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2 signs of a bad recording deal

On Behalf of | Aug 18, 2022 | Entertainment Law |

Music artists are understandably thrilled when they receive their first record deal offer. Finally, their devotion and hard work have started to yield results. They have a chance to reach even more music lovers and expand their popularity.

The offer to sign a record deal should come with a recording contract. In other words, you aren’t getting anything from the label unless you sign on the dotted line. Watch out for the following red flags to preserve your rights and obtain fair compensation for your work when presented with a contract.

A verbal offer without written follow-up

The only thing worse than a one-sided recording contract is the absence of one altogether. You need a solid entertainment contract to define the rights and obligations of all parties. If the label scoffs at the mention of entering a formal agreement, think twice. Otherwise, you may wind up at the mercy of your associates.

Pressure to sign immediately

If a record company tells you the deal is off unless you sign a contract immediately, stand your ground. An entertainment contract requires a thorough legal assessment to ensure it does not compromise the ownership of your original works. Those who demand an immediate signature might have something they do not want you to notice until it’s too late — so they don’t want to give you any time to have it reviewed.

For decades, musicians that wanted to make records believed they had no choice but to sign an unfavorable agreement. In the modern world, recording artists have become savvy about their rights, but bad deals remain a significant risk. Learning more about entertainment law in the Atlanta region can help minimize these risks even more.