TERMS OF AGREEMENT:

This agreement is entered into by Terrance Schemansky (3000 Records) and all participating persons (participants) on a CD to be released by 3000 Records with each participating musician's, artist's, and band's original music.

I. 3000 Records will not be held responsible for: Lost copies of any music material (D.A.T, CD, CD-R, cassette, or other forms of media) in the mail.

II. Each Participant and 3000 Records will initially be allowed to purchase up to 3000 copies of the CD at wholesale prices plus shipping expenses. Royalties will not be paid from the sale of the first 3000 copies by each Participant and 3000 Records. Each Participant may request permission to purchase more than 3000 copies of the CD. Should permission be granted, the Participant will pay the wholesale price plus shipping expenses along with standard royalties of $.0755 to each song owner on the CD. Every Participant on the CD will be notified of requests for more than 3000 copies.

IIV. Each participant will reserve their space by filling out the Participation Form and submitting the completed Participation Form to 3000 Records through the 3000 Records web site. Failure to provide music for the CD or pay the complete balance for any money owed will result in losing the reserved space on the CD.

V. Each Band will keep full rights to their own music on the CD. Neither 3000 Records nor any musicians appearing on the CD has the right to reprint or reissue the CD in it's contents without consent of 3000 Records, Participants, including each Song Owner with music on the CD. Participants and Song Owners with music to be on the CD have all necessary consents, authorization and licensing to permit 3000 Records to include the song(s), names, and related information on the CD.

VI. Music material sent to 3000 Records will be returned to Participants once the CD is pressed on request for a $5 handling free.

VII. Important: 3000 Records along with all participating Artists and Bands may sell their copies at the price they choose, or give their copies away. Participating Artists and Bands agree that the recommended selling price of this CD shall be between $10 and $15

This agreement may be amended by mutual written agreement of the parties involved. Every Artist, and song owner of music to be on the CD has read, understands, and agrees to these terms.