Options
With
Judge JulesJudge Jules explains what an option is in a record deal - the label's right to take on more of your tracks - and why labels push for them.
What's in the course
46 lessons (1h 6m) · 1 free
01. Accounting
Free lesson1:16
02. Termination
1:29
03. Collection societies and letter of direction
0:26
04. Commission structure
2:32
05. Cross platform-multimedia aspects
0:39
06. Expenses
1:10
07. Key man provisions
1:01
08. A manager's obligations
2:33
09. Post term commission
1:30
10. Should a manager be involved in all aspects of an artist's income?
1:40
11. Term
1:46
12. Should a manager manage more than one artist?
1:24
01. Accounting payments and auditing
2:18
02. Ancillary shares
1:58
03. Artist approvals
1:51
04. Artist promotional obligations
1:50
05. Assignment or licence - what's the difference?
3:17
06. Interplay with publishing
0:51
07. Options
You are here1:39
08. Release commitment
1:26
09. Rights in the artist's name and brand
1:26
10. Royalty types
1:20
11. Territory of agreement
1:54
12. Warranties and indemnities
1:37
01. What are the most important areas of a contract for a new artist?
2:11
02. Is it normal that a music lawyer would meet me and listen to my case before charging me?
1:15
03. If a label, publisher or manager approaches me to sign a contract but I dont have the funds to pay for a lawyer, who should pay the legal fees?
1:20
04. Are 360 degree deals good value for an artist?
1:14
05. Am I still protected when it comes to copyright in the NFT or the crypto world?
0:26
06. Should I be wary of a publishing deal?
1:02
07. What protection exists for artists releasing their own music that don't have access to a lawyer?
1:03
Lesson transcript
Understanding Record Labels and Options
Many record labels insist upon an option. They will sign one track, and in their opinion, especially if they paid you a bit of advance, recoupable against your royalty income, they feel that they've taken a chance on you. Therefore, there is both a business case and maybe a moral case for them to be rewarded for taking that chance.
What is an Option?
An option means that the label has the right to take on more of your tracks. Options can vary in shapes and sizes:
- Further Single: An option for a new single.
- Further Album: An option for a complete album.
Totally depends on the structure of the record deal.
Key Points to Understand
It's crucial to grasp that it's not the artist's option; it is at the behest of the record company:
- If you, as the artist, don't want to exercise an option to continue your relationship with the record company, that choice is not yours. It's the record company's option.
The Specifics of an Option Clause
There are certain peculiarities about the way an option clause in a record deal works:
- If you get to the end of the period when the record company should have decided whether to exercise their option, yes, we want to proceed, or no, thank you very much, they may forget to make a decision.
- Most record contracts state that if you surpass that period and haven't reminded them, then that right to an option continues seemingly forever until you prompt them to say "yes" or "no."
This situation may seem a bit unfair, but it reflects how things have evolved in record deals.
Conclusion
Options are very much the label's friend and not necessarily the artist's friend, but it is what it is.
46 lessons
1h 6m of structured video lessons
Advanced video features
Slow down, loop a passage, follow along
Mobile, tablet & desktop
Practise wherever you are
100% satisfaction guarantee
30-day money-back guarantee
Meet your guru
Meet your guru
Jules O'Riordan has over 30 years of experience across the entire spectrum of the music industry. This includes nearly a decade as an A&R for the Universal umbrella of labels, 15 years as a presenter on BBC Radio 1, over 150 record releases and remixes in his own capacity as a recording artist, plus a 30-year career as one of Britain's best-known, globally-travelled DJs (Judge Jules), with over 5000 gigs under his belt, plus extensive experience as an event promoter and artist manager at the highest level.
Suffice to say, Jules knows the music industry inside-out, and his clients regard him as a trusted advisor for whom no legal or business affairs challenge or problem is too large or small.
Jules has been a lawyer for 10 years. His practice takes in the entire breadth of the music-focused entertainment industry. His legal and deal expertise includes management, recording, publishing, distribution and label services, music-based apps, games and tech projects, production deals, producers, featured artists, endorsements, merchandising, neighbouring rights, TV/film scores, live performance, events and venue agreements, plus copyright and rights infringement and many other disputes.
Jules's clients include artists, management companies, record labels, songwriters, event promoters, producers, music tech businesses, production companies, live agents, music publishers and DJs. He has spoken on many panels and seminars including ADE, Brighton Music Conference and AIM events, and has been a guest speaker on legal issues across a number of on and off-line media outlets, including BBC Radio 5 Live, BBC Introducing, Financial Times, The Sun, The Times and Mixmag.
Jules speaks fluent Spanish.
Who better to demystify the contracts and deals every musician eventually faces? In his course, Jules turns three decades of hard-won industry knowledge into plain-English guidance, so you can understand the business side of music and protect your work long before you sign on the dotted line.
