Music Law Series (2)

"Need to Negotiate and Understand Recording Contract"

”I have just been signed” is now a cliché on the tongues of upcoming artists newly signed. They are indeed broke, hungry and suckers for fame. Recording companies (labels) sees business prospects in these artists musically and in a bid to make profit, present some contract documents in a brief press gathering and the artists appends their signatures quickly without going through the contract document; or at least get the relevant clauses explained to understand what they are going into. After the signing, boom -they enter the studio, record songs, shoot videos and may be luckily they become so popular (‘dem blow’) and certainly some money flows in and of course, the many women becomes easily available and it takes few months thereafter for disputes to ensue and artistes wants out.

Label refuses, uses the police to make arrests and secure paid detentions, sometimes proceed to court to get injunctions; and the artistes are left frustrated. At the end, they plead and label forgives and yes, it takes few months after again, a real split matures and parties part ways.   

Disputes in the past years includes: YSG Entertainment v Vector, Square Records v May D, Chocolate City v Brymo, Mo Hits v Wande Coal, Eric Manny Entertainment v Runtown, Skales v Baseline Music and most recently Five Star Music v Harrysong.

The problem is and remains that the music industry in Nigeria cannot develop properly in the absence of some structure (Mr Peter of Psquare has always cried out for lack of structure), use of A & R (Artists & Repertoire) to scout for real talents as well as the involvement of lawyers that must be engaged from the on-set by both sides to draft and redraft, and explain in simplistic detail the far reaching implications of contractual phrases in recording contracts.

Labels are now lords and to them once an artist signs the dotted lines, he is ultimately bound by the terms no matter how onerous and janus-faced they are. In legal parlance, a contract can be vitiated where ‘unequal bargaining’ clearly presents. It could be as a result of the presence of one or more of the trio factors of: ‘Poor and Ignorant, ‘No Independent Advice’ and ‘Considerable Undervalue’ (CU in music sense will mean insignificant benefit on one side).

If the music industry must develop exponentially and commercially, then we must jettison current practices and adopt a systemic approach to doing things and then we are rest assured of the emergence of a well-rounded and multi-billion dollar industry.