There seems to be a growing trend in society – one that is quite heartwarming amidst other news – for people to use the gifts and rewards of their own lives to “pay it forward” for the success and advantage of others – even strangers. Perhaps you have been the recipient of one of these acts of kindness at a local drive-thru where the person in front of you paid for your order. Or maybe you have had someone in your life take extra time to encourage and teach you – selflessly helping you pursue your dreams and goals.
Q&A: Textbook succession planning–What is a reasonable royalty rate for the original author?
Q: “What is a reasonable royalty rate for an author whose name will remain on a (successful) textbook, but who wants to stop doing the revisions? What sort of language in the revisions clause can protect your heirs?”
A: Zick Rubin, Attorney, Archstone Law Group P. C.:
“This is a very important item. Here is a formula that is sometimes proposed by authors and that is sometimes acceptable to publishers for a successful textbook: 75 percent of the royalties (i.e., the contractual rate) in the first edition in which the author does not take part, 50 percent of the royalties for the second such edition, and 25 percent of the royalties for the third and subsequent such editions.
Q&A: What is a fair royalty arrangement when taking on textbook co-authors?
Q: “I would like to phase out of my textbooks and take on co-authors to keep them going. What is a fair royalty arrangement?”
A: Michael Lennie, Attorney, Lennie Literary & Author’s Attorney:
“I usually deal with this issue in the revised editions clause by negotiating a 60/30/15 percent provision. Under this provision the retiring author receives 60/30/15 percent of the full royalty for the first/second/third and thereafter edition in which he does not participate. Higher percentages are available depending on the number of prior editions and the reputation of the retiring author.”