 A popular narrative, endlessly circulated by the media in recent years, suggests that the music industry has evolved and achieved unprecedented progress. According to this view, no other industry has had to adapt to such seismic changes and self-implosion. The artist now has more power than ever, and streaming platforms and TikTok have obliterated the power and control of record labels. Independence reigns!
Really? No, of course not! In 1999, while still at law school, I eagerly pored over contracts for friends who had been offered deals. I’d show up at meetings with my textbook in hand, frantically searching for the right clause or the correct definition! Miraculously, people took me seriously and actually listened to what I was saying! Back then, the music industry was on the cusp of change. The launch of Napster in June 1999 marked a turning point, enabling users to easily share and download MP3 files for free. This immediately raised concerns within the industry about copyright infringement and the potential decline in physical music sales. Or at least, that’s what AI tells me. The reality, however, was that in 1999—and for probably the next ten years—the so-called “leaders” of the music industry were in denial about things like MP3s and the internet! The idea of streaming becoming the most popular way of consuming music was far beyond the minds of most people working in the industry, including management, agents, publishers, and, of course, the labels. For over 30 years, the “majors” (Warner Music Group, EMI, Sony Music, BMG, Universal Music Group, and PolyGram) had ruled the industry with an iron fist, breaching antitrust laws and monopolistic commissions left, right, and center. By creating hundreds of subsidiary labels (many of which wouldn’t survive the next decade) and buying up numerous indie labels, their control over the industry was comparable to the Roman Empire’s dominance. Back then, unsigned bands didn’t really exist. If you were unsigned, you didn’t last long—you moved on to something else. Only the likes of John Peel were championing unsigned artists, with little support or coverage from the labels or even the BBC. It wasn’t until much later that the BBC jumped on the bandwagon, and they’ve been on it ever since. What transpired in the first ten years of the 21st century, along with the rise of digital service providers (DSPs) like Apple and the internet, was a fracture in the music industry that provided hope to those on the outside. Things came to a head in 2000 when one of the biggest acts of the time Metallica took on Napster in the American courts, claiming copyright infringement, racketeering, and unlawful use of digital audio interface devices. Basically, they were gutted to see a million-dollar hole in their monthly earnings so thought they would try and get rid of these pesky sites once and for all! It was the first case that involved an artist suing a peer-to-peer file sharing ("P2P") software company and although others subsequently tried, it actually ushered in the new model quicker than expected. It may have led to Napster's eventual demise but proved to be a catalyst for the rise of legal music downloads and streaming, fundamentally altering the music industry by forcing it to adapt to the digital age and find new ways to monetize music. Fast forward just 14 years and you’ll find another hugely popular band that initially voiced concerns about digital streaming, jumping headfirst into it, U2. Their latest album was automatically downloaded to all iTunes users' libraries without their consent. Many iTunes users, especially those who had no interest in the album, felt violated by the forced download. The incident sparked a heated debate about the balance between marketing, user consent, and the commercialisation of digital music. Critics argued that Apple's move was a step too far in the quest to make music accessible, while others defended the promotion as an innovative way to deliver music directly to listeners. During those 14 years, countless takeovers, job losses, and broken business models exposed the cracks in the dominance of the majors. This shift gave aspiring artists, managers, and labels the chance to step into the spotlight. In many ways, this was the birth of the independent music scene as we know it. On a personal level, this shift made my business model viable—almost by luck. Within a few years, my potential client base grew massively, and the terms “Independent” and “unsigned” became the buzzwords of the time. Myspace became the forerunner of a DIY movement that hadn’t been seen since the days of punk! Suddenly momentum began to shift on a permanent basis. Both the Metallica-Napster lawsuit and U2’s iTunes controversy underscores the tension that has existed between the music industry’s traditional business models and the digital age. The shift from physical album sales to digital downloads and streaming has forever altered the way music is consumed, marketed, and monetised. On one hand, platforms like Spotify and Apple Music have made music more accessible than ever, offering vast libraries of songs to listeners with just a click or tap. This has empowered independent artists, as well as major names, to reach global audiences without the need for traditional record deals. On the other hand, this shift has led to a decline in physical album sales, forcing record labels to rethink their revenue models. With streaming platforms often paying pennies per play, many artists struggle to make a sustainable income from their music, leading to concerns about the long-term viability of the current system. I actually think this is where the myth comes to the fore. The “viability of the current system” will continue to be stable until something else comes along! If it doesn’t then I think in 50 years’ time we’ll be wondering what all the fuss was all about. Musicians may well be shocked at the idea that once there was a time when they needed to “assign” or grant their rights to a record label, in order to allow that label to exploit those rights legally. In just 20 + years since I’ve been a music lawyer this concept has become quickly eroded and is far less commonplace. I find that more and more of my clients are taking their independence for granted as some have not known it any other way. This fascinates me and reminds me of a time when all my clients ever wanted was to be signed. The myth was at its most powerful and destructive back then, casting aside those that didn’t jump on board for the ride. Now at last those not on that bandwagon can at least try and often toil to carve out their own story, independent of those that once ruled without opposition. Image by macrovector_official on Freepik This article was originally published in Spirited Magazine May 2025
0 Comments
 Many bands and musicians after toiling away on the gig circuit are likely to get their first taste of “success” by being offered a management deal. Having booked your own gigs and public appearances you are naturally going to be more than happy to get such a deal. There is no doubt that having management and PR should be considered as a stepping stone. But it is very important to be aware of the consequences of being tied to a management deal. Know Who You Are Signing To It sounds obvious but you must find out as much as you can about potential managers- How long they have been in business? What type of artists do they already have? How have they helped them so far? (getting in touch with artists on their books is vital). Once you are satisfied that they might be right for you then you can look at the deal. So, it is very important to discuss these issues with fellow band members or musicians before you sign anything or even look at a contract. Exclusivity Most management deals will involve the Management Company having the sole and exclusive right to exploit you as a band/artist. Among many things, this means that only they can book your gigs and arrange promotional events. This can suit some acts but if you have been booking your own gigs then you may want to continue to do this. Otherwise you could lose local support if you are seen to turn your back on the places that gave you your first break. Therefore, you would want to insert a clause that allows you to carry on making bookings. Importantly the management company should not be able to claim a commission on these bookings. Term Length The length of term in any contract is always important and very much subject to negotiation. Flexibility is the key here and all term lengths should be reflective of what the offering party is planning to do with the artist. Recently I’ve found that term lengths have shortened as they become more project specific. This suits both parties and is always recommended. Not All About The Contract So, the key to assessing whether a deal is right for you is to have an open mind and test the waters as much as possible. Over the years I have analysed contracts that seem very forward thinking and beneficial to the artist. Once reality sets in though, certain complications can arise that a contract simply can't cover. Communication is key and there must be a clear, regular dialogue between the artist and the manager and their team. The nature of the music industry means that nothing is guaranteed and risks have to be taken. The rewards though can be endless.  How Can You Protect Your Songs?
The procedures for copyright protection in the U.K. are far less straightforward as there is no official register that is approved by English law. There is no central copyright index, or forms to fill in. A composer secures copyright automatically as a direct result of his having created a new work. It must, however, be original. If you copy or adapt someone else's song without permission, in whole or part, you will not acquire any copyright of your own. Instead this would be seen as an infringement and the original copyright owner will be able to take legal action against you. Without an official register it may be less costly to own your copyright but it also gives more opportunity to those that may want to use a song illegally. A situation can arise in which more people could claim that a song is owned by them and even attempt to use or adapt that song for their own purposes. I have had clients who have heard a song on the radio or in a record shop and have recognised either a riff or a part that is incredibly familiar. If they can prove that it was originally produced by them then they will have a potential case and will be able to take further action, no matter how small the part was. The problems begin though when you have to ask yourself whether it is a genuine composition that is simply exactly the same as another track or whether it is an actual direct infringement. Due to the lack of a one-off register various methods of protection have evolved over the years as music has become more and more lucrative-Some of the more popular methods are shown below: -Posting copies of your work to yourselves in a sealed registered envelope obtaining a stamped dated post office receipt, and keeping the unopened envelope and receipt in a safe place in case it's ever required for proof. -Depositing a copy of your work with a lawyer, accountant or other reputable professional in return for a dated receipt. These measures are helpful in recording that the work was in existence on a particular date, but they are not a guarantee of copyright ownership as they are always open to possible tampering or copying. What Does Copyright Protection Provide? If you are the owner of a copyright, e.g. in a song, then unless you have given permission for any of these specific activities, no one else can do any of the following with your song: - copy it - issue copies to the public - perform or play it in public - broadcast it or include it in a cable programme service - make an adaptation of it. Advice There is no doubt that understanding your copyright position will go a long way to helping you understand any music contracts that you might be offered. When being advised on a recording deal you will have a much clearer picture of why a record company or publishing house demand that you assign certain rights to them. This will allow you to be fully aware of your rights throughout the contract period and to know what those rights mean and how they are being used. You don’t need to understand all aspects of a contract but I have found that giving artists some extra knowledge is likely to put off less genuine companies from offering you an unfair or unacceptable deal. |