Most legal problems musicians face do not come from bad intentions. They come from signing without reading, from verbal agreements that each party remembers differently, or from not noticing the clause that changed everything.

This is not legal advice — for that, you need a lawyer specialised in intellectual property and entertainment law. What we offer here is the map: which contracts exist, what each one covers, and which points you should always review before signing.

The performance contract

This is the document that formalises a live performance: who performs, where, when, how much they are paid and under what conditions.

Minimum required content:

01

Identification of the parties. Full legal name or company name, tax ID and contact address of the artist (or their representative) and the promoter or venue. If you perform through a company or as a sole trader, that entity must appear — not your personal name.

02

Date, time and location. Exact address, doors time, soundcheck time, performance start time and estimated duration. If there are two sets or specific scheduling conditions, they must be stated in writing.

03

Fee and payment method. Total amount, whether VAT is included, when payment is due (deposit + balance, or all at the end), and how (bank transfer, cash, cheque). A verbal agreement on the fee is nearly impossible to enforce if there is a dispute.

04

Technical rider incorporated. The technical rider is part of the performance contract. If the promoter cannot meet any technical requirement, they must communicate this in advance — not on the day of the performance.

05

Cancellation clause. What happens if the promoter cancels? What happens if you cancel? Typically: cancellation by the promoter with less than X days’ notice means paying 50–100% of the fee. Defining this avoids conflict.

06

Image and recording rights. Can the performance be recorded? Can it be published? Where? Who owns the rights? If the promoter wants to record the performance for social media, the terms must be stated in writing.

The rights assignment contract

When you assign rights over a song, an album or any work, you are transferring (fully or partially) the ability to exploit it commercially. Signing this incorrectly can have consequences years — or decades — later.

Critical points to review:

Exclusivity and territory

Is the assignment exclusive (only that company can exploit it) or non-exclusive (you can assign the same rights to others)? Does it cover the whole world or a specific territory? A worldwide exclusive assignment is very different from a non-exclusive assignment for one country.

Duration

Are you assigning rights for a fixed term (5 years, 10 years) or indefinitely? If there is no expiry date, what conditions allow you to reclaim the rights? Contracts "for the full term of copyright protection" can mean 70 years after your death.

Which rights exactly

Reproduction, distribution, public communication, adaptation, synchronisation (use in audiovisual)... Each right is independent. A contract may assign distribution rights but retain synchronisation — and that is where the major money is in film, advertising and video game placements.

Remuneration and accounting

How is the assignment compensated? Flat fee, royalty percentage, advance against royalties? If there is an advance, which revenues are used to recoup it? How are accountings issued: annually, semi-annually? Do you have audit rights?

Record deals and distribution agreements

The streaming era has changed standard agreements significantly, but some classic terms remain:

Recording contract (record deal): The label finances production and retains the masters (original recordings). As an artist, you receive royalties — typically 15–20% of net income — until the advance is recouped. Masters belong to the label during the contract, and often indefinitely unless negotiated otherwise.

Licence agreement: You produce the music and licence the master for a specific territory and period. You retain ownership of the master. Better for artists who self-produce.

Digital distributor: You are not assigning rights — the distributor acts as an intermediary to place your music on streaming platforms. They take a percentage or annual fee. Read the conditions for catalogue reversion if you leave the distributor: some retain your music for months.

360° contract: The label participates in all artist income: live shows, merchandising, advertising, licences. In return, there is usually a marketing support commitment. Negotiate carefully the percentage applied to each income type.

What happens with SGAE

When you register your works with SGAE (Spain’s authors’ rights collective management society, equivalent to PRS in the UK or ASCAP/BMI in the US) as an author or publisher, you are delegating the collective management of your public communication and mechanical reproduction rights. SGAE collects and distributes on your behalf.

Key points many authors miss:

  • SGAE manages public communication rights (concerts, radio, TV, public spaces) and mechanical reproduction rights (streaming, digital sales). Synchronisation rights are not managed by SGAE — those are negotiated directly by the rights holder.
  • Registering a work with SGAE is not assigning ownership of it. You remain the author. SGAE manages the collection on your behalf in exchange for a commission.
  • If you release music through a digital distributor and you are not registered with a collective management society, your public communication royalties from venues and broadcasts are likely not being collected.

Practical recommendation

For standard performance contracts with moderate fees, a well-drafted template signed by both parties is sufficient. For agreements with labels, platforms, or significant rights assignments, investing in a consultation with a lawyer specialised in intellectual property is one of the best investments you can make as a professional musician.

At Ressona we help artists build their digital identity and professional structure. If you have questions about how to present yourself to the market or what steps to take to professionalise your career, write to us.