Pitch Dictionary by pitch.dog
Recoupment, backend & participation · Working

Royalty

Also called: royalties

ELI5

Pay calculated from particular sales, uses or revenues under a contract or law.

Used in conversation

“Has production checked royalty against the relevant agreement?”

Definition

Compensation calculated from specified sales, uses or revenues under a contract or law.

Here “Royalty” means: Compensation calculated from specified sales, uses or revenues under a contract or law.

Pitch context

You may encounter “Royalty” in rights, contracts, finance, distribution & labour conversations or materials.

Why it matters: Explains who controls, pays for, approves, exploits or bears risk around a project.

Caution

Meaning and consequences may change by contract, collective agreement, territory or law. This entry is orientation, not legal advice.

Connected terms

  • ResidualA royalty arises from ownership or licence terms; a residual is additional compensation triggered by reuse under a collective agreement or contract.
Sources & evidence · 8

Supporting source families. This entry is an editorial synthesis rather than a quotation from one canonical glossary.