We are updating our Spotify Payouts Terms. Below you will see the new Spotify Payouts Terms that will be effective as of November 22, 2022. The previous version of the Spotify Payout Terms, which will be effective until November 22nd, 2022, can be found here.
Effective date: November 22, 2022
2. Earnings Balance: Spotify will calculate your aggregate earnings in accordance with any applicable product-specific terms. We may provide you with regular reporting on your total estimated earnings and the basis on which those earnings have been calculated ("Earnings Balance"). You acknowledge that such data is provided "as is", and Spotify does not guarantee that such data will be available error-free, or that mistakes will not happen from time to time. Your Earnings Balance does not constitute an obligation of Spotify to you and is provided for reporting and informational purposes only. You have no ownership or other rights in your earnings until funds are disbursed to you. Your earnings will be paid to you in USD. The Payment Service Provider (as defined below) may convert the payment to the denominated currency of your bank account, with rates and fees for such conversion determined by the Payment Service Provider. Unless otherwise required by applicable law, any earnings to which you are entitled through your use of or access to Spotify's services or products—including but not limited to Spotify Payouts, affiliated services and products, and all websites and software applications of Spotify and its affiliates—shall be deemed to have been earned in the jurisdiction in which you reside.
3. Payment: If your Earnings Balance equals or exceeds the Minimum Threshold described below, Spotify will pay your Earnings Balance out to the bank account that you identified in signing up with the Payment Service Provider (as defined below), minus any applicable Fees (as also defined below), within 30 days after the end of each calendar month. Your bank account must be registered in your country or region.
In order for Spotify to cause the Earnings Balance to be paid out, your total calculated earnings in your Earnings Balance must be at least $10.00 ("Minimum Threshold"). You acknowledge that this Minimum Threshold is subject to change and any such change will be notified to you in advance. In addition to the requirement set out above, if you are new to Spotify Payouts, you will be eligible for your first payout only after 30 days following creation of your Payouts Profile.
5. Fees and Taxes: Your Earnings Balance may be subject to transactional fees as set out in the Fee Schedule and as agreed between you and Spotify, as well as any applicable Indirect Taxes due ("Fees and Taxes"). Such Fees shall apply to the Earnings Balance before the deduction of any Withholding Taxes, if applicable (as described below in Section 10). The applicable Fees and Taxes are subject to change. You hereby authorize Spotify to deduct any applicable Fees and Taxes from the Earnings Balance, and, if relevant, for Spotify to charge and account for, collect and remit, or, as applicable, direct the transfer to, the relevant tax authorities any applicable Taxes due. You are responsible for any charges assessed by your bank or payment provider.
6. Indemnity: You acknowledge and agree that the Payment Service Provider imposes certain obligations on Spotify relating to the provision of services by the Payment Service Provider to you. You indemnify and hold Spotify harmless for any damages, costs, losses, or expenses incurred by Spotify in relation to the Payment Service Provider as a direct result of your breach of these Terms or the PSP Terms or you otherwise failing to meet an obligation you owe to the Payment Service Provider under the PSP Terms.
7. Set-Off: You acknowledge and agree that Spotify may set off any amount owing to you against any amount owing by you to Spotify, and you authorize Spotify to set-off any such amounts in it reasonable discretion, including chargebacks against your Earnings Balance that the Payment Service Provider has not recovered from you.
8. Acknowledgements: You represent, warrant and acknowledge that:
a. You have the power and authority to enter into a binding contract with us and are not barred from doing so under any applicable laws;
b. you will at all times comply with all applicable laws, rules, regulations, orders and other enforceable governmental or statutory instruments;
c. you have paid and will pay all applicable tax with respect to any payments made to you under these Spotify Payouts Terms;
d. Spotify is not liable for any action or omission taken by PayPal or which occurs under the PSP Terms;
e. you are responsible for your login details and must take appropriate action to protect your Payouts Profile details and that Spotify is not liable for any loss incurred by you as a result of you failing to take such appropriate action;
f. you have nominated a valid bank account with a financial institution in your country or region, and that payments will be made to the bank account nominated by you when signing up with the Payment Service Provider, or as amended in accordance with the PSP Terms. Your payment may be withheld or delayed if you do not maintain accurate contact and payment information in your Payouts Profile;
g. Spotify will provide you with the functionality to create an automatically generated invoice from you, to Spotify, for each payment made to your nominated bank account based on the information you provide when signing up. You are responsible for reviewing the accuracy of such invoice and the information included. You acknowledge you are responsible for any subsequent reporting requirements, including tax and earnings reporting.
9. Termination: Spotify may suspend or terminate your Payouts Profile or these Terms because of invalid activity or your failure to otherwise comply with these Spotify Payouts Terms. In the event of termination by Spotify due to invalid or fraudulent activity or breach of any Spotify terms or policies, you will not be entitled to any further payments from Spotify, we may terminate any other Payouts Profile that you may have and you may be prohibited from creating a new account.
You may terminate these Spotify Payouts Terms and your access to Spotify Payouts at any time by providing Spotify with thirty (30) days' prior written notice. Spotify may terminate and/or modify these Spotify Payouts Terms at any time upon thirty (30) days' written notice to you. Your continued use of Spotify Payouts will constitute your agreement to such modified terms.
Except as set out above, following termination, you acknowledge that Spotify will cause the amount reflected in your Earnings Balance to be paid out to the bank account in your country or region that you identified in signing up for Spotify Payouts, minus any applicable Fees. For the avoidance of doubt, this clause and clauses 3, 5, 6, 7, 9, 10 and 11 survive termination of the Terms. Termination of the Terms will not affect any accrued but unpaid liabilities outstanding at the date of termination of either party.
10. Tax: You represent and warrant that your tax information entered during the creation of your Payouts Profile is correct, complete and accurate. This information will be used to file any tax reporting where legally required. You may be responsible for income tax or subject to withholding taxes which may be due as a result of payments received and for filing any returns or reports to applicable tax authorities. All payments are subject to the deduction of any taxes, duties, charges or assessments that Spotify is obliged under applicable law to withhold, deduct or collect by any tax authority ("Withholding Taxes"). Unless stated otherwise, the Fees that you must pay under these Terms are exclusive of VAT, GST, HST, sales taxes or other similar taxes, duties, charges or assessments ("Indirect Taxes"). Indirect Taxes shall be added on top of Fees as per local legislation. Further, each party shall be solely responsible for collection and remittance to the relevant tax authorities of all Indirect Taxes it is legally obliged to collect and remit, as further described in Section 5 (Fees) above. For the purpose of these Terms, Indirect Taxes and Withholding Taxes shall collectively be referred to as "Taxes".
11. No Agency Relationship: Nothing in these Spotify Payouts Terms will be construed to engage you as an agent, employee, partner, joint venturer or representative of Spotify or its affiliates. For the avoidance of doubt, unless otherwise agreed upon in a separate written agreement with Spotify or its affiliates, you have no obligation whatsoever to furnish any services for or on behalf of Spotify or its affiliates and no payments you receive through your use of or access to Spotify Payouts shall be construed as compensating you for services rendered as an agent, employee, partner, joint venturer or representative of Spotify or its affiliates.
12. Applicable laws: You shall comply with all applicable laws and regulations when using Spotify Payouts.
13. Severability: Unless as otherwise stated, should any provision of these Spotify Payouts Terms be held invalid or unenforceable for any reason or to any extent, such invalidity or enforceability shall not in any manner affect or render invalid or unenforceable the remaining provisions of the Terms, and the application of that provision shall be enforced to the extent permitted by law.
14. Waiver: Any failure by Spotify or any third party beneficiary to enforce these Spotify Payouts Terms or any provision thereof shall not waive Spotify's or the applicable third party beneficiary's right to do so.