CUAMGT404
Administer artists’ royalty income


Application

This unit describes the skills and knowledge required to negotiate and distribute royalty and other income due to artists.

It applies to individuals who negotiate financial agreements with artists about recording their performances for distribution through a range of physical and digital outlets. These agreements may also include associated products, or the right of third parties to associate their brands with artists. Employees of record companies, artist managers and, at times, artists apply the skills and knowledge outlined in this unit.

No licensing, legislative or certification requirements apply to this unit at the time of publication.


Elements and Performance Criteria

ELEMENT

PERFORMANCE CRITERIA

Elements describe the essential outcomes.

Performance criteria describe the performance needed to demonstrate achievement of the element.

1. Clarify terms and conditions of agreements with artists

1.1 Identify products and rights to be covered in agreements with artists

1.2 Calculate income in line with contractual arrangements

1.3 Negotiate royalties arising from the reproduction of artists’ recordings and associated products

1.4 Confirm royalty negotiations reflect the commercial stature of the work

1.5 Discuss, confirm and document terms and conditions to be included in agreements with artists

1.6 Ensure commercial interests of artists and any third parties are balanced and clearly articulated

1.7 Liaise with personnel responsible for drawing up contracts with artists to ensure that contracts reflect agreed terms and conditions

2. Disperse income and maintain financial records

2.1 Use relevant software to calculate royalties and income in line with agreements

2.2 Distribute income to artists in line with agreements

2.3 Update files systematically to maintain currency and accuracy of records and reporting

2.4 Identify and resolve queries or discrepancies in payments within scope of own role or refer to relevant personnel

Evidence of Performance

Evidence of the ability to:

negotiate terms and conditions of financial agreements with artists

calculate, collect and distribute royalty income to artists in line with agreements

maintain records for the administration of royalties.

Note: If a specific volume or frequency is not stated, then evidence must be provided at least once.


Evidence of Knowledge

To complete the unit requirements safely and effectively, the individual must:

outline copyright legislation relevant to licensing, publishing, rights and royalties

describe the revenue structures in the music industry and the types of recording royalties income due to artists

explain the methods for calculating and distributing income to artists

describe the rights and obligations of artists, recording companies and third parties in agreements

outline typical bookkeeping and accounting procedures used in the music industry to administer royalty income

describe the typical features, requirements and terminology used in contracts and agreements with artists

outline issues and challenges that typically arise in the context of administering artists’ income and how they might be overcome.


Assessment Conditions

Assessment must be conducted in a safe environment where evidence gathered demonstrates consistent performance of typical activities experienced in creative arts industry environments. The assessment environment must include access to:

copyright and licensing legislation

relevant technology

industry association royalty agreements

interaction with others.

Assessors of this unit must satisfy the requirements for assessors in applicable vocational educational and training legislation, frameworks and/or standards.


Foundation Skills

This section describes language, literacy, numeracy and employment skills incorporated in the performance criteria that are required for competent performance.

Skill

Performance Criteria

Description

Reading

1.1, 1.7, 2.1-2.4

Interprets and integrates textual information to determine and confirm the requirements of the agreement

Writing

1.4-1.7, 2.3, 2.4

Communicates clearly and appropriately for different audiences

Oral Communication

1.1, 1.3, 1.5, 1.7, 2.4

Uses clear and appropriate language when liaising with others, negotiating and escalating issues when required

Numeracy

1.2, 2.1, 2.4

Calculates accurately all income, extracting information from in the agreements and identifying any discrepancies

Navigate the world of work

1.2, 1.4, 2.2, 2.4

Identifies, confirms and applies contractual and licensing requirements relevant to role

Interact with others

1.1, 1.3, 1.5, 1.7, 2.4

Consults to establish clear understanding and agreement

Follows accepted consultation and communication practices to negotiate agreed outcomes

Get the work done

1.5, 1.7, 2.1-2.4

Gathers and analyses all relevant information to inform the development of terms of agreements

Applies problem solving processes to identify risks, evaluate options and determine solutions

Uses appropriate technologies to maintain and retrieve information


Sectors

Management