Hypothetical find- privately recorded music by known artists- options?

I don't have any lost Elvis tapes But a friend of mine got a unit a while back. I haven't yet gone to see him, but I think he got some stuff from a musician who played with " he thinks" Bob Dylan. In some of the stuff- he has some cds/ dvds. that sounded like they were from a studion session. So the real question is- what legaly could you do with an item like that? Ebay? Auction? I assume that if it was high audio quality- it couldn't be made into record/cd because of copywrite laws. Any input? Thanks-M

A lot would depend on the musician(s) involved, and I'd think the best thing to do would be to seek out a collector who seeks out such unique tracks or has contacts that do so.  Yes, if they are valuable, he will probably have to give them a higher percentage than he'd probably like, but realistically, he's going to make more in the long run that way than by simply flipping them to a buyer.
   Remember the story of Darryl Sheets comic book find.  He found them in a unit, they were worth 3.2 mil.  He sold them to a comic guy for 80k, quick cash.  The comic guy turned around and sold them to the insurance company that covered the claim in the first place for 800k.
   Patience can add up.  (And before ANYONE accuses me of being as stupid as Dave Hester, that is merely an example of grabbing a 'quick buck' rather than doing due diligence).
   He may also want to contact the artist themselves to see if they are interested in buying them.

Thanks Ben, great advice-M

For those who don't mind treading on the edges of legality...

There is a bootleggers convention that comes through town every year and most of the vendors travel the country year round selling bootlegs. The reason they haven't been shut down is because they mostly focus on music & videos that aren't available on the market. Mostly odd recordings and live shows.

Some of those vendors would love to get their hands on something new. Especially if it's an artist everyone knows. Could be a source to get a decent buck off some rare recordings.

That said, I'm not a lawyer and you have to make that judgement call.