1. THIS AGREEMENT DATED _______________ 2008 IS BETWEEN ALTAVOZ INC.(HEREINAFTER
REFERRED TO AS "ALTAVOZ"), HAVING ITS PRINCIPAL PLACE OF BUSINESS
LOCATED IN ROCKVILLE MD, AND ___________________________________________________________________________________________________ CURRENTLY PROFESSIONALLY KNOWN
AS _____________________________________________________________________
(HEREINAFTER REFERRED TO AS "PRODUCERS "), WHOSE ADDRESS IS
_________________________________________________________________________________.
THE PURPOSE OF THIS AGREEMENT IS TO PROVIDE FOR PRODUCERS 'S DELIVERY TO
ALTAVOZ RECORDS OF MASTER RECORDINGS (AS HEREINAFTER DEFINED) TO BE EMBODIED ON
AN EP OR LP AND ALTAVOZ'S PROMOTION, RELEASE AND DISTRIBUTION THEREOF.
2.
PRODUCERS AGREES TO DELIVER (1) EP/LP MASTER RECORDING (AS HEREINAFTER
DEFINED) TO ALTAVOZ IN CDR FORMAT, SAID EP/LP WILL CONSIST OF _________ SONGS. ALTAVOZ WILL MANUFACTURE CD’S AS REQUIRED TO
FULLFILL INTERNET AND RETAIL ORDERS FOR THIS PRODUCT. AS AN ALTERNATIVE, AND IN THE EVENT PRODUCERS WILL
DELIVER TO ALTAVOZ MANUFACTURED CD’S AND OR CASSETTES PRODUCERS WILL DELIVER AN INITIAL SHIPMENT OF100 Promotional COPIES
OF THE RECORDING IN CD FORMAT. (A) THE
TERRITORY FOR RELEASE OF THIS RECORDING WILL BE MADE available
(B)
)"LIMITED
DOMESTIC TERRITORY' (HEREIN REFERED TO AS LDT) Current Catalog is focused on SOUTHEAST US ____* WWW______
WITH RESPECT TO LDT THE PRODUCERS IN RETURN FOR NOT HAVING TO
SIGN AN EXCLUSIVE AGREEMENT PRODUCERS WILL PAY $1000 PER REGION PER TITLE. And (I) PROVIDE 1 PROMOTIONAL SHOW PER REGION
PER YEAR PER BAND/ARTIST. (II) PROMOTE ALTAVOZ OR RELTAED INTERNET BRANDS AT EACH SHOW.
(III) ALREADY HAVE CD ENCODED(S) AND
STREAMING ON ALTAVOZ *The catalog will
be mailed out to stores not strictly defined by the geo-centic
boundary and will amount to over 4000 stores in a calendar year.
3.
(A) PRODUCERS AGREES THAT EACH CONTROLLED COMPOSITION (AS
HEREINAFTER DEFINED) RECORDED HEREUNDER IS HEREBY LICENSED TO ALTAVOZ FOR
SOLELY THE TERRITORY, (AS SET
(i)
(a) WITH RESPECT TO RECORDINGS HEREUNDER SOLD IN THE TERRITORY THROUGH
(B)
WITHOUT LIMITING SUBPARAGRAPH (A) ABOVE, IT IS AGREED THAT THE MAXIMUM
COPYRIGHT ROYALTY WHICH ALTAVOZ SHALL BE REQUIRED TO PAY IN RESPECT OF A
RECORDING EMBODYING MASTER RECORDINGS HEREUNDER SHALL BE THE AGGREGATE OF (i)
THE NUMBER OF CONTROLLED COMPOSITIONS ON SUCH RECORDING TIMES THE APPLICABLE
RATE DESCRIBED IN SUBPARAGRAPH (A) ABOVE, AND (ii) THE NUMBER OF WORKS ON SUCH
RECORDING WHICH ARE NOT CONTROLLED COMPOSITIONS TIMES THE STATUTORY RATE.
(C)
NO MECHANICAL ROYALTY WHATSOEVER SHALL BE PAYABLE WITH RESPECT TO CONTROLLED
COMPOSITIONS FOR (i) RECORDINGS CUT OUT OF THE ALTAVOZ CATALOG AND SOLD AS
DISCONTINUED MERCHANDISE; (ii) ANY WORK WHICH IS NON-MUSICAL; (iii) RECORDINGS
INITIALLY OR SUBSEQUENTLY PURCHASED BY
PRODUCERS PURSUANT TO PARAGRAPH 13(A),
HEREIN. (iv) RECORDINGS DISTRIBUTED BY ALTAVOZ AS FREE GOODS FOR WHICH NO
ROYALTIES ARE PAYABLE HEREUNDER PURSUANT TO PARAGRAPH 3(j) HEREOF; AND (v) ANY
WORK WHICH CONSISTS OF AN ARRANGEMENT OF A WORK IN THE PUBLIC DOMAIN. NOTWITHSTANDING THE FOREGOING, IF ANY
CONTROLLED COMPOSITION REFERRED TO IN SUBPARAGRAPH (C)(v) HAS A NEW TITLE,
SUBSTANTIALLY DIFFERENT LYRICS OR A SUBSTANTIAL ADDITION OF MELODIC MATERIAL,
THEN THE MECHANICAL ROYALTY RATE FOR SUCH CONTROLLED COMPOSITION IN THE
TERRITORY SHALL BE DETERMINED BY MULTIPLYING THE APPLICABLE MECHANICAL ROYALTY
WITH RESPECT TO SUCH CONTROLLED COMPOSITION BY THAT PERCENTAGE WHICH IS USED BY
THE APPLICABLE PERFORMING RIGHTS SOCIETY (ASCAP OR BMI) IN DETERMINING THE CREDITS
TO BE GIVEN THE PUBLISHER OF SUCH CONTROLLED COMPOSITION FOR PUBLIC
PERFORMANCES THEREOF AND FURTHER PROVIDE THAT PRODUCERS SHALL FURNISH ALTAVOZ WITH A COPY OF A LETTER
OR OTHER SATISFACTORY EVIDENCE FROM THE APPROPRIATE PERFORMING RIGHTS SOCIETY
SETTING FORTH THE SAID PERCENTAGE. IN
THE EVENT PRODUCERS SHALL FAIL TO
PROVIDE ALTAVOZ WITH SUCH LETTER, OR SATISFACTORY EVIDENCE OF THE PERCENTAGE AS
AFORESAID WITHIN A REASONABLE TIME AFTER ALTAVOZ'S REQUEST THEREFOR, THEN
ALTAVOZ SHALL NOT BE OBLIGATED TO PAY ANY MECHANICAL ROYALTY WHATSOEVER WITH
RESPECT TO SUCH ARRANGED MATERIAL.
(D)
"CONTROLLED COMPOSITION" MEANS THAT PORTION OF A WORK WHICH IS
WRITTEN BY PRODUCERS OR THAT PORTION OF
A WORK WHICH IS OWNED OR CONTROLLED BY PRODUCERS OR IN WHICH PRODUCERS HAS A DIRECT OR INDIRECT INTEREST IN THE
INCOME TO BE DERIVED THEREFROM OR FROM THE COPYRIGHT THEREOF, WHICHEVER IS
GREATEST.
(E)
"STATUTORY RATE" MEANS, WITH RESPECT TO EACH MUSICAL WORK RECORDED AND
EMBODIED IN A MASTER RECORDING HEREUNDER, THE MINIMUM FIXED (WITHOUT REGARD TO
PLAYING TIME) MECHANICAL ROYALTY RATE IN EFFECT PURSUANT TO THE UNITED STATES
COPYRIGHT ACT OR THE CANADIAN COPYRIGHT ACT OR THE GENERALLY ACCEPTED RATE
NEGOTIATED BY RECORD COMPANIES AND MUSIC PUBLISHERS IN CANADA (AS THE CONTEST
SO REQUIRES) AT THE TIME OF THE INITIAL COMMERCIAL RELEASE OF THE RECORDINGS
HEREUNDER.
(F) (i) ALTAVOZ SHALL BE RESPONSIBLE FOR THE
PAYMENT OF MECHANICAL ROYALTIES DIRECTLY TO THE COPYRIGHT PROPRIETORS OF THE
MUSICAL WORKS EMBODIED ON THE MASTER RECORDINGS HEREUNDER. PRODUCERS
AGREES TO ASSIST ALTAVOZ IN ENTERING INTO MECHANICAL LICENSES FOR THE
TERRITORY WITH SUCH COPYRIGHT PROPRIETORS, WHICH LICENSES SHALL BE CONSISTENT
WITH THE TERMS AND CONDITIONS HEREOF BUT WHICH SHALL OTHERWISE BE IN THE
GENERAL FORM UTILIZED BY THE HARRY FOX AGENCY, INC. OR IN A FORM OTHERWISE
REASONABLY ACCEPTABLE TO ALTAVOZ.. (ii) PRODUCERS REPRESENTS
AND AGREES THAT ALTAVOZ SHALL RECEIVE, WITH RESPECT TO ALL WORKS EMBODIED IN
ALL MASTER RECORDINGS HEREUNDER, "FIRST USE" MECHANICAL LICENSES, IF
APPLICABLE, AS SUCH TERM IS UNDERSTOOD IN THE RECORD INDUSTRY.
(G) WITH RESPECT TO CONTROLLED COMPOSITIONS
LICENSED HEREUNDER FOR THE TERRITORY, ALTAVOZ SHALL RENDER SIMI ANNUAL
STATEMENTS AND PAYMENTS THEREFOR OF ALL MECHANICAL COPYRIGHT ROYALTIES PAYABLE
AS SET FORTH HEREIN, WITHIN SIXTY (60) DAYS AFTER THE END OF THE APPLICABLE
PERIOD. THE PROVISIONS OF PARAGRAPH 5
ABOVE SHALL BE APPLICABLE TO ACCOUNTINGS RENDERED PURSUANT TO THIS SUBPARAGRAPH
9(G).
4.
AS USED HEREIN, THE FOLLOWING
TERMS SHALL HAVE THE FOLLOWING MEANINGS:
(A)
"LP" MEANS A RECORDING CONTAINING NOT FEWER THAN (8) SIDES THEREON
AND TOTALLING NOT LESS THAN (35) MINUTES OF PLAYING TIME. "EP" MEANS A RECORDING CONTAINING
NOT FEWER THAN (4) SIDES THEREON AND TOTALLING NOT LESS THAT (20) MINUTES OF
PLAYING TIME.
(B)
"MASTER RECORDING" MEANS THE ORIGINAL MATERIAL OBJECT IN WHICH SOUNDS
ARE FIXED BY ANY METHOD NOW KNOWN OR LATER DEVELOPED AND FROM WHICH SOUNDS CAN
BE PERCEIVED, REPRODUCED OR OTHERWISE COMMUNICATED, EITHER DIRECTLY OR WITH THE
AID OF A MACHINE, DEVICE OR PROCESS.
(C) "RECORDING" MEANS ANY REPRODUCTION
OF A MASTER RECORDING IN ANY FORM NOW KNOWN OR LATER DEVELOPED FOR WHICH SOUNDS
CAN BE PERCEIVED, AND WHICH IS MANUFACTURED OR EXPLOITED PRIMARILY FOR HOME,
SCHOOL, OR JUKE BOX USE OR USE IN MEANS OF TRANSPORTATION.
(D)
"SIDE" MEANS ONE (1) CONTINUOUS PERFORMANCE OF MATERIAL.
(F)
"MID-LINE RECORDS" MEANS A RECORDING BEARING A SUGGESTED RETAIL LIST
PRICE IN THE TERRITORY IN QUESTION WHICH IS NOT LOWER THAN (60%) AND NOT HIGHER
THAN (80%) OF THE SUGGESTED RETAIL LIST PRICE OF ALTAVOZ'S TOP-LINE RECORDINGS
RELEASED
(G) "BUDGET-LINE RECORDS" MEANS A
RECORDING WHICH BEARS A SUGGESTED RETAIL LIST PRICE IN THE TERRITORY IN
QUESTION WHICH IS LOWER THAN SIXTY PERCENT OF THE SUGGESTED RETAIL LIST PRICE
OF ALTAVOZ'S TOP-LINE RECORDINGS IN THE TERRITORY.
(H)
"TOP-LINE RECORDS" MEANS ALTAVOZ'S TOP PRICE LINE OR CATEGORY OF
RECORDINGS OF A PARTICULAR TYPE SOLD IN THE TERRITORY.
(I)
"TERRITORY" MEANS THE WORLD. NOT WITHSTANDING 2.(B)
(J)
"RECORDINGS SOLD" HEREUNDER AND "SALES" MEAN (100%) OF
THOSE RECORDINGS SHIPPED BY ALTAVOZ HEREUNDER FOR WHICH ALTAVOZ IS PAID OR FOR
WHICH CREDIT IS GIVEN AGAINST AN ADVANCE PREVIOUSLY RECEIVED BY ALTAVOZ AND
WHICH ARE NEITHER RETURNED TO NOR EXCHANGED BY ALTAVOZ NOR TREATED AS RETURNED
TO ALTAVOZ UNDER ALTAVOZ'S CURRENT POLICY WITH RESPECT TO THE PERCENTAGE OF
SHIPPED UNITS SO TREATED PURSUANT TO PARAGRAPH 3 (J) HEREOF.
5.
IN THE EVENT PRODUCERS DOES NOT
PROVIDE CAMERA READY
6.
(A)PRODUCERS SHALL BE SOLELY RESPONSIBLE FOR AND SHALL PAY
ALL ROYALTIES AND OTHER COMPENSATION WHICH MAY BE PAYABLE TO ANY PRODUCERS OF
THE MASTER RECORDINGS HEREUNDER.
(B)NOTWITHSTANDING
THE FOREGOING, AT PRODUCERS 'S REQUEST, ALTAVOZ MAY, AT ITS ELECTION ENTER INTO
AN AGREEMENT WITH ANY PRODUCER OF THE MASTER RECORDINGS HEREUNDER WHICH
PROVIDES FOR THE PAYMENT BY ALTAVOZ, RATHER THAN PRODUCERS
,
OF ROYALTIES PAYABLE TO THAT PRODUCER.
IN SUCH EVENT, ALTAVOZ MAY DEDUCT ANY AMOUNTS PAYABLE BY ALTAVOZ TO THAT
PRODUCER FROM ANY ROYALTIES OR OTHER SUMS, PAYABLE BY ALTAVOZ TO PRODUCERS HEREUNDER.
7.
(A) ALTAVOZ AGREES TO SELL THE
RECORDINGS HEREUNDER TO PRODUCERS IN ANY FORMAT CONFIGURATION CURRENTLY
IN OPEN CATALOGUE AT ITS “PRODUCERS ” WHOLESALE
(B)
ALTAVOZ AGREES THAT AT SUCH TIME AS ALTAVOZ HAS SOLD AN AGGREGATE OF (5,000)
COPIES OF THE RECORDINGS HEREUNDER IN ANY CONFIGURATION OR COMBINATION THEREOF
THROUGH NORMAL RETAIL DISTRIBUTION CHANNELS (EXCLUSIVE OF THE PRODUCT PURCHASED
BY PRODUCERS HEREUNDER) AND HAS RECEIVED
PAYMENT THEREFOR, ALTAVOZ WILL, AT PRODUCERS
EXCLUSIVE ELECTION OFFER TO RECORD A NEW RECORD. THE PRODUCTION COST FOR SAID RECORDING WILL BE
ADVANCED BY ALTAVOZ AS RECOUPABLE AGAINST FUTURE RECORD SALES.
8. NEITHER PARTY HEREUNDER SHALL BE
DEEMED TO BE IN BREACH OF ANY OF ITS OBLIGATIONS HEREUNDER UNLESS AND UNTIL THE
PARTY NOT IN BREACH SHALL HAVE GIVEN THE BREACHING PARTY WRITTEN NOTICE BY
CERTIFIED OR REGISTERED MAIL, RETURN RECEIPT REQUESTED, DESCRIBING IN DETAIL
THE BREACH, AND THE BREACHING PARTY SHALL HAVE FAILED TO CURE THAT BREACH
WITHIN (30) DAYS,
AFTER THE BREACHING PARTY'S RECEIPT OF SUCH WRITTEN NOTICE.
9. ALL NOTICES TO BE GIVEN TO PRODUCERS HEREUNDER
AND ALL STATEMENTS AND PAYMENTS TO BE SENT TO PRODUCERS HEREUNDER SHALL BE ADDRESSED TO
PRODUCERS AT THE ADDRESS SET FORTH
HEREINABOVE OR AT SUCH OTHER ADDRESS AS PRODUCERS SHALL DESIGNATE IN WRITING FROM TIME TO
TIME. ALL NOTICES TO BE GIVEN TO ALTAVOZ
HEREUNDER SHALL BE ADDRESSED TO THE ATTENTION OF THE VICE PRESIDENT OF BUSINESS
AFFAIRS AT THE ADDRESS SET FORTH HEREINABOVE OR AT SUCH OTHER ADDRESS AS
ALTAVOZ SHALL DESIGNATE IN WRITING FROM TIME TO TIME. ALL NOTICES SHALL BE IN WRITING AND EXCEPT AS
OTHERWISE EXPRESSLY PROVIDED HEREIN SHALL EITHER BE SERVED BY PERSONAL
DELIVERY, MAIL, ALL
CHARGES PRE-PAID.
10.
(A) THE INVALIDITY OR
UNENFORCEABILITY OF ANY PROVISION HEREOF SHALL NOT EFFECT THE VALIDITY OR
UNENFORCEABILITY OF ANY OTHER PROVISION HEREOF.
11. THIS AGREEMENT SETS FORTH THE ENTIRE
AGREEMENT BETWEEN ALTAVOZ AND PRODUCERS WITH RESPECT TO THE SUBJECTMATTER
HEREOF. NO MODIFICATION, AMENDMENT,
WAIVER, TERMINATION OR DISCHARGE OF THIS AGREEMENT OR ANY PROVISION HEREOF
SHALL BE BINDING UPON ALTAVOZ OR PRODUCERS UNLESS CONFIRMED BY A WRITTEN
INSTRUMENT SIGNED BY PRODUCERS AND BY A
DULY AUTHORIZED OFFICER OF ALTAVOZ.
13.
NEITHER PARTY'S WAIVER OF ANY
PROVISION OF THE AGREEMENT OR ANY DEFAULT HEREUNDER SHALL AFFECT SUCH PARTY'S
RIGHTS THEREAFTER TO ENFORCE SUCH PROVISIONS OR TO EXERCISE ANY RIGHT OR REMEDY
IN THE EVENT OF ANY OTHER DEFAULT, WHETHER OR NOT SIMILAR. ALL REMEDIES, RIGHTS, UNDERTAKINGS, AND
OBLIGATIONS CONTAINED IN THIS AGREEMENT SHALL BE CUMULATIVE AND NONE OF THEM
SHALL BE IN LIMITATION OF ANY OTHER REMEDY, RIGHT, UNDERTAKING OR OBLIGATION OF
EITHER PARTY.
14.
PRODUCERS REPRESENTS AND WARRANTS THAT EACH
MEMBER IS OVER 18 YEARS OF AGE AND IS LEGALLY COMPETENT TO EXECUTE THIS
AGREEMENT
15.
PRODUCERS REPRESENTS AND WARRANTS THAT
PRODUCERS HAS REVIEWED THIS AGREEMENT
AND CONSULTED WITH AN ATTORNEY BEFORE EXECUTING THIS DOCUMENT.
16. AS USED IN THIS AGREEMENT THE TERM
"PRODUCERS " SHALL BE DEEMED TO REFER
INDIVIDUALLY AND COLLECTIVELY TO EACH OF THE MEMBERS OF THE GROUP COMPRISING
PRODUCERS . THE OBLIGATIONS,
LIABILITIES, PROHIBITIONS AND RESTRICTIONS IMPOSED UPON PRODUCERS HEREUNDER SHALL BE DEEMED TO APPLY
INDIVIDUALLY AND COLLECTIVELY TO EACH OF THE MEMBERS OF PRODUCERS .
17. IF DURING THE TERM OF THIS AGREEMENT,
ANY INDIVIDUAL MEMBER OF PRODUCERS CEASES TO BE AN ACTIVELY PERFORMING
MEMBER OF PRODUCERS , PRODUCERS SHALL
IMMEDIATELY NOTIFY ALTAVOZ THEREOF IN WRITING.
18. PRODUCERS AGREES TO DELIVER OR CAUSE TO BE
DELIVERED ALL NECESSARY INFORMATION, CONSENTS, LICENSES AND PERMISSIONS SUCH
THAT ALTAVOZ MAY MANUFACTURE, DISTRIBUTE, AND RELEASE THE RECORDING HEREUNDER.
19. PRODUCERS ACKNOWLEDGES, RECOGNIZES AND AGREES
THAT ITS OBLIGATION TO RECORD THE
20. THIS AGREEMENT SHALL BE DEEMED TO HAVE
BEEN MADE IN THE STATE OF
21.
THIS AGREEMENT SHALL NOT BECOME
EFFECTIVE UNTIL EXECUTED BY ALL PARTIES HERETO.
IN THE EVENT PRODUCERS ENTERS
INTO A RECORDING CONTRACT WITH ANOTHER RECORD COMPANY WITHIN 24 MONTHS AFTER
THE RELEASE DATE OF THIS RECORDING ALTAVOZ WILL RECEIVE 4% OF WHOLESALE OR 2%
OF RETAIL WHICH EVER IS GREATER OF GROSS ROYALTIES PAID PRODUCERS ON SAID CONTRACT.
22.
(A) ALTAVOZ MAY AT ALTAVOZ'S
ELECTION ASSIGN THIS AGREEMENT OR ANY OF ALTAVOZ'S RIGHTS HEREUNDER.
(B)
IF THIS AGREEMENT IS FOR AN "EP", ALTAVOZ AGREES THAT AT SUCH TIME AS
ALTAVOZ HAS SOLD AN AGGREGATE OF (10,000) COPIES OF THE RECORDINGS HEREUNDER IN
ANY CONFIGURATION OR COMBINATION THEREOF THROUGH NORMAL RETAIL DISTRIBUTION
CHANNELS (EXCLUSIVE OF THE PRODUCT PURCHASED BY PRODUCERS HEREUNDER) AND HAS RECEIVED PAYMENT
THEREFOR, ALTAVOZ WILL, AT PRODUCERS
ELECTION OFFER TO RECORD 5 ADDITIONAL SONGS TO EXPAND THE EP INTO AN LP.
(C)
ALTAVOZ AGREES THAT AT SUCH TIME AS ALTAVOZ HAS SOLD AN AGGREGATE OF (20,000)
COPIES OF THE RECORDINGS HEREUNDER IN ANY CONFIGURATION OR COMBINATION THEREOF THROUGH
NORMAL RETAIL DISTRIBUTION CHANNELS (EXCLUSIVE OF THE PRODUCT PURCHASED BY
PRODUCERS HEREUNDER) AND HAS RECEIVED
PAYMENT THEREFOR, ALTAVOZ WILL, AT PRODUCERS
ELECTION OFFER TO COMMISSION A MUSIC VIDEO.
23. Indemnification. Producer
agrees, at producer's expense to
defend, indemnify, and hold
Altavoz, its assignees and
licensees, harmless from and against any and all loss, damages, liability and expenses, including, without
limitations, attorney's fees and court costs which result from any breach or
default of any of the representations, warranties, covenants or agreements made
by PRODUCERS hereunder.
24.
THE TERM OF THIS AGREEMENT WILL
COMMENCE ON 2008 AND TERMINATE ON .
25.
THIS AGREEMENT CONSTITUTES THE
SOLE AND EXCLUSIVE AGREEMENT BETWEEN THE PARTIES.
26.
THIS AGREEMENT MAY BE EXECUTED IN
COUNTERPARTS.
27.
ALTAVOZ RESERVES THE RIGHT AT
ALTAVOZ’S ELECTION TO REMOVE AND DELEATE THIS RECORDING FROM ITS CATALOGUE AND
CEASE DISTRIBUTION OF SAID RECORDING IF AT ANY TIME SALES IN ANY CALANDER MONTH
AMOUNT TO LESS THAN 10 UNITS.
ALTAVOZ
DISTRIBUTION
__________________________________________________________
President Nelson
jacobsen
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