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Unlimited Lease Vs. Exclusive Rights: Similarities And Differences

Computer Music Producer Home setup studio

Music-making is now the rage. With digitalization and an increasing number of new artists jumping on the bandwagon, more people are selling music online to a digital-savvy demographic. However, the policies governing copyright can be confusing. Central to this is the contrast between unlimited lease and exclusive rights in the music producing industry. At luke4pres, we highlight the similarities and differences between unlimited lease and exclusive rights to help you get it right.

What Are the Differences Between an Unlimited Lease and Exclusive Rights?

The key difference between an unlimited lease and exclusive rights is tied to the ownership of the beat and how it’s used. For starters, there are many types of leases in the music producing industry; therefore, it helps to know what a limited lease is.

A limited lease refers to the customer’s ability to distribute or use a particular beat in a non-exclusive way. There are leasing agreements that highlight the limit up to which the customer can use the leased beat for. Once the lease reaches the limit, the lease license will have to be renewed. Beats on a limited lease do not belong to the customer, meaning ownership is kept at a producer level.

For an unlimited lease, it means that the customer who purchases the lease can use the beat in an unlimited way with unrestricted rights. However, this doesn’t mean the customer has bought ownership of the beat, as the producer still owns the beat.

You can guess what this means for exclusive rights. Exclusive rights mean that complete ownership of the beat belongs to the customer, meaning they can use it in an unlimited way. Exclusive rights are usually used for professional artists with a greater vision and funding for their music projects.

The next difference lies in the price. Unlimited leases are usually cheaper than exclusive rights since the customer who purchases exclusive rights also purchases full ownership.

The final difference between unlimited lease and exclusive rights is in the way they can be distributed. Producers can continue to sell beats that are on an unlimited lease as they still retain ownership over the beat. This also means that multiple artists can be using the very same beat you bought. However, beats on exclusive rights cannot be resold to another artist once someone else has purchased it. Producers usually will remove beats with exclusive rights from their online beats store since they no longer own it.

The Similarities Between Unlimited Lease and Exclusive Rights

The key similarity between unlimited lease and exclusive rights revolves around the usage. 

As mentioned earlier, exclusive rights allow, as the name suggests, exclusive use of the beat. This means there is no limit as to how often you can use the beat.

An unlimited lease also allows the customer to use the beat in an unlimited way without any caps on how many times it can be downloaded and so on. This contrasts with the limited lease where there is a cap on how the beat can be used.

Why Choose luke4pres?

In luke4pres, we help artists better understand unlimited lease and exclusive rights. We know it’s challenging, so contact us to find out how we can help!