Signing Away Your Music? The Dangers of Work-for-Hire Contracts
- Jeanetta Brantley
- Sep 5, 2023
- 2 min read
Picture this: you sign a deal for a song with a big producer or label, and next thing you know, you no longer own any rights to it. How did that happen? Enter the work-for-hire contract—a dangerous clause that can mean signing away ownership of your music forever.
What is s Work-for-Hire Contract?
A work-for-hire agreement means that you are being paid to create something, but once it’s created, the hiring party owns it. You don’t. This often happens with producers, labels, or film projects. These contracts are common in many creative fields, but when it comes to music, they can be devastating for artists who don’t fully understand them.
How Do You Lose Ownership?
If you agree to a work-for-hire deal, you are essentially agreeing that the person or company paying you for your work owns the music—not you. That means you lose the rights to reproduce, distribute, perform, or license the song, and you won’t be entitled to royalties down the line. It’s their property now.
How to Protect Yourself:
Read the Fine Print: Never sign anything you don't fully understand.
Negotiate a License Instead: If someone wants to use your music, offer a license rather than a full transfer of ownership. This way, you retain rights while allowing them to use the work.
What About Royalties?
Traditionally, In a work-for-hire situation, the hiring party typically takes all royalties from the music. You might receive an upfront payment, but that’s it. No residuals, no backend. But if you're aware of your rights as a creator you can negotiate with the hiring party to allow you to retain some, if not all, of the royalties on the backend. This is rare, but it does happen.
The Bottom Line:
Work-for-hire agreements can strip you of your creative rights. Always read your contracts carefully and, if possible, retain ownership of your music by licensing it instead.
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