AGREEMENT made by and between _______________whose address is ___________________ (hereinafter referred to as “Author”), his or her heirs, executors, administrators, successors and assigns; and Champagne Book Group., a company or corporation in the province of Alberta with its principal offices at 19-3 Avenue SE, High River, AB T1V 1G3 (hereinafter referred to as “Publisher”), its employees, agents, officers, directors, member, successors, and assigns;
Concerning a Work presently titled or described as: _________________________ (hereinafter called the “Work”), a genre/subgenre of approximately ________________ words, with a tentative release date of the Work of: ______________________________
In consideration of the mutual covenants herein contained, the parties agree as follows:
I. Publishing Rights: Author agrees to grant to Publisher exclusive worldwide rights to publish and sell the Work directly or through affiliate companies in:
All rights in the Work not specifically granted to Publisher in this Agreement are reserved by the Author.
II. Warranties: Author hereby represents, certifies, and warrants to the Publisher that:
III. Copyright: Registration for copyright is optional. Author will be responsible for registering the copyright with the U.S./Canadian Copyright Office (as applicable), including payment of any fees and the costs of preparing printed and/or electronic documentation of the work as required by the U.S./Canadian Copyright Office. Author will provide a photocopy or facsimile copy of the copyright certificate to Publisher within forty-five (45) days of receipt.
IV. Selling Price: Publisher will set the retail price (“cover price”) of the Work, based on length, comparable works, and format. Publisher reserves the right to raise or reduce the price as needed to stimulate sales.
Author is aware that Publisher will move novel length books of seventy thousand (70,000) words, or more, to print after three (3) months from release date, or at Publisher's discretion..
For traditional print run paperback books, Publisher will decide the quantity of books to be printed in the initial and subsequent print runs, if applicable.
V. Publication of the Work:The Publisher agrees that the Work, if published, shall be published at its own expense and under such imprint as it deems suitable and marketed in the style, media, and manner and at the price the Publisher, in its sole discretion, deems appropriate.
For readable digital formats: Publisher will pay Author a royalty of 45% of the Retail Download Price, for sales of the Work at the Publisher’s website. For digital books sold through outlets requiring distribution discounts, Author will receive a royalty of 35% of net proceeds.
For all Audio formats: Publisher will pay Author a royalty of 35% of the net proceeds.
For all Print formats: Publisher will pay Author a royalty of 10% of the cover price for sales directly from the Publisher. For print books sold through outlets requiring distribution discounts, Author will receive a royalty of 10% of net proceeds.
The Publisher and Author understand that all sales are final, or if not final, that books must be returned in “New” condition (not stripped of covers) for refunds from vendors/retailers.
Net proceeds, as used in this Agreement, means the amount the Publisher receives from vendors/retailers after discounts and any returns or credits.
Royalty statements will be produced and forwarded to Author quarterly, as follows:
(i) May 30th of each year covering the Publisher’s net proceeds received in January, February, and March of the same calendar year.
(ii) August 30th of each year covering the Publisher’s net proceeds received in April, May, and June of the same calendar year.
(iii) November 30th of each year covering the Publisher’s net proceeds received in July, August, and September of the same calendar year.
(iv) February 28th/29th of each year covering the Publisher’s net proceeds received in October, November, and December of the previous calendar year.
If total royalties due for the period are $50.00 or greater, they shall be paid, if less than $50.00, the Publisher may defer the rendering of statements and payments of royalties until at least $50.00 is due. Payments may be made by either physical cheque or electronic funds transfer, at Publisher discretion.
If the Author receives amounts in excess of the royalties due under this Agreement, the Publisher may recoup such overpayment from any further royalties payable to the Author for the Work.
Author understands that royalties will be paid in the period copies of the Work are paid for by consumers, distributors, or vendors/retailers. If distributors or vendors/retailers delay payment to Publisher, Publisher is not obligated to pay the royalty until it has been paid by the distributor or vendor/retailer.
The Publisher shall have the right to set aside as a reserve against returns 50% of royalties earned on any print edition of the Work as shown on the Publisher’s first royalty statement after the first publication or reissue of the Work during that period and to withhold this sum for a period up to and including the third royalty statement thereafter, following which all monies shall be paid in full at the time of the next royalty statement.
It is the Author’s responsibility to communicate with the Publisher any change in postal mailing address, telephone number(s), electronic mail address or electronic payment address if royalties are paid by electronic funds transfer.
If the Author fails to advise Publisher of any changes in the above that prevent the timely payment of royalties, the Publisher is authorized to hold, without penalty, payment of royalties until current information is received.
VII: Term of Agreement: The term of this Agreement will be from date of signing to five (5) years from the Effective Date (date of publication) and will automatically renew for successive terms of one (1) year each unless notice of termination is given by the Author not less than sixty (60) days prior to the end of the then Agreement term.
Upon breach of contract, the Agreement may be terminated by either party with a 90-day written, certified mail notice, or other receipted or traceable delivery service. Notification of breach and intention to terminate the Agreement is to be delivered by certified mail or other receipted delivery service. If breaching party corrects the breach within the 90 days, the Agreement shall continue to remain in place until its natural expiration. Upon expiration of the Agreement term, all rights granted to the Publisher will then revert to the Author.
Publisher may, at its discretion, remove the Work from publication or distribution for reasons of poor sales, excessive returns, or other reason deemed by the Publisher to be injurious to the Publisher’s or Author’s best interests. Publisher shall give notice to Author of removal from distribution and the reasons for the withdrawal. If the Publisher removes the Work from sale, this Agreement shall terminate and all rights granted shall revert to the Author.
VIII: Editing, Cover Art, Frontmatter and Backmatter, Preparation of Manuscript, Title, Formatting:
Editing: If the Publisher considers it necessary in the best interests of the Work, the Author agrees to revise the Work on request of the Publisher. Publisher has the right of final approval of Author’s manuscript. Publisher will assign an editor to work with Author in making revisions and the Author shall provide a completed, pre-edited manuscript to the assigned editor by _________________.
Cover Art: Publisher shall provide cover art at its own expense and has final approval of any cover art. Cover art shall be considered work made for hire to the Publisher and all rights to such cover art have been transferred by artist to Publisher; Publisher shall own all rights relating to the cover art. Author may use the cover art in his/her promotional materials, but shall otherwise not have any right to or use the cover art in any manner without the advance written consent by Publisher. Author waives any claims against the Publisher, its licensees, successor, and assigns relating thereto.
Frontmatter and Backmatter: Author will be asked to produce proposed back blurb text. Publisher has final approval of back blurb material. If the Author has not so provided and if, in the reasonable judgment of the Publisher, an index, bibliography, table of contents, foreword, introduction, preface (hereinafter referred to as “frontmatter” and “backmatter”) for the Work is necessary, the Publisher shall engage a skilled person to prepare such frontmatter and backmatter and the cost of such preparation shall be charged to the Author.
Preparation of Manuscript: The Author shall provide an acceptable, final revision of the manuscript in electronic format with any revision requested by the Publisher by ________________. Electronic format used will be a major commercial word processing program or rich text format as mutually agreed upon. Specific margin, header, font, line spacing, and other particulars of manuscript format will be provided in a separate document stating Publisher’s guidelines. It is the responsibility of the Author to keep a complete copy of the manuscript available in digital form. Failure to meet the above deadline may cause the Work to be included or rejected at Publisher discretion.
Proofreading and Changes in Galley Proof:The Publisher shall furnish the Author with a galley proof of the Work. The Author agrees to read, correct, and return all proof sheets (errata) within ten (10) days of receipt thereof. If any changes in the proof or the printing plates (other than corrections of printer’s errors) are made at the Author’s request or with his consent, the cost of such changes in excess of two percent (2%) of the cost of typesetting (exclusive of the cost of setting corrections) shall be borne by the Author. The Publisher shall give the Author prompt notice of any amounts charged to the Author under this paragraph. If the Author fails to return the proof within the time specified above, the Publisher may publish the Work without the Author’s approval of the proof. However, Author is ultimately responsible for its accuracy and completeness.
Title: Publisher has final approval of release title of the Work. In the event of a title change, Author will be given an opportunity to suggest alternative titles.
Formatting: Publisher will be responsible, at its own expense, to prepare the Work for release for all formats outlined in Section I. This would include all conversions from the manuscript into various digital formats (e.g. HTML, PDF, Palm, Rocket Editions), or print formats (layouts for POD or Traditional Print). Publisher will make the Work available in all its regularly marketed electronic/digital formats. If a particular formatting type is controlled by the distributor/vendor, Publisher will prepare the Work in a manner acceptable to that distributor/vendor and submit it to them for formatting. Publisher may not be able to control when the distributor/vendor completes the formatting and places the Work in the stream of commerce.
IX. Author’s name or Pseudonym: The Author has the exclusive right to the use of his/her name or pseudonym listed as the Author in connection with this Work. Publisher will have a non-exclusive right to use Author’s name, likeness, and biographical material for the purposes of advertising, publishing, and promoting the Work itself.
X. Ownership of Characters: Except as allowed under the sections of this Agreement governing promotion of the Work, Author owns the characters and controls their use in sequels or series books, whether published by Publisher or another publisher. Publisher will have a non-exclusive right to use the title, and all material, including characters in the Work, for the purpose of advertising, publishing, and promoting the Work.
If the Author writes another Work that is a sequel to the Work covered in this Agreement, using an identical theme and/or major characters from the contracted Work, Publisher retains a right of first refusal for the subsequent work. If Publisher does not accept for publication this additional Work within ninety (90) days of submission, it will be considered refused and the Author will be free to market rights to the new work without encumbrance.
Nothing in this Agreement shall obligate the Author to submit any additional, unrelated works to Publisher.
XI. Conflicting Publications: The Author agrees that during the term of this Agreement s/he will not without written permission of the Publisher, publish or permit to be published any material in book, pamphlet, magazine, newspaper, or electronic format based upon material in the Work or which is reasonably likely to injure its sale.
XII. Publisher’s Name and Trademark: The Author will not have rights to any trademark, service mark, trade name, or logos used by Publisher, unless expressly permitted to do so in writing. The Author may, with Publisher’s permission, have limited use of Publisher’s marks, symbols, or name for use in approved promotional material. Author may use the cover art in his/her promotional material. Publisher’s provided and/or copyrighted cover art may not be used by other publishers producing the Work in formats not listed in Section I without permission of Publisher. Any remuneration for the use of this cover art will be separately negotiated between publishers.
XIII. Promotion and Promotional Materials:
Author’s biographical information: Author will provide Publisher with a publicity biography and suggested blurb(s) for use on book cover, website, and promotional literature. A photograph, in either digital (preferred) or hard copy, is optional. Publisher reserves the right to edit or rewrite blurb(s) as necessary for length or content.
Author’s copies: Publisher will provide the Author with one electronic (PDF) file of the finished product at no charge to the Author for the sole purpose of reviews. If additional author copies are required, they will be provided as follows: Author may purchase an unlimited number of copies in any format at a thirty percent (30%) discount, for which no royalties will be paid.
Author may resell copies of the Work s/he has purchased from Publisher. If Author has purchased copies at discount, no royalties will be paid. Author will be responsible for reporting royalties from resale to taxation authorities and Publisher will be held harmless for any underreported royalties caused by Author’s failure to report royalties earned through resale of copies bought at Author’s discount.
Permission to duplicate from download: If the work is available in a downloadable format, Publisher may, at its option, provide Author, consumer or distributor/vendor with a single downloadable master document from which a specific number of copies equal to not more than the number of copies purchased may be made. This will be considered the same as if Publisher provided individual downloads and shall be counted as individual unit sales, even if the Author, consumer, or distributor/vendor fails to make as many copies as s/he has purchased. Any unused copies from a single download master will not be returnable to the Publisher.
Author has permission from the Publisher to duplicate, at no cost and no royalty, exact text copies in digital or print formats for the purpose of obtaining book reviews or entering competitions or contests. The exception to this rule is if the Work is available in a printed format; the Author does not have permission to make print format copies for competitions or contests, but may purchase print copies for this purpose at his/her Author’s discount, if any.
XIV. Author/Publisher Indemnification: Author shall indemnify, defend, and hold harmless Publisher and its owners and affiliates, editors, shareholders, officers, directors, partners, associates, agents, and representatives and the Publisher shall indemnity, defend, and hold harmless the Author from any and all claims, debts, demands, suits, actions, liens, proceedings, and/or prosecutions (“Claims”) based on allegations which, if true, could constitute a breach of any of the foregoing warranties, and any and all liabilities, losses, damages, and expenses including, but not limited to, attorney’s fees and court costs.
Each party to this Agreement shall give prompt notice to the other party of any Claims. No compromise or settlement of any Claim shall be made or entered into without the prior written approval of the Author and Publisher. If a Claim is filed, Publisher shall have the right to suspend payments otherwise due to Author under the terms of this Agreement as security for Author’s obligations under this section.
Multiple Authors: Whenever the term “Author” refers to more than one person, such persons will be jointly and severally responsible for all duties, obligations, and covenants under this Agreement, and shall share equally in all royalties and other amounts to be paid under this Agreement, unless otherwise specified in writing by all parties.
XVI. Insolvency of Publisher:
Insolvency: If the Publisher files for protection under the Bankruptcy Laws, all rights delineated in Section I shall immediately revert to the Author. If the bankruptcy filing involves a reorganization and Publisher continues to operate during the reorganization, Author and Publisher may agree in writing to continue this Agreement under the same or revised terms.
If the Publisher suspends operations, other than a temporary suspension for technical difficulties such as a loss of web server, all rights delineated in Section I shall immediately revert to the Author. If the Publisher’s operations are ordered suspended by any governmental or police entity, or by injunction or restraining order, all rights shall immediately revert to the Author. If the suspension is lifted and operations resume, Author and Publisher may agree in writing to continue this Agreement under the same or revised terms.
XVII. Copyright Infringement: Publisher is not obligated to initiate legal proceedings should a Claim arise regarding a third party infringing the Author’s or Publisher’s rights. If such a Claim arises, Author and Publisher may sue either jointly or severally. Publisher shall not be held liable for failing to take action upon a Claim.
XVIII. Audit Accounting: Author shall have the right upon written request to have his accountant examine summaries of the Publisher’s records insofar as they relate directly to the sale of the Work. Any such examination will be conducted at the place the Publisher maintains such books of account. It shall be conducted during regular business hours in such a manner so as not to interfere with Publisher’s normal business activities. A copy of reports shall be delivered to Publisher at the same time as to Author by such accountant.
In no event shall an audit with respect to any statement commence later than three (3) months from the date of dispatch to the Author of such statement nor shall any audit continue for longer than five (5) consecutive business days nor shall examinations be made hereunder more frequently than once annually, nor shall the records supporting any such statements be audited more than once. The expenses of such examination shall be borne by the Author, unless errors of accounting of ten percent (10%) or more of the total sums paid to the Author shall be found to his disadvantage, in which case, the expenses thereof shall be borne by the Publisher.
All royalty statements rendered under this Agreement shall be binding upon the Author and not subject to objection for any reason unless such objection is made in writing stating the basis thereof and delivered to the Publisher within three (3) months from delivery of such statement or, if an examination is commenced prior thereto, within thirty (30) days from the completion of the relative audit.
The Publisher shall not be required to retain supporting records after any statement of royalties has become binding upon the Author.
XIX. Applicable Law: This Agreement is interpreted, construed, and governed by the laws of Alberta, Canada. If any dispute should arise between the Author and the Publisher regarding this Agreement, such disputes shall be referred to binding arbitration in the city of Calgary, AB Canada.
XXI. Inheritance: This Agreement shall be binding upon and inure to the benefit of the heirs, executors, administrators, and assigns of the Author and upon and to the successors and assigns of the Publisher.
XXII. Signatures: IN WITNESS WHEREOF, Author and Publisher have executed this Agreement on the day and year below, to be effective immediately if the dates are the same, or on the date of the later signature if the dates are not the same.