Rules and Agreements: Spin Hot Pursuit

MUSIC NATION SPIN HOT PURSUIT CONTEST

OFFICIAL RULES AND PARTICIPATION AGREEMENT FOR THE MUSIC NATION SPIN HOT PURSUIT CONTEST

In effect as of May 21, 2007

THIS CONTEST IS OPEN ONLY TO LEGAL RESIDENTS OF THE UNITED STATES AGED TWENTY-ONE (21) AND ABOVE WHO AGREE TO COMPLY WITH THESE OFFICIAL RULES AND PARTICIPATION AGREEMENT DURING THE REGISTRATION PROCESS. BY CLICKING “THE OFFICIAL RULES” OPT-IN BOX UPON REGISTRATION, YOU ARE AGREEING TO COMPLY WITH ALL TERMS AND CONDITIONS CONTAINED IN THESE OFFICIAL RULES AND PARTICIPATION AGREEMENT. YOU AGREE THAT THIS AGREEMENT IS ENFORCEABLE LIKE ANY WRITTEN NEGOTIATED AGREEMENT PHYSICALLY SIGNED BY YOU.

SPONSOR: Music Nation, Inc., located at 455 Broadway, 4th Floor, New York, New York 10013, is the sponsor of the Contest (“Music Nation”).

ELIGIBILITY: To be eligible to participate in the Music Nation Spin Contest 2 Contest (“Contest”), you and all members of your musical group (if you are not a solo artist) must (i) be a legal U.S. resident; (ii) have registered on Music Nation's web site (the “Website”) and agreed to the Website Terms of Use (located at http://musicnation.com/terms), Privacy Policy (located at http://musicnation.com/privacy) and Prohibited Content Policy (located at http://musicnation.com/copyright) as well as these Official Rules and Participation Agreement, (iii) be above the age of twenty-one (21) in the state in which you reside at the time of registration, and (iv) not be under any third party agreement with a record label, production company, publishing company or any other third party who might interfere or claim to have superior rights with you and/or your musical group’s participation (as applicable) in this Contest and/or receipt of the prizes awarded as described below. As used in these Official Rules and Participation Agreement “you” refers to you and all members of your musical group on whose behalf you are entering this Contest. Employees, officers, and directors of the member companies of Music Nation, Sony BMG Music Entertainment (“Sony BMG”), Spin Media LLC and any other prize suppliers, their subsidiaries and affiliated companies and their immediate families and those living in their households, are not eligible to participate in the Contest. THE CONTEST IS VOID WHERE PROHIBITED. All federal, state and local laws and regulations apply.

PERSONAL INFORMATION: Music Nation will be collecting personal information about you as a participant when you register and participate in the Contest. Music Nation will share this personal information in order to fulfill the requirements of the Contest, including sharing such information with record label partners, promotional partners, agents and other third parties in connection with the Contest. In addition, Music Nation may, at its discretion, share your personal information with its affiliates, parent, and subsidiary companies, or other third parties whose products and services Music Nation believes may be of interest to you. For more information on the privacy practices of Music Nation, please visit the Privacy Policy. Submission of a completed registration constitutes acceptance of these Official Rules and Participation Agreement, including the terms of the Terms of Use, Privacy Policy and Prohibited Content Policy.

TERM: GRAND PRIZE: The Contest will commence on April 15, 2008 at 12:01 a.m. EST and end on or around July 31, 2008 at 11:59 p.m. EST (“Term”). Qualifying Artist Pages (as defined below) submitted prior to June 20, 2008 are eligible to compete to win the Grand Prize.

TERM: HEAD-TO-HEAD: The Contest will commence on April 15, 2008 at 12:01 a.m. EST and end on or around July 31, 2008 at 11:59 p.m. EST ("Term"). Qualifying Artist Pages (as defined below) submitted prior to June 20, 2008 are eligible to compete to win the Head-To-Head Prize.

HOW TO PARTICIPATE: To enter the Contest(s), you must create your artist page with other materials you created that you wish to submit (“Qualifying Artist Page”) and “opt-in” to the applicable Contest by agreeing to these Official Rules and Participation Agreement and indicating which Contest you wish to enter. You and your Qualifying Artist Page will then be considered in the competition against all of the other participants and Qualifying Artist Pages submitted for the Contest.

PARTICIPATION BY MINORS: Minors cannot participate in the Contest. You must be twenty-one or older in order to participate in the Contest.

REQUIRED FORMATS FOR MATERIALS:

VIDEO: Your Video must meet the following format requirements: (1) it must be in AVI (Audio Video Interleave); MOV (QuickTime); DV (Digital Videos); MPG (MPEG-2); ASF/WMV (Windows Media Video); or MP4 (MPEG-4) format; (2) it must not be larger than 100MB; (3) it must not be longer than 10 minutes; and (4) it must have a resolution of 320 x 240. STILL IMAGES: Any still images you upload must meet the following format requirements: JPEG, GIF or PNG, AUDIO FILES: Any audio files you upload must meet the following format requirements: MP3.

WARRANTY: By submitting a Video and any other materials (together with the Video and any other materials shall collectively be referred to as the “Materials”), you warrant and represent that (i) the Materials embody original work, created solely by you, and the use by Music Nation permitted herein and as provided in the Terms of Use and Prohibited Content Policy do not infringe on any third party's intellectual property rights, including copyrights, trademarks, or other proprietary or personal rights; (ii) the Materials do not contain material which could be construed as defamatory, inaccurate, abusive, causing harm, obscene, profane, pornographic or otherwise sexually oriented, threatening, harassing to anyone or which may impair others from using or enjoying the Website; (iii) the underlying composition(s) embodied in the song(s) you perform are composition(s) that you own or control, or for which you have obtained a license from all rights holders for all of the uses to be made of the Materials by Music Nation and/or its licensees pursuant to the grant of rights hereunder for either commercial or promotional purposes. You warrant and represent that the Materials are free and clear of any claims and liens by any person whose performances or depictions are embodied in the work, or any person rendering services in connection with the work. You warrant and represent that the Materials do not contain any materials owned or controlled by a third party for which you have not obtained a license, including without limitation, samples, clips, “mashups,” “remixes,” or the like.

TAKEDOWN RIGHT: Music Nation reserves the right to reject, refuse to accept, remove or otherwise handle as Music Nation deems appropriate any Material(s) that it deems to be inappropriate for submission to the Contest or otherwise in violation of these Official Rules and Participation Agreement, the Terms of Use or the Prohibited Content Policy, including but not limited to this warranty, without notification to you and Music Nation shall have no liability to you or any other person in connection with any such action.

OTHER CONDITIONS ON PARTICIPATION: By participating in the Contest, you agree that (i) you are not participating on behalf of any employer or third party, (ii) all registrations and votes are the property of Music Nation, (iii) registrations and votes will not be returned or acknowledged, (iv) Music Nation is not responsible for lost, late, misdirected, incomplete, illegible or otherwise voided entries, Materials or votes, or for any computer-related, online, telephonic, or technical malfunctions that may occur, (v) registrations, votes, and Materials will be considered void if they are in whole or in part illegible, incomplete, damaged, irregular, altered, counterfeit, submitted on behalf of any third party, produced in error, forged, mechanically reproduced, or otherwise obtained through fraud or theft.

OWNERSHIP IN MATERIALS AND LICENSES GRANTED: You retain all ownership rights that you have in your Materials. However, by submitting the Materials to Music Nation, you hereby grant to Music Nation a worldwide, non-exclusive, non-restrictive, royalty-free, sublicenseable, and transferable license in perpetuity to use, reproduce, distribute/license, transmit, make available, prepare derivative works of, display, perform, edit, mix, combine, superimpose, create or add special effects and/or other materials to all or any portion of the Materials (including any titles of the Materials and your name and likeness), and any audio and/or visual excerpts thereof, in connection with the Contests, on MusicNation.com (and all places where some or all of the content from MusicNation.com is available), and otherwise in connection with any of Music Nation's and/or its affiliates’ and/or partners’ current and/or future businesses, including without limitation for promoting and redistributing part or all of MusicNation.com (and derivative works thereof) in any media formats and through any media channels. You also hereby grant each user of MusicNation.com and any of its licensee’s sites a non-exclusive license to access and view the Materials. If you do not want Music Nation to share your Materials or obtain any rights in your Materials, please do not upload these materials and/or participate in the Contests. Additionally, you agree to grant to Music Nation all rights to use any Materials that you submit, and your image, likeness, voice, name, and photograph in correlation with the Materials in any presentations, marketing materials, reports, publicity or advertising relating to the Materials, Music Nation and its partners and licensees, and/or the Contest(s).

HOW TO WIN THE CONTEST:

GRAND PRIZE WINNER:

4/15/2008 – Contests will launch and submission will be accepted.

5/15/2008 to 6/20/2008 – Direct artist participant voting begins. During this time, Music Nation users will be permitted to vote for their favorite artists participating in the Contests. Music Nation users must use the following judging criteria when reviewing the participants and placing their votes: Musicianship - 20% Performance skills - 30% Image - 30% Personality - 10% Songwriting skills - 10%. Direct artist participant voting shall continue until June 20, 2008. Votes will be considered void and will not be counted if Music Nation determines that they (or the applicable user’s registration) are in whole or in part illegible, incomplete, damaged, irregular, altered, counterfeit, submitted on behalf of any third party, produced in error, forged, mechanically reproduced, generated by a robotic, programmed, script, macro, other automated means, or otherwise obtained through fraud or theft.

6/20/2008 – The top 500 artists with the most direct votes will move on to the Head-to-Head portion of the Contest. Any votes/points accumulated during the direct voting round will not carry forward into the Head-to-Head rounds.

6/20/2008 to 7/18/2008 – Industry Insider Selected Head-to-Head Potion of the Contest. During this time, a panel of industry insiders who have experience or knowledge related to the music or entertainment industries will select one (1) participant a week, for four (4) weeks, from the top 500 Head-to-Head artists. These four (4) artists will move on to the Final Round. The industry insiders will make their selections on the following dates: 6/20, 6/27, 7/4 and 7/11. The industry insiders must use the following judging criteria when reviewing the participants and making their selections: Musicianship - 20% Performance skills - 30% Image - 30% Personality - 10% Songwriting skills - 10%. All eligible remaining participants who were not selected in a previous week, will be re-evaluated based on the judging criteria listed above and no weight or value will be given to any previous evaluation(s) related to Materials previously evaluated, but not selected to advance to the next round of the Contest. Participants who are not selected during a weekly round will remain in the pool of participants and may be selected in a later week.

6/20/2008 to 7/18/2008 – User Selected Head-to-Head Potion of the Contest. Also during this time, Music Nation users will use the Head-to-Head player to vote for their top 20 favorite artists. The Music Nation users must use the following judging criteria when reviewing the participants and placing their votes through the Head-to-Head player: Musicianship - 20% Performance skills - 30% Image - 30% Personality - 10% Songwriting skills - 10%. Votes will be considered void and will not be counted if Music Nation determines that they (or the applicable user’s registration) are in whole or in part illegible, incomplete, damaged, irregular, altered, counterfeit, submitted on behalf of any third party, produced in error, forged, mechanically reproduced, generated by a robotic, programmed, script, macro, other automated means, or otherwise obtained through fraud or theft.

7/18/2008 – The 24 finalists are announced and their Materials are delivered to the Judges for the final decision on who will be the grand prize winner.

To be eligible to participate in the Final Round, all participants who were selected to move forward into the Final Round must sign an Affirmation of Eligibility and Publicity/Liability Release and the Finalist Option Agreement. A summary of the Finalist Option Agreement may be obtained by contacting Music Nation. Only if these documents are fully executed may the participant move into the Final Round. If a participant: (a) does not wish to move forward to the Final Round; (b) is ineligible; or (c) does not complete and return the required paperwork within five (5) business days of receiving these documents, the participant will be disqualified and Music Nation will select, as an alternative, the participant who had the next highest score.

7/18/2008 to 7/31/2008 – Final Round Judging. During this time, a panel of judges (the “Judges”) who have experience or knowledge related to the music or entertainment industries will select the grand prize winner of the Contest. The industry insiders must use the following judging criteria when reviewing the participants and making their selection: Musicianship - 20% Performance skills - 30% Image - 30% Personality - 10% Songwriting skills - 10%. Music Nation reserves the right to designate a song to be recorded by each or any Finalist during the Final Round of Judging.

In the event of any ties during the Contest, Music Nation will make all final decisions.

HEAD-TO-HEAD PRIZE WINNER:

The artist with the most Head-to-Head votes throughout the Head-to-Head portion of the Contest will be the Head-To-Head winner. Music Nation users will base their voting decisions of the Head-To-Head winner by using the following criteria: Creativity - 20% Overall Concept - 30% Execution - 30% Personality - 20%. In the event of any errors or confusion with judging, Music Nation shall have the right to make all final decisions. Votes will be considered void and will not be counted if Music Nation determines that they (or the applicable user’s registration) are in whole or in part illegible, incomplete, damaged, irregular, altered, counterfeit, submitted on behalf of any third party, produced in error, forged, mechanically reproduced, generated by a robotic, programmed, script, macro, other automated means, or otherwise obtained through fraud or theft.

WINNER NOTIFICATION: Within seven (7) days of determining the Grand Prize winner for the applicable Contest, Music Nation will notify the potential Grand Prize Winner. The potential Grand Prize Winner will be notified by e-mail. Each potential Grand Prize Winner must respond to the e-mail within twenty-four (24) hours to be eligible to receive the Grand Prize. Music Nation, Sony BMG Music Entertainment, Spin Media LLC and any other provider of prizes and their respective affiliates, parent, and subsidiary companies, employees, agents, officers, and directors, advertising and contest agencies, and their respective officers, directors, employees, and their respective agents will not be liable for unsuccessful efforts to notify any potential Grand Prize Winner(s). If a potential Grand Prize winner declines the Grand Prize, fails to claim the Grand Prize, fails to meet the requirements for fulfillment of the Grand Prize, fails to abide by the Official Rules and/or Participation Agreement, the Terms of Use and/or Prohibited Content Policy, or is otherwise determined to be ineligible in Music Nation's sole discretion, Music Nation may select as a new potential Grand Prize winner, the participant with the next highest overall score in the music genre in the Final Round of the Contest.

FINALIST OPTION AGREEMENT

If you are selected to become a Finalist, you will be required to sign a written Finalist Option Agreement with either Sony BMG Music Entertainment and/or Music Nation that grants to Sony BMG and/or Music Nation the option to enter into an exclusive recording agreement with you, which will include the exclusive right to record and distribute sound recordings and which will, at a minimum, include all customary terms in a recording agreement for development level artists. If you are selected to become a Finalist, but do not win the Contest, you agree to grant to Sony BMG and/or Music Nation the option to enter into a demo-type recording agreement with you which will, at a minimum, include all customary terms in a demo-type recording agreement for development level artists. Summaries of both the development and demo agreements described above are available upon request from Music Nation.

WHAT DO YOU WIN?

Grand Prize. The participant selected as the Grand Prize winner in each music genre will receive: (i) the prize(s) as more fully described on the Prize Page (http://spin.musicnation.com/prizes), which shall include a development agreement with either Sony BMG and/or Music Nation which consists of Sony BMG's and/or Music Nation’s exercise of the Finalist Option Agreement described above; and (ii) if applicable, additional prizes will also be listed on the Prize Page. For the approximate retail value of the Grand Prize and/or any other prizes, please see the Prize Page or contact Music Nation if such information is not listed.

In the event that there are any promotional obligations in connection with the Contest, you agree to comply with such obligations. In connection with these obligations, the Grand Prize winner will be provided with hotel accommodations and transportation for said promotional obligations that arise out of the Contest (e.g. television appearances, show performances).

Music Nation reserves the right, in it sole discretion, to disqualify any entrant who is under a third-party agreement which Music Nation deems as contradictory to the amateur nature of this Contest. Music Nation assumes no responsibility for any disputes among members of bands that are entered into the Contest with regard to the songs submitted into the Contest, or any disputes among the various individuals and/or entities that have collective interest in any submitted song. In the event that any such dispute or personnel change interferes with the operation of the Contest, entrants and their respective band members involved in the dispute may be disqualified, in Music Nation's sole discretion. Music Nation reserves the right to hold additional, separate sub-contests that will be announced during the term of the Contest. In the event that Music Nation chooses to hold additional, separate sub-contests, it will post the information on the Website.

ABILITY TO TERMINATE: Music Nation reserves the right, in its sole discretion, to cancel, terminate, modify or suspend all or part of the Contest. If Music Nation, in its sole discretion, determines that the Contest, or a portion of the Contest, is impractical, or if any portion of the Contest is deemed to be fraudulent, void, unlawful or if there are any technical or administrative malfunctions, errors or other problems that affect the structure, terms or lawful administration of the Contest, Music Nation may terminate, cancel or otherwise modify the applicable Contest, in whole or in part.

DISQUALIFICATION: Any violation of these official rules by any participant, in Music Nation's sole discretion, will result in such participant's immediate disqualification from the Contest.

LIMITATION OF LIABILITY: By submitting a completed registration on the Website, participants release Music Nation, Sony/BMG, Spin Media LLC and any other prize provider and their affiliates, parents, and subsidiaries companies, record label partners, sponsors, employees, agents and officers, advertising and promotion agencies, as well as all others providing prizes and/or otherwise associated with the development and execution of the Contest, from and against any and all liability with respect to or in any way arising from the Contest, and the awarding and use of any prize(s). Music Nation assumes no responsibility for any error, omission, interruption, deletion, defect, or delay in operation or transmission, communications line failure, theft or destruction of, or unauthorized access to, any Contest registration, voting or Materials submission, or alteration of registration data.

LAWS: The Contest is governed by the laws of New York without regard to the conflicts of law provisions.

WINNER'S LIST: To obtain the names of the winners of the Contest, please visit the Website located at www.musicnation.com where a winners list will be posted for at least thirty (30) days following the completion of the Contest.