The Net Revenue Royalty Clause
Publishers traditionally have based royalties on the retail price of the book – the list or cover price – or more rarely, the invoice (wholesale) price of the book. Another approach, however, always has existed: a net revenue formula. This formula is based on the publisher’s actual receipts after all discounts and costs of sale, rather than the retail price. This type of royalty...
Read MoreGetty Images’ New Policy
In the movie “The Princess Bride” the hero, played by Cary Elwes, is tortured to death. Except it turns out he’s only “mostly” dead, and he can be revived. Likewise, Getty Images now are “mostly” free. Some background. Contrary to what many people believe, photos, drawings, and images are protected by copyright law, and you may not use them without the permission of the owner (usually the...
Read MoreThe Google Book Scan Lawsuit Decision
I have written before about the Author’s Guild copyright infringement lawsuit against Google for its unauthorized digitizing of copyrighted works. Now, after eight years of litigation, we have a decision. Briefly, in 2005 the Author’s Guild and other plaintiffs filed a class action lawsuit against Google for its “Book Search,” alleging that Google violated the copyrights of authors and...
Read MoreThe New Copyright “Small Claims” Proposal
Background: Perhaps the greatest intellectual property dilemma facing American writers is the difficulty of enforcing copyright claims when the damages are not large – and, conversely, the high cost of defending against frivolous or unjustified claims. Currently, all infringement lawsuits must be brought in federal court, and registration of the copyright is a precondition. (Unless a large...
Read MoreAgency Clauses in Publishing Agreements
An agency clause is a paragraph of legalese in your publishing agreement. It gives your agent the right to collect all royalties (including advances) directly from the publisher. The agent then deducts her commission from that amount, and sends the remainder to you. The agency clause isn’t required by your publisher — it has no interest in where your royalties go, as long as it is...
Read MoreAgency Clauses
An agency clause is a paragraph of legalese in your publishing agreement. It gives your agent the right to collect all royalties (including advances) directly from the publisher. The agent then deducts her commission from that amount, and sends the remainder to you. The agency clause isn’t required by your publisher — it has no interest in where your royalties go, as long as it is...
Read More