What is a Publishing Administration Agreement?

A publishing administration agreement is a legal contract between a composer (or the copyright owner of a musical work) and a music publishing company. This agreement gives the publishing company the authority to manage, promote, and commercially exploit the composer's musical works in exchange for a share of the revenue generated from those works.

The primary purpose of a publishing administration agreement is to ensure that the composer receives income from the use and exploitation of their musical works. At the same time, the publishing company takes on the responsibility of maximizing income potential and handling the administrative tasks associated with those works.

How Does a Publishing Administration Agreement Work?

Let's say Carla Composer signs a publishing administration agreement with Pure Publishing Co. Pure Publishing Co. would then take charge of negotiating licensing deals for Carla’s songs to be used in films, advertisements, and TV shows. They’d also ensure that Carla receives royalties when her songs are played publicly, such as at concerts, on radio stations, or online. Additionally, Pure Publishing Co. would protect Carla’s copyrights and take legal action if her works are infringed.

In exchange for these services, Carla agrees to pay Pure Publishing Co. a percentage of the income generated by her musical works.

Why is a Publishing Administration Agreement Important?

Not having a publishing administration agreement in place can lead to several issues:

• Difficulty in Managing and Monetizing Your Works: Without the expertise of a publishing company, composers may struggle to effectively manage and monetize their works.
• Missed Opportunities: Composers might miss out on licensing deals and placements in various media due to a lack of industry connections and knowledge.
• Weakened Copyright Protection: Without a publishing company to monitor and enforce copyright protection, composers may find it challenging to defend their rights against infringement.
• Less Favorable Negotiations: Composers negotiating licensing agreements independently may not secure the best terms due to their limited experience.

In short, not having a publishing administration agreement can leave composers to handle the complex tasks of managing, promoting, protecting, and monetizing their works on their own, which can limit both opportunities and income potential.

What Does a Publishing Administration Agreement Include?

A typical publishing administration agreement contains several key components that outline the obligations and rights of both the composer and the publishing company. Here are some of the most important elements:

• Parties Involved: Identification of the composer and the music publishing company entering into the agreement.
• Definitions: Clear explanations of key terms like "Compositions" and "Publishing Rights."
• Rights to the Compositions: Specifies which rights are granted to the publishing company, such as mechanical reproduction rights, public performance rights, and synchronization rights.
• Purpose of the Agreement: Describes the main goal of the contract, usually the administration of the composer's publishing rights by the publishing company.
• Assignment of Rights and Duration: Establishes the length of the agreement and whether the rights granted to the publishing company are exclusive or non-exclusive.
• Warranties: The composer guarantees that they have the legal right to grant the rights outlined in the contract and that the works are original.
• Power of Attorney: This clause may allow the publishing company to act on behalf of the composer in certain situations, such as signing licensing agreements and protecting copyrights.
• Compensation and Royalty Payments: Details how the publishing company will be compensated (usually a percentage of revenue) and how royalties will be distributed to the composer.
• Third-Party Claims and Indemnification: Addresses how any claims by third parties regarding the compositions will be handled.
• Additional Terms and Conditions: Any other specific agreements, such as promotion obligations or dispute resolution procedures.
• Applicable Law and Jurisdiction: Specifies the law and jurisdiction that will govern any legal disputes related to the contract.

These components ensure that both the composer and the publishing company have a clear understanding of their roles and responsibilities.

What Rights Are Included in a Publishing Administration Agreement?

For a publishing company to effectively manage a catalog of musical works, they typically need the following rights:

• Registering Songs: With copyright societies and licensing agencies, if the composer hasn’t already done so.
• Creating, Selling, and Distributing Recordings: In physical, digital, or electronic formats.
• Public Performance: Allowing songs to be performed publicly, whether live, on the radio, online, or through other mediums.
• Publishing or Licensing Printed Versions: Including sheet music and lyrics.
• Adapting or Modifying Songs: Such as recording in other languages, licensing covers, and using excerpts in other works.
• Granting and Managing Licenses: For use in videos on platforms like YouTube, TikTok, and other audiovisual media.
• Promotional Use: Using the composer’s name, image, and biography to promote the songs.
• Third-Party Use: Allowing third parties to exercise any of the rights granted to the publishing company.
• Collecting Income: From the exploitation of the rights granted under the agreement.

Do You Need a Lawyer for Creating a Music Contract?

While it’s not mandatory to hire a lawyer when drafting or modifying a contract, it’s highly recommended to consult with a lawyer specializing in music and entertainment law. They can help you understand the contract's implications and ensure your rights are protected. If legal fees are a concern, tools like Flou can help you draft, sign, send, and track your contracts quickly and affordably, all in one place. Click here to try Flou for free today.

References:

• Jeff Brabec and Todd Brabec, Music Money and Success: The Insider's Guide to Making Money in the Music Business (8th Edition) (2018).
• Donald Passman, All You Need to Know About the Music Business (10th Edition) (2019).
• Randall D. Wixen, The Plain & Simple Guide to Music Publishing (4th Edition) (2020).
• Eric Beall, Making Music Make Money: An Insider's Guide to Becoming Your Own Music Publisher (2nd Edition) (2022).
• Alexiomar Rodríguez, De Artista a Empresario Musical: La Fórmula para Vivir de la Música y No Morir en el Intento (2022).