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Q: "Years
ago, when we wrote our first high school textbooks and workbooks, these
items were sold to the schools and we received royalties on each component. Then
as publishers began giving away more and more items to secure a big
adoption (or a state listing), they began giving away ancillaries. Now
they even give away some student books.
At first the publishers
would give away the ancillaries they themselves had produced (without
authors -- as 'managed' items for which they had paid writers a flat
fee). So at one point our publisher had a "managed" workbook, which
they would give away; we got royalties on our authored workbook when
it was sold.
Now they are often
giving away both their 'managed' workbook and our 'authored - royalty-bearing
- workbook. Whereas the writers for the managed workbook were paid
in advance, we as authors are not 'paid' until the workbook is
sold. As the publishers give away more and more of our authored materials,
our royalties decline substantially.
Do we have any
recourse? For example, if they give away our authored materials, can
we claim a royalties payment or equivalent payment? Any other suggestions?"
A: Paul
Rosenzweig, TAA Council Member:
"It's hard to
quantify the circumstances and quantities from your posting. I
have been auditing authors' royalties for 15 years and giveaways have
been around all that time and then some years prior (in any earlier
incarnation I was CFO of a publisher), so your report doesn't appear
to be a new event.
Many publishers
are packaging titles in kits, where books and ancillaries are sold
as a unit (with a separate ISBN for the kit), but in most cases, sales
on the royalty statements are reported under each component's original
ISBN. The components are not giveaways, and the usual procedure (in
the royalty department) is to allocate the revenue from the kits by
the proportionate list prices of the components. It would require
an audit to validate that the publisher is adhering to your contract's
terms and allocating kits properly.
If you have information
that the giveaways are not kit components, you should be able to find
out from your editor (or a chatty sales/marketing/promo department
person) under what circumstances the giveaways are occurring. Check
your contracts; most publishers' contract boilerplate contains a provision
excluding royalties on 'copies given away for promotion.'"
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