Authors Push Back Against Publishers and Agents’ Claims on Anthropic Settlement
Some authors who are supposed to receive their share of Anthropic’s $1.5 billion copyright settlement have received unexpected notifications: other parties are claiming a share of their payments. This situation arises from Anthropic’s settlement of a copyright class action suit last year, where a court determined that using copyrighted material to train AI models was legal if considered fair use, but actual piracy was not. The settlement was approved in July, allowing payment distributions to commence.
The settlement stipulates that authors of approximately 500,000 titles will receive $3,000 for each illegally used work. If the book is still published by a traditional publisher, the proceeds are to be shared evenly between the author and publisher. In cases of self-publishing or reverted rights due to the book going out-of-print, the author is entitled to the whole amount. However, many authors have taken to social media, voicing concerns that publishers are attempting to claim excessive shares of these payments. Notably, mystery and thriller writer April Henry expressed frustration over HarperCollins claiming rights to a work that she reversioned 17 years ago.
Victoria Strauss from the blog Writers Beware reported receiving multiple complaints. Authors noted that their publishers are claiming money on works for which they no longer hold rights, or trying to collect full payments when they are only entitled to half. Strauss suggests that the apparent discrepancies might not stem from malicious intent but rather poor record-keeping, though some publishers have admitted making mistakes that they are working with Anthropic to rectify.
Mary Rasenberger, CEO of the Authors Guild, emphasized that the turmoil probably arises from chaotic record-keeping and convoluted settlement guidelines, rather than a purposeful disparity on the part of publishers.
Adding to the complexity, complaints have surfaced about literary agents also making claims for a share of the payment, which is unexpected since agents aren’t typically recognized as rights holders in the books they manage.
Author Courtney Milan has openly criticized agents attempting to claim percentages of the settlement, expressing strong disapproval of this practice. Both Milan and the Authors Guild have provided additional resources for authors looking to contest their payment amounts, highlighting that the reversion of rights prior to the August 10, 2022 date is essential for making a valid claim.
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