Documentation Index
Fetch the complete documentation index at: https://docs.royaltyport.com/llms.txt
Use this file to discover all available pages before exploring further.
Overview
The Costs extraction identifies all cost provisions in the contract, including recoupment rates and approval requirements. When the contract defines cost bases, costs are automatically grouped under their respective base with a type label and definition.Main vs. Third-Party Costs
When a contract contains costs that are recouped from a third party (for example, a featured artist or side artist who is not the main assignor under the agreement), the costs section displays two tabs:| Tab | Description |
|---|---|
| Main | Costs recouped from the primary assignor(s) under the agreement |
| Third Party | Costs recouped from a third party (e.g. featured artist, side artist) who is not an assignor |
Third-party costs are identified automatically during extraction. If you believe a cost has been miscategorised, use the edit icon to correct it or raise a query via the AI chat.
Cost Bases
A cost base defines the revenue pool from which a cost is deducted. When present in the contract, each cost base is shown as a section header above its related cost rules, with:| Field | Description |
|---|---|
| Type | The revenue pool (e.g., “Gross Revenue”, “Net Receipts”) |
| Definition | The contract’s own definition of that base |
| Type | Description |
|---|---|
| Gross Revenue | Total income before any deductions |
| Net Receipts | Income after specified deductions |
| Third Party Share | Portion attributable to third parties |
| Assignor Share | Portion attributed to the assignor |
If the contract does not define cost bases, costs are displayed as a flat list — the same as before.
What Gets Extracted
Each cost rule is displayed as a card beneath its cost base (or in a flat list when no bases are present):| Field | Description |
|---|---|
| Title | Cost category name |
| Description | Plain-language summary of the cost rule as extracted from the contract. |
| Recoupment Rate | Percentage recoupable from royalties (e.g., “50%“) |
| Requires Approval | Whether expenditure needs prior authorization |
| Approval Conditions | Specific requirements for approval (expandable) |
Recoupment Rates
The recoupment rate indicates what percentage of the cost can be recovered from the artist’s royalties:- 100%: Fully recoupable
- 50%: Half recoupable, half absorbed by label
- 0%: Non-recoupable (label expense)
Approval Conditions
When “Requires Approval” is Yes, expand the section to see:- Who must approve (artist, manager, label)
- Threshold amounts requiring approval
- Notice requirements
- Documentation needed
Editing Costs
Click the edit icon to:- Add new cost categories
- Assign a cost base to a new cost — select an existing base from the contract or create a new one by choosing a type (Gross Revenue, Net Receipts, Third Party Share, or Assignor Share) and an optional definition
- Mark a cost as a Third Party Cost — use this when the cost is recouped from a third party (e.g. a featured artist) rather than the primary assignor
- Modify recoupment rates
- Update approval conditions
- Remove costs that don’t apply
See Also
Categorized Costs
View recoupment percentages categorized by standard cost types (recording, marketing, video, etc.). Optimized for filtering, exports, and comparisons across contracts.