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No. 02Deal Structure
Also called territorial rights, geographic scope, worldwide rights
Defines which countries or regions the label controls your recordings in.
Watch closely
Worldwide is standard in major-label deals but leaves no room for territory-specific arrangements.
The territory clause specifies the geographic area where the label has the right to exploit your recordings. 'Worldwide' is the most common and gives the label rights in every country. Some deals are limited to specific regions, for example, a US deal with a separate European licence.
A worldwide grant means the label controls revenue from streaming, downloads, and physical sales in every market, including territories where you have existing relationships or where local labels might give you better deals.
The same clause is drafted three ways. These are the positions we see, worst first, so you can tell at a glance which one is in front of you.
The drafting language and the negotiation moves for this clause are part of the workspace.
You have read what the clause means and where the risk sits. The rest is the side-by-side of how it reads when it is against you and when it is not, plus the specific moves that get it there.