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Band Partnership Agreement

A form contract for creating a starter band agreement. Make whatever changes you need to fit your (and your band's) situation.
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© © All Rights Reserved
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100% found this document useful (2 votes)
72K views6 pages

Band Partnership Agreement

A form contract for creating a starter band agreement. Make whatever changes you need to fit your (and your band's) situation.
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PDF, TXT or read online on Scribd
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BANDPARTNERSHIPAGREEMENT

Thisagreementismadeandenteredintothis___dayof______,20__,byandamongthefollowingpersons:

[name/address]

Theforegoingindividualsarehereinaftereachindividuallyreferredtoas"Partner"andinthepluralas"Partners".
WithrespecttoanygenderreferenceinthisAgreement,whereverrequiredinthisAgreement,thesingularshall
includetheplural,andthemasculinegendershallincludethefeminineandneuter.

1.THEPARTNERSHIP.

ThePartnersherebyconstitutethemselvesasageneralpartnership(the"Partnership")tobeknownas
"_____"(theGroup)underthelawsoftheStateof_______________forthepurposesofliveperformances,
creatingsoundrecordingsforuseandcommercialexploitationinallmediumsandbyanymeanswhethernowor
hereafterdevisedofrecordingmusicalperformancesforreproduction("Recordings"),exploitingandmerchandising
thenames(bothlegalandprofessional)andlikenessesoftheGroupandthemembersoftheGroup,usingand
commerciallyexploitationmusicalcompositionscomposedbyanyPartnerindividuallyorjointlywithanyother
personandrecordedbytheGroupforthepurposeofexploitingRecordings(the"GroupCompositions"),andall
otherpresentandfutureactivitiesofthePartnersasmembersoftheGroupintheentertainmentfieldduringtheterm
ofthisAgreement.Exceptasotherwiseexpresslyprovidedherein,thePartnershipshallhavetheexclusiverightto
theservicesofeachPartnerasamemberoftheGroupintheentertainmentfield.Theprincipalplaceofbusinessof
thePartnershipshallbeatsuchplaceasthePartnersmaydeterminepursuanttotheprovisionsofthisAgreement.

2.THENAME.

ThePartnershipshalldobusinessas_____"(theGroupName)andanyandalltrademarksandrelated
intellectualpropertyrightsthereinandtheretoshallbethesoleandexclusivepropertyoftheGroup.

3.DURATIONOFPARTNERSHIP.

ThetermforwhichthisPartnershipistoexistshallcommenceasoftheeffectivedatehereofandshall
continueuntildissolvedinanymannerprovidedherein.

4.REPRESENTATIONS,WARRANTIESANDAGREEMENTS.

EachofthePartnerswarrantsandrepresentstoeachoftheotherPartnersthatheisfreetoenterintothis
Agreement,andthatheisundernodisability,restrictionorprohibitionwhichwillinterfereinanywaywithhisfull
compliancewithallofhisobligationsunderthisAgreement.EachPartnerwarrantsandrepresentsthathehasnot
donenorwillhedoanyactorthingthatwillormightimpairthefullenjoymentbythePartnershipofanyofthe
rightsgrantedtoitunderthisAgreementorthecommencementorcontinuationofthePartnershipbusinessinthe
mannerhereincontemplated.EachPartnerfurtherwarrantsandrepresentsthathewillnotsell,assign,transferor
hypothecateanyright,titleorinterestinortoanyassetofthePartnershipwithoutthepriorwrittenconsentofall
otherPartners.EachPartnercovenantsandagreesthathewillperformtheservicesprovidedtobeperformedbyhim
hereunderdiligently,fullyandtothebestofhisabilityduringtheTermofthisAgreement,inacompetentand
professionalmanner,andwillrefrainfromparticipatinginactivitieswhichwithreasonableforeseeabilitycouldlimit
orprohibithimfromsoperforming.EachofthePartnersacknowledgesthatpreservationandenhancementofthe
valueofthePartnershipmaybehinderedbythefailureofanindividualPartnertoapplyhimselfdiligentlytothe
businessofthePartnershiporbyactionsinamannerinjurioustotherightsoftheotherPartners.

5.
CONTRIBUTION.

AsacontributiontothePartnership,eachPartneriscontributinghisexclusiveservicesasarecordingartist
withrespecttoRecordingsembodyingmusicalperformancesoftheGroup,hisexclusiveservicesasamusical
performerinallmediaandonthelivestagewithrespecttohisactivitiesasamemberoftheGroup,his
MerchandisingRightswithrespecttohisactivitiesasamemberoftheGroup,hisexclusiveservicesasasongwriter
andpublisherwithrespecttotheGroupCompositions,andgenerallyhisexclusiveservicesasamemberofthe
Groupwithintheentertainmentfield.NoPartnershallberequiredtomakeanycapitalcontributionsexceptuponthe
unanimousagreementofthePartners.

6.

PROFITSANDLOSSES.

(a)
SubjecttoParagraph6(b)below,andunlessagreedotherwiseinwritingbyallofthePartners,the
Partnersshallshareequallyinalloftheprofits,losses,rightsandobligationsofthePartnership.ShouldanyPartner
atanytimebearorsatisfyadisproportionateshareofthefinancialobligationsofthePartnership,heshallbeentitled
toreimbursementthereforefromtheotherPartnersproportionatelyoutofsumsotherwisedistributabletothemas
Partners."Netprofits"(ashereinafterdefined)shallbedistributedincashtothePartnersfromtimetotime,butonly
asexpresslyauthorizedbyavoteofamajorityofthethenexistingPartners."Netprofits"asusedhereinshallmean
allcommissions,royalties(includingRecordingroyaltiesbutexcludingthesocalled"songwriter'sshare"and
"publisher'sshare"ofmusicpublishingroyalties),bonuses,payments(otherthanrepaymentofloans),fees
(includingsynchronizationfees),dividends,stockbonuses,interestsormoniesofanykindornaturewhichshallbe
paidtothePartnershiportoanyPartnerasaresultofthePartnershipactivitiesafterdeductingthesumtotalofall
reasonablesalaries,rent,promotionalcosts,travelcosts,officeexpenditures,telephonecosts,accountingandlegal
fees,entertainmentcosts,andanyandalllegitimatePartnershipexpensesincurredbythePartnershipwhile
conductingPartnershipbusiness.NoPartnershallreceiveanysalary,bonusorgoodsorotherassetsofthe
PartnershipinexcessofthatreceivedbyanyotherPartner,exceptassetforthhereinorotherwiseuponthe
unanimousvoteofallofthePartners.

(b)
Notwithstandinganythingtothecontrarycontainedherein,andunlessagreedotherwiseinwriting
byallofthePartners,netprofitsarisingfromthecopyrighting,publishingandexploitingofaparticularGroup
Composition("PublishingProfits,"whichincludes,withoutlimitation,thesocalled"songwriter'sshare"and
publisher'sshare"ofmusicpublishingroyalties)shallbesharedsolelyamongthePartnerswhoaretheauthorsof
suchGroupCompositions.

7.
MANAGEMENT.

(a)
EachPartnershallhavetherighttoparticipateequallyinthecontrol,managementanddirectionof
thebusinessofthePartnership.Inexercisingthiscontrol,managementanddirection,eachPartnershallhavethe
samevoteaseachotherPartner.NoPartnershallhavetherighttomakeanyexpenditureinexcessof$100orincur
anymajorobligation(including,withoutlimitation,borroworlendmoney,make,deliver,acceptorendorseany
commercialpaper,compromiseorreleasedebtsowingtothePartnership,sell,lease,license,assignorhypothecate
anyPartnershippropertyorenterintoanycontractforanypurpose)onbehalfofthePartnership,exceptasexpressly
authorizedbyavoteofthreefifths(3/5)ofthethenexistingPartners.NoPartnershallholdoracceptfromany
thirdpartyanygratuityorotherconsiderationinconsiderationofhisexercisingordecliningtoexercisehisrights
hereunderinanymanner.ThePartnersmay,by3/5vote,delegatealloranyoftheirmanagementfunctionstoone
ormoreprofessionalmanagersuponsuchtermsandconditionsasthePartnerssovotingshalldesignate.

(b)
Notwithstandinganythingtothecontrarycontainedherein,butsubjecttoanyfutureagreement,if
any,betweenthePartnershipandathirdpartycopublisheroradministrator,thePartner(s)whois/arecreditedasthe
writer(s)ofaparticularCompositionshallhavetheexclusiverighttosellorgrantrights(bymeansoflicenseor
otherwise)inrespecttosuchCompositioninhis/theirsolereasonablediscretionprovidedthatanyPartner
disassociatedfromthePartnershippursuanttoParagraph11hereofshallthereafterretaintherighttosellorgrant
rightsinrespecttoanyCompositionforwhichheiscreditedasawriter,subjecttoParagraphs7(b)(i)and(ii)hereof
andthecontinuingrightsoftheotherPartnersinanynetprofitsderivedtherefromasprovidedinParagraph6
hereof.AdisassociatedPartnershallkeepthePartnershipinformedastohisaddressandtelephonenumberforthe
purposeoftransactingbusinessinrespecttotheCompositions.IfaCompositioniscowrittenbyaremaining

PartnerandadisassociatedPartnerandtheremainingPartnerseekstopursueacommercialopportunityinrespectto
suchComposition,heshallsendthedisassociatedPartnerwrittennoticethereofbycertifiedmail,returnreceipt
requested.IfthedisassociatedPartnerdoesnotrespondwithinfourteen(14)daysafterthedateofsuchnotice,then
theremainingpartnershallhavetheauthoritytograntrightsinsuchcompositiontoathirdparty,subjecttothe
disassociatedPartner'srighttoshareinanynetprofitsinrespecttheretoasprovidedherein.

(c)
Notwithstandingtheforegoing,thePartnerorPartnerswhoaretheauthorsofanyGroup
CompositionherebygranttheGroupamechanicallicenseforuseoftheCompositionsinanyGroupRecordingat
thefullstatutorymechanicalrate.

8.BOOKSOFACCOUNTSANDRECORDS.

ThePartnershipbooksandrecords,togetherwithallotherdocumentsandpaperspertainingtothebusiness
ofthePartnership,shallbemaintainedatitsprincipalplaceofbusinessoratsuchotherplaceasshallbedesignated
bythePartners,andshallbeavailableforinspectionatallreasonabletimesbyanyPartneroranydesignated
representativeofanyPartner.Themaintenanceofsuchbooksandrecordsshallbeinaccordancewithgenerally
acceptedaccountingpracticesandprinciples,consistentlyapplied,andatthecostofthePartners,prorata.The
fiscalyearofthePartnershipshallendonDecember31.ThePartnershipshallrenderyearlyaccountingstoeach
PartneronthefirstdayofFebruaryineveryyearduringthetermofthePartnership.Atthesolecostandexpenseof
thePartners,thePartnersmayretainanydulylicensedfirmofaccountantsand/orattorneysinconnectionwiththe
businessofthePartnership,includingtherenditionofsaidaccountings.

9.
DISSOLUTION.

(a)
ThisAgreementshallterminate,andthePartnershipshallbedissolved,uponthefirsttooccurof
thefollowingevents:
(i)
ThewrittenagreementofallofthePartnerstodissolvethePartnershipor
(ii)
Byoperationoflaw,exceptasotherwiseprovidedherein.TheadditionofanewPartner(as
providedinParagraph10hereof)orthedisassociationofaPartner(asprovidedinParagraph11hereof)shallnot
terminatethisAgreement,anditshallremaininfullforceandeffectamongtheremainingPartners.

(b)
UponterminationofthePartnership,thePartnership'sreceivablesshallbecollectedanditsassets
liquidatedforthwith(exceptasprovidedinsubparagraphs(d)and(e)below).Theproceedsfromtheliquidationof
thePartnershipassetsandcollectionofthePartnershipreceivablesshallbeappliedinthefollowingorder:
(i)First,totheexpenseofliquidationanddebtsofthePartnershipotherthandebtsowingtoanyof
thePartners
(ii)
Next,tothedebtsowingtoanyofthePartners,includingdebtsarisingfromloansmade
toorforsuchPartners,exceptthatiftheamountofsuchproceedsisinsufficienttopaysuchdebtsinfull,payment
shallbemadeonaproratabasis
(iii)Next,inpaymenttoeachPartnerofanyfinancialcapitalinvestmentmadebyhiminthe
Partnershipbelongingtohim,exceptthatiftheamountofsuchproceedsisinsufficienttopaysuchfinancialcapital
investmentinfull,paymentshallbemadeonaproratabasis
(iv)Next,inpaymenttoeachPartneronaproratabasisofanyofsuchproceedsremaining.

(c)
ThePartnersshallexecuteallsuchinstrumentsforfacilitatingthecollectionofthePartnership
receivablesandliquidationofthePartnershipassets,andforthemutualindemnityorreleaseofthePartnersasmay
beappropriateunderallthenpresentcircumstances.

(d)
Anyproperty,including,butnotlimitedto,theGroupName,allrightsandinterestsincontracts,
agreements,options,chosesinactionsandMerchandisingRights,ownedorcontrolledbythePartnershipatthetime
ofdissolutionfromwhichincomeisbeingderived,shallnotbesold,butshallberetainedanddistributedinthe
mannerhereinaftersetforth.AfterthepaymentsprovidedforinParagraph9(b)(i),(ii)and(iii)havebeenmadein
full,anysuchpropertyownedbythePartnershipandthecontinuingearningsreceivedasaresultoftheexploitation
thereofshallbevaluatedbyanaccountantselectedbythePartnerswhoisexperiencedinthemusicindustry.Said

propertyshallthenbedistributed,asnearlyaspossible,amongthePartnersinamannerconsistentwiththetermsset
forthinParagraph6hereof.

10.ADDITIONOFAPARTNER.

AnewpartnermaybeadmittedtothePartnershipbutonlywiththewrittenconsentofallofthePartners.
EachnewPartnershallbeadmittedonlyifheshallhaveexecutedanagreementwiththePartnershipundertheterms
ofwhichsuchPartneragreestobeboundbyalloftheprovisionshereof,asamended,asifasignatoryhereto.
Notwithstandinganythingtothecontrarycontainedherein,suchnewPartnershallhavenoright,titleorinterestin
anyoftheassetsorpropertyofthePartnershipexistingatthetimeofhisadmissiontothePartnership("existing
property")orinanyoftheproceedsderivedfromsuchexistingpropertyorfromthesale,exchange,orliquidation
thereof.SuchnewPartnershallhavenointerestwhatsoeverintheGroupNameapartfromthelimitedrighttobe
knownasamemberoftheGroup,andupontheterminationofthePartnershiphisinterestinanyassets,property,net
profitsandlossesofthePartnershipshallattachonlytosuchassets,property,netprofitsandlossesacquiredbythe
PartnershipafterhisadmissiontothePartnership.SuchnewPartner'scapitalcontribution,ifany,andshareofthe
Partnership'snetprofitsandlossesshallbesetforthinthewrittenconsentofallofthePartnersapprovingthe
admissionofthenewPartner.

11.
DISASSOCIATION.

(a)
APartnermaybecomedisassociatedfromthePartnershipbyreasonofhisdeath,hisdisability,his
resignationorbythewrittenvoteofalloftheotherPartners.ForpurposesofthisAgreement,aPartnershallbe
deemeddisabledifheisunabletoperformservicesasrequiredhereunderforanyreasonforaperiodinexcessof
onehundredeighty(180)consecutivedays,ortwohundredseventy(270)daysoutoftheyear.IfaPartnerresigns,
heshallgivethirty(30)dayspriorwrittennoticeofsuchresignationtoeachoftheotherPartners.APartner(or,in
theeventofdisassociationbydeath,hisexecutororpersonalrepresentative)whoisdisassociatedshallbeentitledto
receiveanamountequaltohisproportionateshareofthenetworthofthePartnershipasofthedateofhis
disassociation,exclusiveofanyvalueattributabletotheGroupName,butheshallnotbeentitledtoanyofthe
earningsofthePartnershipreceivedthereafteroranyinterestintheGroupName,norshallhebesubjecttoanyof
theliabilitiesofthePartnershipincurredthereafterprovided,however,thatsuchPartnershallbeentitledtoreceive
hisapplicableproportionateshare(assetforthinParagraph6hereof)ofanyroyalties(otherthananyshareof
PublishingProfitsprovidedforinParagraph6(b)(ii)(A)inrespecttoGroupCompositionswhicharenotwritten,in
wholeorinpart,bythedisassociatedPartner(s))earnedfromtheexploitationof(a)anyRecordingrecorded
hereunderandembodyinghisperformances,and(b)theGroupCompositionswhichhavebeenrecordedbythe
Grouppriortothedateofhisdisassociation,asandwhensuchprofitsareactuallyreceivedbythePartnership,less
hisprorataorotheragreedshareofanyexpensesand/orliabilitiesrelatingthereto.

(b)
ThenetworthofthePartnershipshallbedeterminedasofthedateofthedisassociationbyan
accountantselectedbytheremainingPartner(s)otherthanthePartnership'sregularaccountant,andotherthanthe
personalaccountantofanyPartner,whichaccountantshallbefamiliarwiththemusicindustry.Theaccountant
shallmakesaiddeterminationinaccordancewithgenerallyacceptedaccountingpracticesandprinciples,takinginto
consideration,amongotherfactors,thefairmarketvalueoftheassetsofthePartnershipotherthantheGroupName,
itsliabilities(includingthedisassociatedPartner'sentitlementtofutureroyaltiesasprovidedinsubparagraph(a)
hereinabove),itspastprofitsandlosses.Intheeventofvoluntaryresignation,thedeterminationofsaidaccountant
shallbefinal.However,ifthedisassociatedPartnerorhislegalrepresentativeshoulddisagreewiththeaccountant's
determinationintheeventofdisassociationforanyotherreason,thedisassociatedPartnerorsuchrepresentative
maywithinthirty(30)daysafterreceiptoftheaccountant'sdeterminationsubmittheissueofthefairmarketvalue
ofthePartnershiptoarbitrationinNewYork,undertheapplicablerulesoftheAmericanArbitrationAssociationby
one(1)arbitratorselectedbysuchorganizationfromitspanelofarbitratorsinaccordancewithitsusualprocedures.
UnlesstheremainingPartner(s)electtopaythedisassociatedPartner'sshareofthevalueofthePartnershipsooner,
saidshareshallbepayable(withoutanyinterestaccruingthereon)intwelve(12)approximatelyequalmonthly
installmentscommencingonemonthfollowingthedateofthefinaldeterminationofsaidnetworthprovided
however,thatifsaidshareisinexcessof$10,000butlessthan$25,000,theremainingPartner(s)mayelecttopay
sameintwentyfour(24)approximatelyequalmonthlyinstallments,andprovidedfurther,thatifsaidshareisin

excessof$25,000,theremainingPartner(s)mayelecttopaysameinthirtysix(36)approximatelyequalmonthly
installments.

12.NOTICES.

Allaccountingsandnoticestobegivenhereunder,andnoticesofanyactionbythePartnershipwhichhas
theeffectofalteringanyPartner'sshareofprofitsorlossesshallbegiveninwriting,bypersonaldeliveryorbymail
orbytelegramattherespectiveaddressesofthePartnerssetforthabove,oratsuchotheraddressesasmaybe
designatedinwritingbyregisteredmailbyanyPartner.Noticegivenbymailorbytelegramshallbedeemedgiven
onthedateofmailingthereoforonthedateofdeliveryofsuchtelegramtoatelegraphoffice,chargedprepaidorto
bebilled.

13.PARTNERSHIPBANKACCOUNTS.

OneormorePartnershipbankaccountsmaybeopenedandmaintainedbythePartnerswithsuchbankor
banksasthePartnersmaydetermineandanychecksorwithdrawalsfromoragainstanybankaccountoraccounts
shallbeuponthesignatureofanyofanypersonasthePartnersmayunanimouslyselectprovided,however,that
suchchecksorwithdrawalsshallbesubjecttotheapprovalprocesssetforthinParagraph7hereinabove.

14.ASSIGNMENTOFPARTNERS'INTEREST.

NoPartner,orexecutororadministratorofadeceasedPartner,shallsell,assignortransferallorany
portionofhisfinancialorotherinterestinthePartnershiporrighttoreceiveashareofPartnershipassets,profitsor
otherdistributionwithoutthepriorwrittenconsentofalloftheotherPartnersandanysuchpurportedsale,
assignmentortransferincontraventionoftheforegoingshallbenullandvoid.ThePartnersacknowledgethata
partofthecapitalcontributionofeachPartneristheuniquepersonalservicesrequiredtoberenderedforthe
exclusiveaccountofthePartnershipbyeachPartner,forwhichnopresentlyadequatesubstituteexistsandthatthe
otherPartnersarethesoleandexclusivejudgesoftheadequacyofanyfuturesubstitution.

15.GENERALPROVISIONS.

(a)Liability.TheliabilityofthePartnershiporthePartnersarisingoutofanyactivitiesofthePartnership
shalltotheextentpossiblebecoveredbyappropriatepoliciesofinsurance.Intheeventthatanyliabilityshallnot
adequatelybecoveredbyinsurance,theamountofliabilitynotsoinsuredagainstshallfirstbesatisfiedoutofthe
assetsofthePartnership.

(b)Indemnity.EachPartnerherebyindemnifiestheotherPartner(s)andholdssuchotherPartner(s)
harmlessagainstandfromallclaims,demands,actionsandrightsofactionwhichshallormayarisebyvirtueof
anythingdoneoradmittedtobedonebyhim(throughorbyagents,employeesorotherrepresentatives)outsidethe
scopeoforinbreachofthetermsofthisAgreement.EachPartnershallpromptlynotifytheotherPartner(s)ifsuch
Partnerknowsoftheexistenceofaclaim,demand,actionorrightofaction.

(c)SuccessorsandAssigns.SubjecttotherestrictionsonassignmentssetforthinthisAgreement,the
provisionsofthisAgreementshallbebindinguponandinuretothebenefitoftheheirs,executors,administrators,
successorsandassignsofthePartners.

(d)Severability.Ifanyterm,provision,covenantorconditionofthisAgreementisheldtobeillegalor
invalidforanyreasonwhatsoever,suchillegalityorinvalidityshallnotaffectthevalidityoftheremainderofthis
Agreement.

16.CONSTRUCTION.

ThisAgreementshallbegovernedbyandconstruedinaccordancewiththelawsoftheStateofNewYork.
Intheeventofanyaction,arbitration,suitorproceedingarisingfromorunderthisAgreement,theprevailingparty

shallbeentitledtorecoverreasonableattorneys'feesandcostsofsaidaction,suit,arbitrationorproceeding.Thisis
theentireunderstandingofthepartiesrelatingtothesubjectmatterhereofandsupersedesallpriorandcollateral
agreements,understandings,andnegotiationsoftheparties.Eachpartyacknowledgesthatnorepresentations,
inducements,promises,understandingsoragreements,oralorwritten,withreferencetothesubjectmatterhereof
havebeenmadeotherthanasexpresslysetforthherein.EachPartneracknowledgesthathehasconsultedwithlegal
counselofhischoicewithrespecttothecontentsofthisAgreementpriortoexecutionhereof,andhasbeenadvised
bysuchcounselwithrespecttothemeaningandconsequenceshereof.ThisAgreementcannotbechanged,
rescindedorterminatedexceptbyawritingsignedbyeachofthePartners.Thetitlesoftheparagraphsofthis
Agreementareforconvenienceonly,andshallnotinanywayaffecttheinterpretationofanyparagraphsofthis
AgreementoroftheAgreementitself.

NOTWITHSTANDINGTHEREPRESENTATIONOFTHEPARTNERSHIPBYWALLACECOLLINS
ASLEGALCOUNSEL,EACHOFTHEPARTNERSHASBEENADVISEDOFTHEIRRIGHTTORETAIN
INDEPENDENTLEGALCOUNSELINCONNECTIONWITHTHENEGOTIATIONANDEXECUTIONOF
THISLEGALDOCUMENTANDEACHPARTNERHASEITHERRETAINEDANDBEENREPRESENTED
BYSUCHLEGALCOUNSELORHASKNOWINGLYANDVOLUNTARILYWAIVEDRIGHTTOSUCH
LEGALCOUNSEL.

INWITNESSWHEREOF,thepartiesheretohaveexecutedandsealedthisagreementonthedatefirst
abovewritten."PARTNERS"

________________________________________________

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