Cengage Seeking to Engage with Authors Regarding New Digital Royalty Allocations Post-Lawsuit

By Kim Pawlak, TAA Executive Director

Following ​a ​$20.9 million settlement of a class action lawsuit ​o​ver allegedly underpaid ​author royalties​, ​Cengage is now seeking to engage with its authors regarding new Digital Royalty Allocations (DRA) of royalties from digital courseware relating to their titles. Catherine Schnurr, the publisher’s director of product strategy and operations, sent letters to Cengage authors in March, asking them to contact their Author Relations Managers to schedule a meeting to discuss how the publisher has calculated their DRA in the past and how they will calculate it going forward.

In the letter, Schnurr states: “Your active participation in this process is valued and will help ensure your voice is heard, and your past efforts and future contributions are recognized.” She also said that Cengage is “now focused on strengthening our close partnership with authors,” and “intends to be as transparent as possible” about past and future DRA calculations. She added that “depending on your individual circumstances, the new calculation could result in an increase or decrease to your DRA.”

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What Authors Need to Know About Cengage Class Action Lawsuit Settlement

On November 24, 2024, the federal district court in New York granted preliminary approval to a $20,990,000 settlement of claims of royalty underpayment by Cengage Learning, Inc., in a long-running lawsuit brought on behalf of Cengage textbook authors by the class action law firm Susman Godfrey. There is a January 22, 2025 deadline for any authors wish to opt out of the class or to object to the settlement.

Cengage authors have asked us various questions about the settlement. Zick Rubin, attorney at the  Archstone Law Group and long-time TAA member (zrubin@archstonelaw.com), has provided some answers.

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Stressed About Your Publishing Contract? These 10 Tips from an Intellectual Property Attorney Can Help

By Sierra Pawlak

Making sure you’re getting a good textbook publishing contract can be stressful and confusing, but these ten tips from Brenda Ulrich, an intellectual property attorney at Archstone Law Group, PC, should help you feel more confident to negotiate a contract that’s right for you. Ulrich shared this advice in her 2024 Conference presentation “Top 10 Tips for Publishing Contract Negotiations.”

“No two contract negotiations are the same, no two publishers are identical, and no two authors are alike,” says Ulrich. Knowing what’s important to you dictates how your contract can be best suited to you and your needs, depending on where you are in your career, why you’re writing your book, and what your long-term plans are with your publisher. “There are a lot of things potentially at play in a contract negotiation” she says, so focusing on what’s most important to you is essential.

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TAA Member Phil Wankat’s Curation and Commentary of ‘The Academic Author’ Archives – Installment 3

The third installment of TAA Member Phil Wankat’s curation and commentary of the archival issues (1994 to 2010) of the The Academic Author, Contracts and Legal Comments, is now available. Articles include “Judges Frown Gravely on Plagiarists,” “Authors bristle at 10 percent electronic royalties.” “Protecting your rights to original art.,” and more.

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Share Your Book Contracts, Royalty Statements for Complimentary Review

TAA member Joseph Rust, CPA, CFP, an accountant with Prager Metis CPAs, is seeking authors interested in sharing their book contracts and royalty statements for a complimentary review. Rust would also like to know what authors’ concerns and questions are when it comes to their contracts and royalties statements. He plans to take the information he learns to provide resources, including a glossary of royalty statement terms, to TAA members in the coming months.

Please reach out to him directly at jrust@pragermetis.com. His full contact information can also be found in TAA’s Professional Directory.

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WIPO Publishes Contracts Toolkit for Authors and Publishers

The World Intellectual Property Association (WIPO) has published a new toolkit for authors and publishers that includes “a checklist of the most essential considerations while drafting and concluding a contract.”

Contracts in Publishing: A Toolkit for Authors and Publishers, was drafted by Brian Wafawarowa, Chairperson of the Publishers Association of South Africa (PASA), and Isobel Dixon, a renowned South African poet and Head of Books at Blake Friedmann Literary Agency in the UK, in consultation with several international author and publisher organizations.

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