2. LICENSE: Licensor grants to Licensee the non-exclusive right, privilege and license, to use the Compositions, in the manufacture and sale of sound-recordings in all forms, whether now or hereafter devised or discovered ("Records") throughout the world ("Territory"), for the recording entitled below.
3. ROYALTY: For such records made and distributed, the royalty shall be the statutory rate in effect at the time the record is released, and any royalty stated in terms of a percentage of the statutory rate shall apply to the statutory rate at such time.
Notwithstanding the foregoing, the maximum aggregate mechanical royalty rate which Licensee will be required to pay in respect of any single, E.P. or L.P., regardless of the total number of compositions contained therein, shall not exceed Two (2) times, five (5) times, and Ten (10) times the "Per Selection Rate" respectively. All mechanical royalties payable hereunder shall be paid on the basis of net Records produced hereunder for which royalties are payable to Artist pursuant to Artist’s Recording Agreement with Licensor.
4. ACCOUNTING:
(a) Licensee shall render to Licensor payment for the units produced by entering below the total amount of units to be produced and paying the applicable fee. The license will not be valued until the fee is received.
(b) Should the Licensee wish to produce more units of the recording for this composition, they will sign a new license and pay the appropriate and applicable fee at such time.
(c) Upon Licensee's failure to account to Licensor and pay royalties as herein provided, Licensor may give Licensee written notice via electronic mail, that, unless the default is remedied within thirty (30) days from the date of the notice, the license will automatically terminate. Such termination shall render either the making or the distribution, or both, of all records for which royalties have not been paid, actionable as acts of infringement under the United States Copyright Act.
5. CREDIT: In regards to all records manufactured, distributed and/or sold hereunder, Licensee shall include in the label copy of all such records, or on the permanent containers of all such records, printed writer/publisher credit in the form of the name of the writers and the publishers of the copyrighted work as listed above.
6.WARRANTY & INDEMNITY: Licensor indemnifies and hold harmless Licensee, its successors and assigns form any and all loss, damage, cost or expense, including attorney fees, by reason of any adverse claims by others in and to the subject matter hereof, or by reason of any breach of any of the expressed warranties herein contained, or by reason of any adjudication invalidating said mechanical rights or copyright privileges under which this license is granted.
7. ASSIGNMENT: This agreement is assignable by either party and shall be binding upon the heirs, legal representatives, successors and assigns of the parties hereto.
8. TERM: This license shall continue in effect for the life of the copyright on the Compositions.
9. EFFECTIVE LAW: This agreement shall be construed in accordance to the laws of the State of Florida.
