Traps & Scams Every Musician Must Avoid

You Miss MLC Mechanical Claims - Traps & Scams Every Musician Must Avoid

You Miss MLC Mechanical Claims - Traps & Scams Every Musician Must Avoid

You did everything right. You released the song. You posted the Reel. You thought the money would ping your account like an overdue pizza delivery. Then nothing. Now you are staring at a streaming statement that reads like ancient hieroglyphics. The truth is ugly and boring. Mechanical royalties are complicated. The Mechanical Licensing Collective often acts like an efficient database with human sized blind spots. Scammers smell confusion. Administrators smell opportunity. Metadata smells like free money. This article will make you loud, paranoid, and effective in a friendly way that still tells the truth.

This guide explains what mechanical royalties are and how the MLC works. We show the most common traps that cost songwriters money. We offer clear step by step actions you can take right now. We give example real life scenarios so you know what to watch for. After reading this, you will be able to check your account, correct bad splits, and spot scams that try to take your catalog for breakfast.

Quick primer: What is mechanical royalty and what is the MLC

If you already know these basics feel free to skip to the traps. If you do not this will save your future bank account some tears.

Mechanical royalty explained

A mechanical royalty is money paid to the owner of a song when a recording of that song is reproduced or distributed. On streaming platforms mechanical royalties pay the owners of the song composition for the right to reproduce the composition as a digital file. This is distinct from performance royalties which pay for public performance. Performance royalties are handled by PROs. PRO stands for performing rights organization. Examples include ASCAP, BMI, SESAC in the United States.

MLC explained

MLC stands for the Mechanical Licensing Collective. It was created in the United States by the Music Modernization Act. The MLC collects mechanical royalties from streaming services like Spotify, Apple Music, Amazon Music, and then distributes those royalties to the published song owners and writers. Think of the MLC as the librarian of song ownership for digital mechanicals in the US. You register your songs there so streaming platforms can match usage to owners and pay you. The MLC is supposed to reduce the number of unmatched royalties that float around like ghost money.

Two short numbers to know

  • ISWC. International Standard Musical Work Code. This is a unique identifier for a composition. It helps match recordings to the right song owner.
  • IPI. Interested Party Information. Also called CAE in some places. This number identifies you as a songwriter or publisher. You get one when you register with a PRO or publisher database.

Why musicians miss mechanical claims

People lose mechanical royalties for the same reasons they lose socks. Bad labeling. Bad matches. Someone else claiming the pair. This list covers what happens most often.

  • Missing registration. Your song is not in the MLC database. That means streaming services report plays but the MLC cannot match them to you. Money sits in a pool waiting for someone to claim it.
  • Bad metadata. Your writer credits are spelled wrong or your IPI is missing. The MLC cannot link the income to the right account.
  • Wrong splits. You and your co writer swapped texts about a split but never filed the official share. The MLC pays who they think owns the song. That might not be you.
  • Third party claims. A scammy admin or fake publisher uploaded a song and claimed ownership for a larger share than the writers agreed.
  • Aggregator mistakes. Digital distributors sometimes send bad metadata to DSPs. Fixing it later is messy and slow.
  • Phishing and scams. People will pretend to help you register your catalog for a fee. They collect payment and do nothing useful.

Scams and traps to watch for

If it sounds like a shortcut it likely is.

Pay to register scams

Reality check. You can create a free MLC account and register your songs yourself. If a company or person contacts you saying you must pay them to register with the MLC or to file claims for you you should be suspicious. Many legitimate publishers offer administration services for a fee. That is legal and sometimes useful. The difference is transparency and contract terms. A scam service will charge upfront, promise immediate collection, and then deliver nothing or it will claim 100 percent ownership of songs unless you pay a ransom like fee to get your shares back.

Real life example

Izzy had 20 songs and an aggregator filled out the metadata and then emailed Izzy to say a 'priority claim' was needed to receive past royalties. The aggregator wanted a few hundred dollars. Izzy paid. Six months later the cuts appeared under a company that claimed 100 percent of the writer share. Izzy signed nothing. The aggregator had submitted paperwork in Izzy's name with an administrative agreement that assigned broad rights. Izzy spent months reversing the damage and finally got partial funds back. Do not be Izzy.

Lookalike site scams

Scammers create websites that look like the MLC. The visuals are close and the domain name is a vowel or letter away from the real URL. They send an email with urgent language that you need to verify your account or your royalties will be frozen. The email link leads to a fake login page that collects your credentials. Once scammers get your credentials they can register your songs and claim money or they can sell your data.

How to avoid it

  • Bookmark the MLC official site and only log in from your bookmark.
  • Check the domain closely. Official domains will be consistent in spelling. If you received an email asking you to confirm sensitive information sign into your account manually instead of clicking the link.
  • Use strong two factor authentication where available.

Admin contract traps that give away your rights

There are legitimate music administrators who will register, collect, and distribute royalties for you. They usually charge a percentage for administration services. The problem starts when contracts use legal smoke to give the administrator more than they should. Watch for language that transfers ownership, assigns publishing shares, grants long exclusive periods, or includes automatic renewals without consent. Short savvy examples of problematic terms include assignments of rights for the 'full term of copyright' or clauses that require you to indemnify the administrator for any mistakes you did not make.

Real world scenario

Lola loved that a small company promised to take care of everything for 10 percent. Lola signed. The contract promised administration but included a clause that assigned a small sub publishing share which the company interpreted as 10 percent writer share. Later the company monetized Lola's songs in ways Lola did not want. The contract used vague legal phrases meaning Lola had fewer options than she thought. She could not easily remove the company. When in doubt get legal help on the terms that affect ownership and splits.

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Fake claims and bogus ownership entries

Sometimes another party will submit a claim on a work they do not own. This can be accidental and it can be malicious. The MLC has dispute processes. You need to be ready to submit proof of ownership. Proof might include songwriter splits written in a publishing agreement, original session notes, or registration documents with your PRO. If someone files a claim that overlaps with yours you want to move fast. Letting a bogus claim sit unchallenged can cost you months of royalties while the MLC investigates.

Upfront catch all assignment requests

Never sign a contract that asks you to assign a broad set of rights for a low fee. Some companies request to become your worldwide exclusive publisher or administrator and then take a large cut. That may be valid if you understand the trade. The trap is when companies request broad assignment in exchange for low value services or vague promises. Always get the exact fees, the exact term, and what you can do to terminate the agreement. Make sure any assignment of rights is narrowly tailored and clearly compensated.

How to check if you are missing money right now

If you are panicking run this checklist. The following steps will take you from guess to fact. The more evidence you gather the stronger your case will be if you need to dispute a claim.

  1. Create or sign into your official MLC account. The MLC portal is where you track song registrations and distributions. If you do not have an account make one using your legal email for transparency. Keep passwords safe. Do not share them.
  2. Search your songs in the MLC public database. Use variations of the title. Use co writer names. Use ISWC if you have it. If a song is not present it is not being matched to you for mechanical distributions in the MLC managed rights.
  3. Check writer and publisher splits listed for each song. Confirm the IPI numbers or writer IDs match the people who actually wrote the song.
  4. Compare MLC statements with your DSP statements. Streaming platforms often report plays that the MLC receives. If the DSP reports a stream and there is no match in the MLC records you may have an unmatched pool of royalties tied to your song.
  5. Search PRO databases for performance registrations. Correct or confirm the writer and publisher splits there too. PRO reporting and MLC reporting often rely on overlapping metadata so consistency matters.

Fixing bad metadata and split problems

Fixing a messy song registration is like peeling a sticker from a guitar. It takes patience. Here is an efficient path.

Gather proof

Collect emails, writing session notes, demo files, stems, publishing agreements, split sheets, and any registration confirmations from a PRO. If you have timestamps that show when a track was created keep those. The stronger your proof the faster the MLC can process disputes and corrections.

Update the MLC registration

If you control the MLC work registration you can edit share information. Make sure every writer and publisher has the correct IPI and legal name. If you do not have control you must file a claim and provide proof. The MLC portal provides tools for disputed ownership. File the claim and attach your proof.

Contact your PRO

PROs can be an important ally. They maintain writer identifiers and often help confirm ownership claims during disputes. Confirm your IPI or CAE numbers with your PRO and ensure those numbers are used consistently in MLC and distributor metadata.

Use the matching tool

The MLC provides a matching tool that reconciles DSP reported play data to your registered works. If you find a mismatch use the tool to claim the unmatched usage and supply the missing data. This claims process is how a lot of previously unmatched money eventually finds its way to rightful owners.

What to do when a company demands payment to register or recover royalties

First breath. Then take these steps. Most fees are unnecessary unless the company is providing real added value like global sub publishing, legal negotiation, or aggressive collection across territories. Even then know what you pay for and for how long.

  • Ask for a clear scope of work and an itemized fee schedule. If the fee is opaque do not proceed.
  • Ask for references and verifiable results. Talk to two other songwriters who used their service and confirm the results independently.
  • Check for contract language that assigns ownership or transfers rights permanently. If the company requires an assignment to perform administration walk away or renegotiate to a limited non exclusive administration agreement.
  • Get the agreement reviewed by a music attorney or a knowledgeable friend in publishing.

Red flags in admin agreements

These are the phrases that should make you open a new browser tab and search for a lawyer or at least a very caffeinated friend with experience.

Learn How to Write Songs About Music
Music songs that really feel tight, honest, and replayable, using pick the sharpest scene for feeling, prosody, and sharp image clarity.
You will learn

  • Pick the sharpest scene for feeling
  • Prosody that matches pulse
  • Hooks that distill the truth
  • Bridge turns that add perspective
  • Images over abstracts
  • Arrangements that support the story

Who it is for

  • Songwriters chasing honest, powerful emotion writing

What you get

  • Scene picker worksheet
  • Prosody checklist
  • Hook distiller
  • Arrangement cue map

  • Assignment of ownership to the administrator for the full term of copyright. You are paying for services not signing away your life rights.
  • Automatic renewals with no termination rights. Contracts should allow you to terminate after a reasonable notice period and with clear steps to regain control of your catalog.
  • Unclear accounting schedules. If you cannot easily understand how and when you will be paid walk away until you get clarity.
  • Hidden administration fees such as recovery fees, paperwork fees, or registration fees on top of commission. Ask for full transparency.

How to read your MLC statements like a pro

Statements look boring on purpose. They do their job. Here is how to read them and what to look for.

What to scan first

  • Work title and writer split. Confirm that the split matches your contract and your coworkers.
  • Timestamp of activity. Find the reporting period so you know when money was collected and for what window.
  • Amount allocated to the writer or publisher. Confirm that the amount is reasonable for the reported plays. If it is zero or looks low check whether the work was unmatched.

Discrepancies to investigate

  • Zero payment while DSP shows streams. That often means the work was unmatched or claimed by another party.
  • Someone else listed as the publisher or writer. That could be a genuine admin claim or a mistake you must dispute.
  • Unexplained deductions. Administration fees should be clearly itemized. If something looks like a fee but is not explained ask for an accounting of that line item.

How to dispute a claim at the MLC

Disputes are a bureaucratic process with teeth. Here is how to make it faster.

  1. Document the issue. Export the statement lines, the DSP reports, and any screenshots showing the problem.
  2. Organize proof by chronology. Timestamp your files. A chronological packet is easier to review.
  3. File the dispute in the MLC portal and attach your evidence. Use clear language. State who you are, the work in question, the claim you dispute, and the outcome you expect.
  4. Follow up but do not spam. One message every two weeks is reasonable. The MLC handles many claims. Be persistent and polite.
  5. If you hit a wall escalate by asking for a supervisor or using a lawyer. For large sums the effort pays for itself.

Real life scenarios that teach better than lectures

Scenario one: The missing co writer

Sam and Noor wrote a song. Sam uploaded the release to a distributor and included Noor in the credits. The distributor sent metadata that did not include Noor's IPI number. The MLC received play data but could not match Noor because her ID was missing. Money went to the unmatched pool. Months later Sam opened an MLC account and added Noor's IPI to the registration. Noor then filed a claim for her past share. The MLC processed the claim and distributed back payments after verifying both writers and the timeline. Moral of the story. Always include IPI numbers and confirm metadata at upload time.

Scenario two: The admin who overreached

A boutique admin company promised worldwide publishing administration and immediate collection for new songs. The artist signed an agreement that included a clause stating the admin had exclusive rights to administer the songs plus a ten percent publisher share. The artist assumed the company would only register the songs with the MLC. A year later the songs were registered with the admin listed as publisher for the split and the artist received a smaller payout than expected. The artist had to renegotiate and pay legal fees to correct the situation. Lesson. Read the contract and never assume intent will rescue you from a bad clause.

Scenario three: The phishing email

Rae received an email that looked like the MLC asking Rae to verify credentials to unlock payments. Rae clicked the link and typed her login. Within 24 hours another account was created that claimed Rae's songs. Rae had to contact the MLC, change all passwords, and prove identity to recover the account. After that Rae set up two factor authentication and started only using the official bookmark to access the portal. Lesson one. Never click suspicious links. Lesson two. Use two factor authentication where possible.

Practical checklist you can use right now

Copy paste this list. Do it tonight. It takes less time than watching one episode of a show you do not finish.

  • Create or access your official MLC account using a secure password manager.
  • Search for all your song titles and any alternate titles in the MLC database.
  • Ensure every registered song lists correct writer names, legal names, and IPI numbers.
  • Confirm your distributor sent accurate metadata to DSPs. If not contact the distributor and demand corrections.
  • Compare your MLC statements to DSP reports for a single month. Note any mismatches and gather proof.
  • If you use an admin service review your contract for assignment of rights or exclusive long term clauses.
  • Never pay a fee to register with the MLC. If someone asks ask for a contract and proof of value.
  • Set up two factor authentication for your MLC, distributor, and PRO accounts.

Negotiation tactics with an admin or publisher

If you decide you need an admin or publisher to scale your catalog here are practical tips to avoid being eaten alive.

  • Negotiate a limited exclusive term. Do not give lifetime rights. Ask for a one year renewable term with explicit performance metrics.
  • Keep ownership language explicit. Administration is typically a non assignment relationship. If the company wants a publisher share negotiate the percentage and the exact rights conveyed.
  • Ask for monthly accounting and specific payment timing. If they cannot promise a clear accounting schedule walk away.
  • Bonus clause. Ask for an automatic reversion of any rights if the admin fails to collect specified minimum revenue after a defined period.

How to choose a reputable administrator

Admin companies come in many sizes. Choose one that aligns with your goals and can prove its track record. Here are objective filters.

  • References. Ask for three current clients and verify their stories. If they cannot provide references be suspicious.
  • Transparency. Does the company provide sample statements? Are their fees and split terms public and clear?
  • Technology. Do they use reliable systems to collect across territories? You want a partner that can access global DSP reporting.
  • Contract clarity. Avoid vague terms. Ask for a lawyer review if the contract looks long and legalistic.

When to get professional help

Not every problem needs an attorney. Many mistakes you can fix with documentation. Here are thresholds when a professional matters.

  • Large sums are at stake. If more than one thousand dollars is trapped and you cannot resolve it in two to three weeks consider legal help.
  • Someone claims full ownership of a song you wrote. That means your rights could be transferred. Get legal counsel quickly.
  • Contracts that ask for assignment of publisher or writer rights for multiple songs across the full term of copyright. These agreements are complex and deserve a lawyer review.

Preventative habits of artists who never miss money

If you do one new thing this month adopt these rituals.

  • Every release day check the distributor metadata in full. Confirm writer names, publishers, and IPI numbers are present.
  • Have a simple signed split sheet for every co writing session. A text message is not a split sheet. A two line signed PDF is better than hope.
  • Keep a master spreadsheet with song title, ISWC if any, ISRC for the master if any, writer names and IPIs, publisher names, and where the song is registered. Update after every change.
  • Audit your accounts twice a year. Run one quick cross check between MLC, your PRO, and your distributor statements.

Common questions and fast answers

Do I need to register with the MLC to get paid for streams

Yes. If you want to collect mechanical royalties in the United States for streaming you should create an MLC account and register your works. Some payments flow via publishers or administrators who register on your behalf. If you do not have someone handling that you need to register yourself so unmatched money can be claimed.

Can someone else register my song without my permission

They can attempt to. The MLC allows claims and registrations that must be verified. If someone registers your song and claims ownership you must dispute the claim with proof. This is why you should keep writing evidence and unique identifiers like IPI numbers secure and accurate.

Does the MLC collect worldwide mechanical royalties

The MLC collects mechanical royalties for digital streaming on services that pay into the U S statutory regime. Some services outside the United States use other collection systems. For worldwide coverage you may need an administrator or publisher that can collect across territories and handle neighboring rights where applicable.

How long does it take to recover missing royalties

It varies. Small metadata fixes may be processed in a few weeks. Complex disputes or cases that require contractual proof can take months. Be patient and persistent. Document everything and follow up professionally.

Action plan you can start right now

  1. Sign into the official MLC portal and confirm your contact and payment information is accurate.
  2. Search for every song you have released and confirm the writer and publisher splits and the IPI numbers.
  3. Collect proof for any song that is missing or has incorrect splits. Put it in a folder named clearly with dates.
  4. If you use an admin service review your contract with the checklist above. Ask one direct question to the admin about any clause you do not understand.
  5. Set up two factor authentication on all music business accounts. Use a password manager to generate unique passwords.
  6. Send an email to your distributor asking them to confirm they sent correct metadata to DSPs. Keep a copy of their reply.

FAQ

What is the difference between mechanical and performance royalties

Mechanical royalties pay for the copying and distribution of the composition. Performance royalties pay for public performances of a song. The MLC handles mechanical royalties for digital streaming in the United States. Performance royalties are collected by PROs such as ASCAP, BMI, or SESAC.

How do I get an IPI number

IPI numbers are provided by performing rights organizations or by music publishing companies. Register with your local PRO and they will assign you an IPI or CAE number. Make sure this number is included in your distributor metadata and MLC registration.

Can I register songs on the MLC myself

Yes. You can register songs for free on the official MLC portal. The MLC also offers tools to claim unmatched distributions. You do not need to pay a third party to register songs with the MLC although professional administrators will charge a fee for extra services.

What if someone stole my songs and registered them as theirs

File a dispute with the MLC and gather proof of ownership. Proof can include original session files with timestamps, emails, split sheets, and registration records. If the situation is severe or the sums are large consider legal assistance.

Learn How to Write Songs About Music
Music songs that really feel tight, honest, and replayable, using pick the sharpest scene for feeling, prosody, and sharp image clarity.
You will learn

  • Pick the sharpest scene for feeling
  • Prosody that matches pulse
  • Hooks that distill the truth
  • Bridge turns that add perspective
  • Images over abstracts
  • Arrangements that support the story

Who it is for

  • Songwriters chasing honest, powerful emotion writing

What you get

  • Scene picker worksheet
  • Prosody checklist
  • Hook distiller
  • Arrangement cue map


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About Toni Mercia

Toni Mercia is a Grammy award-winning songwriter and the founder of Lyric Assistant. With over 15 years of experience in the music industry, Toni has written hit songs for some of the biggest names in music. She has a passion for helping aspiring songwriters unlock their creativity and take their craft to the next level. Through Lyric Assistant, Toni has created a tool that empowers songwriters to make great lyrics and turn their musical dreams into reality.