What are record companies?

Record Companies Music Law Intellectual Property

What are record companies?

At the risk of stating the obvious, a record company makes, distributes, and sell “records.” Unless the record company is also the artist, the record company usually sells record from other artists. They obtain the right to mechanically “reproduce” and “distribute” these records of others by virtue of a “recording agreement” with the artist whose music is being recorded. In return for signing a record contact, the recording artist receives a “mechanical royalty.”

(Reprinted with permission of Ruben Salazar, Esq.)

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