Literary agent ordered to pay half a million to author for bad advice

[Brian G Turner]

Agent sued author over royalties - author counter-sued. Judge instead decided the agent had failed in a duty of care:

Literary agent Selwa Anthony ordered to pay author more than half a million dollars

Today, Justice Julie Ward found Ms Anthony breached her duty of care and skill in advising Ms Morton to grant world rights for the last four of Ms Morton's books without advising her of the financial implications of doing so.

"It was clearly a material feature of world right arrangements that Ms Anthony's duties as agent would be reduced to almost nil, whilst Ms Anthony continued to obtain the same rate of commission," Justice Ward said.

She dismissed Ms Anthony's claim and ordered her to pay Ms Morton $514,558 plus interest in refunded commissions.

 

[The Bluestocking]

I guess we now know who to cross off the list of agents to query...

 

[Juliana]

I guess we now know who to cross off the list of agents to query...

Also, don't rely on oral agreements, I guess?

 

[The Bluestocking]

Also, don't rely on oral agreements, I guess?

Yup. Everything must be in writing. Even if it's an email trail.

 

[Juliana]

Thing is, some agents use contracts, others just use an oral agreement (and I'm talking big names, too, not just small fry!). But I guess this will shift things towards all agencies asking for contracts.

 

[The Bluestocking]

Thing is, some agents use contracts, others just use an oral agreement (and I'm talking big names, too, not just small fry!). But I guess this will shift things towards all agencies asking for contracts.

All my working life, it has been drummed into me that there needs to be something in writing, even if it isn't a formal contract. Email threads, letters etc are important. Even then, with written agreements/records/trails, there are issues and disputes sometimes. Something in black-and-white and which everybody can read as evidence usually helps to at least clear misunderstandings (or expose who badly worded something is to cause a misunderstanding).

Verbal/oral agreements without something written down is just a whole heap of trouble waiting to happen due to misinterpretation, being able to cry off an agreement without due notice, "Party 1 said-Party 2 said" situations etc.