How does a publisher protect its songwriters?
The most common way for a publisher to protect songwriters is by formally registering their songs for copyright protection at the U.S. Copyright Office. But one of the larger protection issues comes into play when a publisher attempts to license a song with the record label. According to copyright law, the royalty rate you are entitled to receive — the statutory mechanical rate — is currently 8.5 cents if you wrote 100 percent of the song. Record labels frequently request a reduced rate to save money. They accomplish this not by breaking the law, but by having you sign documentation that allows them to pay you a lower royalty rate or pay royalties on fewer albums. If you work with a publisher, it can stop record companies from issuing royalties at a reduced rate, unless the label is entitled to do so according to a prior written agreement (known as a controlled-composition clause).
