BOOK PUBLISHING CONTRACTS

Publication of a book begins with an idea. Authors are normally the creative force, developing ideas and presenting them to publishers for review. However, a publisher with a specific interest in a particular field may first develop the idea and then hire an author to write a manuscript based upon that idea. The idea is then translated into a book proposal, which outlines the subject of the proposed work and the treatment it will receive. Before entering into a contract, most publishers require their editors to conduct a thorough review of each book proposal. Such a review ordinarily encompasses an evaluation of five basic areas: marketing, costs, contractual obligations, prospective editorial work, and price. Editorial meetings are held periodically in which editors discuss and evaluate the book proposals currently being considered and either reject, hold over, or approve the proposals.

Once the publisher and author agree that the book described in the proposal should be written and published, they enter into a publishing contract that is usually on a standard form prepared by the publisher. The contract reflects the parties' agreement on the subject matter of the book, and it usually includes either a simple recitation of the proposed title or a more elaborate description of the subject matter of the book. In addition, the author grants the publisher specific exclusive rights in the proposed work. The contract also provides for an advance to be paid to the author that must be returned if the publisher rejects the manuscript as unsatisfactory. If, on the other hand, an author has submitted a completed manuscript that is satisfactory to the publisher, the author is not legally obliged to return the advance, and in fact is justified in demanding or suing for the balance of any advance due. Advances for novels, however, are ordinarily nominal. While the author normally retains the copyright, he or she is foreclosed from trying to sell the rights to another publisher.

The author then sets to work writing the manuscript. This creative process usually consumes months or years of the author's time, during which the author usually incurs numerous expenses directly related to the preparation of the manuscript. From time to time, the author probably will seek guidance from the publisher by submitting for editorial suggestions drafts of portions of the work that have been completed. In this way, the publisher monitors the progress of the work and ensures that it conforms to the proposal while the author has the opportunity to make any revisions necessary to satisfy the publisher.

Once the manuscript has been completed, the author submits it to the publisher for additional editorial work and final approval. Usually the contract provides both a deadline for submission and a time limit within which the publisher must decide whether the manuscript is acceptable. Under the strict terms of the contract, if a publisher rejects a manuscript in an untimely manner, a court may permit the author to retain the advance. If the publisher rejects the manuscript as unsatisfactory in a timely manner, the manuscript is returned to the author who must then return any advance received. After the manuscript has been submitted, reviewed, and accepted, the book is published.

The publisher establishes a printing schedule and arranges for distribution, advertising, and promotion of the book. As copies of the book are sold, the publisher periodically pays to the author, as royalties, a percentage of the receipts on the sale of the book. Beyond these royalties, publication of a book has other, perhaps equally significant, values for the author. Being published is a mark of esteem. It enhances the author's prestige in society and may establish his or her reputation in the literary or academic communities. For writers, particularly scholars, publication of a book may be the turning point in a career. In addition, publication affects the author's opportunity to earn money in the future as a writer because it helps establish a track record in the publishing world and gives the author greater bargaining power in negotiating the next publishing contract.