International Music Law I INSIGHT

Nainoa Shizuru

With the rapid evolution of the digital music economy, the agreements used within the music industry have undergone a significant transformation. Traditionally, record label agreements were primarily designed to govern the production and distribution of sound recordings. Today, however, they extend far beyond these conventional functions.

Modern record label agreements encompass a broad range of legal and commercial matters, including digital distribution platforms, online streaming services, metadata management, content identification systems (such as Content ID), social media exploitation, global licensing models, and the growing role of artificial intelligence in the music industry.

As a result of this evolution, the traditional concept of a single, standardized record deal has largely disappeared from international practice. Depending on the commercial relationship between the parties, the music industry now relies on a variety of contractual models, including:

• Record Label Agreement

• Recording Agreement

• Distribution Agreement

• Licensing Agreement

• Producer Agreement

• Artist Management Agreement

• Publishing Agreement

Each of these agreements serves a distinct commercial and legal purpose.

Accordingly, modern music agreements must be drafted with a comprehensive understanding of international copyright law, neighbouring rights, digital platform practices, and the legal implications arising from cross-border transactions.

Modern record label agreements do not exist in isolation. They are shaped by an international legal framework that establishes the minimum standards of copyright protection across jurisdictions. Three international instruments, in particular, form the legal foundation of contemporary music industry agreements.

1. The Berne Convention for the Protection of Literary and Artistic Works

The Berne Convention for the Protection of Literary and Artistic Works is widely recognised as the cornerstone of international copyright law. Since its adoption in 1886, it has established the fundamental principles upon which national copyright systems and international copyright agreements continue to operate.

Its core principles include:

• copyright protection without registration or any other formalities;

• the principle of national treatment;

• minimum standards of copyright protection; and

• the recognition and protection of authors' moral rights.

Although modern music agreements are primarily commercial contracts, many of the rights they regulate—including ownership, exploitation, licensing and the exercise of moral rights—are ultimately rooted in the legal framework established by the Berne Convention. Consequently, a proper understanding of the Convention remains essential when drafting cross-border music industry agreements.

2. WIPO Copyright Treaty (WCT)

The WIPO Copyright Treaty (WCT) builds upon the legal framework established by the Berne Convention by addressing the challenges posed by the digital environment. Adopted in 1996, the Treaty modernises international copyright protection to reflect the realities of online exploitation and digital technologies.

In particular, the WCT establishes international standards concerning:

• digital reproduction;

• communication to the public via the internet;

• the making available right; and

• the online exploitation of copyrighted works.

The Treaty has become a fundamental reference point for drafting agreements involving digital distribution, streaming services, and other forms of online exploitation.

3. WIPO Performances and Phonograms Treaty (WPPT)

The WIPO Performances and Phonograms Treaty (WPPT) complements the WCT by providing international protection for performers and phonogram producers in the digital environment.

The Treaty establishes a legal framework governing, among other matters:

• the rights of performers;

• the rights of phonogram producers; and

• the digital exploitation of sound recordings.

With the continued growth of the streaming economy and digital music services, the WPPT has become increasingly significant in the drafting of modern record label agreements. Its provisions directly influence the contractual allocation of rights relating to performers, phonogram producers, and the commercial exploitation of sound recordings across multiple jurisdictions.

Old Record Label Orange and Black

What Do Modern Record Label Agreements Regulate?

Contemporary record label agreements extend far beyond the assignment or licensing of rights. As the music industry has evolved, these agreements have become increasingly sophisticated, governing not only the exploitation of intellectual property but also the commercial and operational aspects of the relationship between the parties.

Today, a modern record label agreement commonly addresses matters such as:

• master recordings (sound recordings/phonograms);

• digital distribution;

• digital service providers (DSPs) such as Spotify, Apple Music and Deezer;

• YouTube rights and Content ID management;

• metadata creation and management;

• the use of artists' names, likenesses and content across social media platforms;

• marketing and promotional activities;

• royalty structures and revenue sharing;

• accounting and payment obligations;

• audit rights; and

• the use of artificial intelligence and emerging digital technologies.

The scope of these agreements ultimately depends on the parties' commercial objectives and the business model adopted. While some agreements focus primarily on the production and exploitation of master recordings (sound recordings/phonograms), others may also include distribution, marketing, branding, merchandising, content management, or other ancillary services.

Intellectual Property and Moral Rights

Moral Rights in International Music Agreements

One of the most frequently misunderstood aspects of international music agreements concerns moral rights.

The treatment of moral rights varies considerably across jurisdictions. Under Turkish copyright law, moral rights are generally regarded as inalienable and, therefore, cannot be assigned to another party. However, authors may, under certain circumstances, grant consent or authorise specific acts relating to the exercise of those rights, subject to the limits imposed by applicable law.

For this reason, contractual provisions referring to a "moral rights waiver" should not be incorporated into agreements governed by Turkish law without careful legal analysis. Whether such provisions are valid, enforceable, or require adaptation depends not only on the wording of the agreement but also on the applicable law and the relevant mandatory rules of the jurisdiction concerned.

This issue is particularly important in cross-border transactions, as the legal treatment of moral rights differs significantly between jurisdictions, including:

• Türkiye;

• the European Union;

• the United Kingdom;

• Canada; and

• the United States.

Accordingly, parties negotiating international record label agreements should avoid assuming that a standard moral rights clause will produce the same legal effect in every jurisdiction. A jurisdiction-specific analysis is often essential to ensure both legal certainty and contractual enforceability.

Att. Burcu Kaya,LL.M.