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Champagne Book Group Publishing Agreement

This AGREEMENT made by and between <author name>whose address is <address> (hereinafter referred to as “Author”) and Champagne Book Group, a company legally incorporated in accordance with the laws of the State of Oregon, with its principal offices at 2373 NE Evergreen Avenue, Albany OR  97321 (hereinafter referred to as “Publisher”), its employees, agents, officers, and directors; 

Concerning a Work presently titled or described as: <book title>(hereinafter called the “Work”), a <genre> of approximately <word count> words. 

WITNESSETH:

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: 

  • Readable (text) digital format (electronic download, disk, CD/CD-ROM, E-Book reader or similar media of presentation) whether now known or hereafter invented or developed.
  • Print on demand (POD) trade paperback.
  • Subsidiary Rights: The Publisher shall have the right to exercise the following rights in the Work or to license such rights upon such terms as Publisher deems advisable: audio book, dramatization rights (movies, video, television); translation (foreign) rights; book club rights; anthology/permission rights; reprint and special edition rights. Prior to the disposition of these rights, the Publisher will notify the Author of any offer and shall provide the Author with copies of all license agreements relating to the Work. The Author shall have the final decision on whether the subsidiary rights are accepted. In addition, the Author shall have the right to approve the text of any abridged, condensed, or digest version of the Work. 

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 to the best of Author’s knowledge: 

  • The Work is free and clear of any counts of libel, plagiarism, breach of privacy, or misrepresentation of the facts.
  • The Work does not infringe upon any copyright or proprietary right, common law, or statutory law, and does not contain any material of a libelous nature.
  • The Work is not in the public domain and the Author is the sole owner and copyright holder of the Work, with full power and authority to enter into this Agreement.
  • If the Work has been previously published, in whole or in part, the Author currently holds all copyrights to the Work and is legally permitted to enter into this Agreement.
  • The Author hereby decrees that by signing this Agreement, the Publisher is released from any and all responsibilities which pertain to any legal actions (past, present, or future) incurred by the Work or the Author. 

III. Copyright: Unless otherwise agreed to in writing, the Publisher will, in all published versions of the Work, place a Copyright Notice in a form and place that complies with the requirements of the United States Copyright law, showing that the owner of the copyright rights in and to the Work is the Author. 

IV. Selling Price: Publisher will set the retail price (“cover price”) of the Work, based on length, comparable works, format, and market determinations. Publisher reserves the right to raise or reduce the price as needed to stimulate sales. 

V. Publication of the Work:The Publisher agrees that the Work 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. 

The Publisher agrees to put the Work into publication via digital within twelve (12) to eighteen (18) months of receipt of the pre-edited manuscript, unless the Author and Publisher, by written agreement, assigns a publication date beyond eighteen (18) months. If Publisher fails to publish the work within the time specified, Author shall have the option to terminate this agreement. Upon such termination, all rights granted to the Publisher shall revert to the author. 

In addition, in the event subsidiary rights are no exercised within twelve (12) months, Author may request, and Publisher will revert subsidiary rights to the Author. 

Author is aware that Publisher is primarily a digital publisher who will move novel length books of sixty thousand (60,000) words or more, to print no sooner than six (6) months after release of eBook. 

VI. Royalties:

1)      For readable digital formats: Publisher will pay Author a royalty of 50% 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 45% of net revenue. 

Net revenue, as used in this Agreement, is defined as actual cash receipts from all sales of the Work in any media or format received from vendors/retailers from the sale of copies of the work, net of returns. Net revenue is ONLY the amount received from vendors/retailers based on each vendor/retailer’s payment calculation. No Publisher-related expenses such as production, marketing, promotion, cover art work, or editing will be deducted.   

2)      For all Audio formats: Publisher will pay Author a royalty of 45% of the net revenue. 

3)      For all Print formats:

Publisher will pay Author a royalty of 35% of the cover price for sales directly from the Publisher’s website. For print books sold through outlets requiring distribution discounts, Author will receive a royalty of 25% of net revenue. 

The Publisher and Author understand that all print sales are final, or if not final, that books must be returned in “New” condition (not stripped of covers) for refunds from vendors/retailers. 

4)      Subsidiary rights:

The Publisher shall pay the Author 50% of the amount received by the Publisher for the sale or license of any and all subsidiary rights. 

5)      Royalty statements will be produced and forwarded to Author quarterly, as follows: 

  •          May 15th of each year covering the Publisher’s net revenue received in January, February, and March of the same calendar year.
  •          August 15th of each year covering the Publisher’s net revenue received in April, May, and June of the same calendar year.
  •          November 15th of each year covering the Publisher’s net revenue received in July, August, and September of the same calendar year.
  •          February 15th of each year covering the Publisher’s net revenue received in October, November, and December of the previous calendar year. 

5)      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 payment of royalties until at least $50.00 is due. At all times, whether or not royalties are paid, a statement will be made available to the author in their Dropbox folder online. It is Author’s responsibility to ensure he/she has the folder share link. 

Author understands that royalties will be paid for only those copies of the Work paid for by consumers, distributors, or vendors/retailers. If distributors or vendors/retailers delay payment to Publisher, Publisher cannot pay the royalty until it has been paid by the distributor or vendor/retailer. 

If the result of an error, 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. 

6)      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 or interest, 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 ninety (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: The Manuscript:

1)    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. While every attempt will be made for agreement between Author and Publisher regarding revisions to manuscript, Publisher has final approval of Author’s manuscript. Publisher will assign an editor to work with Author in making revisions. Author and assigned editor will work together to create a schedule of due dates for the Work to publication. 

2)    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 for items for sale (for example, promotional items). Author waives any claims against the Publisher, its licensees, successor, and assigns relating thereto. 

If Author requests, Publisher may consider the use of Author’s designer of choice for cover artwork, and approval is solely at Publisher’s discretion. Publisher and Author will discuss payment of cover artwork at time of initial approval. It is up to the Author to discuss payment with Publisher BEFORE contracting with the artist. Under this provision, the cover art remains with the book; however, the cover art may not be changed while the book is under contract with Publisher unless Publisher and Author agree. 

3)    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. 

4)    Frontmatter and Backmatter: Author will be asked to produce proposed back blurb text. Publisher has final approval of back blurb material. The blurb, Author information, and other front and back matter created by Author remains the property of the Author. 

5)    Additional Materials: The Publisher has the final right to determine if any additional materials such as photos, drawings, maps, charts, images, or the like are necessary for the Work. 

6)    Preparation of Manuscript: The Author shall provide an acceptable, final revision of the manuscript in electronic format with any revision requested by the Publisher at the due date determined in first meeting of Editor and Author. 

7)    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 fifteen (15) days of receipt thereof. If the Author fails to return the proof within the time specified above, the Publisher will move back the release date. Author is ultimately responsible for the accuracy and completeness of this final review before publication.

8)    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. PDF, Mobi, epub) or print formats (layouts for POD). 

9)    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. 

10)  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. 

11)  Failure to Deliver: If Author fails to deliver Work (including any Additional Materials) by the final date as discussed and agreed upon during initial meeting with editor, or if Author delivers the Work (including all Additional Material) and the Work (including Additional Material) is not accepted by the Publisher as being satisfactory, the Publisher shall have the option to terminate this agreement; in which case upon receipt of notice of such termination, the Author shall, without prejudice to any other right or remedy of the Publisher, forthwith repay to the Publisher any guaranteed advance or any other sums theretofore paid to the Author (if any). Upon such termination and repayment, all rights granted to the Publisher shall revert to the Author. 

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. 

XI. First Refusal: 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 sixty (60) 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. 

XII. Conflicting Publications: The Author agrees that during the term of this Agreement she 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. 

XIII. 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. 

XIV. Promotion and Promotional Materials:

Author’s biographical information: Author will provide Publisher with a publicity biography, photograph, and suggested blurb(s) for use on book cover, website, and promotional literature. 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 (1) Kindle, one (1) epub and one (1) PDF file of the finished electronic/digital product at no charge to the Author for the sole purpose of reviews. Authors may use up to ten (10) each. No royalties will be paid on copies used for the purpose of reviews. 

Publisher will provide Author two (2) print copies that are the Author’s to do with as s/he desire. However, no royalties will be paid on these copies. 

If produced, Publisher will provide Author with two (2) audio books. 

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 fifty percent (50%) discount plus shipping, 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: 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 Author discount. 

XV. 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. 

Force Majeure: The Work shall not be deemed out of print or unavailable (i.e.: subject to reversion of rights), nor shall the Publisher be liable because of delays caused by war, invasion, insurrection, blockade, embargo, riot, flood, earthquake, act of God, fire, strike, breakdown of market distribution facilities, shortages of labor or materials, government or governmental agency, interference of civil or military authorities, or other causes of a like kind beyond its control. 

XVII. Insolvency, Bankruptcy, or Other Issues of Publisher: If the Publisher files for protection under the Bankruptcy Laws or is at any time out of compliance with its obligations to be legally operating in the State of Oregon or otherwise, Publisher shall immediately advise Author and Author shall have the right to terminate this Agreement. Upon termination, all rights hereunder shall automatically revert to Author, except for those Publisher’s obligations set forth in Paragraph V above. 

XIII. 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 act upon a claim. 

XIX. Audit Accounting: Upon written request (email is acceptable) Author or Author’s representative, may examine Publisher’s records insofar as they relate directly or indirectly to any aspect of this Agreement. Any such examination will be conducted electronically and Publisher shall make sure all relevant records are available. 

The expenses of such examination shall be borne by the Author, unless errors of accounting of five percent (5%) or more of the total sums paid to the Author shall be found to Author’s 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 seven (7) years from delivery of such statement. 

XX. Applicable Law: This Agreement is interpreted, construed, and governed by the laws of the State of Oregon. In the event of any dispute or disagreement regarding this Agreement, the Author and Publisher agree that common sense should prevail, and that Author and Publisher shall first attempt to resolve dispute via mediation and if dispute cannot be resolved, Author and Publisher agree to consider referring the dispute to the American Arbitration Association for final disposition in accordance with its rules. However, if the Author and Publisher cannot agree on an arbitrator within sixty (60) days of a written arbitration request by either party, the parties may pursue remedies in law in any court of competent jurisdiction. 

XXI. Entire Agreement: This Agreement constitutes the entire agreement between the Author and Publisher and may not be terminated, altered, or amended except in writing executed by Author and Publisher. Neither Author or Publisher has relied upon any representation or promise not contained in this Agreement. 

Signatures: IN WITNESS WHEREOF, Author and Publisher have executed this Agreement on the day and year above, as the Effective Date.