Mechanical License Form Example

M e c h a n i c a l &nbs= p; L i c e n s e F = o r m

This AGREEMENT dated (insert the date here) (the "Effective Date&qu= ot;) is by and between Full Circle Music Group having an address of 970 Chapel Hill Drive, Lawrenceville, GA. 30045 AND

(Insert nam= e of Licensee here) the “Licensee”, having an address of (Insert address here including street address, City, State and Zip Code) =

When signed by you in the space indicated below, this will constitute our agreement with respect to our grant to you of a nonexclusive license to the manufacture and distribution of LP’s, Cassettes, Compa= ct Discs, DVDs, or Internet downloads (mp3 or other) (herein referred to as Recording) embodying a single performance of the following musical composit= ion (the “Composition”) which will be identified on your record lab= el or backliner.

HOW MANY TOTAL COPIES OF THE RECORDINGS WILL YOU MAKE (A= LL FORMATS TOGETHER)?

(e.g. 50= 0 CDs, 500 Cassettes, and 500 LPs and 100 Digital Downloads would be 1600 Recordings.) Minimum Requirement of 500 Total

# of PHYSICAL PRODUCT (CD, Cassette, or Vinyl LP)
# OF DPD (Digital Phonerecord Delivery, aka Permanent Download) ANTICIPATED IN THE NEXT 12 MONTHS

1. Grant of Rights. F= CMG hereby grants the Licensee a non-exclusive, non-transferable compulsory lic= ense to reproduce and distribute a certain musical composition owned and/or controlled by FCMG, as listed = on the attached Schedule A (the "Composition"), pursuant to the provisio= ns of Section 115 of the United States Copyright Act (the "Copyright Act"). Licensee shall ha= ve all of the rights granted and obligations imposed by the compulsory license provision of the Copyright Act, after distribution of the following recordi= ngs of the copyrighted work to the public in the United States by another pers= on under the authority of the copyright owner, unless otherwise provided for in this Agreement. US Gov Copyright Rates

2.&nb= sp; In connection with your exercise of the right and license granted herein, you shall have the right to make a musical arrangement of the Composition to the extent necessary to conform it to the style or manner of interpretation of the performance involved, provided, however, that any such arrangement shall not change the basic melody or lyrics fundamental to the character of the Composition.

3. Territory. The territory for this Agreement shall be the United States of America and its possessions and territories (the "Territory").

4. Term. The term of this Agreement sh= all run for a period of 24 months from first release, terminating on the last d= ay of the month in which the anniversary of the Effective Date occurs (the "Term"). Upon such expiration date, any and all rights herein granted shall immediately cease = and terminate, and the rights derived from this license to make and/or authorize further use or distribution of the recording shall also terminate.

5. Particular Recording. This Agreement covers and is limited to one particular recording of the Composition as performed by the artist and on the recording identified on Schedule A, and = this Agreement does not supersede or in any way affect any prior agreements now = in effect respecting Recordings of the Composition.

6. You shall supply F= CMG with two (2) complimentary copies of this recording when it is released.

7. Royalty and Royalty Accountings. In consideration for the license granted in paragraph 1 above, Licensee shall = pay FCMG, for each such recording emb= odying the Composition made and distributed by the Licensee (including "promotional copies"), a royalty based upon the statutory rate in effect at the time the Recording was distributed (See schedule B). Licensee shall render to FCMG true and detailed quarterly statements and payments, of all royalties payable hereun= der, no less often than forty-five (45) days following the end of each calendar quarter. Licensee shall maint= ain accurate and complete records and accounting books with regard to the Recor= ding and Composition, including, but not limited to, all information needed to compute and verify the amounts payable to FCMG hereunder. FCMG may audit those books and records. If Licensee fails to account to FCMG and/or pay royalties as prov= ided for herein, FCMG may give Lice= nsee written notice that, unless the default is remedied within fifteen (15) days from the date of the notice, this Agreement will be automatically terminated. Such termination = will render either the making or distribution, or both, of all Recordings for wh= ich royalties have not been paid, actionable as acts of infringement under, and fully subject to the remedies provided by the Copyright Act.

8. Warranties and Representations. Each party warrants and represents that it has the full right, power and authori= ty to enter into and perform this license in accordance with the terms and conditions herein. This license is given by FCMG to the Licensee without any other warranty or recourse, ex= cept to repay the amount of consideration paid for this license (as provided for= in paragraph 4 above) if said warranty shall be breached. FCMG’s liability hereun= der shall be limited to the amount of consideration paid for this license, and = FCMG further reserves all rights = and uses in and to the Composition not specifically granted to the Licensee her= ein.

9. Assignment. This license is persona= l to the Licensee and may not be sold, assigned or transferred without the prior written consent of FCMG (which consent may be withheld by FCMG in FCMG’ sole discretion).

10. Counterparts. This Agreement may be executed in counterparts, which together shall constitute one and the same Agreement . The parties may execute more than one copy of this Agreement , = each of which shall constitute an original.

11. Applicable Law and Jurisdiction. T= his license shall be construed in accordance with the internal laws of the Stat= e of Georgia, and any controversies arising out of this license shall be resolved solely in the s= tate or federal courts of the State of Georgia, each party hereunder submitting to jurisdiction and venue of such court.

12. Entire Agreement. This license sha= ll constitute the entire agreement between the parties with respect to the sub= ject matter hereof and may only be modified by a written amendment signed by both parties.

Full Circle Music Group<= span style=3D'font-size:16.0pt;font-family:"Modern No\. 20";mso-fareast-font-fam= ily: "MS Mincho";mso-bidi-font-family:Arial'>&nb= sp;      =        LICENSEE:______________________= ___

By:_________________= ______        &= nbsp;            By:_______= _________________________

= Name:    Greg P Smith      =             &nb= sp;         =    Name: _____________________________

= Title:       President &n= bsp;            = ; &nb= sp;                  &= nbsp;     Title: ______________________________

Date: ____________________    = ;             <= /span> Date: ______________________________

Schedule A

= To the Mechanical License dated (INSERT DATE HERE) between FCMG and (INSERT THE NAME OF LICENSEE HERE)

Song Title:      INSERT NAME= OF SONG TITLE WHICH IS BEING LICENSED HERE

= Writers:         =   Linda Joyce Smith

Income Participant(s):       Linda Joyce Smith        100%

Record ID Number (INSERT RECORD ID NUMBER HERE)

# Of Units (INSERT NUMBER OF UNITS HERE)

Artist (INSERT NAME = OF ARTISTS PERFORMING THE NEW RECORDING HERE)

Playing Time: (INSERT PLAYING TIME OF THE SONG HERE)

Initial: &= nbsp;            FCMG        &= nbsp;   INITIAL HERE

  &nb= sp;            =          Licensee        INITITAL HERE

Sch= edule B

The current statutory mechanical royalty rate a= s of January 11, 2007 is $.091 (9.1 cents) per song per unit for recordings.

For example, if one were to make a recording of= a song and then manufacture 500 units   of the recording, the total a= mount of royalties due would be $45.50.         =             &nb= sp;        ($0.091 X 500 (units) =3D $45.50).

We do not charge ext= ra (as is allowed) for songs which are longer than 5 minutes in length.=