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#1
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Posted to rec.music.makers.trumpet,rec.audio.pro,alt.guitar,misc.legal
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Having never been a member of a band with a recording contract let alone one
with a multi-decade history, the only dynamic I'm really familiar with is - band plays gig, leader gets check or wad of cash from venue manager and divvies it up among the band members. So, how does it work with a group like Chicago? Their revenue sources seem like they'd be complicated - concerts, album sales incl. re-releases of older material, radio airplay, TV appearances, any use of their recordings, publishing of their music, merchandising, etc. I assume they're not all paid equally, some are original members some aren't and even among the original guys I would guess they're not all "equal", and what about guys who were members and are no longer? Is it likely they still get paid on material they contributed to in the past? Or let's say Walt Parazaider puts out a "Rock Sax Method" DVD or something as an individual project, would he be obligated to pay some portion to the general kitty since his fame stems from his association with the group? And what about their obligations to perform with the group? I would assume it's not like a local-yokel band where if they get ****ed one day they can just say "screw all you guys, I'm outta here". Would you guess they're obligated to fulfill some kind of appearance contract? |
#2
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Posted to rec.music.makers.trumpet,rec.audio.pro,alt.guitar,misc.legal
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So, how does it work with a group like Chicago? Their revenue sources seem like they'd be complicated - concerts, album sales incl. re-releases of older material, radio airplay, TV appearances, any use of their recordings, publishing of their music, merchandising, etc.
A group like Chicago would likely be incorporated, with "shares" going to whomever was involved at the time of incorporation. Original members would receive a greater portion of shares in the "company", newer members would receive smaller portions of "ownership". Income would be based upon shareholding percentages -- after all expenses related to the operation of the corporation. This is a simplification of the process, but you get the idea. Departing "original" shareholders, whether newer or original members, could retain some or all of their shares, be compelled by agreement to sell back their shares, with probable exceptions such as royalties as co-writer and performer on record. Based on how the corporation was set up, that would dictate how these situations would be handled. Yes, it is a bit complicated, but usually spelled out in the articles of incorporation. I assume they're not all paid equally, some are original members some aren't and even among the original guys I would guess they're not all "equal", and what about guys who were members and are no longer? Is it likely they still get paid on material they contributed to in the past? If someone was a co-writer of material, they would continue to receive writers' royalties. If they were involved in an album then they would receive compensation for that, too, unless they signed away that right, selling their interest for a flat "opt out" fee, and agreeing to releasing all interest, past, present and future in what would have been their share of profits (though I cannot imagine why they would sign away such rights, but it happens). If a player were hired merely as a session and/or touring player and paid flat fees (like a studio musician), they have no vested interest or royalty claim. Chances are, in order to keep things neat, a band like Chicago, which probably has a revolving horn section at the very least, would hire people on this system. Paid to play/record with no further claim on rights, royalties, merchandise or other associated income generation. These we call "hired guns". If the band finds a particular musician to be very compatible, they might offer them a contract which could include shares in the company, royalties, merchandising profits and such. Metallica did this with a recent bass player, paying him a million up front and then giving him royalty rights to recorded materials with which he was associated. Merchandise I don't know about. Or let's say Walt Parazaider puts out a "Rock Sax Method" DVD or something as an individual project, would he be obligated to pay some portion to the general kitty since his fame stems from his association with the group? Any "outside" projects are the property and perview of the individual who made/financed them. If Walt made such a DVD, all proceeds are his. I can't see Chicago demanding a piece of that action. His "fame" as a result of association with Chicago is a "benefit". Chicago has no claim on anything he does on his own time unless they bankrolled some or all of the endeavour. And what about their obligations to perform with the group? I would assume it's not like a local-yokel band where if they get ****ed one day they can just say "screw all you guys, I'm outta here". Would you guess they're obligated to fulfill some kind of appearance contract? Obligations are laid out at the beginning as part of a contract or other legal agreement. They can say, "screw you", but would do so understanding there are associated penalties for early termination of the contract/agreement, which would be covered in such agreement. If it isn't working, I doubt Chicago, or any band, would want to prolong the agony any longer than it took to find a replacement -- which for them would be tomorrow. If a member were going to leave, I'm sure it would be based on the ability to replace them if they were in the middle of a tour. That would be a provision of any contract, I would think. --Fletch |
#3
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Posted to rec.music.makers.trumpet,rec.audio.pro,alt.guitar,misc.legal
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![]() "Fletch" wrote in message oups.com... So, how does it work with a group like Chicago? Their revenue sources seem like they'd be complicated - concerts, album sales incl. re-releases of older material, radio airplay, TV appearances, any use of their recordings, publishing of their music, merchandising, etc. A group like Chicago would likely be incorporated, with "shares" going to whomever was involved at the time of incorporation. Original members would receive a greater portion of shares in the "company", newer members would receive smaller portions of "ownership". Income would be based upon shareholding percentages -- after all expenses related to the operation of the corporation. This is a simplification of the process, but you get the idea. Departing "original" shareholders, whether newer or original members, could retain some or all of their shares, be compelled by agreement to sell back their shares, with probable exceptions such as royalties as co-writer and performer on record. Based on how the corporation was set up, that would dictate how these situations would be handled. Yes, it is a bit complicated, but usually spelled out in the articles of incorporation. I assume they're not all paid equally, some are original members some aren't and even among the original guys I would guess they're not all "equal", and what about guys who were members and are no longer? Is it likely they still get paid on material they contributed to in the past? If someone was a co-writer of material, they would continue to receive writers' royalties. If they were involved in an album then they would receive compensation for that, too, unless they signed away that right, selling their interest for a flat "opt out" fee, and agreeing to releasing all interest, past, present and future in what would have been their share of profits (though I cannot imagine why they would sign away such rights, but it happens). If a player were hired merely as a session and/or touring player and paid flat fees (like a studio musician), they have no vested interest or royalty claim. Chances are, in order to keep things neat, a band like Chicago, which probably has a revolving horn section at the very least, would hire people on this system. Paid to play/record with no further claim on rights, royalties, merchandise or other associated income generation. These we call "hired guns". If the band finds a particular musician to be very compatible, they might offer them a contract which could include shares in the company, royalties, merchandising profits and such. Metallica did this with a recent bass player, paying him a million up front and then giving him royalty rights to recorded materials with which he was associated. Merchandise I don't know about. Or let's say Walt Parazaider puts out a "Rock Sax Method" DVD or something as an individual project, would he be obligated to pay some portion to the general kitty since his fame stems from his association with the group? Any "outside" projects are the property and perview of the individual who made/financed them. If Walt made such a DVD, all proceeds are his. I can't see Chicago demanding a piece of that action. His "fame" as a result of association with Chicago is a "benefit". Chicago has no claim on anything he does on his own time unless they bankrolled some or all of the endeavour. And what about their obligations to perform with the group? I would assume it's not like a local-yokel band where if they get ****ed one day they can just say "screw all you guys, I'm outta here". Would you guess they're obligated to fulfill some kind of appearance contract? Obligations are laid out at the beginning as part of a contract or other legal agreement. They can say, "screw you", but would do so understanding there are associated penalties for early termination of the contract/agreement, which would be covered in such agreement. If it isn't working, I doubt Chicago, or any band, would want to prolong the agony any longer than it took to find a replacement -- which for them would be tomorrow. If a member were going to leave, I'm sure it would be based on the ability to replace them if they were in the middle of a tour. That would be a provision of any contract, I would think. --Fletch Its got to be a complicated mess for groups that change members often like Blood, Sweat & Tears or Tower of Power. |
#4
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Posted to rec.music.makers.trumpet,rec.audio.pro,alt.guitar,misc.legal
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![]() S Meyer wrote: "Fletch" wrote in message oups.com... So, how does it work with a group like Chicago? Their revenue sources seem like they'd be complicated - concerts, album sales incl. re-releases of older material, radio airplay, TV appearances, any use of their recordings, publishing of their music, merchandising, etc. A group like Chicago would likely be incorporated, with "shares" going to whomever was involved at the time of incorporation. Original members would receive a greater portion of shares in the "company", newer members would receive smaller portions of "ownership". Income would be based upon shareholding percentages -- after all expenses related to the operation of the corporation. This is a simplification of the process, but you get the idea. Departing "original" shareholders, whether newer or original members, could retain some or all of their shares, be compelled by agreement to sell back their shares, with probable exceptions such as royalties as co-writer and performer on record. Based on how the corporation was set up, that would dictate how these situations would be handled. Yes, it is a bit complicated, but usually spelled out in the articles of incorporation. I assume they're not all paid equally, some are original members some aren't and even among the original guys I would guess they're not all "equal", and what about guys who were members and are no longer? Is it likely they still get paid on material they contributed to in the past? If someone was a co-writer of material, they would continue to receive writers' royalties. If they were involved in an album then they would receive compensation for that, too, unless they signed away that right, selling their interest for a flat "opt out" fee, and agreeing to releasing all interest, past, present and future in what would have been their share of profits (though I cannot imagine why they would sign away such rights, but it happens). If a player were hired merely as a session and/or touring player and paid flat fees (like a studio musician), they have no vested interest or royalty claim. Chances are, in order to keep things neat, a band like Chicago, which probably has a revolving horn section at the very least, would hire people on this system. Paid to play/record with no further claim on rights, royalties, merchandise or other associated income generation. These we call "hired guns". If the band finds a particular musician to be very compatible, they might offer them a contract which could include shares in the company, royalties, merchandising profits and such. Metallica did this with a recent bass player, paying him a million up front and then giving him royalty rights to recorded materials with which he was associated. Merchandise I don't know about. Or let's say Walt Parazaider puts out a "Rock Sax Method" DVD or something as an individual project, would he be obligated to pay some portion to the general kitty since his fame stems from his association with the group? Any "outside" projects are the property and perview of the individual who made/financed them. If Walt made such a DVD, all proceeds are his. I can't see Chicago demanding a piece of that action. His "fame" as a result of association with Chicago is a "benefit". Chicago has no claim on anything he does on his own time unless they bankrolled some or all of the endeavour. And what about their obligations to perform with the group? I would assume it's not like a local-yokel band where if they get ****ed one day they can just say "screw all you guys, I'm outta here". Would you guess they're obligated to fulfill some kind of appearance contract? Obligations are laid out at the beginning as part of a contract or other legal agreement. They can say, "screw you", but would do so understanding there are associated penalties for early termination of the contract/agreement, which would be covered in such agreement. If it isn't working, I doubt Chicago, or any band, would want to prolong the agony any longer than it took to find a replacement -- which for them would be tomorrow. If a member were going to leave, I'm sure it would be based on the ability to replace them if they were in the middle of a tour. That would be a provision of any contract, I would think. --Fletch Its got to be a complicated mess for groups that change members often like Blood, Sweat & Tears or Tower of Power. Not really. Just think of a big band like that as if they were a big company. Chris |
#5
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Posted to rec.music.makers.trumpet,rec.audio.pro,alt.guitar,misc.legal
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On 23 May 2006 10:05:13 -0700, "Guncho" wrote:
Not really. Just think of a big band like that as if they were a big company. Or rather, quite a small company :-) |
#6
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Posted to rec.music.makers.trumpet,rec.audio.pro,alt.guitar,misc.legal
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![]() lpayne1NOSPAM@dslDOTpipexDOTcom a écrit dans l'article: Not really. Just think of a big band like that as if they were a big company. --------------------------------------------------------------------- Or rather, quite a small company :-) ================================================== ==================== Or, if their tour manager is using "creative accounting" with the concert proceeds, think of them as Enron with musical chairs. C:\Gary_H@ http://garyhendershot.com/ (junk mail) |
#7
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Posted to rec.music.makers.trumpet,rec.audio.pro,alt.guitar,misc.legal
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"Fletch" wrote in message
oups.com... like Chicago, which probably has a revolving horn section at the very least, Actually, Chicago's horn section is the most stable part of the band. Since their fist album, the same three guys, Jim, Lee, and Walt. Bob on piano is the other long-time member. |
#8
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Posted to rec.music.makers.trumpet,rec.audio.pro,alt.guitar,misc.legal
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I assume they're not all paid equally, some are original members some
aren't and even among the original guys I would guess they're not all "equal", and what about guys who were members and are no longer? Is it likely they still get paid on material they contributed to in the past? At some point they would have incorporated as a business which owns the name, logo, & certain other assets like original recordings. Most likely the original members are the sole shareholders in this corporation, & any new replacement players are paid a salary to perform a job, but have no say in the operation of the business, which would include things like set lists & record projects. New guys would most likely not share in the profits of the corporation. And quite likely the new guys are a generation younger than the shareholders. Of course anybody can set up any kind of business they want, but when a rock band turns into a business proposition from a democratic loose affair, this is what often happens. Scott Fraser |
#9
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Posted to rec.music.makers.trumpet,rec.audio.pro,alt.guitar,misc.legal
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![]() "James" wrote in message nk.net... Having never been a member of a band with a recording contract let alone one with a multi-decade history, the only dynamic I'm really familiar with is - band plays gig, leader gets check or wad of cash from venue manager and divvies it up among the band members. So, how does it work with a group like Chicago? Impossible to say. Bands get "points" on the sale (ie, percentage of the profit) plus merchandizing, tour revenue, etc with the expenses deducted, and then royalties afterward, but it really depends on their negotiation and contract and it's never really cleanly distributed. When Bob Daisley sought his fair share of the Blizzard of Ozz royalties--given that he, Kerslake and Rhoads wrote virtually all the songs including the lyrics--Sharon Osbourne brought in musicians to overdub their parts and rereleased the CD so she didn't have to pay them royalties. (In other words, if you go out and buy the version of Blizzard that has the bonus track on it, you're not hearing the original songwriters and bass and drum recording artists, just an imitation by musicians who agreed to work for less money.) I know a band, Floater, that had three songs on the ZROCK national top ten and made a whopping $125 in two payments from ASCAP because ZROCK was folding and the DJs and PD didn't give a damn about playlists or reporting which meant that artists lost serious money. I'm half-tempted to start ripping CDs from the internet and sending the money directly to the artist. Only works if you know they're gonna get the money, but on the other hand, even if you purchase the CD outright there's no guarantee that the artist will see any of it. The producer of Peace Sells But Who's Buying is a friend of our guitar player and said it simply: If you love music, don't do it for money. =c |
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