Fair vs. Predatory Contracts
Most bad music deals are perfectly legal. They win by being confusing on purpose. Here is how to read one and spot the traps before you sign.
The short answer: a fair deal is specific and time-limited; a predatory one is broad and forever. Watch three things above all — how long it lasts, how much it takes, and whether it is a license or an outright transfer of ownership. If any of those is vague or "in perpetuity," slow down.
The red flags, in plain sight
- "In perpetuity" / no end date. Fair deals expire or let you exit. A grant of rights with no term and no way out is a rights-grab.
- Grabbing more than the project. Watch language that quietly sweeps in your whole catalog, future songs, your name, or your social accounts — not just the record in front of you.
- Vague money. "Industry standard splits" is not a number. A fair deal states the percentage, who pays whom, and when.
- Recoupable everything. If every advance, every expense, even the lunch is charged back against your royalties, you can "succeed" and still see nothing.
License vs. assignment — the difference that matters most
A license is a rental: you keep ownership and let someone use the work under set terms, for a set time. An assignment is a sale: ownership actually leaves your hands. Predatory deals love to dress an assignment up in friendly language so it reads like a partnership. Ask outright: "At the end of this, do I still own my masters and my publishing?" If the answer is no, price that in.
The "work-for-hire" trap
If a contract calls you a "work made for hire," it can mean the company — not you — is treated as the author/owner of what you make. That is normal for some session and staff situations, and a disaster if it is buried in a deal where you thought you were keeping your rights. Never sign a work-for-hire clause without understanding exactly what it hands over.
This is general education, not legal advice — Done Deal Digital is not a law firm. The right move always depends on your exact deal, your state, and the wording in front of you. Before you sign anything, run it past a qualified music attorney.
That's the short version
Read any contract like the people who wrote yours
The full chapter in What’s Legal & What’s Not breaks down the exact clauses — term, territory, rights granted, recoupment, re-recording restrictions — and shows you the fair version of each next to the trap version.
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