What does Geographical Limits (Usage) mean?
Geographical Limits refers to a clause in contracts that restricts the usage rights of a performance, image, or intellectual property to specific regions or territories. It defines where the content can be legally distributed, broadcast, or used. Common geographical limits include national, regional, or international boundaries. For example, a commercial may be limited to airing in the United States, while other contracts may allow usage worldwide. These limits help performers and creators retain control over where their work is seen and may impact compensation based on the size and reach of the market.
Example:An actor”s contract specified geographical limits that allowed their likeness to be used only in North America, preventing the company from using their image in Europe.
Example: A musician agreed to geographical limits in their distribution deal, restricting their song’s use to streaming platforms in Asia.
Did You Know?
Geographical limits are commonly used in advertising and distribution contracts to control where content can be aired or sold, allowing for regional exclusivity or future negotiations for global rights!