Understanding my contract

BrookieCookie777 said:

In the event of bankruptcy,receivership, assignment for the benefit of creditors or liquidation of the Publisher for any case whatsoever, all rights shall revert automatically to the Author

Click to expand...

Most publishing contracts contain a clause like this, dealing with what happens in the event of the publisher's bankruptcy or liquidation. It's supposed to assure the author that, if this happens, rights will revert automatically and without further action on the author's part. In fact, however, it's likely that a bankruptcy court will view the publisher's contracted books as assets available to pay off creditors. So no matter what is stated in your contract, if your publisher goes bankrupt your rights will probably be tied up until (and if) the court decides to release them.

and the Author shall be entitled to purchase all plates, other reporgraphic materials, sheets and copies remaining at their fair market value.

Click to expand...

This kind of language--which gives you the right to buy unsold stock of your book, along with the paraphernalia used to produce the book--is more properly found in the out of print/rights reversion clause of a publishing contract. I've never seen it included in the bankruptcy clause before. It should also guarantee the author a substantial discount.

- Victoria

I'm no contract expert, but it sounds to me like they're saying:

If we go belly-up, all rights revert to you. If you're uber-paranoid about your work being stolen, or just feel like helping to bail us out of the mess we got ourselves into, you can purchase all existing copies of your work and even the press plates we used to print it.