Code of conduct: Music manager’s forum in Australia
As we noted elsewhere in this book, there is no association of artist managers in the United States and therefore no organization that provides professional conduct advice to those who perform management services to artists in the music business. The Music Manager’s Forum in Australia has adopted the following guidelines into its constitution, saying that managers must at all times and to the best of their ability conduct themselves with the following principles:
1. Devote sufficient time so as to properly fulfill the requirements of good management in the interest of the artists;
2. Not act in any fashion, which is detrimental to their clients’ interests;
3. Conduct themselves in a manner which is professional and ethical, and which abides by best Business practices and methods accepted in their country and comply with any Statutory Regime that is in place or is created.
4. Conduct all of their affairs with their clients in a transparent manner;
5. Protect and promote the interest of their clients to the highest possible standard;
6. Exercise the rights and powers implied or granted to them by their clients in the written or oral agreements for the clients’ best interest.
7. Ensure that no conflict of interest shall interfere with the discharge of their duties towards their clients.
8. All conflicts of interest must be disclosed immediately and noted in any artist agreement.
9. The Manager’s share of the proceeds coming from the artist’s professional (artistic) activity may not exceed 25% of the artist’s income.
10. The Manager must ensure that all monies (income and expenditure) due to the artist are managed completely separately to the private assets of the manager.
11. The Manager makes a commitment (and is duty bound) to absolute transparency in all contractual and financial business dealings that concern collaboration with the artist. This includes in particular giving access to all accounting, settlement of accounts with third parties, and contracts.
12. Should a member be proved to have breached the Code of Conduct, they may be debarred (expelled) from the Organization. The expulsion process is decided according to the Constitution. In the event of an expulsion from the organization, the particular member is no longer entitled to use MMF membership credentials and the Organization is entitled to advise the membership, the IMMF; its affiliates or associated entities, including Government and Industry bodies.
13. Should the individual seek or renew such membership of any other organization affiliated with the IMMF, MMF will use its utmost powers to ensure such a member will not be granted membership, or if membership granted it is conditional on that member’s behavior and adherence to the Code.
14. Music Managers shall respect the integrity of other managers in their relationships with their Artists and not actively interfere with same.
15. A manager who is approached by an artist, who was previously the client of another manager, shall confirm that the artist has fulfilled his, her, or their legal obligations to the previous manager before entering into a management relationship with the artist.
16. Where a manager acts as publisher, agent, record producer or in any other capacity as well as a Manager for his, her, or their clients, they shall declare such interests so that the artist has the ability to determine for themselves if they feel it constitutes a conflict of interest and therefore detrimental to the artist’s career.
17. Where a manager acts in any other capacity as well as manager for his, her or their clients where such activity ordinarily involves the charging of fees or commissions, the manager shall not charge multiple fees or commissions, instead charging either the agreed management commission alone or the fee or commission usually charged for that other activity and forgoing their management commission. Where the manager elects to charge a fee or commission other than the management commission they shall first gain the consent of their artist in writing.
18. Managers must ensure that all monetary transactions made on behalf of or in the interest of the client and all books of account and records must always be reasonably open for the inspection of the artist or their appointed representative with reasonable notice, during business hours.
19. Where a manager engages an artist under a written agreement, the manager shall ensure that their client seeks and receives expert legal advice on the terms of such agreement before signing it.
20. Managers will endeavour to keep themselves well informed of current events and legislation, both national and international, as it pertains to the proper exploitation of their client’s career and the proper administration of their client’s business/s.
Used by permission of the Music Managers Forum of Australia, with special thanks to MMF Chairman Nathan Brenner.