No. 25Rights & Licenses
Neighboring Rights
Also called related rights, performers rights, PPL income, broadcast royalties
Royalties paid to performers and record labels when recordings are played on radio, TV, or in public.
Watch closely
Uncollected neighboring rights are a common and significant source of lost income.
- Appears in
- Recording Agreement, Distribution Agreement, 360 Deal
- Topic
- Licensing
- Jurisdiction
- United States
- Reviewed
- July 2026
In plain English
Neighboring rights (also called related rights) are a separate category of royalty paid when a sound recording is broadcast on radio, television, or played publicly. They exist in most countries outside the US (which has a limited digital-only version). Income flows from national collection societies (e.g. PPL in the UK, GVL in Germany) to both the record label and the featured artist.
Why it matters
Neighboring rights income can be substantial, especially for artists with catalogue that airs frequently internationally. Many artists do not know they are owed this income or do not have a collection society registration in place to collect it.
Where it can land
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.
- Label retains 100% of neighboring rights income with no artist share
- No obligation for label to register recordings with collection societies
- Artist blocked from registering independently while under contract
- 50/50 split but label controls registration and no accounting transparency
- Artist share below 50% without clear justification
- Artist retains their performer's share directly (typically 50%)
- Label registers recordings with collection societies and provides statements
The language
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.