Intellectual property as an asset: How valuable are our ideas? by Jerry Chiemeke

Intellectual property as an asset: How valuable are our ideas? by Jerry Chiemeke

 
 
The term “intellectual property” is broad, and is widely used
to refer to intangible assets. Intellectual property differs from other forms
of property because it is intangible—that is, it is a product of the human
imagination.
There are various classes of intellectual property: Patents, Copyright
and Trade marks are perhaps the most prominent. Patent law protects inventions
that demonstrate technological progress. Copyright law protects a variety of
literary and artistic works, including paintings, sculpture, prose, poetry,
plays, musical compositions, dances, photographs, motion pictures, radio and
television programs, sound recordings, and computer software programs.
Trademark law protects words, slogans, and symbols that serve to identify
different brands of goods and services in the marketplace. 

 The question of valuation of intellectual property is a very vital
one for a number of reasons. Firstly, it greatly strengthens the perception of
the importance of intellectual property in contemporary business environment.
Secondly, it lends credence to the idea of intellectual property as any other
property and reinforces the property rights of the owner. For example, a
clearly valued intellectual property gives unambiguous signals to a third party
of its value and the repercussions of violations of such rights.[1] This
article will attempt to analyze the concept of valuing Intellectual Property,
the prevalent approach to Intellectual Property valuation in Nigeria, a world
view of Intellectual Property Valuation, and the way forward.
 Methods of Intellectual Property Valuation
 There are three generally accepted ways to value Intellectual
Property. These include: the Cost Approach, the Market Approach, and the Income
Approach. 
Cost Approach: A valuation analyst who values
Intellectual Property using the cost approach looks at what it cost to produce
the Intellectual Property, or what it would cost to reproduce the Intellectual
Property on a given effective date. These costs include things like labor,
materials, applied overhead, and capital charges. Depending on the effective
date of the valuation, the valuation analyst may trend costs from a historical
reference point to the effective date.[2]
 
2.Market Approach: The valuation analyst who values IP using the market
approach looks for comparable transactions in the same industry and of the same
relative size that recently occurred in the open market. Value is determined
indirectly using the comparable IP transaction as a proxy for value of the
target IP. The reasoning is logical: if the market paid X for rights to the use
or own that IP once, then one would expect that the market would reasonably pay
a similar amount again.[3] 
Income Approach: This method is the most
principled, requires the most discipline and insight into value-creating
features of the Intellectual Property to complete, and is what valuation
analysts use commonly for Intellectual Property valuation assignments. A
valuation analyst using the income approach bases their opinion on the
Intellectual Property owner’s business plan, marketing and operational inputs,
and other external references. Using this method, the valuation analyst
projects the economic income generated solely from the Intellectual Property
over a discrete period, known as the remaining useful life (RUL) as well as any
residual value after the remaining useful life.[4]
 In What Manner Can Intellectual Property Can Be Used As A
Security?
 As earlier mentioned, Intellectual
Property differs from other forms of property, due to the fact that it is
intangible in nature. Nevertheless, it remains one of the most valuable forms
of assets, and can indeed serve as security when required.
 Intellectual Property could be used as a security by way of either
a legal mortgage, a fixed charge, or a floating charge. The decision as to
which security option is to be exercised over the borrower’s portfolio will be
largely determined by whether security is being granted over registered or
unregistered Intellectual Property. When dealing with registered Intellectual
Property, security will usually be taken through the creation of a fixed
charge.[5]
 Fixed charges are equitable (as they grant a beneficial but not
legal interest in secured Intellectual Property) and attach themselves to the
Intellectual Property in question. The lender acquires an equitable interest in
the Intellectual Property but no legal title is transferred. While the wording
used to create the fixed charge is not governed by any statutory or common law
requirements, it is prudent to expressly state that the Intellectual Property
is charged as continuing security for the loan and other obligations set out in
the underlying finance documentation. Ideally the charge should also be granted
by the borrower with full title guarantee; the implication is that the borrower
guarantees that it has the right to grant a charge over the Intellectual
Property in favour of the lender  and that the Intellectual Property is
free from other charges, encumbrances, and other rights exercisable by third
parties other than charges, encumbrances, or rights that the lender could
reasonably be expected to know about (such as interests registered against the
Intellectual Property at the Patent Office).[6]
 In the event of the borrower’s default, the lender could wish to
sell the secured Intellectual Property to pay off any existing loan obligations
of the borrower. Ideally, the underlying security agreement should expressly
give the lender a power of sale and power of attorney to deal with the
Intellectual Property in place of the borrower (for example, to enter into an
assignment agreement with a third party purchaser). Without an express power of
sale, the lender will have to apply to Court for an order of sale or the
appointment of a receiver. If however, security has been granted by way of a
deed, the lender will have a statutory power of sale and right to appoint a
receiver, exercisable without the need to apply to Court. While the Intellectual
Property remains subject to the fixed charge, the lender should impose
restrictions on the borrower’s ability to deal with the asset (for example, the
grant of licences over the Intellectual Property).
 As title to the Intellectual Property secured by the fixed charge
will remain vested in the borrower however, maintenance of the Intellectual
Property will continue to be the responsibility of the borrower. It is
therefore important that the security agreement obliges the borrower not to do
or omit to do anything which may put either the enforceability or validity of
the Intellectual Property in jeopardy (including failing to pay renewal fees or
take action against infringers)
 In transactions where the unregistered Intellectual Property of
the borrower is of little commercial value, security will usually be taken by
including these rights under the umbrella of the general list of assets of the
borrower secured by a floating charge. Fixed charges grant to the lender an
interest in specific assets of the borrower, and as such, the borrower is
prevented from dealing with the charged asset without the consent of the
lender. In contrast, a floating charge usually grants to the lender security
over a general list of assets of the borrower that the borrower is free to deal
with.[7]
 What is The Situation In Nigeria With Respect To Intellectual
Property Valuation And The Use of Intellectual Property as Security?
 In Nigeria, it is fair to say
that the idea of relying on Intellectual Property as a security in a manner similar
to real property, if it exists at all, is yet to be fully embraced by
individuals and corporations alike. The paucity in the use of Intellectual
Property as a security, particularly for debts, is not without cause.
 A major challenge in the use of Intellectual Property as security
remains the value to be attached to the Intellectual Property. Unlike tangibles
that can be subjected to easy valuation based on the physical attributes of the
security, Intellectual Property unfortunately cannot pass this test with same
ease. The owners of the Intellectual Property do not always understand the
commercial value of the Intellectual Property assets of their enterprise, and
professionals have still not found a way to subject Intellectual Property to
proper valuation.
 The risk and complication that trails the use of Intellectual
Property  as a form of security has made it a non-attractive form of
security in Nigeria. The nature of the uncertainty in the use of intellectual
property as collateral is something that cannot be wished away. At present, it
is difficult to assure lenders taking intellectual property as security that
their interest has, in fact, been properly perfected or secured. The reason is
that there is apparently uncertainty among practitioners as to where and how to
file notices, what constitutes notice of a security interest, who has priority,
and what property is covered by a security interest.
Intellectual Property owners are disadvantaged when it comes to
attracting external financing since they do not usually have the track record
or collateral often required by banks. This challenge arises because the loans
secured with intellectual property are more costly to negotiate and administer,
if they can be arranged at all. Furthermore, there is still insufficient
knowledge and education about the unique nature of Intellectual Property
rights, thus it can be understood why Nigerians are reluctant to base loan
agreements on Intellectual Property being the existing collateral.
 What Is The Attitude From The Rest Of The World?
While it is admitted that Nigeria has been seemingly hesistant in taking
up Intellectual Property as a form of security, the same cannot exactly be said
of other countries of the world, and developed nations in particular. In other
words, persons in various parts of the world, natural and artificial persons
alike, have recognized and exploited the relevance of Intellectual Property as
a valuable asset, and have moved with the times to good effect. Many
industries, notably the electronics, software, healthcare, consumer goods,
telecommunications, media and entertainment are substantially dependent upon
this intangible asset.
 
Intellectual Property is quickly becoming the most prized asset of many
companies. In a survey conducted by the United States Patents and Trademarks
Office (USPTO) in the year 2011, Intellectual Property in the U.S. was valued
at over $5 trillion[8]. The development of new technologies and the viral
spread of communication networks have facilitated the rise of businesses that
own very few tangible assets and owe their success almost exclusively to their
Intellectual Property. The ability to use Intellectual Property rights as the
object of security interests is being recognized as an attractive prospect,
rather than a mere eccentricity.
Much of corporate wealth is now tied up in Intellectual Property. It
increasingly constitutes a larger percentage of the overall value of U.S.
businesses and can be appropriated as a form of security. In today’s business
world, the Intellectual Property portfolio of many companies forms an important
part of the company’s assets. As such, banks and other financial institutions
lending money to companies (in Western Europe, the U.S.A., Canada and other
developed countries) are increasingly taking security over borrowers’
Intellectual Property portfolios as part of a security package, particularly in
transactions where the Intellectual Property held by the borrower is of
significant commercial value.[9]
What Can And Should Be Done?
Banks could revisit their lending policies and conditions for
collateral, to provide more room for the use of intangible assets as is the
nature of Intellectual Property. An increase in collaborative efforts between
agencies designated to administer Intellectual Property in Nigeria, and
organisations such as Intellectual Property Lawyers Association of Nigeria
(IPLAN) would also be helpful. Beyond all that, there is need to create public
awareness on the value inherent in the existence and ownership of Intellectual
Property, and furthermore, encourage property valuers to expand their focus to
figuring out the worth of intangible assets.
Endnotes
[1] Singla, Ankur, “Valuation of Intellectual Property”, available at
www.indlaw.com.
[2] Pellegrino & Associates, LLC, “Valuing Intellectual Property”,
2005.
[3] Ibid.
[4] Ibid.
[5] Esomonu J, & Oloyede, A. “Intellectual Property as a Form of
Security”, Seminar Paper on  Secured Credit Transactions Presented at the
Faculty of Law, University of Lagos, 2011.
[6] Ibid.
[7] Ibid.
[9] Esomonu J, & Oloyede, A, supra, Note 5.
 Editor’s note: This article was initially posted by the author on  www.linkedin.com
Are abortions legal in Nigeria?

Are abortions legal in Nigeria?


Though abortions are
illegal in Nigeria, according to the US-based Guttmacher Institute, statistics
show that at least 1. 2 million induced abortions take place in various parts
of Nigeria every year, with the highest number coming from the South-South part
of the country, followed by the North-East and South-West. Furthermore, statistics
show that 10,000 women die every year in Nigeria from unsafe abortions, carried
out by untrained people in unsanitary conditions. This can be leveled down to
27 deaths a day. Abortions are legal, only when it is done to save the life of
the woman and two physicians must certify that the pregnancy poses a threat to
the life of the woman. More than 456,000 unsafe abortions are done in Nigeria
every year; the US Guttmacher Institute estimates.
The law also frowns
strictly on abortions and provides accordingly in the Criminal Code Act, Cap C38, Laws of the Federal Republic of Nigeria,
2004
. Which states in Section 228
that; 

Any person who, with intent to
procure miscarriage of a woman whether she is or is not with child, unlawfully
administers to her or causes her to take any poison or other noxious thing, or
uses any force of any kind, or uses any other means whatever, is guilty of a
felony, and is liable to imprisonment for fourteen years.
 Even women are prevented from trying to get rid of
their babies, as Section 229 further states that; 
229.    Any
woman who, with intent to procure her own miscarriage, whether she is or is not
with child, unlawfully administers to herself any poison or other noxious
thing, or uses any force of any kind, or uses any other means whatever, or
permits any such thing or means to be administered or used to her, is guilty of
a felony, and is liable to imprisonment for seven years.
 Any person who decides
to help another procure a miscarriage is also guilty of an offence as stated
below in Section 230
230. 
Any
person who unlawfully supplies to or procures for any person anything whatever,
knowing that it is intended to he unlawfully used to procure the miscarriage of
a woman, whether she is or is not with child, is guilty of a felony, and is
liable to imprisonment for three years
.
 Such offenders however
cannot be arrested without an arrest warrant duly executed by the relevant
authorities. 
There are certain groups
clamouring that provision should be made for people in peculiar situations
other than a threat to life, such as where the woman was raped by an assailant.
The question being asked is whether such women be forced to live with the results
of the shameful act which they will always hurt to remember? This clashes with
proponents of the school of thought that life is sacred and taking it should be
resisted in all fronts, most especially via capital punishment. 
The debates will
definitely continue, however, as the law stands today, in Nigeria, abortions
are illegal, except on the condition of saving the life of the mother. 
What’s your opinion,
should abortions be made legal?
Adedunmade Onibokun, Esq.
@adedunmade
Survey:How Much Do Nigerian Lawyers Earn? by Babatunde Ibidapo-Obe

Survey:How Much Do Nigerian Lawyers Earn? by Babatunde Ibidapo-Obe

 
Hi there!
I am conducting some
research into the income and earning levels of Nigerian lawyers. There has been
a lot of discussion and anecdotal information about how much Nigerian lawyers
are being paid (it was even brought up at the Annual NBA National Conference in
2015
).
I have heard ‘stories’ of lawyers who are 5-year post call being paid as
little as N50,000 a month by their principals in the firm, and lawyers working
in legal departments of companies (generally oil companies) being paid upwards
of N1million a month.

I like to work with
verifiable data and so I am asking lawyers to anonymously conduct this survey
with their income levels. The data will be shared publicly once it is
collated in case anyone needs the information for research or just general
information.
This survey is not an
undertaking to simply satisfy my curiousity, if you know me personally, you
would know that I am passionate about creating solutions that can improve
people’s lives.
I am currently working on
a couple of initiatives and projects with the aim of improving the productivity
and income of lawyers in Nigeria, and so this information is invaluable.
If you are a lawyer in
Nigeria, please click on this
link
to take the survey (it is anonymous), and takes less than 2 minutes
(honest!).
If you are not a lawyer,
please share this with someone who is.
Thanks!
by Babatunde Ibidapo-Obe
Photo
credit: http://scannewsnigeria.com/featured-post/4367/

THE REQUIREMENTS FOR SHIP REGISTRATION IN NIGERIA Osinuga Damilola B.L, ACIArb (UK)

THE REQUIREMENTS FOR SHIP REGISTRATION IN NIGERIA Osinuga Damilola B.L, ACIArb (UK)

 
www.linkedin.com
 
 
In international law, each State (Country)
is permitted to set down the requirements by which a vessel is permitted to
hoist its flag or enter its registry. This principle is long standing and was
recognized by the Hague Court as far back as 1905 in Muscat Dhow’s case. The 1982
United Nation Convention on Laws of the Sea states that:

Article 91: Nationality of
ships
1. Every State shall fix the conditions for
the grant of its nationality to ships, for the registration of ships in its
territory, and for the right to fly its flag. Ships have the nationality of the
State whose flag they are entitled to fly. There must exist a genuine link
between the State and the ship.

2. Every State shall issue to ships to which it has granted the right to fly
its flag documents to that effect”.


The registration of vessels under the Nigerian flag is governed by the Merchant Shipping Act 2007. The Act is supplemented by
regulations dealing with such matters as crew competency, safety rules, load
line rules, collision etc. The MSA 2007 is modelled after the English Merchant
Shipping Act of 1894.

The Section 18 Merchant Shipping
Act 2007
provides that the following are persons eligible
to register Nigerian Ships:

a. Nigerian citizens

b. Bodies corporate established under and subject to Nigerian laws, having
their principal place of business in Nigeria

c. Such other persons as the Minister of Transport may by regulations
prescribe.
 
Application procedure

Applications for the Registration of Nigerian Ships are made to the Nigerian
Maritime and Safety Agency. It is pertinent to state that Nigeria does not
operate an open registry and therefore a Nigerian Consul is not permitted to
accept registration documents and cannot issue certificates.
 
The owner of the ship or his agent will submit a formal letter of application
for registration of the ship inclusive of the following information and
supporting documents:

1. Application form for
registration
 
2. Company’s Particulars:

• Copy of certificate of Incorporation

• CTC of Memorandum and Articles of Association

• CTC of Form CAC7 (Particulars of Directors)

• CTC of Form CAC2 (Allotment of Shares) note that company’s share
capital should not be less than N25,000,000
(Twenty Five Million Naira Naira Only).

• Company’s current tax clearance certificate

• Company’s Bank statement or reference letter

• Declaration of ownership form (to be issued by the Ship Registry)

Pursuant to Section
22 of MSA 2007
, the ship-owner is expected to concurrently
submit an application for survey and issuance of certificate of tonnage
measurement to facilitate the flag survey of the vessel.

3. Vessel Particulars:

• Name of ship

• Time and place of purchase

• Name of Master

• Best particulars in respect of the tonnage, build and description of the ship

• Bill of sale or Builders certificate (evidence of title)

• Condition survey report and tonnage measurement certificate as approved by
the Minister

• Certificate of carving and marking note of the ship

• Call sign Certificate

• Loadline Certificate

• Report of pre-purchase survey

• Deletion certificate (if vessel is flagging in from a foreign flag, this is
to avoid dual registration in line with Article 93(2) of UNCLOS 1982).

• Certificate of approved plan issued by NIMASA for a newly built vessel in
Nigeria only

• Applicant should liaise with NIMASA survey unit for flag state condition
survey and issuance of Certificate of Tonnage Measurement

• Vessel Class Certificate (for conventional vessel only)

• Payment of registration fees

• Evidence of insurance/P & I coverage
4. Owners
Particulars

• Full names, addresses and occupations of the purchaser of the ship.

• Evidence of ability or experience of the purchasers to operate and maintain
ship.

• Log book of the ship to be inspected by the Registrar of ships

• In the case of second hand tonnage, a bill of sale with warranty against
liens and encumbrances from the sellers

• Evidence of financial resources sufficient for operation and maintenance of
the ship
In accordance with Section 30 of the MSA 2007,
the Registrar shall upon completion of the registration of a ship, issue a
Certificate of Registration in such form as may be approved by the Agency.
 
 
This
Article was produced by ‘Damilola Osinuga. LL.B, LL.M, ACIArb. A Legal
Practitioner and expert in the areas of Maritime, Insurance, International
Trade and Ship Brokerage.
 Editor’s note: This article was originally posted by the author on www.linkedin.com on 21st March, 2016.
SAMPLE – AFFIDAVIT OF LOSS

SAMPLE – AFFIDAVIT OF LOSS

credits-filesishare.blogspot.com
Sometimes we lose our personal items such
as bags, certificates, keys, documents and wallets all the time. In trying to
retrieve our lost items, we are sometimes required to file a police report and
depose to an affidavit of loss in court. A lot of people often find this very
confusing and don’t know where to begin. Hopefully this blog will guide to in
the right direction.

 Note that a police report can only be
filled at the Police Station and no other person is licensed or capable of
giving you a police report. An Affidavit on the other hand can only be sworn to
at a court before a Commissioner for Oaths or a Notary Public. Find below a
sample of an Affidavit of Loss, which can be modified to suit your particular
situation. Please note that all the facts stated in this sample affidavit are
fictitious.    

IN THE HIGH COURT OF LAGOS STATE

IN THE LAGOS JUDICIAL DIVISION

HOLDEN AT LAGOS

 

AFFIDAVIT OF LOSS

I, Funke Halima Igwe, Female, Christian,
Nigerian of 217, Aso Rock Crescent, Sapele, Ikeja, Lagos State, hereby depose
to this affidavit and state as follows;

 

1.
I am the above named person.

 

2.
I am a banker with Placement Bank Plc at the Surulere branch.

 

3.
On the 3rd of March, 2016, while returning home after close of work,
I lost  my wallet and didn’t realise until
i arrived at my house.

 

4.
The lost wallet contained my Work ID card, Driver’s license, and Bank ATM Card.

 

5.
It has become necessary to depose to this affidavit for the record.

 

6.
I depose to this affidavit in good faith, believing same to be true, and in
accordance with the Oaths Law of Lagos State.

 

Dated this            day of                           2016

 

 

____________________

Deponent

 

Sworn
to at the High Court

of
Lagos State Registry, Lagos

this
  day of                            2016.

 

BEFORE ME

 

 

COMMISSIONER FOR OATHS
How to make your police complaints via @policeNG_CRU

How to make your police complaints via @policeNG_CRU

#InternationalPoliceBrutalityDay

The Nigeria Police Force and other stakeholders (both international and national) are jointly carrying out training on ‪#‎HumanRights‬ protection, democratic policing principles and attitudinal change for police officers in Nigeria.

Kindly report any known violation to NPF-CRU.
Check out the First ‪#‎CRU100Days‬ Report at http://www.npf.gov.ng/imag…/CRU_100_DAYS_REPORT_FEB_2016.pdf

‪#‎NPFcomplaint‬

INTERVIEW: A.B.Mahmoud SAN on THE FUTURE OF THE NIGERIAN LEGAL MARKET

INTERVIEW: A.B.Mahmoud SAN on THE FUTURE OF THE NIGERIAN LEGAL MARKET

A.B.Mahmoud SAN

Editor’s Comment – This interview was initially published on www.linkedin.com by Lere Fashola on 08/03/2016.

Tell us a little about
yourself and how your career has evolved over the years.
Well, first of all thank you very
much for arranging this interview and for featuring me in your magazine. I
started my legal career in the early 80s after graduating from Ahmadu Bello
University Zaria in 1979. I was called to the Bar in July 1980. I did the
National Youth Service in Rivers State between1980-1981. I returned to the
Ministry of Justice Kano and remained in the service of the Kano State until
1993.

My early legal career was in thus
in the public service. I had the privilege of working with many bright minds.
At the ministry my colleagues included Prof. Mohammed Tabiu, Tijjani Borodo,
Mrs Maryam Uwais, Mr S. Saeda, SAN and many others who left to pursue various
other careers. We worked under the tutelage of distinguished lawyers like S.U.
Minjibir (later Chief Judge of Kano), R.D. Mohammad (later JCA) now retired.
Late S.C. Yusuf (later Chief Judge of Kano). On the Kano bench we had eminent
Justices like Dahiru Mustapha, (former CJN), Justice Alooma Maryam Mukhtar
(former CJN), Justice Aikawa, late Justice Rowland later JCA). Justice
Fernandez who later moved to the Lagos judiciary. Kano had been home to very
many prominent lawyers. Many prominent Nigerian lawyers or jurists had a stint
in Kano. The list was very impressive: Belgore, Akanbi, Noel Grey, Uwais,
Fabeyi, Kaloma, Majiyagbe etc. The standard of practice was extremely high. I
dare say Kano at the time was the hub of commercial and criminal justice
practice in Northern Nigeria. The law reports bear this out.  
Outside Kano, I was lucky to work with very many prominent lawyers.  
Back in the early 80’s I appeared against HE Judge Bola Ajibola in a famous
case. He was then in private legal practice. From then onwards he took interest
in me and became a mentor. Our relationship continued when he became of
Minister of Justice and even when he moved to the World Court in The Hague. I
visited him there in 1994. He personally took me around to meet the Justices of
the Court and showed me around the impressive facilities of the
Court.   The only other significant issue I can mention in the
evolution of my legal career was that I met my wife Justice Pat Mahmoud during
our youth service in Port Harcourt. We got married in 1983 and she moved to
Kano in January of that year. We worked together in the Ministry until she
joined the Kano bench in Dec. 1991.
I retired from public after
serving as Attorney General of Kano 1993 luckily at the age of 36 or so. We
then jointly founded the law firm of DIKKO & MAHMOUD in November of that
year. We started the practice with Alh. A.B. Dikko who had just then retired as
Attorney General of Kebbi. As you can imagine, the two or so decades have
witnessed tremendous changes in legal practice. There is a paradox of some
sort, if you like. At some levels, there has been huge transformation in the
nature of legal practice, a lot of positive changes, we have new, bigger and
better managed law offices. At the same time the quality of legal training,
standards of ethics have gone down considerably.
How Can Bar
Associations and Regulators promote professional excellence:
I think this question is an
extremely important one. It raises fundamental question about the structure and
the organization of the legal profession in Nigeria. For many years we have
been grappling with declining standards in the legal profession. There are
serious ethical issues. There are also serious complaints about professional
misconduct amongst lawyers which tend not to be addressed swiftly. The time has
come when should be asking some hard questions. We need to interrogate the
architecture of the regulation profession in our country. In the UK for
instance, the Legal Services Act 2007 introduced major reforms in the structure
of the regulation of the legal profession in that country. The legal profession
was no longer to be self -regulating. The representative arm of the profession
was separated from the regulatory arm. The Legal Services Board acts as
overarching regulator. The Bar Standards Board regulates the Bar with the Bar
Council remaining as the representative arm. The representative arm for the
solicitors is Law Society and the Solicitors Regulatory Authority regulates
them. The question of course for is: is the existing system outdated? Do we
need a new representative and regulatory structure for the legal profession in
Nigeria?   Successful reforms have been undertaken in many other
countries, and even in our sister African countries for instance Kenya, Ghana
have all embarked on serious reforms. We should examine their experiences and see
what we can learn from them. The exponential growth of the legal profession in
Nigeria, now the largest in Africa, suggests to me that we need to review the
system we have inherited essentially since our colonial days.
How do ensure that the quality of
legal education is improved and tailored to meet our national aspirations and
development goals? How do we ensure that the business of legal practice that is
delivery of legal services is properly regulated such that the consumers of
such services are assured of consistently good services? How do we ensure that
ethical standards are maintained at high levels and breaches are swiftly
addressed?   How do we ensure that the legal profession remains alive
to its responsibility of safe guarding the institutions of justice, monitoring
their efficacy, guaranteeing access to justice and promoting the rule of
law?   The challenges we are facing today call new and more
innovative approaches if we are to remain relevant as a profession.
 
There is a lot of
concern as what appears to be seeming rot in the Nigerian justice
system.   Prosecution of criminal cases, especially corruption
related offences leaves much to be desired and Nigerians are losing confidence
in the judiciary? What is your assessment on the state of our justice sector?
I believe it is obvious to most
observers that the justice sector in Nigeria and in particular the criminal
justice administration system has reached a level of dysfunctionality that is
unacceptable. It is not consistent with the working of a modern democratic
state. Nowhere is this more evident than in the clear inability of criminal
justice institutions to effectively deal with corruption cases. If this is not
corrected, it portends great danger for the country. It is embarrassing that we
have seen far greater results in trials of high profile corruption cases
emanating from Nigeria in foreign courts than in our domestic courts. Last year
the Administration of Criminal Justice Act was passed. It is perhaps too soon
to judge its efficacy. That aside, I think what is needed are perhaps much
deeper reforms which will focus on several elements: bringing attitudinal
changes in the legal profession; aligning resource allocation to properly equip
the agencies of the justice sector; and dismantling or rupturing the current
veneer of opaque rules or ethos that impede the tackling of corruption in the
legal profession including the judiciary.
I think we have a historic
opportunity to face these challenges now. The convergence of economic
difficulties that make the rentier state model unsustainable and the recent
emergence of political leadership with clear popular legitimacy that appears
serious on these issues gives us a golden opportunity for system shake-up.
Unfortunately, the administration has lost a bit of time, but I think it is
doable. The legal profession should lend its weight behind this.
What role do
alternative dispute resolution and judicial case management play in
administration of justice:
Alternative Dispute Resolution
(ADR) offers a huge potential for off-loading and relieving the already
overburdened court system. It offers a more effective, speedier system for
resolving disputes.   Besides, there are many disputes, say in the
commercial world or family law that are not amenable to effective resolution
through an adversarial and slow justice system of the courts.   What
is needed in my view is enlightenment and education of the users of the justice
system to appreciate and accept ADR. Lawyers need to be embrace the culture and
ethos of ADR. Many Nigerian lawyers pay lip service to ADR. We continue to
approach ADR with a litigation culture. ADR now has become another layer in the
tedious and slow process of litigation.   We need to invest
sufficient resources to train lawyers and also to enlighten users. We also need
to provide new and improve existing facilities in our arbitral institutions as
well as provide the supportive personnel and services. Nigeria needs to sell
itself as a friendly center for Alternative Dispute Resolution. Unfortunately, in
the last several years, there is hardly any major arbitral award that has not
ended up in court. This is not good for the country. It negatively impacts on
the perception of Nigeria’s business climate. Slow and costly dispute
resolution regime adds ultimately to cost of doing business. Judges must and
should play their role of promoting ADR and respecting its outcome. They need
to be equipped to do so. The Government should make this top-priority.
With regards to case management,
the main issue is that efficient case management should be an effective tool
for better deployment of judicial time and resources.   A good case
management system equips the Judge to take charge of the litigation process,
save cost and ensure that cases are more efficiently managed and tracked. Here
technology is key. I should point out the basic strategy have been developed in
various policy documents. What is required is implementation. I had the
privilege of working in the Judiciary Sub-Committee of the Vision 2020-20
Committee. The issues around ADR and case management including deployment of
technology in the court rooms were identified and policy framework developed.
We need to work to implement these.
 
What do you consider
the opportunities for Change and economic development in Nigeria?
Well as lawyers we try to focus on
the role of law as a facilitator of change and development. That indeed is the
primary purpose of law and legal institutions: to bring about happiness and
prosperity to the greatest number of people. To the extent that our country has
failed to realize its full potentials, and our people remain largely poor is a
reflection of the failure of the legal order. It is thus the task of lawyers,
jurists and legal professionals to reform the legal order to bring about the
desired change in society. Without doubt Nigeria has great new opportunities
now. It is somewhat paradoxical that the largest economy in Africa is supported
by the legal order that we have in Nigeria. What this points to, are the huge
potentials that a reformed modernized legal system and legal profession can
unleash.
After the elections last year and
the peaceful change of administration, you could see that Nigerians were proud
of their great achievement. The atmosphere was pregnant with great expectations.  
This coming after the effective containment of the Ebola crises sent a message
to Nigerians: that we could do it! What was needed was the right leadership and
commitment. Nigerian lawyers can and must champion the reform of the legal
profession. This in my view is a pre-requisite for economic transformation.
There are reports of
International Law Firms seeking to enter the Nigerian legal market. Many senior
lawyers are reportedly against this incursion. Others believe it is inevitable
given the global trends. How should the NBA and Nigerian lawyers prepare for
this?
I think international law firms
are already in the Nigerian legal market. There is considerable amount of legal
work that is already outsourced in various ways to international law firms you
are referring to. This is happening in cross-border transactions, in many other
transactions in various sectors, the energy, in telecoms etc. Nigeria has been
a signatory to the WTO since 1995. It is yet to make a commitment under the
GATS to liberalize legal services. But this is a matter of time. I believe the
NBA already has a task force on this and has been working with the Ministry of
Trade and Investment trying to shape a framework or at least make inputs into
the process. The NBA and Nigerian Lawyers have to prepare for this. It will
happen. The preparation in my view has to involve short term and long term
strategies. In the short term, it is about capacity building, reorganization of
law firms, pooling resources together and developing strategic alliances and
investing in enhancing legal resources available to our lawyers. The longer
term dimensions will include reforming legal training to equip Nigerian lawyers
appropriately to be more competitive globally. We also need to look at our
legal curriculum. Nigerian lawyers in the diaspora that is those who trained or
practice abroad have a role to play. The NBA should harness their resources. I
think we should not see this just as a threat but also as an opportunity. So
long as Nigeria remains part of the global economy, we cannot insulate or
isolate the Nigerian legal profession or legal market from the effects of
globalization. We can prepare ourselves, we probably negotiate some aspects and
we can also position ourselves to take some of the opportunities. Disruptive
and innovative technologies makes an isolationist strategy futile.
The Boko Haram
insurgency has wreaked havoc in Northern Nigeria. How have lawyers practicing
in the North been able to cope with this crisis?
The insurgency has caused enormous
hardship in the country. The Northeast is of course the worst affected.
Economic and social life have been disrupted and there is currently a severe
humanitarian crisis.   Lawyers like other citizens have been severely
affected. Some have lost their lives, others their means of livelihood. Many
have been forced to relocate. The courts, like other social and community
infrastructure, like schools, markets etc have shut down. Last November, some
of us accompanied Mr. Austin Alegeh, the NBA National President to Maiduguri to
attend a one-day human rights awareness workshop. And he must commended for the
brave initiative. Moving through Maiduguri and visiting some of the affected
people, injured soldiers, detainees and listening to our colleagues, we were
shocked at what we saw and what we heard.   Observing the destruction
and the desolate environment was heart breaking. It was clear to me that
frankly we have not paid enough attention to the fate our colleagues not to
talk of the wider community that have been victimized by this brutal
insurgency.
NBA needs to be more actively
involved not only in supporting our colleagues, but in the whole process of
rebuilding the Northeast. We need to pay attention to the issues around the
administration of justice, the gross human rights abuses but also how to deal
with the problem of detainees. Rebuilding the justice system and dealing with
issues of transitional justice in the region are of strategic importance and a
critical element of reconstruction in the Northeast but also of avoiding future
conflicts. The NBA should provide leadership in this direction. I am happy our
President has shown leadership in this area.
Young lawyers appear
to be disenchanted. Many complain that they are not well paid and are unhappy.
What is your view on this? And what is your advice to younger members of the
profession?
The legal profession in Nigeria
has grown exponentially in the last two or so decades. I believe every year,
between five thousand to six thousand new entrants are admitted into the legal
profession. This growth has not been matched with similar growth in the
economy. Indeed in some respects, the opportunities have dwindled. Be that as
it may, the legal profession must address the issue of the welfare and
wellbeing of all lawyers especially the younger ones. This has huge implication
for the quality of services and standard of ethical behavior. If this is not
addressed, it will affect the future of the profession in the long run. I will
strongly advocate some measure of standardization. We should work to implement
minimum pay, enhance welfare and provide decent work environment. We should
formalize employment in law firms and these should be monitored. We should
explore a flexible system of licensing law offices and require them to meet
certain standards tailored to particular environments or regions. But
ultimately what is important is to create more opportunities both in the public
and private sectors for lawyers. The senior lawyers must lend their weight to
the creating more opportunities for younger members of the profession. They
should also try and mentor them and involve them in the work of their firms at
all levels.
 
    Tell
us a little about yourself and how your career has evolved over the years.
Well, first of all thank you very
much for arranging this interview and for featuring me in your magazine. I
started my legal career in the early 80s after graduating from Ahmadu Bello
University Zaria in 1979. I was called to the Bar in July 1980. I did the
National Youth Service in Rivers State between1980-1981. I returned to the
Ministry of Justice Kano and remained in the service of the Kano State until
1993.
My early legal career was in thus
in the public service. I had the privilege of working with many bright minds.
At the ministry my colleagues included Prof. Mohammed Tabiu, Tijjani Borodo,
Mrs Maryam Uwais, Mr S. Saeda, SAN and many others who left to pursue various
other careers. We worked under the tutelage of distinguished lawyers like S.U.
Minjibir (later Chief Judge of Kano), R.D. Mohammad (later JCA) now retired.
Late S.C. Yusuf (later Chief Judge of Kano). On the Kano bench we had eminent
Justices like Dahiru Mustapha, (former CJN), Justice Alooma Maryam Mukhtar
(former CJN), Justice Aikawa, late Justice Rowland later JCA). Justice
Fernandez who later moved to the Lagos judiciary. Kano had been home to very
many prominent lawyers. Many prominent Nigerian lawyers or jurists had a stint
in Kano. The list was very impressive: Belgore, Akanbi, Noel Grey, Uwais,
Fabeyi, Kaloma, Majiyagbe etc. The standard of practice was extremely high. I
dare say Kano at the time was the hub of commercial and criminal justice
practice in Northern Nigeria. The law reports bear this out.  
Outside Kano, I was lucky to work with very many prominent lawyers.  
Back in the early 80’s I appeared against HE Judge Bola Ajibola in a famous
case. He was then in private legal practice. From then onwards he took interest
in me and became a mentor. Our relationship continued when he became of
Minister of Justice and even when he moved to the World Court in The Hague. I
visited him there in 1994. He personally took me around to meet the Justices of
the Court and showed me around the impressive facilities of the
Court.   The only other significant issue I can mention in the
evolution of my legal career was that I met my wife Justice Pat Mahmoud during
our youth service in Port Harcourt. We got married in 1983 and she moved to
Kano in January of that year. We worked together in the Ministry until she
joined the Kano bench in Dec. 1991.
I retired from public after
serving as Attorney General of Kano 1993 luckily at the age of 36 or so. We
then jointly founded the law firm of DIKKO & MAHMOUD in November of that
year. We started the practice with Alh. A.B. Dikko who had just then retired as
Attorney General of Kebbi. As you can imagine, the two or so decades have
witnessed tremendous changes in legal practice. There is a paradox of some
sort, if you like. At some levels, there has been huge transformation in the
nature of legal practice, a lot of positive changes, we have new, bigger and
better managed law offices. At the same time the quality of legal training,
standards of ethics have gone down considerably.
How Can Bar
Associations and Regulators promote professional excellence:
I think this question is an
extremely important one. It raises fundamental question about the structure and
the organization of the legal profession in Nigeria. For many years we have
been grappling with declining standards in the legal profession. There are
serious ethical issues. There are also serious complaints about professional
misconduct amongst lawyers which tend not to be addressed swiftly. The time has
come when should be asking some hard questions. We need to interrogate the
architecture of the regulation profession in our country. In the UK for
instance, the Legal Services Act 2007 introduced major reforms in the structure
of the regulation of the legal profession in that country. The legal profession
was no longer to be self -regulating. The representative arm of the profession
was separated from the regulatory arm. The Legal Services Board acts as
overarching regulator. The Bar Standards Board regulates the Bar with the Bar
Council remaining as the representative arm. The representative arm for the
solicitors is Law Society and the Solicitors Regulatory Authority regulates
them. The question of course for is: is the existing system outdated? Do we
need a new representative and regulatory structure for the legal profession in
Nigeria?   Successful reforms have been undertaken in many other
countries, and even in our sister African countries for instance Kenya, Ghana
have all embarked on serious reforms. We should examine their experiences and
see what we can learn from them. The exponential growth of the legal profession
in Nigeria, now the largest in Africa, suggests to me that we need to review
the system we have inherited essentially since our colonial days.
How do ensure that the quality of
legal education is improved and tailored to meet our national aspirations and
development goals? How do we ensure that the business of legal practice that is
delivery of legal services is properly regulated such that the consumers of
such services are assured of consistently good services? How do we ensure that
ethical standards are maintained at high levels and breaches are swiftly
addressed?   How do we ensure that the legal profession remains alive
to its responsibility of safe guarding the institutions of justice, monitoring
their efficacy, guaranteeing access to justice and promoting the rule of
law?   The challenges we are facing today call new and more
innovative approaches if we are to remain relevant as a profession.
 
There is a lot of
concern as what appears to be seeming rot in the Nigerian justice system.  
Prosecution of criminal cases, especially corruption related offences leaves
much to be desired and Nigerians are losing confidence in the judiciary? What
is your assessment on the state of our justice sector?
I believe it is obvious to most
observers that the justice sector in Nigeria and in particular the criminal
justice administration system has reached a level of dysfunctionality that is
unacceptable. It is not consistent with the working of a modern democratic
state. Nowhere is this more evident than in the clear inability of criminal
justice institutions to effectively deal with corruption cases. If this is not
corrected, it portends great danger for the country. It is embarrassing that we
have seen far greater results in trials of high profile corruption cases
emanating from Nigeria in foreign courts than in our domestic courts. Last year
the Administration of Criminal Justice Act was passed. It is perhaps too soon
to judge its efficacy. That aside, I think what is needed are perhaps much deeper
reforms which will focus on several elements: bringing attitudinal changes in
the legal profession; aligning resource allocation to properly equip the
agencies of the justice sector; and dismantling or rupturing the current veneer
of opaque rules or ethos that impede the tackling of corruption in the legal
profession including the judiciary.
I think we have a historic
opportunity to face these challenges now. The convergence of economic
difficulties that make the rentier state model unsustainable and the recent
emergence of political leadership with clear popular legitimacy that appears
serious on these issues gives us a golden opportunity for system shake-up.
Unfortunately, the administration has lost a bit of time, but I think it is
doable. The legal profession should lend its weight behind this.
What role do
alternative dispute resolution and judicial case management play in
administration of justice:
Alternative Dispute Resolution
(ADR) offers a huge potential for off-loading and relieving the already
overburdened court system. It offers a more effective, speedier system for
resolving disputes.   Besides, there are many disputes, say in the
commercial world or family law that are not amenable to effective resolution
through an adversarial and slow justice system of the courts.   What
is needed in my view is enlightenment and education of the users of the justice
system to appreciate and accept ADR. Lawyers need to be embrace the culture and
ethos of ADR. Many Nigerian lawyers pay lip service to ADR. We continue to
approach ADR with a litigation culture. ADR now has become another layer in the
tedious and slow process of litigation.   We need to invest
sufficient resources to train lawyers and also to enlighten users. We also need
to provide new and improve existing facilities in our arbitral institutions as
well as provide the supportive personnel and services. Nigeria needs to sell
itself as a friendly center for Alternative Dispute Resolution. Unfortunately,
in the last several years, there is hardly any major arbitral award that has
not ended up in court. This is not good for the country. It negatively impacts
on the perception of Nigeria’s business climate. Slow and costly dispute
resolution regime adds ultimately to cost of doing business. Judges must and
should play their role of promoting ADR and respecting its outcome. They need
to be equipped to do so. The Government should make this top-priority.
With regards to case management,
the main issue is that efficient case management should be an effective tool
for better deployment of judicial time and resources.   A good case
management system equips the Judge to take charge of the litigation process,
save cost and ensure that cases are more efficiently managed and tracked. Here
technology is key. I should point out the basic strategy have been developed in
various policy documents. What is required is implementation. I had the
privilege of working in the Judiciary Sub-Committee of the Vision 2020-20
Committee. The issues around ADR and case management including deployment of
technology in the court rooms were identified and policy framework developed.
We need to work to implement these.
 
What do you consider
the opportunities for Change and economic development in Nigeria?
Well as lawyers we try to focus on
the role of law as a facilitator of change and development. That indeed is the
primary purpose of law and legal institutions: to bring about happiness and
prosperity to the greatest number of people. To the extent that our country has
failed to realize its full potentials, and our people remain largely poor is a
reflection of the failure of the legal order. It is thus the task of lawyers,
jurists and legal professionals to reform the legal order to bring about the
desired change in society. Without doubt Nigeria has great new opportunities
now. It is somewhat paradoxical that the largest economy in Africa is supported
by the legal order that we have in Nigeria. What this points to, are the huge
potentials that a reformed modernized legal system and legal profession can
unleash.
After the elections last year and
the peaceful change of administration, you could see that Nigerians were proud
of their great achievement. The atmosphere was pregnant with great
expectations.   This coming after the effective containment of the
Ebola crises sent a message to Nigerians: that we could do it! What was needed
was the right leadership and commitment. Nigerian lawyers can and must champion
the reform of the legal profession. This in my view is a pre-requisite for economic
transformation.
There are reports of
International Law Firms seeking to enter the Nigerian legal market. Many senior
lawyers are reportedly against this incursion. Others believe it is inevitable
given the global trends. How should the NBA and Nigerian lawyers prepare for
this?
I think international law firms
are already in the Nigerian legal market. There is considerable amount of legal
work that is already outsourced in various ways to international law firms you
are referring to. This is happening in cross-border transactions, in many other
transactions in various sectors, the energy, in telecoms etc. Nigeria has been
a signatory to the WTO since 1995. It is yet to make a commitment under the
GATS to liberalize legal services. But this is a matter of time. I believe the
NBA already has a task force on this and has been working with the Ministry of
Trade and Investment trying to shape a framework or at least make inputs into
the process. The NBA and Nigerian Lawyers have to prepare for this. It will happen.
The preparation in my view has to involve short term and long term strategies.
In the short term, it is about capacity building, reorganization of law firms,
pooling resources together and developing strategic alliances and investing in
enhancing legal resources available to our lawyers. The longer term dimensions
will include reforming legal training to equip Nigerian lawyers appropriately
to be more competitive globally. We also need to look at our legal curriculum.
Nigerian lawyers in the diaspora that is those who trained or practice abroad
have a role to play. The NBA should harness their resources. I think we should
not see this just as a threat but also as an opportunity. So long as Nigeria
remains part of the global economy, we cannot insulate or isolate the Nigerian
legal profession or legal market from the effects of globalization. We can
prepare ourselves, we probably negotiate some aspects and we can also position
ourselves to take some of the opportunities. Disruptive and innovative technologies
makes an isolationist strategy futile.
The Boko Haram
insurgency has wreaked havoc in Northern Nigeria. How have lawyers practicing
in the North been able to cope with this crisis?
The insurgency has caused enormous
hardship in the country. The Northeast is of course the worst affected.
Economic and social life have been disrupted and there is currently a severe
humanitarian crisis.   Lawyers like other citizens have been severely
affected. Some have lost their lives, others their means of livelihood. Many
have been forced to relocate. The courts, like other social and community
infrastructure, like schools, markets etc have shut down. Last November, some
of us accompanied Mr. Austin Alegeh, the NBA National President to Maiduguri to
attend a one-day human rights awareness workshop. And he must commended for the
brave initiative. Moving through Maiduguri and visiting some of the affected
people, injured soldiers, detainees and listening to our colleagues, we were
shocked at what we saw and what we heard.   Observing the destruction
and the desolate environment was heart breaking. It was clear to me that
frankly we have not paid enough attention to the fate our colleagues not to
talk of the wider community that have been victimized by this brutal insurgency.
NBA needs to be more actively
involved not only in supporting our colleagues, but in the whole process of
rebuilding the Northeast. We need to pay attention to the issues around the
administration of justice, the gross human rights abuses but also how to deal
with the problem of detainees. Rebuilding the justice system and dealing with
issues of transitional justice in the region are of strategic importance and a
critical element of reconstruction in the Northeast but also of avoiding future
conflicts. The NBA should provide leadership in this direction. I am happy our
President has shown leadership in this area.
Young lawyers appear
to be disenchanted. Many complain that they are not well paid and are unhappy.
What is your view on this? And what is your advice to younger members of the
profession?
The legal profession in Nigeria
has grown exponentially in the last two or so decades. I believe every year,
between five thousand to six thousand new entrants are admitted into the legal
profession. This growth has not been matched with similar growth in the
economy. Indeed in some respects, the opportunities have dwindled. Be that as
it may, the legal profession must address the issue of the welfare and
wellbeing of all lawyers especially the younger ones. This has huge implication
for the quality of services and standard of ethical behavior. If this is not
addressed, it will affect the future of the profession in the long run. I will
strongly advocate some measure of standardization. We should work to implement
minimum pay, enhance welfare and provide decent work environment. We should
formalize employment in law firms and these should be monitored. We should
explore a flexible system of licensing law offices and require them to meet
certain standards tailored to particular environments or regions. But
ultimately what is important is to create more opportunities both in the public
and private sectors for lawyers. The senior lawyers must lend their weight to
the creating more opportunities for younger members of the profession. They
should also try and mentor them and involve them in the work of their firms at
all levels.
 
 
Editor’s Comment – This interview was initially published on www.linkedin.com by Lere Fashola on 08/03/2016.
10 Frequently asked questions when negotiating a record deal

10 Frequently asked questions when negotiating a record deal

Credits – Pixabay.com 
In my years of servicing the Nigerian Entertainment industry, I have had to deal with queries on what a standard Recording Contract should entail. My understanding of this subject is shaped from various cases of providing representation to either of the parties at the negotiation table – Talent or Record Company.
These questions are offshoots of expectations. They betray the enthusiasm stomached when at the brink of forging a relationship which should serve the best interests of the parties.
The intent of this post is to describe how I have dealt with these questions. Here are my short-hand answers to the frequently asked questions.
So lets start with our FAQ!
1. What will the Record Label do for me?
This is usually asked by a talented Act with a growing audience. He is the toast of music lovers and creating waves on radio, on the internet and local arenas (campus concerts, clubs, churches etc.). He is now being courted by an established record company or an entrepreneur who thinks he could be the next big bankable musician.

Answer
A record company will invest in an individual’s talent and showmanship. They will provide resources (financial and human) to develop same with the end goal of maximizing the individuals artistic potentials in the marketplace. They will also ensure that you are commercially viable as a brand to exploit your performance and image in a sound recording, concerts, MP3 downloads, corporate endorsements and mobile ringtones.

2. Can the Talent be exclusively signed to our Company? 
This question is usually posed by the Label. They acknowledge that the Talent might have enjoyed the support and guidance of some other people before they sought his service.

Answer
To recoup all the monies invested in the Talent, it is important that the Label retain ownership and control of the Talent’s services in order to make a profit. Most of the time, this exclusivity applies to a worldwide territory.

3. Am I getting a Signed-On Fee?
These are monies paid to the artist on account of future earnings. They are also described as Advances. The Talent receives this compensation upon the execution of the contract deal. If he receives N3,000,000 (Three Million Naira) before he sells any music, he is expected to pay back this money when the Record Company starts earning income off the exploitation of his musical works.

Answer
Getting sign-on fees is a rarity in the Nigerian music space. Most Record Labels will rather invest these monies in the production and promotion of the Talents works.

4. Will I get decent Accommodation and will there be provisions for Transportation?
Many Talents consider a Record Deal a ladder to the next level of affluence. They desire comfort and security. This is often the fantasy peddled on the blogs, newspapers, recordings and films. However, it is not necessarily the case.

Answer


It is expected that a Label sees Talents signed under their imprints as an extension of the Company. In Showbizness, these ambassadors of the Label must maintain a minimum lifestyle that is decent and befitting of their new status.

5. How long will the relationship last?
This relates to the duration or term of the contract. It is calculated by reference to an initial fixed period of possibly beyond 2 years.

Answer
This is open to negotiations, and often dependent on the kind of Artist involved. If the Talent is new to the industry, it is expected that the Label considers the degree of anonymity and pool of fans the talent possesses. It will take a while to cultivate a money-spinning brand and followership for a Talent with no solid fan base. The Company might propose a longer term so as to reap the benefits of its investment (Marketing Budgets) on the Talent. It will then forecast how many albums or commercially viable hit songs can be produced during the term.

6. How many albums must be delivered during the course of our relationship?
A Record deal is forged with the intention to profit off the Talents musical works, identity and audience. It is usually the practice that the Record Company retains ownership to all Copyrighted works (songs and videos) authored by the Talent. All these works are stacked as albums – a Long extended play of songs.

Answer
The answer to this query is intrinsically linked to the duration of the deal. In some instances, the number of albums delivered and sold has been used as the milestone or yardstick to determine the expiration of the relationship. An investor must think carefully before agreeing to the number of albums expected of the Talent.

7. Can the relationship be terminated or renewed?
There should be an option for continuance or the termination of a relationship. Not all business relationships will be successful, as such a stop-gap should be provided for instances where the relationship has not been of any benefit to either of the parties.
Answer
The Label will be interested in leveraging on the initial period it helped cultivate the Talent as a household name or profitable brand in the industry. It will insist that it reserves the right to extend the term of the contract for a further term. The Talent will also want to renegotiate the term of the contract if the term will be extended. This is an issue that is usually subject to serious negotiation.

8. Who acts as the Talent Manager?
While a Record Company invests monies in the careers of signed Talents, Talent Managers are known to be music professionals who shape the Careers of Talents and guide them towards new opportunities. In Nigeria, Labels insist on doubling as Talent Managers so that there can be synergy in the funding of the project and the project management. However, these dual role could be detrimental to the Talent because a Label-appointed Manager is loyal to the Label, at the expense of the Talent.

Answer
Notwithstanding the side of the divide I find myself, I admonish that both parties have a say in determining who the Talent Manager is.

9. How will earnings be shared?
Both parties are eager to know how the monies realized will be split after necessary costs and advances have been deducted. A well-negotiated deal will ensure that the artist and the Label do not feel cheated as the relationship blossoms.

Answer
This depends largely on the clout of the Talent. It is understandable that the Label which has financed the project will enjoy a larger percentage of the pie. More importantly, there should be a designated account for the benefit of the talent, record keeping, auditing of accounts, and scheduled periods of payment of earnings.

10. Is there a dedicated team and budget to oversee my project?
The Talent is curious to know if he can secure a commitment from the label with respect to experienced music professionals and a minimum marketing and production budget to fund songwriting and recording sessions, promotion of songs, videos and interviews. Should the label fail to perform he relishes the option of taking a walk.

Answer
When a Talent asks this question, I am excited. This query shows that the Talent acknowledges the importance of Money and Manpower in orchestrating a successful music expedition.
What other questions do you consider important? Kindly share your thoughts in the comment section below.

 By Akinyemi Ayinoluwa.
Recovery of assets and funds misappropriated from Nigeria.

Recovery of assets and funds misappropriated from Nigeria.





Breakfast Briefing, Law Society, Chancery Lane, 0830-1030, 23.03.16

The Law Society in conjunction with the British Nigeria Law Forum (BNLF) is holding a breakfast briefing on recovery of assets and funds misappropriated from Nigeria.

Topics to be discussed include:

  • Identification of stolen assets, or assets that can be used in satisfaction of a civil judgment
  • Steps that may be taken in the English courts in support of proceedings in Nigeria
For further details and registration please click on the link below:

https://events.lawsociety.org.uk/ClientApps/Silverbear.Web.EDMS/public/default.aspx?tabid=37&id=1358&orgId=1&guid=abed43da-9d39-438d-99d6-5b715fdbbc99

CONTACT
Babatunde Akinyanju
Immediate Past Chair
British Nigeria Law Forum

Principal Consultant, Femoda Juris

+447976610623
@bakinyanju