ownership of masters on a spec production deal

[cstevens]

A few issues ago there was a great article about mixing engineers claiming ownership of the master sound recording (SR).

This brings up a related issue ... if you're working with a producer on a "spec" deal, it is typical for the producer to own the masters, right? Assume the guy is recording, mixing, working closely with the band, etc.

Some nervous nellies have suggested to me that giving up ownership of masters is bad. I would have no problem with giving such a producer ownership of the masters as long as there was a "buy-out" clause where you could transfer ownership to a label in return for money, or points on a record, or whatever. To me, if the producer is going to put in his intellectual effort "on spec," the master is probably his property anyway.

Opinions? Thanks.

[TapeOpLarry]

God, I certainly stay away from these on either end. Get a credit card if you need a loan to record.

If I was to record you because I thought the material was great and you had no money I'd just draft up a contract of what I should be paid if you come into money through this material. It'd be my loss if you don't. I wouldn't want to own your masters, though I might hold the tapes/data until paid or compensated or at least a contract was signed. Then again, how would you get signed if you can't offer up the masters.

Really, after over 20 years of this I have never seen this deal really work out in the end to anyone's satisfaction. You need to record? Hire someone who will do a good job. I guess that's my thought. The rest is all gambling. I don't gamble.

[Effigy Studios]

As a studio this has been a problem for a few reasons:
-if a band uses this as a demo to get signed, but never uses the songs you may have trouble getting money
-Tracking your money i.e. a German label pays someone 1000$ and now you have to try from Middle America to get some money.
It is really in a good contract, good music lawyer, and staying on top of it.
But as you see in the news right now with The White Stripes and Jim Diamond... only they really know what happened in that studio (and some hangers too?) it is hard to say from the outside, I have seen many stories and heard them too.

The law can be tricky with rights of sound, especially if a new guy comes in and engineers or produces on it. Split break down etc.

So many influences, and when record labels or posers come in and talk of money comes about it can do funny things to people? there are a million situations that could happen?