Thank you all for the responses.

Can I assume from the responses that people think libraries are generally a good idea?

When you sign an agreement to have your songs in a movie or tv or whatever at that point does the person then say "show us your work for hire agreements"? I thought I had read instead somewhere that they have you sign something saying that you own all the work yourself and protecting them from possible lawsuits. So that if a bandmember got angy there only recourse would be to sue me instead of them.

If I go to my friends now and say "I want you to sign an aggrement to pay you $200 a song if sell the song" and then I get a deal that's for very little money that I want to take what do I do.

My project required only about an hour or two per song recording time from most people but involved more then a dozen musicians. Most of whom were good, but not pro musicians. How do I go about setting a rate of payment. My general thought is that I want to pay them more then the standard "rate", since they believed in me and were willing to work without any money up front.

I'm tempted to just set a figure, like $200, and tell everyone that's what they'll get paid on a song by song basis. I come from a fairly tight community of people in my city and I think if I tell everyone that's what everyone else is getting (and imply I could always re-record their parts if they don't play ball) then it would be fine.

But I'm still concerned about all this, any further thoughts would be appreciated.