In a label services deal, who typically retains ownership of the masters?

In a label services deal, who typically retains ownership of the masters?

• A. The label retains ownership of the masters.
• B. The artist typically retains ownership of the masters.
• C. Ownership is shared equally.
• D. Masters are transferred to distributors.

Answer: (B)

In a label services deal, the artist typically retains ownership of the masters. The label provides services like distribution, marketing, promotion, and administration, often for a fee or a negotiated revenue share, but does not own the master recordings. This setup lets the artist control the master rights while still benefiting from the label’s distribution and support network. If the masters were owned by the label, it would be a traditional label deal, not a label services arrangement. Distributors handle getting the music out to stores and streaming platforms, but they don’t own the masters themselves.

In a label services deal, the artist typically retains ownership of the masters. The label provides services like distribution, marketing, promotion, and administration, often for a fee or a negotiated revenue share, but does not own the master recordings. This setup lets the artist control the master rights while still benefiting from the label’s distribution and support network. If the masters were owned by the label, it would be a traditional label deal, not a label services arrangement. Distributors handle getting the music out to stores and streaming platforms, but they don’t own the masters themselves.