NFT Issuance contract
1 Human readable summary
· What is the contractual relationship I am bound to as an Acquirer?
o As an Acquirer you conclude a License contract with the Creator;
o As an Acquirer you conclude an Issuance contract with the Issuer.
· What do I get by acquiring the PAA-token?
o An non-fungible token qualifying as a DLT-security under Article 973d et seq. of the Swiss Code of Obligations;
o The NFT token embeds directly the rights resulting from the license. The loss of the NFT token or its access does not nullify your legal rights.
· What is the license’s content?
o In short
§ The license rights on the copyrights of the Artist on its WOA, its related rights and derivative works;
o Type of license
§ Exclusive: You alone can exploit the work.
§ Worldwide: everywhere in the World.
§ Commercial: includes commercial use
§ Term: ends 20 years from the time of its issuance (conventional renewal is possible)
§ Conditional: restricted by the Issuance contract.
o Content
§ Including present and futures rights over the wok regarding:
· Use:
o Produce copies;
o Distribute the work;
o Perform the work:
o Broadcast by radio, television or retransmit it by technical equipment means;
o Make it available to the public.
· Perceive all the pecuniary rights attached to the work;
· Right & ability to issue Authenticity tokens linked with the PAA token (PAA-Auth)
· Right & ability to issue Sublicense and/or Splitting the rights under new NFT tokens linked to the PAA token (PAA-X Subtoken)
· Right to pledge the token
· Right to terminate the License / Issuance contract
· Right to transfer the token via blockchain
§ Excluding notably
· Creator’s personal right to interpret the song free of charge.
· Creator’s personal right to use the work and broadcast it on a video on its social media free of charge and to perceive the pecuniary rights attached to this broadcasting.
· Patents, trademark, personality rights, moral rights of the artist.
Text reproduced with permission from Gabriel Jaccard and Quentin Adler,
11 June 2021