9

P. J. O'Rourke

"A little government and a little luck are necessary in life, but only a fool trusts either of them."




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Rant [1097] "The Great Underground Empire is Here!"

Book 5 of the MegaTokyo: Endgames series is live for all platforms! Amazon Kindle and Paperback can be purchased here. Nook readers can follow this link. Of note, if you are completely unwilling to order through Amazon, you can also order the paperback through Barnes & Noble. And for the first time, Kobo users can go here and be a part of the launch day as well! Thank you again for all your support, and with luck it won’t be long...

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Rant [1098] "A Whole New Megatokyo"

Greetings, readers! An update here from the team of n1nj4s working behind the scenes to keep the Megatokyo site up and running: We've just finished migrating the comic site to a brand new server. Things may not look different, but you should see faster load times thanks to a combination of a new hosting provider and efforts to re-compress comic pages without degrading their quality. We're also pleased to be able to provide exciting new features lik...

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Rant [1099] "Things haven't been great, but..."

It has been about a month since Mom entered into Hospice care. The past year or so has been a real struggle for me with her declining health as well as Dad's struggles with advancing Parkinsons. This is my second time dealing with needing Hospice care for a loved one. The last time it was very upsetting and I'm still haunted by the experience, so it was with great reluctance that I agreed to engage Hospice care for Mom. Thankfully, my experience wi...

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Comic [1574] "crushin' me"

Chapter 12: "Broken" comic 1574
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Comic [1576] "couldn't help it"

Chapter 12: "Broken" comic 1576
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Error'd: Burrito Font

"I've always ordered my burritos in Times New Roman. I'll have to make sure to try the Helvetica option next time I go in," Winston M. writes.   "Giving its all and another...




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Rushin' Translation

Cid works for a German company. From day one, management knew that they wanted their application to be multi-lingual, if nothing else because they knew they needed to offer it in English. So from the...




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Error'd: Call Me Maybe (Not)

Jura K. wrote, "Cigna is trying to answer demand for telehealth support, but apparently they are a little short on supply."   "While Noodles World Kitchen's mobile app is really...




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Error'd: Errors as Substitution for Success

"Why would I be a great fit? Well, [Recruiter], I can [Skill], [Talent], and, most of all, I am certified in [qualification]." David G. wrote.   Dave writes, "For years, I've gone...




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The SS/HP Prophet for September 29 -October 5




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SS/HP Prophet October 13-19




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SS/HP Prophet December 29 - January 4




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The SS/HP Prophet for January 19 -January 25




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The SS/HP Prophet for February 9 - February 15




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SS/HP Prophet February 23 - 29













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Comic: 2020-04-29

New Comic: 2020-04-29




9

Authors' Concern Grows Over Late Royalty Payments at Dreamspinner Press

&

Posted by Victoria Strauss for Writer Beware®

Scroll down for updates

On Wednesday, September 11, Publishers Lunch published an article by Erin Somers about payment issues at Dreamspinner Press, which I'm reprinting here with permission.
Dreamspinner Keeps Promising Authors to "Catch Up What Everyone Is Due" In Payments

Romance publisher Dreamspinner Press has not been paying royalties in timely fashion, authors have been reporting online, at least partially confirmed by emailed updates from the company that have been shared. Earlier this summer, authors posted on Twitter that the publisher had been inconsistent with payments for over a year, including delays in issuing both first quarter and second quarter 2019 royalties. In June, author TJ Klune posted, "Out of the last 8 quarters, this is the fourth time payments have been late, and the second in which I am owed penalties for said lateness." (Klune had said in March he would part ways with Dreamspinner after delivering three more books.) Author Suki Fleet posted, "I'm not waiting on a lot--but what I am waiting on is from foreign royalties paid to Dreamspinner this time *last* year, that I had to specifically ask for."

That month authors began announcing requests to revert their rights, a trend that continued over the course of the summer. There was some controversy within the romance community over whether authors withdrawing their work could cause the publisher to fail (or fail faster), in which case no one would get paid. Criticism extended to authors who supported the publisher as well, even though they were owed money.

Multiple agents PL spoke to said they were no longer doing business with Dreamspinner, except to negotiate their clients' rights back. They told us that acquisitions at the publisher had dwindled over the past year, confirmed by the sharp drop in PM deal reports, with Dreamspinner acquiring mostly from their existing authors, many of whom are unrepresented.

Dreamspinner provided authors a number of explanations in weekly emails, including writing that they had "not received payments from Amazon for UK or EU currencies," that they were awaiting deposits from "vendors," and that the late payments had been caused by a software glitch. In their latest update on September 4, the publisher said that they are anticipating a small business loan that will enable them to issue payments, and that they "can't offer a firm payment date to catch up what everyone is due." The email goes on, "With every set of deposits we receive, we've been sending payments, and we are continuing to respond as best we can to author requests." They added that they can't provide proof of the impending loan that authors have asked for because, "legal and banking documents are confidential and can't be posted online."

Meanwhile, authors including Indra Vaughn, Avon Gale, Jeff Adams, Will Knauss, CJane Elliott, Meredith Shayne, Tia Fielding, and many more have requested rights back. Fielding wrote on Facebook, "In the last year or so, they've repeatedly been more or less late in royalty payments." TJ Klune wrote in an email to the company that he posted on Twitter, that he is owed $27,448 in royalties and plans to involve a lawyer. A Facebook group of 75 former DSP authors has formed for people who have pulled their books or are considering it.

RWA has offered support for authors who have experienced trouble with Dreamspinner. They said in an August 21 statement: "We're aware of the situation, and members who need professional relations assistance, should contact memberadvocacy@rwa.org to reach our staff professional relations manager." Dreamspinner did not respond to PL's request for comment.
Writer Beware has been receiving similar complaints about late royalty and advance payments and confusing/conflicting explanations for the delays, with some authors saying they are owed four- and even five-figure amounts. According to a number of authors who contacted me, these problems have become more acute in the past few months, but they aren't new: periodic payment delays, with attendant excuses, began as much as two years ago.

Although Dreamspinner regularly sends out update emails (you can see an archive of these here), several authors told me they were having trouble getting responses from Dreamspinner CEO Elizabeth North.

Also of concern: in the midst of repeated payment delays, and despite its admissions of financial distress, Dreamspinner appears to be proceeding with sweeping expansion plans, including a shift to mass market paperback format, increasing the number of translations for the foreign market, and rolling out a new accounting and payment system (which several of the authors who contacted me told me they'd had trouble with). Multiple authors told me that they fear that author royalties, which Dreamspinner says go into an escrow account, are instead being used to finance company operations.

Authors' anger at the situation is growing. Meanwhile, Dreamspinner is still open for submissions. Writers who are considering approaching this publisher might want to hold off for the moment.

More information:

Tweets from authors Avon Gale, TJ Klune, Roan Parrish, KJ Charles (search "Dreamspinner" on Twitter to see many more).

Blog posts by authors Mary Winter, RJ Scott, Rhys Ford, TJ Klune.

Non-Dreamspinner author X. Marduk is compiling a Dreamspinner timeline, with lots of links to tweets and blog posts.

UPDATE 12/25/19: The payment problems at Dreamspinner appear to be ongoing. A group of Dreamspinner authors contacted RWA to request help:


You can read the entire letter here.

According to one of the letterwriters, RWA responded that there is nothing they can do. Dreamspinner's issues are now part of the implosion of Romance Writers of America, with writers increasingly furious over RWA's alleged foot-dragging in addressing complaints--not just about Dreamspinner, but generally.

UPDATE 12/28/19: Another of Dreamspinner's eminently reasonable-sounding but holy-crap-if-you-read-between-the-lines updates. (Summary, if you don't want to click on the tweet: they've hired a firm that specializes in financial restructuring to "develop a plan for 2020 and a structured repayment of all past due amounts." They promise to "be in touch with authors directly about their repayment schedule".)
When you have to explain yourself by saying "We want to make clear that this isn't bankruptcy", it's not generally a good sign.

UPDATE 1/16/20: I continue to hear from Dreamspinner authors who have not been paid. Some are owed thousands of dollars for the first three quarters of 2019, and have received no payment at all; some have gotten partial payment, or are owed for fewer quarters. Bottom line: Dreamspinner owes a crapload of money to its authors.

According to the latest update from Elizabeth North, "Payments for November have started posting. They will all be submitted through Tipalti [Dreamspinner's accounting software] by Friday, January 10." What this appears to mean--at least, as of this writing and based on the authors who have contacted me--isn't actual payment (as in, money in bank account), but a status change on Tipalti from "In Process" to "Submitted For Payment." Also, the payments are for November royalties only. Anything prior to that will be folded into the restructuring plan Dreamspinner says it is pursuing.

Other stuff:
  • Writers seem to be requesting rights reversion in droves. Many of them have multiple titles with Dreamspinner.
  • In some cases,Dreamspinner seems to be unilaterally charging certain fees or expenses or other amounts against what they owe individual writers--i.e., reducing royalties owed by whatever the amount of the expense is. I don't want to provide details here, because I don't want to risk identifying the writers.
  • The National Writers Union wants to hear from Dreamspinner authors who haven't been paid.
  • Dreamspinner is fully enmeshed in the implosion of RWA. Claire Ryan has an exhaustive timeline of the crisis that's tearing RWA apart, with references to RWA's anemic response to Dreamspinner authors' complaints, and allegations that recently-resigned RWA President and Dreamspinner author Damon Suede may not have been eligible for the office based on his actual publications.
One thing that's really striking to me in this whole mess is how, if you look at just one of Dreamspinner's announcements and updates, they sound so very businesslike and reasonable. It's only if you go back and read them all in sequence--as I just did--that the facade starts to crumble, with unmet deadlines, moving goalposts, and unfulfilled commitments.

Back in June, Dreamspinner was promising that "the remainder of outstanding royalties" were about to be released...but here we are in January 2020, and they still owe tens of thousands of dollars. In July, they promised that they were "in the final steps" with the Small Business Administration loan, and "estimated funding has been moved back to mid-August"...but as of January, the loan is still pending. Over the months from June through December, they promised repeatedly to get everyone paid (especially, again and again, royalties for Quarter 2)...and then, in December, they suddenly announced the hiring of a firm to re-structure the entire debt from October backward, with no details about the process, or even an end date for it. Presumably, this firm will want a fee...from a publisher that can't afford to pay its authors.

I get that it's tough out there for small presses. Things go wrong. Vendors are tardy. Loans fall through. Personal emergencies happen. But read from beginning to end, Dreamspinner's updates--so reasonable-seeming individually--start to feel like mere excuses. Together with authors' frustrations and complaints, they paint a really troubling picture.

UPDATE 1/17/20: Re: all those November royalties that were to be released by January 10, and are currently listed in authors' Tipalti dashboards as "submitted" but not actually paid...this rather irate email from Tipalti to Dreamspinner in response to an author's inquiry about the delay suggests why nothing is landing in authors' bank accounts: Dreamspinner's payment account is not funded.


This is not good news. It's really starting to feel like there's some serious gaslighting going on here.

UPDATE 3/19/20: Dreamspinner has not provided an author update since January 7, and writers are still reporting that royalties are in arrears. Yet, amazingly, Dreamspinner is open to submissions:


Also seeking submissions: Dreamspun Desires.

Writer beware.




9

Issues at Audible's ACX: Attempted Rights Fraud, Withdrawn Promotional Codes


Posted by Victoria Strauss for Writer Beware®

Two issues involving Audible's ACX have come across my desk recently.

Rights Fraud

I've heard from several self- and small press-pubbed authors who report that they've found their books listed on ACX as open to narrator auditions...except that they, or their publishers, didn't put them there. This appears to be an attempt to steal authors' audio rights.

Below is one listing. Here's another and another and another. (All of these listings have been invalidated by ACX.)


See "Comments from the Rights Holder" at the bottom. The purported company, Publishing D LLC, does not show up on any searches.

The fraud seems pretty elaborate. Here's what one of the authors who contacted me told me:


These comments from a freelance audiobook narrator illustrate that "Publishing D" is not an isolated incidence.

Promotional Code Shenanigans

Multiple authors have contacted me to report that they've received an email from ACX withdrawing their promotional codes. The cited reason: "unusual activity," with no explanation of what that means.

The authors say that they have not used the codes improperly or violated ACX guidelines; in some cases, they've used the codes only a handful of times or not at all. See, for instance, blog posts by authors G. Michael Vasey and Adam Piggott. Per discussions on the KBoards and Reddit, a lot of authors seem to be affected.

Is this one of Amazon's (Audible's parent company) periodic crackdowns on misuse or fraud that has inadvertently ensnared innocent authors? According to author and self-publishing expert David Gaughran, ACX promo code scamming is a major problem, and Amazon's anti-abuse sweeps often involve a lot of collateral damage. Or could it be an error--a glitch or rogue algorithm?

So far, authors' efforts to get a fuller explanation have run up against the black box that is Amazon:


If I hear anything further, I'll update this post.

UPDATE 11/27/19: One of the authors who alerted me to the promo code withdrawal has received a notice saying that their codes are reinstated--however, they say that the promo code tab has yet to appear in their dashboard.


UPDATE 2/25/29: More about ACX scams, from a comment left by a narrator:
About the ACX thing...I was contacted by ACX to narrate three books, however, the person who offered the contracts kept emailing and frantically telling me to send them my book codes. I got leary and called ACX. They said unfortunately there are many scams taking place where if a book is "unclaimed" in their system, someone may grab it and offer it as an audiobook contract. Then they keep the codes and blackmarket sell them. They do not pay the narrators. Many other authors are experiencing it, they said, but they have no way to regulate it.

I declined the offers and got a nasty note from the contract holder. I was also told that since I corresponded with them, they had my email that is associated with Amazon..the same one. So, ACX said I had to go change my email on Amazon or they would have access there too. Geez.




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Publisher Alerts: Complaints at Month9 Books, Nonstandard Business Practices at Black Rose Writing


In mid-2016, I wrote about YA publisher Month9 Books' abrupt decision to scale back its list, reverting rights to as many as 50 authors across all its imprints. Explaining the culling, Month9 founder and CEO Georgia McBride cited her own health problems, along with staffing issues and the company's "substantial growing pains" over the past six to nine months.

McBride's announcement triggered a surge of complaints from Month9 authors, who described a host of serious problems at the company, including late or missing payments (for staff as well as authors), problems with royalty accounting, delayed pub dates, broken marketing promises, overcrowded publication schedules, communications breakdowns, and harsh treatment and bullying by McBride.

According to authors and staff, these problems were not new or even recent, but had been ongoing for a long time. Why had authors kept silent? Almost every writer who contacted me mentioned their fear of retaliation--along with the draconian NDA included in Month9's contracts. I've rarely encountered a situation where authors seemed so fearful of their publisher.

Things quieted down after the initial flood of revelations, as they often do. Month9 survived and kept on publishing, though its list continued to shrink: between a high point in 2016 and now, the number of titles appears to have fallen about 50%. Apart from a handful of additional complaints in late 2016 and early 2017 (similar to this one), I didn't hear much about Month9 in the years following.

Until now. Over the past few weeks, I've been contacted by multiple writers who say they are still suffering from the same problems that surfaced in 2016: primarily, late (sometimes very late) royalty and subrights advance payments and statements (in many cases received only after persistent prodding by authors and their agents), and allegations of irregularities in royalty reporting.

The intimidation level, too, seems not to have changed. Most of the authors told me that they feared reprisal for coming forward, and asked me specifically not to mention their names or book titles. (Writer Beware never reveals names or other unique identifying information, unless we receive specific permission from the individual. That disclaimer is included on our website and in our correspondence.)

If you've been following the recent ChiZine scandal, you may be feeling some deja vu--notably, in the alleged existence of a toxic culture within the publisher that makes authors fearful and and helps to keep them silent. It's disappointing to learn that even if the issues that thrust Month9 into the spotlight three years ago have gone quiet, they don't seem to have eased. Writers be warned.

******

I wrote about Black Rose Writing in 2009, in connection with its requirement that authors buy their own books. Writers who submitted were asked how many of their own books they planned to buy; their response was then written into their contracts. (Book purchase requirements are back-end vanity publishing: even if writers aren't being asked to pay for production and distribution, they still must hand over money in order to see their work in print.)

Black Rose got rid of the book purchase requirement a few years later, and claimed to be a completely fee-free publisher. I had my suspicions that money might still somehow be involved, though...and as it turns out, I wasn't wrong.

I've recently learned that new Black Rose authors receive a Cooperative Marketing Catalog that sells a range of pay-to-play marketing and promotional services, with costs ranging from a few hundred dollars to four figures. For instance:


It's true that purchase is optional (though I would guess that authors are heavily solicited to buy). But reputable publishers don't sell marketing services to their authors--and in any case, much of what's on offer are things that other publishers, even very small ones, do for their authors free of charge, as part of the publication process.

That's not the only way in which Black Rose authors are encouraged to pay their publisher. Owner Reagan Rothe is a self-described "financial partner" in two additional businesses: the Maxy Awards, a high entry fee book competition that donates "a large part of every entry" to a charity (how large? No idea; that information is not provided); and Sublime Book Review, a paid review service.

Though Mr. Rothe's financial interest in these businesses is not disclosed on the business's websites, both businesses are clearly energetically promoted to Black Rose authors. On Sublime's website, nineteen of the first 20 book reviews are for Black Rose books. There's also this, from the marketing catalog (note the lack of disclaimer):


As for the Maxys, thirteen of the 17 winners and runners-up for 2019 are Black Rose books.

Mr. Rothe does admit his relationship with the businesses in this recent email to Black Rose authors--though only to afford them yet another opportunity to give him money:





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Writer Beware: 2019 in Review

Posted by Victoria Strauss for Writer Beware®

Happy New Year! It's that time again--time for a look back at the schemes, scams, and issues Writer Beware covered in 2019.

PUBLISHER TROUBLES

Sadly, there's never a shortage of stories like these.

Scandal Engulfs Independent Publisher ChiZine PublicationsArguably the biggest small press story of the year, the spectacular collapse of Canadian indie ChiZine Publications--amid allegations of non-payment, financial mismanagement, and a horrifically toxic work culture rife with bullying, sexual harassment, racism, and more--posed thorny questions for the small press community about cultures of silence, the treatment of whistleblowers, and the tacit enabling of unprofessional behavior.

Authors' Concern Grows Over Late Royalty Payments At Dreamspinner Press: Multiple author complaints of nonpayment and other problems, for which Dreamspinner has provided confusing and conflicting explanations. (Dreamspinner has become part of the implosion of Romance Writers of America, with RWA accused of failing to assist Dreamspinner authors who requested help.)

Fireside Press Cancels Multiple Contracts: Mass contract cancellations don't generally bode well for publisher health.

Complaints At Month9Books, Nonstandard Business Practices at Black Rose Writing: Long-standing issues, including late payments and bullying, appear to be ongoing at Month9. As for Black Rose, it presents as a "traditional" publisher but, vanity publisher-style, sells a large menu of marketing services to its authors.

Trouble at Dog Ear Publishing: Multiple, long-standing author complaints of nonpayment by this assisted self-publishing company (this publishing model is in trouble generally).

AWARDS TO AVOID

If you've been reading here for a while, you'll know that I'm no fan of contests and awards--not just because they often involve big entry fees (even the legit ones), but because they so often have author-unfriendly rules and guidelines. Here are a few I encountered in 2019.

Can We Get a Do-Over? What do you do when you get caught with predatory language in your contest guidelines? You hastily switch it out, of course. That's what Harper's Bazaar did when the copyright grab in its annual short story competition was outed on Twitter.

Rights Grabs by the Sunday Times Audible Short Story Award: Another prestigious (and rich: the winner gets £30,000) contest with a predatory rights grab.

The Pressfuls Short Story Contest: Why not to enter a contest that doesn't post rules and guidelines: you may discover, as writers who entered this contest did, that your work has been published without your permission.

SAVE YOUR CASH

The shady underbelly of the publishing world is chock-a-block with those who scheme to take authors' money, by fair means or foul. Here are some especially foul examples.

Seven Prolific Vanity Publishers: A look at the vanity publishers about which I get the most questions, including Austin Macauley, Page Publishing, and Christian Faith Publishing.

Anatomy of a Book-To-Screen Scam: One of the most unlikely outcomes of publishing a book is selling film rights. Book-to-screen scammers--who purport to turn your book into a screenplay, shop it to Hollywood, and more--don't want you to know that.

Vanity Radio: Why You Should Think Twice: Should you ever pay for a radio interview? Like paid book reviews, this is an iffy proposition--even if you're not being solicited by a scammer.

A Pack of Scammer Lies: Dissecting the highly deceptive pitch by one especially egregious publishing and marketing ripoff.

ADVICE YOU CAN USE

When a Publisher Claims Copyright on Edits: This predatory practice is a big publishing contract red flag.

How Predatory Companies Are Trying to Hijack Your Publisher Search: Among other sneaky techniques: fake publisher matching sites that purport to guide you to appropriate publishers but steer you to vanities and self-publishing companies; deceptive use of Google ads to do the same thing; fake facts and statistics about traditional publishing designed to make the vanity model seem preferable.

Awards Profiteers: How Writers Can Recognize Them and Why They Should be Avoided: Profiteering awards programs have a secret agenda: making money for the sponsor with huge entry fees. They're not about honoring writers.

GENERAL BEWARES

Be careful out there!

From the Philippines, Not With Love: A Plague of Publishing and Marketing Scams: This is one of the biggest new scam trends threatening self-pubbed and small press authors. Some background on how the scams came to be, plus a list of the nearly 70 scammers I've discovered so far.

Issues at Audible's ACX: Including attempted rights fraud and inexplicably withdrawn promo codes.

Caution: Turkish Publisher Mavifil Publishing (Mavifil Yayinlari): Old scammers never die; they just change their names. A non-paying publisher that stalked writers in 2011 returns to stalk them in 2019.

AMS Literary Agency: Approach With Caution: Old scammers never die; they just change their names. Whoops, didn't I just say that? The owner of one of the most notorious vanity publisher scams ever returns in the guise of a literary agent.

Beware: Wid Bastian aka Widtsoe T. Bastian/Genius Media Inc./Kairos Phoenix Company: A convicted felon, an ebook promo and box set scheme. What could go wrong?

Publishizer: Do Authors Really Need a Crowdfunding Literary Agency? Yet another of those reinvent-the-wheel attempts that are so common in publishing: a crowdfunding site for writers that claims to represent manuscripts to publishers, but is mostly used by vanities and other fee-chargers (some of them seriously questionable).




9

What You Need to Know About How California's New Law AB-5 Affects Writers


Posted by Victoria Strauss for Writer Beware®

Scroll down for updates

Last year, California passed a new law, AB-5, intended to make things better for gig economy workers, such as Uber and Lyft drivers, by forcing these companies to provide employee protections and benefits for their freelance workers.

However, the narrowly-written law, which went into effect on January 2, has created unintended consequences for freelance writers, most of whom are independent by preference. If they sell 35 or more pieces to the same company in a year (which can easily happen with short blog posts or  product reviews), the company must treat them as employees rather than freelancers and pay payroll taxes as well as unemployment and other insurances. Even before the law went into effect, companies were laying off California freelancers and seeking replacements in other states.

Book writers may be affected too, under certain specific circumstances.

The article below was originally published by the Authors Guild; I'm re-printing it with permission. This is an issue all writers need to be aware of, as similar laws are under consideration in other states, including New York and New Jersey.

******

We have been receiving inquiries about California’s new law AB-5 and similar pending legislation in other states that require companies hiring individuals on a freelance basis for labor or services to treat them as employees, unless the individual’s work falls within one of several exceptions. Laws like AB-5 (which goes into effect on January 2) are meant to aid gig economy workers, such as Uber and Lyft drivers, who work for a single company and have no employee protections. They are well-intentioned pieces of legislation, but unless they are narrowly written, they can go beyond protecting gig workers and disadvantage many traditional freelancers who wish to remain independent by overriding existing state agency law.

To be clear, the Authors Guild fully supports employment protections for freelance journalists and authors, and will be lobbying for collective bargaining rights in 2020. Like Uber drivers, writers have no benefits and are often paid less than minimum wage. But forcing writers to work as employees, especially on a state-by-state basis, is not the way to go about it. The situation in California speaks to the importance of deliberation, careful drafting, and getting buy-ins from the various industry groups. Similar “gig worker” bills are in the works in New York and New Jersey. The new draft NJ bill includes a strict, sweeping version of the ABC test. Those working closely on the bill are concerned that freelance journalists will in many cases be treated as employees. We will watch the bill and do our best to ensure that the necessary protections for freelance journalists are added.

* The NY bill attempts to exclude freelance journalists, and we have provided comments to the drafters to make it clearer.* (correction 12.30.19)

AB-5’s 35-Submission Cap

As many of you are aware by now, much of the debate surrounding AB-5 comes down to its 35-submission cap applying to the contributions of freelance journalists, editors, and photographers. When the bill was being negotiated, a coalition of writer and photographer groups, including the Authors Guild, was able to get an exception for freelance writers. Unfortunately, Assemblywoman Lorena Gonzalez, who sponsored the bill, added a cap of 35 pieces per company—meaning that once a freelance journalist or editor submits 36 articles or jobs for the same company in one year, the freelancer must be treated as an employee and the employer must pay California State unemployment and employee insurances.

Many full-time writers today patch together a living from different sources—and they want to keep it that way. Because of AB-5, California freelance journalists writing 35 or more pieces for a single company fear losing clients to writers in states with laxer laws. Indeed, some publications have already stated that they will not hire California freelance writers because of the new law. 35 articles might seem like a lot, but there are plenty of writers who write more than that. Writing a short weekly blog piece for a client could easily put a writer over this limit.

Another problem with treating writers as employees and not freelancers is that employee-writers do not own the copyright in their work; instead, the employer is considered the “author” under copyright law and automatically owns the copyright in its creation. Of course, as most major publications today insist on an assignment of copyright anyway, the practical effect, unfortunately, is the same: the writer gives up copyright. Still, freelance writers who assign copyright can reclaim it after 35–40 years, which is a benefit that employee-writers lack.

Does AB-5 Apply to Book Contracts?

Authors have raised alarm that AB-5 will apply to book writers as well. The Authors Guild has been reviewing the bill from that perspective since it was first introduced. We were assured by those working on the bill that trade book authors are not covered, and we do not see a basis for disagreeing since the bill clearly states that AB-5 applies only to “persons providing labor or services” and authors provide neither “labor” nor “services” under standard book contracts—they instead grant copyright licenses or assignments. Additionally, royalties—even in the form of advance payments—are not considered wages. It is difficult to imagine how a court would conclude that a typical book contract is for labor or services.

Writers with Service-Like Obligations Should Get a Legal Opinion

There are, however, some book-writing agreements that could be considered service agreements and arguably would fall under AB-5, such as work-made-for-hire agreements and contracts where the author has ongoing obligations and the publisher has greater editing ability or control over the content. Authors and writers working under multi-book contracts are most likely to encounter such a situation. These authors’ contracts should be reviewed by an attorney to determine whether they are subject to AB-5. Publishers and authors who want to be certain to retain a freelancer relationship should be careful to make sure the contracts are written as simple license grants and not as services agreements. For instance, the agreement should be written as a copyright grant of a defined work without interim or ongoing obligations, and remuneration should be in the form of royalties and advances against royalties. The writer should also have full control over their work and use their own workspace and tools. As a general rule, it is also recommended that freelance editors and journalists have written contracts that allow them to work when and where they want with no oversight other than approval of the finished work product.

If you have such a contract and are an Authors Guild member, remember that we do review members’ contracts for free. You can send us the agreement using our online form, and our legal team will get you comments and let you know if you need to revise the agreement.

UPDATE 1/16/20: Washington (State, not DC) is contemplating a bill like this as well. From the comments, below:
WA should be on your watchlist, too. An AB5-like bill was just re-introduced in the Senate there, even though it had been defeated last year. It, too, requires writers and other freelancers and independent contractors be hired as employees when their works contribute to the normal business of their clients. The bill ignores a study of independent contractors that was prepared by the Dept of Commerce after the bill's defeat. The study documents that 3/4 of the independent contractors in WA don't need or want the employee benefits touted by the bill's advocates. Between their own efforts and those of their families and friends, they're doing fine. Read the study yourself then write to Sen. Karen Keiser about your opposition to being made employees against your will.

The study: https://app.leg.wa.gov/committeeschedules/Home/Documents/26113?//20902
Senator Keiser: karen.keiser@leg.wa.gov
A similar law may be in the works in Illinois.

UPDATE 1/20/20: This article from Digiday explores the negative impact that AB-5 is already having on freelancers and publishers in California.




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Copyright Violation Redux: The Internet Archive's National Emergency Library


Posted by Victoria Strauss for Writer Beware®

The enormous digital archive that is the Internet Archive encompasses many different initiatives and projects. One of these is the Open Library Project, a huge repository of scanned print books available for borrowing in various digital formats.

Unlike a regular library, the IA does not purchase these books, but relies on donations to build the collection. Nor are permissions sought from copyright holders before creating the new digital editions. And although the IA claims that the project includes primarily 20th century books that are no longer widely available either physically or digitally, the collection in fact includes large numbers of 21st century books that are in-copyright and commercially available--and whose sales the Open Library's unpermissioned versions have the potential to harm.

Most professional writers' groups consider the Open Library to be not library lending, but massive copyright violation. Many have issued alerts and warnings (you can see SFWA's alert here), and many authors have contacted the IA with takedown requests (to which the IA was not always terrific at responding; you can see my account of my own frustrating experience here).

In the fall of 2018, a novel (and disputed) legal theory was created to justify the Open Library and similar initiatives, called Controlled Digital Lending (CDL). CDL's adherents present it as "a good faith interpretation of US copyright law for American libraries" seeking to conduct mass digitization projects, and invoke as support the "exhaustion" principle of the first sale doctrine (the idea that an authorized transfer of a copyrighted work "exhausts" a copyright holder's ability to subsequently control the use and distribution of  that copy; this is what allows used book sales, for example) and the fair use doctrine (a complex principle that permits the copying of a copyrighted work as long as the copying is limited and transformative). As long as the library restricts its lending in ways similar to restrictions on the lending of physical books (for instance, allowing only one user at a time to access each digital format), CDL holds that creating new digital editions of in-copyright books and lending them out is fair use, and copyright holders' permission isn't necessary.

Libraries in particular have embraced CDL. Publishers' and writers' groups...not so much, especially in light of a recent legal decision that rejected both the first sale doctrine and fair use as basis for re-selling digital content. Here's the Authors Guild:
CDL relies on an incorrect interpretation of copyright’s “fair use” doctrine to give legal cover to Open Library and potentially other CDL users’ outright piracy—scanning books without permission and lending those copies via the internet. By restricting access to one user at a time for each copy that the library owns, the proponents analogize scanning and creating digital copies to physically lending a legally purchased book. Although it sounds like an appealing argument, the CDL concept is based on a faulty legal argument that has already been rejected by the U.S. courts.

In Capitol Records v. ReDigi, the Second Circuit held that reselling a digital file without the copyright holder’s permission is not fair use because the resales competed with the legitimate copyright holder’s sales. It found that market harm was likely because the lower-priced resales were sold to the same customers who would have otherwise purchased new licenses. In this regard, the court emphasized a crucial distinction between resales of physical media and resales of digital content, noting that unlike physical copies, digital content does not deteriorate from use and thus directly substitutes new licensed digital copies.

The same rationale applies to the unauthorized resale or lending of ebooks. Allowing libraries to digitize and circulate copies made from physical books in their collection without authorization, when the same books are available or potentially available on the market, directly competes with the market for legitimate ebook licenses, ultimately usurping a valuable piece of the market from authors and copyright holders.
For a more detailed deconstruction of CDL's arguments, see this statement from the Association of American Publishers.

Flash forward to 2020, and the coronavirus pandemic crisis. Last week, the IA announced the debut of the National Emergency Library--really just the Open Library, but with some new provisions.
To address our unprecedented global and immediate need for access to reading and research materials, as of today, March 24, 2020, the Internet Archive will suspend waitlists for the 1.4 million (and growing) books in our lending library by creating a National Emergency Library to serve the nation’s displaced learners. This suspension will run through June 30, 2020, or the end of the US national emergency, whichever is later.

During the waitlist suspension, users will be able to borrow books from the National Emergency Library without joining a waitlist, ensuring that students will have access to assigned readings and library materials that the Internet Archive has digitized for the remainder of the US academic calendar, and that people who cannot physically access their local libraries because of closure or self-quarantine can continue to read and thrive during this time of crisis, keeping themselves and others safe.
What this boils down to, under all the high-flying verbiage: the IA is ditching the one-user-at-a-time restriction that is one of the key justifications for the theory of controlled digital lending, and allowing unlimited numbers of users to access any digitized book in its collection.

The Authors Guild again, on how this harms authors:
IA is using a global crisis to advance a copyright ideology that violates current federal law and hurts most authors. It has misrepresented the nature and legality of the project through a deceptive publicity campaign. Despite giving off the impression that it is expanding access to older and public domain books, a large proportion of the books on Open Library are in fact recent in-copyright books that publishers and authors rely on for critical revenue. Acting as a piracy site—of which there already are too many—the Internet Archive tramples on authors’ rights by giving away their books to the world.
Here's just one concrete example. Katherine Harbour's Nettle King is available for borrowing in the National Emergency Library as a scan, an EPUB, and a PDF (the IA's EPUB versions are OCR conversions full of errors). Published in 2016, it's also "in print" and available on Amazon and other online retailers as an ebook, in addition to other formats. The IA, which never bought a digital license to Ms. Harbour's book and scanned and uploaded it without permission, now is proposing to allow unlimited numbers of users to access it, potentially impacting her sales. How is this any different from a pirate site?

Announcement of the National Emergency Library has been greeted rapturously by the press and by libraries. Less regarded has been the flood of protest and criticism from authors and professional groups. In situations like these, authors and publishers tend to be dismissed as greedy money-grubbers who are putting profits ahead of the march of progress and the noble dream of universal access to content...despite the fact that authors' right to make money from their work--and, just as important, to control the use of it--springs directly from the US Constitution, and has been enshrined in law since 1790.

In response to the outcry over the National Emergency Library, the IA has issued a justification of it, citing the "tremendous and historic outage" of COVID-19-related library closures, with "books that tax-paying citizens have paid to access...sitting on shelves in closed libraries, inaccessible to them." This noble-sounding purpose conveniently ignores the fact that those libraries' (legally-acquired and paid-for) digital collections are still fully available.

If your book is included in the National Emergency Library, and you don't want it there, the IA will graciously allow you to opt out (another inversion of copyright, which is an opt-in system).


Hopefully they'll be more responsive than they were in 2018, when I sent them DMCA notices that they ignored. Or later, when they began rejecting writers' takedown requests by claiming that the IA "operates consistently with the Controlled Digital Lending protocol.”

******************

I've covered this question above, but I want to highlight it again, because it's such a persistent objection when this kind of infringement occurs: Brick-and-mortar libraries lend out books for free, so how are the IA's "library" projects any different?

A few reasons.

- Brick-and-mortar libraries buy the books they lend, a separate purchase for each format (hardcover, paperback, ebook, audiobook, etc.). The author gets a royalty on these purchases. The IA seeks donations, and lends those. Authors get nothing.

- Brick-and-mortar libraries lend only the books they purchase. They don't use those books to create new or additional, un-permissioned lending formats. That's exactly what the IA does. Moreover, one of its additional lending formats is riddled with OCR errors that make them a chore to read. Apart from permission issues, this is not how authors want their books to be represented to the public.

- People who advocate for looser copyright laws often paint copyright defenders as greedy or mercenary, as if defending copyright were only about money. It's worth remembering another important principle of copyright: control. Copyright gives authors not just the right to profit from their intellectual property, but to control its use. That, as much as or even more than money, is the principle the IA is violating with its library projects.

UPDATE: It appears that the IA--on its own initiative--is removing not just illegally-created digital editions in response to authors' takedown requests, but legally-created DAISY editions as well, even where authors don't ask for this (DAISY is a format for the visually impaired, and like Braille, is an exception in copyright law and is also permissioned in publishing contracts).


It did the same thing in 2018, even where the takedown requests specifically exempted DAISY editions. I don't know if the current removals reflect expediency or possibly are just a kind of FU to writers (and, indirectly, to disabled readers), but if you send a removal request to the IA, you might consider specifically asking them not to remove any editions for the blind and disabled (which, again, are legal for the IA to distribute).

UPDATE 4/2/20: The Authors Guild has issued a statement encouraging writers to demand that the Internet Archive remove their books from its National Emergency Library. The statement includes instructions on what to do, along with a sample DMCA notice in the proper legal form.

UPDATE 4/8/20: SFWA has issued a statement on the National Emergency Library, describing the legal theory of Controlled Digital Lending as "unproven and dubious". (A link to SFWA's DMCA notice generator is included.)
[U]sing the Coronavirus pandemic as an excuse, the Archive has created the “National Emergency Library” and removed virtually all controls from the digital copies so that they can be viewed and downloaded by an infinite number of readers. The uncontrolled distribution of copyrighted material is an additional blow to authors who are already facing long-term disruption of their income because of the pandemic. Uncontrolled Digital Lending lacks any legal argument or justification.
UPDATE 4/9/20: The Chairman of the US Senate Subcommittee on Intellectual Property, Thom Tillis, has sent a letter to the Internet Archive, pointing out the many voluntary initiatives by authors, publishers, and libraries to expand access to copyrighted materials, and expressing concern that this be done within the law. 
I am not aware of any measure under copyright law that permits a user of copyrighted works to unilaterally create an emergency copyright act. Indeed, I am deeply concerned that your "Library" is operating outside the boundaries of the copyright law that Congress has enacted and alone has the jurisdiction to amend.
The letter ends by punting "discussion" until "some point when the global pandemic is behind us." So, basically, carry on and maybe at some point we'll talk.

UPDATE 4/15/20: Internet Archive founder Brewster Kahle has responded to Sen. Tillis's letter, claiming that the National Library is needed because "the entire physical library system is offline and unavailable" (even though libaries' legally acquired digital collections are still fully available) and that "the fair use doctrine, codified in the Copyright Act, provides flexibility to libraries and others to adjust to changing circumstances" (there's no such language in the actual Fair Use statute).

Kahle also notes:
In an early analysis of the use we are seeing what we expected: 90% of the books borrowed were published more than ten years ago, two-thirds were published during the twentieth century. The number of books being checked out and read is comparable to that of a town of about 30,000 people. Further, about 90% of people borrowing the book only looked at it for 30 minutes. These usage patterns suggest that perhaps that patrons may be using the checked-out book for fact checking or research, but we suspect a large number of people are browsing the book in a way similar to browsing library shelves.
But this is hardly a compelling argument. Large numbers of these books are certainly still in copyright, and many are likely still "in print" and commercially available (in digital form as well as hardcopy). Just because a book was published more than ten years ago or prior to 2000 doesn't magically cause it to become so hard to find it must be digitized without permission in order to save it. "But they're older books" sidesteps, rather than addresses, the thorny copyright issues raised by the IA's unpermissioned scanning and digitizing.

This passage also tacitly confirms the IA's abandonment of the one-user-at-a-time restriction that is a key feature of the rationale for the Controlled Digital Lending theory. If the basis for your enterprise is a legal theory whose strictures can be jettisoned at will, how credible is that theory really?

Kahle also claims that "No books published in the last five years are in the National Emergency Library". As it happens, the example I provide above (Katherine Harbour's Nettle King) handily disproves this statement: it was published in 2016, and was digitized by the IA in 2018 (you can see the scan here). I seriously doubt it's the only instance. Either Kahle is being disingenuous, or he doesn't know his own collection.

As a sop to creators, Kahle reiterates that concerned authors "need only to send us an email" and their books will be removed. As I've pointed out above, this is yet another inversion of copyright law, which explicitly gives creators control over the use of their work. In other words, it's the IA, not authors, who should be the petitioners here.

UPDATE 4/16/20: This terrific, comprehensive article from the NWU's Edward Hasbrouck examines the multiple ways the Internet Archive is distributing the page images from its unpermissioned scanning of print books--"[o]nly one of [which] fits the Internet Archive’s and its supporters’ description of so-called Controlled Digital Lending (CDL)."




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29.03.2018

Мои мысли несут мне силу и уверенность в себе.

Мои мысли исцеляют и обогащают меня.

Мои привычки помогают мне стать лучше.

Я освобождаюсь от условностей и навязанных стереотипов.

Я – творец своей судьбы.

Цитата на сегодня:

Мысли выражаются в действиях, чем настойчивее мысль, тем сильнее действие.

Уильям Аткинсон




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09.04.2018

Я – общительный человек.

Я – чуткий и внимательный собеседник.

Я охотно проявляю понимание и сострадание.

Я открыто и спокойно выражаю свои чувства.

Отношения помогают мне узнать себя с новой стороны.

Цитата на сегодня:

Стремитесь к общению с людьми, пробуждающими в вас мысль и активное действие.

Наполеон Хилл






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Ресурсы для больных COVID-19 будет распределять ИИ

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Cartoons from the March 9, 2020, Issue


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