performances.

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Royalty

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A royalty is a payment made to the rights holders of a musical work or recording for the use of that music, based on an agreed percentage of revenue or a flat fee.

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Compulsory License

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A compulsory license allows someone to cover a song without the original copyright holders' explicit permission, provided that royalty payments are set by statute.

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Sampling

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Sampling in music licensing refers to the act of taking a portion of a sound recording and reusing it in a different song or piece of music. A license is often required from the rights holder of the original recording to use the sample legally.

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Work-for-Hire Agreement

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A work-for-hire agreement is a contract in which a musician or composer creates a piece of music specifically for another party, with the understanding that the hiring party will own the copyright of the created work.

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Copyright Termination

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Copyright termination refers to the process by which the original rights holders of a musical work can reclaim copyrights that they had previously assigned to a publisher or producer, after a statutory period.

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