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When Publishing Contracts Go Bad

drmofe writes: "It's not just recording artists who are getting screwed over royalty payments and publishing rights. MediaChannel has an op-ed piece asserting that standard publisher-author contracts are now so restrictive that they might in fact be "restraint of trade" under the US anti-trust laws."

17 of 140 comments (clear)

  1. Open Content License by pmancini · · Score: 5, Informative

    There already is one. I use it on my work, "The Japanese Art of War." I think the real upshot of this story is that more and more people will consider using vanity press. It would be difficult to publish as many books that way, but if you are not going to get paid for it, then what is the problem? If you make more money selling 10,000 books via vanity than selling 1 million books via a publisher why wouldn't you accept the risks of a vanity pressing? At least you get total control of your book before, during and after publishing. Look at ID - those guys did great selling doom on their own. In the end they made more money selling via Activision -- but I think the deal they got there was much sweeter.

  2. Re:A perfect solution: the internet. by Aanallein · · Score: 5, Informative

    Are you aware of Tad Williams' Shadowmarch? (Also see slashdot story 1 and 2)
    It's his latest fantasy story, but he's publishing it online - completely on his own, no publishers involved. ($18 for a subscription of a year (first 5 episodes can be read for free), for which instead of proprietary formats used by far too many epublishing projects, you get regular HTML files - it's so good to be able to grep through your local copies to quickly find other references to characters or events.)
    And although he's making far less money with it than with regular books, from what I know the site should be paying for itself. Which makes this a very interesting development for all authors wanting to do without publishers. Once you're a big name author, it is possible. :)
    And I'm thinking, the more projects like this that will actually be somewhat succesful, the sooner people will be willing to give less known authors a try as well. Every satisfying experience will create more demand for similar projects, and will make other authors consider doing this sort of thing as well. Who knows, we might just not be doomed to eBooks after all... :)

    As you also mentioned, the almost immediate reader feedback on what he writes was one of the major reasons to start this project. And I as a reader just love seeing how remarks and suggestions made about previous episodes have a noticeable impact on new episodes.

  3. Re:Negotiate by ChaoticCoyote · · Score: 5, Informative

    Actually, they do have something -- a pool of people who may not be the "best", but who are willing to work cheaper and give up copyright.

    Up until the late 90s, I was always able to politely ask, "Can I retain copyright, and can we strike the 'future works' clause?", and the publisher would kindly modify the contract. That has since changed.

    The world is changing, and it isn't for the better...

  4. National Writer's Union - Contract Advice by Seth+Finkelstein · · Score: 4, Informative
    If you are ever contemplating a book contract, read the page of

    Grievance & Contract Division

    of the

    National Writer's Union

    Well worth it.

    Sig: What Happened To The Censorware Project (censorware.org)

  5. Get an agent by david.given · · Score: 5, Informative
    I read rec.arts.sf.composition. A lot. There are an awful lot of professional authors there, and whenever someone says, "I sent my manuscript to [publisher] and they accepted it. They sent me this great huge contract to sign. What do I do now?" there is only one reply.

    GET AN AGENT.

    Yes, the publisher will screw you if you sign that contract. That's because they don't seriously expect you to sign it; it's the first step in the negotiation process. If you get an agent, that agent will know all about this, and will get you a much fairer contract in practically no time. That's what the agent is for.

    A good agent can get you a far better deal than you can. All professionals use agents. (Unless they're lawyers writing in their spare time... does happen.)

    GET AN AGENT.

    (Disclaimer: IAmNotAnAuthorIJustPretendToBeOne.SeeALicensedProf essionalIfSymptomsPersist.)

    1. Re:Get an agent by bookguy · · Score: 2, Informative

      So, I am an literary agent, and let me say that there is some serious misinformation here.

      For one thing, though I love selling books to small presses, their contracts are always more restrictive, more draconian, more money-grabbing than the corporate publishers' versions. That's because running a small press is a far more financially difficult endeavor (it's a true labor of love), and small presses need to eke every dollar they can out of the books they publish. Do I like these contracts? Do I feel that they are "the best" I can do for my client? No, but the situation may make more sense overall than dealing with the big corporate publishers (what we call the "trade" houses) for a particular author.

      Secondly, many of the concerns raised by the MediaCentral article are legitimate -- but as david.given wrote above, agents not only routinely change the boilerplate on many of these topics, but publishers essentially have different boilerplates they use for agented vs. unagented manuscripts (as well as different negotiated boilerplates for the various agencies).

      Yes, the electronic book issue is a sore one for many of us in the agent's and author's community. And other technologies (print-on-demand, direct sales via publisher websites) offer opportunities for profit that under the current contracts authors will not share. It's a conflict that won't get resolved this year. But I'm betting that within the next few years, as these technologies become implemented to a greater extent, we'll see the authors and agents communities even the scales. I certainly will fight these issues fiercely once we see real revenue being generated from them. Part of the problem is that without revenue, it's hard to develop economic and fiscal models that make sense of how to divide the pie. When there ain't no pie, you can't cut it wisely. Once the pie starts to be real, and not a figment of hope and fantasy, you'll see these issues addressed far more aggressively by authors and their agents.

      Do I think that publisher's contracts are generally not friendly to the author? Of course. But, within reason, there are things that a good agent can do to mitigate these problems. Not fully, but enough to make contracts more equitable. On the other hand, I can assure you that the agents I know would more than welcome some changes to the standard clauses we view as being draconian and unfair. For example, everyone I know is eager to see the results of the class action suit against HarperCollins regarding the royalty it pays for sales through its Canadian sibling -- many of us view the royalty currently being offered as being both inequitable and substandard in comparison to that offered by the other major publishers. The point is, there's stuff in there that isn't exactly author friendly, but with a good agent, you can sign a reasonable contract and make good on the investment of your time and your intellectual capital.

  6. Engineers' IP by andaru · · Score: 3, Informative
    They do the same thing with your IP when you get a job somewhere. The only reason you have to give up your right to patents you create on the job is because every "employment contract" (read: conglomerate of employment, NDA, and IP rights waiver) makes you give them up.

    At times when engineers have more clout, they can do something about it (although I think most people just shrug and sign the forms without any negotiation, which could be part of the problem), but if you need the job, and they have it, you have to sign.

    --

    Why is Grand Theft Auto a much more serious crime than Reckless Driving?

  7. Self-publishing can be the way by jquiroga · · Score: 4, Informative

    If the future book lends itself to self-publishing, why not?

    The most successful self-publisher I know about is Edward Tufte. He has sold hundreds of thousands of copies of his three books. There is an interview in which he tells why and how he self-published.

    An excerpt from that interview follows:

    It turned out that all self-publishing required was a really good book designer, some money, and a large garage. For capital, I took out another mortgage on my house. This also concentrated my mind, in part because interest rates were 18% at the time. The bank officer said this was the second most unusual loan that she had ever made; first place belonged to a loan to a circus to buy an elephant!

    My view on self-publishing was to go all out, to make the best and most elegant and wonderful book possible, without compromise. Otherwise, why do it? If I wanted to mess it up, I could have gone to a real publisher. And I also wanted a reasonable price so that the book would be widely accessible. It all worked out, dreamlike

  8. Some bad, not all by orblee · · Score: 2, Informative

    Not all publishers screw authors. Yes, contracts tend to attempt to reduce the risk to the publisher, but that is because it is the publisher that books time at the press, pays the money to print, pays the distributors, gets the sales guys to convince every bookshop to own a copy, deals with translations, sorts out marketing deals when the books aren't selling as well as they'd like, etc. There are always many thousands of up front costs that have to be covered, aside from the staff wages and printing costs.

    Most of the profits don't go to the publisher, but to the shops who sell them. True they have a risk in carrying all this combustible material that may not sell and has to be shifted if it doesn't, but publishers can get a relatively small share. Not all, but some. Find a relatively small publisher, like O'Reilly or Wrox for IT books, and negotiate a deal. If they really want to publish your work, then they will strike a deal.

    Copyright was invented for writers of printed material, to protect both the author (and his family) and the original publisher. Make it work for you.

  9. This has existed to some degree... by freeBill · · Score: 4, Informative

    ...for a long, long time. What seems to be changing is the insistence on not changing the terms.

    As far back as 1975, Frank Herbert (a very successful author) and Ben Bova (a fairly ethical editor) were telling young authors never to sign the first contract a publisher offered you. The contracts always included all kinds of outrageous clauses. (Well, maybe not all kinds, since this article points out some new ones.) Herbert said that even with all his experience the publishers were still sending him exploitative contracts and his agent was still crossing out sentences and sending them back.

    Bova claimed that the publishers knew the contracts were outrageous, fully expected them to be rewritten by the authors, and continued to send them out in hopes of achieving the indentured servitude of a major talent. Some first-time writers told them they were afraid they wouldn't get published if they crossed out things on the contract. But Bova maintained that the publishers would agree to any reasonable change because their editors would already have decided they wanted to publish the book.

    This last seems to be the thing which is changing, according to the linked article. Which seems strange to me, given the fact that writers have never been in a position of greater power. It has never been easier to self-publish, let alone the possibilities of publishing your own work on the Internet.

    In summary, when you get an outrageous offer:

    1) Read the Writers Union advice linked in an earlier post, cross out the things you should cross out, and send it back.

    2) If you're not comfortable doing this yourself (or if you're tired of doing it yourself every time you get an acceptance), get an agent. Again, this is explained in an earlier post.

    3) If your publisher refuses to comply, get another publisher or self-publish.

    Life is too short to allow yourself to be enslaved by immoral cretins.

    --
    Eternal vigilance only works if you look in every direction.
  10. terms were misused: it's not vanity publishing by Schlemphfer · · Score: 2, Informative

    Pmancini said some interesting things, but he confuses self-publishing with vanity presses. There's a big difference between the two. In a nutshell, self-publishing is for smart people and vanity presses are for idiots.

    With self-publishing, you pay for book design and printing, which sets you back less than two bucks a book. When you hire a vanity press to do that, they deliver the books to you for perhaps ten bucks apiece. At that price, you can't afford to give standard wholesale discounts, and you lose your shirt. Most vanity books end up in a big pile in the author's garage.

    This obviously isn't an exhaustive summary of how self-publishing differs from vanity publishing, but I wanted to set the record straight since the term was misused in the above post. I'd suggest people read Dan Poynter's books if they are interested in self publishing.

    --
    I'm generally "Interesting," "Insightful," and even "Funny" here. What the hell happens to me at parties?
  11. Some provisions not so new... by west · · Score: 3, Informative

    From the article:

    In the past, when an author signed a contract with a publisher, he or she could safely assume that the book under contract would be published. However, as a general rule, most publishers now insist upon a clause that relieves them of that obligation. More specifically, if a publisher chooses for any reason not to publish a given book, the author can keep the portion of the advance that has been paid. But that's all. And in some instances, if the author resells the book to another publisher, even that partial advance must be repaid. In other words, the standard publishing contract today is nothing more than a one-sided option to publish--obligating the author, but not the publisher.


    Actually, a clause like that has always been there. The difference is that before it took a catastrophe of major proportion to make a publisher actually invoke the clause. Nowadays, when a publisher is in peril (or at least its profits are), it invokes those clauses much more easily. A favourite for fiction publishers is the due date clause. Most fiction authors are perennially late, and this clause (which has always existed) can allow you to can a substantial number of books for only half their advance.

    Of course, publishers that play dirty games soon become publishers of last resort among those in the know. The name of the game here is to keep up on industry gossip! Join any author associations that you can and mingle with established authors.

    Also note that the rules for bestselling authors are so different from beginning authors that there's not much to be learned from them. Find a midlist author (or three) who's work you like (most authors are very amenable to heartfelt complements :-)) and pump them for advice...

  12. This sold me on not writing a book... by eimaj · · Score: 2, Informative
    I wrote an article in a programming journal in early 2000, and I was soon after approached by a publisher to write a book on embedded development. I seriously considered it, until I read Philip Greenspun's book behind the book.

    Favorite quote: Five percent of retail is fair if you abandon one erroneous assumption: that the publishing industry exists to compensate authors.

    Same ideas as the linked article, just more in depth.

  13. Re:Article is TWO YEARS OLD! by jackjumper · · Score: 2, Informative

    Just because it's two years old doesn't mean it's not interesting. The information in it is timely right now because of all the other intellectual properties debates going on

  14. Tell me about it by Rogerborg · · Score: 4, Informative

    This isn't news to me. I'm a novellist looking to get a first novel published, and have been hearing the same things. Publishers have realised that they can sign up more books than they can actually sell, and then keep some of them as perpetual bankers to fill slack spots. It's not really anything sinister, it's just that commissioning editors are more keen to justify their existence by signing up books than marketing managers are to dilute their budget stuffing the channel with no-namers. It's simple supply and demand: book buyers make their decision mostly based on the author name, then in decreasing order of importance, the cover art, the title, the cover quotes (from authors in the same stable, naturally), then the cover blurb and finally the author bio. Consider the shelves groaning under the weight of Koontz, King, McCaffrey and Pratchett, and anything featuring Josh Kirbyesque artwork for that matter.

    I have been advised that my options for a first novel are:

    • Give - and I do mean give - it to a publisher under terms that make it a no brainer for them to publish, i.e. forget about royalties and perhaps even an advance in return for their investment in putting me on shelves. This is achievable, as I've got a good nine to five job and I don't actually need the income from writing, but I'm not exactly taken with the idea of writing !!! FREE BOOK !!! SAVE $$$ !!! on the manuscript.
    • Try and get it accepted (with major modifications) as a ghostwritten or genre piece by a publisher looking to fill a gap in a series. This is very close to work-for-hire, and it doesn't appeal at all.
    • Write at least three books up front, and expect to agree to give first-refusal rights for another three to a publisher.
    • Self publish. No, only joking. You can't even give books to retailers, as shelf space costs money, and unknown authors without a slick jacket and marketing campaign just don't move books, see above.
    • Sell on the 'net. Apparently the Easter Bunny delivers your money.

    I'm going for the multi-book option. If publishers want to sell trilogies, a trilogy they shall get (with outlines for five more). I stopped book the first a little prematurely at 90,000 words, and am 30,000 into book the second. I've pretty much accepted that I have to write another 120,000 words or so before I can approach a publisher from anything like a position of strength. As I said, this isn't a problem for me, writing is a hobby at the moment, and the long term payoff will be better. But this would be impossible for someone wanting to write for a living.

    This is quite apart from the problem of stopping your work from going straight off the top of the slush pile into the outgoing mail (or the round file). What's making that situation worse is that many publishers are looking for The Next Harry Potter, which means they're prepared to throw their slender resources at promoting a very few new "personality" authors in the hope of making it big, while treating the majority of their current stable as shelf padders and rejecting the rest of the new authors out of hand. Publishers don't accept books any more, they accept authors and series. A slush pile submission really has to be accompanied by a colourful and illustrated biography; you're not submitting a well written novel, but an attractive sales pitch for an ongoing cash cow.

    Bear in mind that I'm still optimistic enough to believe that if I put in the work up front, I can be one of those lucky breakthrough authors. Get back to me in a few years, and I might have even more reservations about the whole process. ;-)

    --
    If you were blocking sigs, you wouldn't have to read this.
  15. Re:A perfect solution: the internet. by Aanallein · · Score: 2, Informative

    I get the feeling he's pretty relaxed about sharing copies on a small scale though

    I wouldn't say that. Rather, as you also mention, he's simply realistic and knows that no matter how much he might hate it, it'll happen.
    Though I don't actually think it happens all _that_ much. Perhaps a few copies between friends, but I've just searched in various places and haven't found any mention of the episodes so far. Then again, I probably don't have a clue where to look anyway. :)

    I may even subscribe - think I'll read the free chapters first though.

    Always a good idea. :) Two things I'd like to add though.
    1) Don't be put off immediately by the present tense used in the story. Yes, it makes for quite strange reading at first, but you'll grow used to it, and it adds a great sense of immediacy.
    2) Something I hope you'll be willing to take my word for (and for that matter, I hope people here are willing to forgive me for going slightly offtopic like this), the first five episodes do not do justice to the story. They're great for introducing the world and the characters, and showing a bit of the magic in the world, but after having read only the first five episodes I was fearing the story itself would be somewhat mediocre and cliche. Nothing could be further from the truth, but that only becomes apparent after those first few episodes.
    Luckily they should be able to convince most people to want to read further anyway, but if after having read them you're doubting whether or not to subscribe, and the quality of the story is a major part of that, then you know now there's at least one person :) who thinks the story has far more promise later on.

    *ponders* Hmm, maybe I should write a full fledged review for Shadowmarch for use here at slashdot... 's kinda hard with the project still running though. Hmm, I'll have to think about that.

  16. Article entirely one-sided by notasheep · · Score: 2, Informative

    Some notes relative to the computer book publishing business:

    First for you technical writing copyright hounds: It is usually very easy to retain copyright for your work - just ask for it. The shelf life of your content is so short all the publisher really cares about is who gets the licensing rights. Even if you assign copyright to the publisher you will more than likely get that back when your book is taken out of print.

    Authors are not screwed on royalty.
    If you've ever seen a fully loaded P&L for a book you'll realize that in the end the publisher and the author basically split the pie. And that's if the author is getting a 10% royalty. The difference is the author gets most of their money up front while the publisher waits 18-24 months to get theirs.

    Why you might get half royalties for electronic content:
    Every online site wants the material in a specific format. It costs money to get your content put into that format. There is no revenue going back to the publisher in that market. Publisher's do it now in hopes the market may one day take off. The Publisher is assuming virtually all of the risk in entering that market and deserves the lion's share of the paltry returns. In the future, as the market grows you'll see more equity.

    --
    Your mind looks a little cramped. Why don't you stretch it a little?