EXCLUSIVE RECORDING AGREEMENT
Between Sub Pop Inc. and Sonic Youth
Effective Date: December 17, 1981
I. TERM & OBLIGATIONS
Album Commitment:
Sonic Youth agrees to record and deliver a total of four (4) full-length studio albums to Sub Pop Inc. Upon completion of the fourth album, the band shall be granted a one-year sabbatical. Thereafter, both parties may enter good faith negotiations for contract renewal.
EP Clause:
Sonic Youth may release Extended Plays (EPs) in between full-length albums under this agreement. These EPs shall be considered supplemental material and shall not count toward the four-album commitment. Royalties for EPs shall be calculated at eight percent (8%) of net profits, increasing to ten percent (10%) if an EP exceeds 10,000 units sold.
Performance Exclusivity:
During the contract term, the band shall record and perform exclusively for Sub Pop Inc., excluding non-commercial, charitable, or personal projects. All commercial engagements outside this agreement require prior written approval.
Touring Commitments:
Sonic Youth agrees to participate in reasonable touring and promotional events in support of each album and EP, coordinated with Sub Pop Inc.'s management team.
Studio Participation:
Band members shall participate in all scheduled studio sessions with appropriate notice and shall contribute fully to the recording process.
II. ROYALTIES & COMPENSATION
Album Royalties:
Sonic Youth shall receive ten percent (10%) of net profits for all full-length albums. If the album Confusion Is Sex sells 25,000 units, the royalty increases retroactively to fifteen percent (15%) for that album.
EP Royalties:
EPs released under this contract shall be paid at eight percent (8%) of net profits. If sales exceed 10,000 units, royalty increases to ten percent (10%) for that EP.
Future Technologies Clause:
This agreement covers all current and future distribution formats and technologies, including but not limited to streaming platforms, VR/AR environments, AI-generated adaptations, and formats yet to be developed.
Physical Media Clause:
Sub Pop Inc. shall retain exclusive rights to release and distribute recordings on vinyl, cassette, CD, reel-to-reel, and any future analog/digital format. The same royalty rates apply to each format.
Band Revenue Distribution:
Royalties shall be paid to Sonic Youth as a legal entity or designated representative. The band is solely responsible for internal distribution among members.
III. ADVANCE & SUPPORT STRUCTURE
Signing Advance:
Sonic Youth shall receive a non-recoupable advance of Seventy-Five Thousand U.S. Dollars ($75,000), paid as follows:
$20,000 upon signing
$15,000 upon completion of the first album
$15,000 upon release of the first album
$15,000 tour stipend
$10,000 wellness and production prep funds
Advance payments shall be processed through Sub Pop Inc.'s accounting department with full documentation.
IV. LICENSING, MERCHANDISING & PROJECTS
Film/TV/Media Licensing:
Sub Pop Inc. shall have the right to license Sonic Youth's recordings for film, television, commercials, and other media. Revenue from such uses shall be split 60% to Sub Pop Inc. and 40% to Sonic Youth, unless otherwise negotiated in writing.
Merchandising Clause:
Sonic Youth shall retain full control over band-branded merchandise. Sub Pop Inc. may propose collaborative merchandise ventures, subject to separate agreements. The label shall not create or sell merchandise bearing the band's name, likeness, or imagery without explicit written consent.
Side Projects Clause:
Band members may engage in side projects, collaborations, or solo material, provided these do not compete directly with Sonic Youth's releases or cause conflicts in scheduling, promotion, or branding. Sub Pop Inc. retains the first right of refusal to distribute such projects.
V. POST-CONTRACTUAL RIGHTS & LEGACY
Legacy Clause:
Sub Pop Inc. retains exclusive commercial rights to the four contracted albums and any EPs produced during the contract, in perpetuity. The band retains full rights over any future projects not released under this agreement.
Renewal Option:
After the one-year sabbatical, both parties may renegotiate a renewal of this agreement. There is no obligation to renew unless mutually agreed.
VI. DISPUTE RESOLUTION & NON-DISPARAGEMENT
Arbitration Clause:
Any dispute arising under this agreement shall be resolved through confidential, binding arbitration in the State of New York.
Non-Disparagement Clause:
All parties agree to refrain from making public statements that may harm, defame, or misrepresent the other party, including but not limited to affiliates, partners, and artists under contract.
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Later that day, James received his reward from the system.
[CONGRATULATIONS ON YOUR LABEL'S SECOND SIGNED ARTIST!]
[YOU HAVE BEEN AWARDED A 3-STAR PLUNDER CARD!]
"Oh, so they decided to sign? That's great! Hmm… what should I plunder from the future… hmmm…"
James stared off in one direction, deep in thought about what to choose after activating the plunder card. The system displayed several categories, so he decided to take his time before making a selection.
///////////////////////////////////NEXT SCENE///////////////////////////////////
After a while, he made his decision.
[MOVIES]
[Back to the Future]
[The Breakfast Club]
[Top Gun]
[Ferris Bueller's Day Off]
[Stand by Me]
[Aliens]
[Pretty in Pink]
[The Karate Kid]
[Ghostbusters]
[The Terminator]
He chose Back to the Future as his second movie plunder. The system quickly notified him:
[WOULD YOU LIKE TO TRANSFER THE FULL PRODUCTION DETAILS TO YOUR 5 STARS ARTIST: FRIEDRICH WILHELM MURNAU?]
'Yes'
[TRANSFER COMPLETED]
"Good."
"Now I just need to see how much The Goonies will earn by next year."