Professional Documents
Culture Documents
Thisagreementismadeandenteredintothis___dayof______,20__,byandamongthefollowingpersons:
[name/address]
Theforegoingindividualsarehereinaftereachindividuallyreferredtoas"Partner"andinthepluralas"Partners".
WithrespecttoanygenderreferenceinthisAgreement,whereverrequiredinthisAgreement,thesingularshall
includetheplural,andthemasculinegendershallincludethefeminineandneuter.
1.THEPARTNERSHIP.
ThePartnersherebyconstitutethemselvesasageneralpartnership(the"Partnership")tobeknownas
"_____"(theGroup)underthelawsoftheStateof_______________forthepurposesofliveperformances,
creatingsoundrecordingsforuseandcommercialexploitationinallmediumsandbyanymeanswhethernowor
hereafterdevisedofrecordingmusicalperformancesforreproduction("Recordings"),exploitingandmerchandising
thenames(bothlegalandprofessional)andlikenessesoftheGroupandthemembersoftheGroup,usingand
commerciallyexploitationmusicalcompositionscomposedbyanyPartnerindividuallyorjointlywithanyother
personandrecordedbytheGroupforthepurposeofexploitingRecordings(the"GroupCompositions"),andall
otherpresentandfutureactivitiesofthePartnersasmembersoftheGroupintheentertainmentfieldduringtheterm
ofthisAgreement.Exceptasotherwiseexpresslyprovidedherein,thePartnershipshallhavetheexclusiverightto
theservicesofeachPartnerasamemberoftheGroupintheentertainmentfield.Theprincipalplaceofbusinessof
thePartnershipshallbeatsuchplaceasthePartnersmaydeterminepursuanttotheprovisionsofthisAgreement.
2.THENAME.
ThePartnershipshalldobusinessas_____"(theGroupName)andanyandalltrademarksandrelated
intellectualpropertyrightsthereinandtheretoshallbethesoleandexclusivepropertyoftheGroup.
3.DURATIONOFPARTNERSHIP.
ThetermforwhichthisPartnershipistoexistshallcommenceasoftheeffectivedatehereofandshall
continueuntildissolvedinanymannerprovidedherein.
4.REPRESENTATIONS,WARRANTIESANDAGREEMENTS.
EachofthePartnerswarrantsandrepresentstoeachoftheotherPartnersthatheisfreetoenterintothis
Agreement,andthatheisundernodisability,restrictionorprohibitionwhichwillinterfereinanywaywithhisfull
compliancewithallofhisobligationsunderthisAgreement.EachPartnerwarrantsandrepresentsthathehasnot
donenorwillhedoanyactorthingthatwillormightimpairthefullenjoymentbythePartnershipofanyofthe
rightsgrantedtoitunderthisAgreementorthecommencementorcontinuationofthePartnershipbusinessinthe
mannerhereincontemplated.EachPartnerfurtherwarrantsandrepresentsthathewillnotsell,assign,transferor
hypothecateanyright,titleorinterestinortoanyassetofthePartnershipwithoutthepriorwrittenconsentofall
otherPartners.EachPartnercovenantsandagreesthathewillperformtheservicesprovidedtobeperformedbyhim
hereunderdiligently,fullyandtothebestofhisabilityduringtheTermofthisAgreement,inacompetentand
professionalmanner,andwillrefrainfromparticipatinginactivitieswhichwithreasonableforeseeabilitycouldlimit
orprohibithimfromsoperforming.EachofthePartnersacknowledgesthatpreservationandenhancementofthe
valueofthePartnershipmaybehinderedbythefailureofanindividualPartnertoapplyhimselfdiligentlytothe
businessofthePartnershiporbyactionsinamannerinjurioustotherightsoftheotherPartners.
5.
CONTRIBUTION.
AsacontributiontothePartnership,eachPartneriscontributinghisexclusiveservicesasarecordingartist
withrespecttoRecordingsembodyingmusicalperformancesoftheGroup,hisexclusiveservicesasamusical
performerinallmediaandonthelivestagewithrespecttohisactivitiesasamemberoftheGroup,his
MerchandisingRightswithrespecttohisactivitiesasamemberoftheGroup,hisexclusiveservicesasasongwriter
andpublisherwithrespecttotheGroupCompositions,andgenerallyhisexclusiveservicesasamemberofthe
Groupwithintheentertainmentfield.NoPartnershallberequiredtomakeanycapitalcontributionsexceptuponthe
unanimousagreementofthePartners.
6.
PROFITSANDLOSSES.
(a)
SubjecttoParagraph6(b)below,andunlessagreedotherwiseinwritingbyallofthePartners,the
Partnersshallshareequallyinalloftheprofits,losses,rightsandobligationsofthePartnership.ShouldanyPartner
atanytimebearorsatisfyadisproportionateshareofthefinancialobligationsofthePartnership,heshallbeentitled
toreimbursementthereforefromtheotherPartnersproportionatelyoutofsumsotherwisedistributabletothemas
Partners."Netprofits"(ashereinafterdefined)shallbedistributedincashtothePartnersfromtimetotime,butonly
asexpresslyauthorizedbyavoteofamajorityofthethenexistingPartners."Netprofits"asusedhereinshallmean
allcommissions,royalties(includingRecordingroyaltiesbutexcludingthesocalled"songwriter'sshare"and
"publisher'sshare"ofmusicpublishingroyalties),bonuses,payments(otherthanrepaymentofloans),fees
(includingsynchronizationfees),dividends,stockbonuses,interestsormoniesofanykindornaturewhichshallbe
paidtothePartnershiportoanyPartnerasaresultofthePartnershipactivitiesafterdeductingthesumtotalofall
reasonablesalaries,rent,promotionalcosts,travelcosts,officeexpenditures,telephonecosts,accountingandlegal
fees,entertainmentcosts,andanyandalllegitimatePartnershipexpensesincurredbythePartnershipwhile
conductingPartnershipbusiness.NoPartnershallreceiveanysalary,bonusorgoodsorotherassetsofthe
PartnershipinexcessofthatreceivedbyanyotherPartner,exceptassetforthhereinorotherwiseuponthe
unanimousvoteofallofthePartners.
(b)
Notwithstandinganythingtothecontrarycontainedherein,andunlessagreedotherwiseinwriting
byallofthePartners,netprofitsarisingfromthecopyrighting,publishingandexploitingofaparticularGroup
Composition("PublishingProfits,"whichincludes,withoutlimitation,thesocalled"songwriter'sshare"and
publisher'sshare"ofmusicpublishingroyalties)shallbesharedsolelyamongthePartnerswhoaretheauthorsof
suchGroupCompositions.
7.
MANAGEMENT.
(a)
EachPartnershallhavetherighttoparticipateequallyinthecontrol,managementanddirectionof
thebusinessofthePartnership.Inexercisingthiscontrol,managementanddirection,eachPartnershallhavethe
samevoteaseachotherPartner.NoPartnershallhavetherighttomakeanyexpenditureinexcessof$100orincur
anymajorobligation(including,withoutlimitation,borroworlendmoney,make,deliver,acceptorendorseany
commercialpaper,compromiseorreleasedebtsowingtothePartnership,sell,lease,license,assignorhypothecate
anyPartnershippropertyorenterintoanycontractforanypurpose)onbehalfofthePartnership,exceptasexpressly
authorizedbyavoteofthreefifths(3/5)ofthethenexistingPartners.NoPartnershallholdoracceptfromany
thirdpartyanygratuityorotherconsiderationinconsiderationofhisexercisingordecliningtoexercisehisrights
hereunderinanymanner.ThePartnersmay,by3/5vote,delegatealloranyoftheirmanagementfunctionstoone
ormoreprofessionalmanagersuponsuchtermsandconditionsasthePartnerssovotingshalldesignate.
(b)
Notwithstandinganythingtothecontrarycontainedherein,butsubjecttoanyfutureagreement,if
any,betweenthePartnershipandathirdpartycopublisheroradministrator,thePartner(s)whois/arecreditedasthe
writer(s)ofaparticularCompositionshallhavetheexclusiverighttosellorgrantrights(bymeansoflicenseor
otherwise)inrespecttosuchCompositioninhis/theirsolereasonablediscretionprovidedthatanyPartner
disassociatedfromthePartnershippursuanttoParagraph11hereofshallthereafterretaintherighttosellorgrant
rightsinrespecttoanyCompositionforwhichheiscreditedasawriter,subjecttoParagraphs7(b)(i)and(ii)hereof
andthecontinuingrightsoftheotherPartnersinanynetprofitsderivedtherefromasprovidedinParagraph6
hereof.AdisassociatedPartnershallkeepthePartnershipinformedastohisaddressandtelephonenumberforthe
purposeoftransactingbusinessinrespecttotheCompositions.IfaCompositioniscowrittenbyaremaining
PartnerandadisassociatedPartnerandtheremainingPartnerseekstopursueacommercialopportunityinrespectto
suchComposition,heshallsendthedisassociatedPartnerwrittennoticethereofbycertifiedmail,returnreceipt
requested.IfthedisassociatedPartnerdoesnotrespondwithinfourteen(14)daysafterthedateofsuchnotice,then
theremainingpartnershallhavetheauthoritytograntrightsinsuchcompositiontoathirdparty,subjecttothe
disassociatedPartner'srighttoshareinanynetprofitsinrespecttheretoasprovidedherein.
(c)
Notwithstandingtheforegoing,thePartnerorPartnerswhoaretheauthorsofanyGroup
CompositionherebygranttheGroupamechanicallicenseforuseoftheCompositionsinanyGroupRecordingat
thefullstatutorymechanicalrate.
8.BOOKSOFACCOUNTSANDRECORDS.
ThePartnershipbooksandrecords,togetherwithallotherdocumentsandpaperspertainingtothebusiness
ofthePartnership,shallbemaintainedatitsprincipalplaceofbusinessoratsuchotherplaceasshallbedesignated
bythePartners,andshallbeavailableforinspectionatallreasonabletimesbyanyPartneroranydesignated
representativeofanyPartner.Themaintenanceofsuchbooksandrecordsshallbeinaccordancewithgenerally
acceptedaccountingpracticesandprinciples,consistentlyapplied,andatthecostofthePartners,prorata.The
fiscalyearofthePartnershipshallendonDecember31.ThePartnershipshallrenderyearlyaccountingstoeach
PartneronthefirstdayofFebruaryineveryyearduringthetermofthePartnership.Atthesolecostandexpenseof
thePartners,thePartnersmayretainanydulylicensedfirmofaccountantsand/orattorneysinconnectionwiththe
businessofthePartnership,includingtherenditionofsaidaccountings.
9.
DISSOLUTION.
(a)
ThisAgreementshallterminate,andthePartnershipshallbedissolved,uponthefirsttooccurof
thefollowingevents:
(i)
ThewrittenagreementofallofthePartnerstodissolvethePartnershipor
(ii)
Byoperationoflaw,exceptasotherwiseprovidedherein.TheadditionofanewPartner(as
providedinParagraph10hereof)orthedisassociationofaPartner(asprovidedinParagraph11hereof)shallnot
terminatethisAgreement,anditshallremaininfullforceandeffectamongtheremainingPartners.
(b)
UponterminationofthePartnership,thePartnership'sreceivablesshallbecollectedanditsassets
liquidatedforthwith(exceptasprovidedinsubparagraphs(d)and(e)below).Theproceedsfromtheliquidationof
thePartnershipassetsandcollectionofthePartnershipreceivablesshallbeappliedinthefollowingorder:
(i)First,totheexpenseofliquidationanddebtsofthePartnershipotherthandebtsowingtoanyof
thePartners
(ii)
Next,tothedebtsowingtoanyofthePartners,includingdebtsarisingfromloansmade
toorforsuchPartners,exceptthatiftheamountofsuchproceedsisinsufficienttopaysuchdebtsinfull,payment
shallbemadeonaproratabasis
(iii)Next,inpaymenttoeachPartnerofanyfinancialcapitalinvestmentmadebyhiminthe
Partnershipbelongingtohim,exceptthatiftheamountofsuchproceedsisinsufficienttopaysuchfinancialcapital
investmentinfull,paymentshallbemadeonaproratabasis
(iv)Next,inpaymenttoeachPartneronaproratabasisofanyofsuchproceedsremaining.
(c)
ThePartnersshallexecuteallsuchinstrumentsforfacilitatingthecollectionofthePartnership
receivablesandliquidationofthePartnershipassets,andforthemutualindemnityorreleaseofthePartnersasmay
beappropriateunderallthenpresentcircumstances.
(d)
Anyproperty,including,butnotlimitedto,theGroupName,allrightsandinterestsincontracts,
agreements,options,chosesinactionsandMerchandisingRights,ownedorcontrolledbythePartnershipatthetime
ofdissolutionfromwhichincomeisbeingderived,shallnotbesold,butshallberetainedanddistributedinthe
mannerhereinaftersetforth.AfterthepaymentsprovidedforinParagraph9(b)(i),(ii)and(iii)havebeenmadein
full,anysuchpropertyownedbythePartnershipandthecontinuingearningsreceivedasaresultoftheexploitation
thereofshallbevaluatedbyanaccountantselectedbythePartnerswhoisexperiencedinthemusicindustry.Said
propertyshallthenbedistributed,asnearlyaspossible,amongthePartnersinamannerconsistentwiththetermsset
forthinParagraph6hereof.
10.ADDITIONOFAPARTNER.
AnewpartnermaybeadmittedtothePartnershipbutonlywiththewrittenconsentofallofthePartners.
EachnewPartnershallbeadmittedonlyifheshallhaveexecutedanagreementwiththePartnershipundertheterms
ofwhichsuchPartneragreestobeboundbyalloftheprovisionshereof,asamended,asifasignatoryhereto.
Notwithstandinganythingtothecontrarycontainedherein,suchnewPartnershallhavenoright,titleorinterestin
anyoftheassetsorpropertyofthePartnershipexistingatthetimeofhisadmissiontothePartnership("existing
property")orinanyoftheproceedsderivedfromsuchexistingpropertyorfromthesale,exchange,orliquidation
thereof.SuchnewPartnershallhavenointerestwhatsoeverintheGroupNameapartfromthelimitedrighttobe
knownasamemberoftheGroup,andupontheterminationofthePartnershiphisinterestinanyassets,property,net
profitsandlossesofthePartnershipshallattachonlytosuchassets,property,netprofitsandlossesacquiredbythe
PartnershipafterhisadmissiontothePartnership.SuchnewPartner'scapitalcontribution,ifany,andshareofthe
Partnership'snetprofitsandlossesshallbesetforthinthewrittenconsentofallofthePartnersapprovingthe
admissionofthenewPartner.
11.
DISASSOCIATION.
(a)
APartnermaybecomedisassociatedfromthePartnershipbyreasonofhisdeath,hisdisability,his
resignationorbythewrittenvoteofalloftheotherPartners.ForpurposesofthisAgreement,aPartnershallbe
deemeddisabledifheisunabletoperformservicesasrequiredhereunderforanyreasonforaperiodinexcessof
onehundredeighty(180)consecutivedays,ortwohundredseventy(270)daysoutoftheyear.IfaPartnerresigns,
heshallgivethirty(30)dayspriorwrittennoticeofsuchresignationtoeachoftheotherPartners.APartner(or,in
theeventofdisassociationbydeath,hisexecutororpersonalrepresentative)whoisdisassociatedshallbeentitledto
receiveanamountequaltohisproportionateshareofthenetworthofthePartnershipasofthedateofhis
disassociation,exclusiveofanyvalueattributabletotheGroupName,butheshallnotbeentitledtoanyofthe
earningsofthePartnershipreceivedthereafteroranyinterestintheGroupName,norshallhebesubjecttoanyof
theliabilitiesofthePartnershipincurredthereafterprovided,however,thatsuchPartnershallbeentitledtoreceive
hisapplicableproportionateshare(assetforthinParagraph6hereof)ofanyroyalties(otherthananyshareof
PublishingProfitsprovidedforinParagraph6(b)(ii)(A)inrespecttoGroupCompositionswhicharenotwritten,in
wholeorinpart,bythedisassociatedPartner(s))earnedfromtheexploitationof(a)anyRecordingrecorded
hereunderandembodyinghisperformances,and(b)theGroupCompositionswhichhavebeenrecordedbythe
Grouppriortothedateofhisdisassociation,asandwhensuchprofitsareactuallyreceivedbythePartnership,less
hisprorataorotheragreedshareofanyexpensesand/orliabilitiesrelatingthereto.
(b)
ThenetworthofthePartnershipshallbedeterminedasofthedateofthedisassociationbyan
accountantselectedbytheremainingPartner(s)otherthanthePartnership'sregularaccountant,andotherthanthe
personalaccountantofanyPartner,whichaccountantshallbefamiliarwiththemusicindustry.Theaccountant
shallmakesaiddeterminationinaccordancewithgenerallyacceptedaccountingpracticesandprinciples,takinginto
consideration,amongotherfactors,thefairmarketvalueoftheassetsofthePartnershipotherthantheGroupName,
itsliabilities(includingthedisassociatedPartner'sentitlementtofutureroyaltiesasprovidedinsubparagraph(a)
hereinabove),itspastprofitsandlosses.Intheeventofvoluntaryresignation,thedeterminationofsaidaccountant
shallbefinal.However,ifthedisassociatedPartnerorhislegalrepresentativeshoulddisagreewiththeaccountant's
determinationintheeventofdisassociationforanyotherreason,thedisassociatedPartnerorsuchrepresentative
maywithinthirty(30)daysafterreceiptoftheaccountant'sdeterminationsubmittheissueofthefairmarketvalue
ofthePartnershiptoarbitrationinNewYork,undertheapplicablerulesoftheAmericanArbitrationAssociationby
one(1)arbitratorselectedbysuchorganizationfromitspanelofarbitratorsinaccordancewithitsusualprocedures.
UnlesstheremainingPartner(s)electtopaythedisassociatedPartner'sshareofthevalueofthePartnershipsooner,
saidshareshallbepayable(withoutanyinterestaccruingthereon)intwelve(12)approximatelyequalmonthly
installmentscommencingonemonthfollowingthedateofthefinaldeterminationofsaidnetworthprovided
however,thatifsaidshareisinexcessof$10,000butlessthan$25,000,theremainingPartner(s)mayelecttopay
sameintwentyfour(24)approximatelyequalmonthlyinstallments,andprovidedfurther,thatifsaidshareisin
excessof$25,000,theremainingPartner(s)mayelecttopaysameinthirtysix(36)approximatelyequalmonthly
installments.
12.NOTICES.
Allaccountingsandnoticestobegivenhereunder,andnoticesofanyactionbythePartnershipwhichhas
theeffectofalteringanyPartner'sshareofprofitsorlossesshallbegiveninwriting,bypersonaldeliveryorbymail
orbytelegramattherespectiveaddressesofthePartnerssetforthabove,oratsuchotheraddressesasmaybe
designatedinwritingbyregisteredmailbyanyPartner.Noticegivenbymailorbytelegramshallbedeemedgiven
onthedateofmailingthereoforonthedateofdeliveryofsuchtelegramtoatelegraphoffice,chargedprepaidorto
bebilled.
13.PARTNERSHIPBANKACCOUNTS.
OneormorePartnershipbankaccountsmaybeopenedandmaintainedbythePartnerswithsuchbankor
banksasthePartnersmaydetermineandanychecksorwithdrawalsfromoragainstanybankaccountoraccounts
shallbeuponthesignatureofanyofanypersonasthePartnersmayunanimouslyselectprovided,however,that
suchchecksorwithdrawalsshallbesubjecttotheapprovalprocesssetforthinParagraph7hereinabove.
14.ASSIGNMENTOFPARTNERS'INTEREST.
NoPartner,orexecutororadministratorofadeceasedPartner,shallsell,assignortransferallorany
portionofhisfinancialorotherinterestinthePartnershiporrighttoreceiveashareofPartnershipassets,profitsor
otherdistributionwithoutthepriorwrittenconsentofalloftheotherPartnersandanysuchpurportedsale,
assignmentortransferincontraventionoftheforegoingshallbenullandvoid.ThePartnersacknowledgethata
partofthecapitalcontributionofeachPartneristheuniquepersonalservicesrequiredtoberenderedforthe
exclusiveaccountofthePartnershipbyeachPartner,forwhichnopresentlyadequatesubstituteexistsandthatthe
otherPartnersarethesoleandexclusivejudgesoftheadequacyofanyfuturesubstitution.
15.GENERALPROVISIONS.
(a)Liability.TheliabilityofthePartnershiporthePartnersarisingoutofanyactivitiesofthePartnership
shalltotheextentpossiblebecoveredbyappropriatepoliciesofinsurance.Intheeventthatanyliabilityshallnot
adequatelybecoveredbyinsurance,theamountofliabilitynotsoinsuredagainstshallfirstbesatisfiedoutofthe
assetsofthePartnership.
(b)Indemnity.EachPartnerherebyindemnifiestheotherPartner(s)andholdssuchotherPartner(s)
harmlessagainstandfromallclaims,demands,actionsandrightsofactionwhichshallormayarisebyvirtueof
anythingdoneoradmittedtobedonebyhim(throughorbyagents,employeesorotherrepresentatives)outsidethe
scopeoforinbreachofthetermsofthisAgreement.EachPartnershallpromptlynotifytheotherPartner(s)ifsuch
Partnerknowsoftheexistenceofaclaim,demand,actionorrightofaction.
(c)SuccessorsandAssigns.SubjecttotherestrictionsonassignmentssetforthinthisAgreement,the
provisionsofthisAgreementshallbebindinguponandinuretothebenefitoftheheirs,executors,administrators,
successorsandassignsofthePartners.
(d)Severability.Ifanyterm,provision,covenantorconditionofthisAgreementisheldtobeillegalor
invalidforanyreasonwhatsoever,suchillegalityorinvalidityshallnotaffectthevalidityoftheremainderofthis
Agreement.
16.CONSTRUCTION.
ThisAgreementshallbegovernedbyandconstruedinaccordancewiththelawsoftheStateofNewYork.
Intheeventofanyaction,arbitration,suitorproceedingarisingfromorunderthisAgreement,theprevailingparty
shallbeentitledtorecoverreasonableattorneys'feesandcostsofsaidaction,suit,arbitrationorproceeding.Thisis
theentireunderstandingofthepartiesrelatingtothesubjectmatterhereofandsupersedesallpriorandcollateral
agreements,understandings,andnegotiationsoftheparties.Eachpartyacknowledgesthatnorepresentations,
inducements,promises,understandingsoragreements,oralorwritten,withreferencetothesubjectmatterhereof
havebeenmadeotherthanasexpresslysetforthherein.EachPartneracknowledgesthathehasconsultedwithlegal
counselofhischoicewithrespecttothecontentsofthisAgreementpriortoexecutionhereof,andhasbeenadvised
bysuchcounselwithrespecttothemeaningandconsequenceshereof.ThisAgreementcannotbechanged,
rescindedorterminatedexceptbyawritingsignedbyeachofthePartners.Thetitlesoftheparagraphsofthis
Agreementareforconvenienceonly,andshallnotinanywayaffecttheinterpretationofanyparagraphsofthis
AgreementoroftheAgreementitself.
NOTWITHSTANDINGTHEREPRESENTATIONOFTHEPARTNERSHIPBYWALLACECOLLINS
ASLEGALCOUNSEL,EACHOFTHEPARTNERSHASBEENADVISEDOFTHEIRRIGHTTORETAIN
INDEPENDENTLEGALCOUNSELINCONNECTIONWITHTHENEGOTIATIONANDEXECUTIONOF
THISLEGALDOCUMENTANDEACHPARTNERHASEITHERRETAINEDANDBEENREPRESENTED
BYSUCHLEGALCOUNSELORHASKNOWINGLYANDVOLUNTARILYWAIVEDRIGHTTOSUCH
LEGALCOUNSEL.
INWITNESSWHEREOF,thepartiesheretohaveexecutedandsealedthisagreementonthedatefirst
abovewritten."PARTNERS"
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