Textbook authors settle lawsuit over Cengage Unlimited

Textbook authors David Knox and Caroline Schacht have settled their lawsuit with Cengage over its Cengage Unlimited subscription service for an undisclosed sum. Under the terms of the agreement, the rights to the authors’ textbook, Choices in Relationships, will revert back to them, and Cengage will receive all rights to the authors’ remaining textbooks, Marriage and the Family, and Understanding Social Problems.

Cengage authors David Knox and Caroline Schacht filed a class action lawsuit against Cengage on May 14, claiming the company’s emphasis on digital distribution, including its new Cengage Unlimited model and expanded digital courseware offerings, violated their publishing agreements, and that the company was refusing to provide information that would allow them to audit their royalty payments.

Reviewing your author contract: Planning for the future

The life cycle of a successful textbook reaches well past the life of its author, given that copyright law currently extends rights in a work to the life of the author + 70 years. That means not just your children, but even your grandchildren may benefit from the fruits of your labors. At the same time, for books—and in particular textbooks—governed by publishing contracts, it is important for both you and your heirs to understand your, and by extension their, rights and responsibilities.

The first step is to pull out your publishing contract. If it is a typical royalty-bearing contract, then you likely have rights in every revision in which you participate.

Cengage denies trampling authors’ rights, claims Cengage Unlimited will increase author royalties

In its response to a class action lawsuit filed against them in May by David Knox and Caroline Schacht, Cengage denies that its business model “tramples on” or is in any way inconsistent with its authors’ rights and believes that the new Cengage Unlimited model will “increase sales and revenues (and, accordingly, royalties to authors).”

Cengage authors Knox and Schacht filed their class action lawsuit in the U.S. District Court for the Southern District of New York on May 14 against Cengage claiming the company’s emphasis on digital distribution, including its new Cengage Unlimited model and expanded digital courseware offerings, have violated their publishing agreements. The suit also claims that the company is refusing to provide information that would allow them to audit their royalty payments.

Will Cengage’s rising tide lift all boats?

Subscription models for reading materials are not unheard of in other industries, but they are a new model emerging within the higher education publishing industry. Late last year, Cengage announced Cengage Unlimited, a subscription based model offering access to its entire catalog of textbooks and related learning materials to college students for a flat price of $119.95 per semester calls Cengage Unlimited.Royalty structures under these models vary. Newer contracts provide broad leeway for publishers to allocate royalties on in a way they deem reasonable.

While boon to students, especially those assigned multiple Cengage texts, it has left Cengage authors wondering about the impact to their royalty earnings.

Authors Knox and Schacht file lawsuit against Cengage, claiming company has ‘trampled on its authors’ rights’

Cengage authors David Knox and Caroline Schacht filed a class action lawsuit in the U.S. District Court for the Southern District of New York on May 15 against Cengage claiming the company’s emphasis on digital distribution, including its new Cengage Unlimited model and expanded digital courseware offerings, have violated their publishing agreements. The suit also claims that the company is refusing to provide information that would allow them to audit their royalty payments.