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Anthropic Settlement: Authors Dispute Publisher Claims

Authors expecting payouts from the Anthropic settlement received unexpected emails this week indicating that publishers or agents were staking a claim on their share of the EUR 1 billion copyright deal. Writers say the notices raise concerns about how funds from the landmark case will be...

Anthropic Settlement: Authors Dispute Publisher Claims
Authors expecting payouts from the Anthropic settlement received unexpected emails this week indicating that publishers or agents were staking a claim on their share of the EUR 1 billion copyright deal. Writers say the n

Authors expecting payouts from the Anthropic settlement received unexpected emails this week indicating that publishers or agents were staking a claim on their share of the EUR 1 billion copyright deal. Writers say the notices raise concerns about how funds from the landmark case will be distributed.

Anthropic settled a copyright class action last year after a judge ruled that training AI models on copyrighted material qualifies as fair use, while pirating that material did not. The agreement received final approval in July, clearing the way for payments to begin.

How the payouts are structured

Under the terms, authors of nearly 500,000 titles will be paid EUR 2,581 for each pirated work. When a book remains in print with a traditional publisher, the payment is split evenly, 50-50, between the author and the publisher. If a title was self-published, or if the publisher reverted rights by allowing the book to go out of print, the author is entitled to the full EUR 2,581.

Disputes have surfaced over how those splits are being applied. Mystery and thriller author April Henry said HarperCollins claimed one of her books whose rights reverted at least 17 years ago, adding that she received a credit alert on the same day listing the publisher as her employer, which she said was never the case.

Recordkeeping errors or something systemic

Victoria Strauss, who runs the Writers Beware blog, said author complaints fall into two categories: publishers seeking payment for works whose rights have reverted, and publishers claiming the full amount when they are only entitled to half. She said she is reluctant to attribute to malice what may stem from poor recordkeeping, noting that some publishers have already flagged the issue as a mistake and asked Anthropic to correct it.

Authors Guild CEO Mary Rasenberger echoed that view, saying she does not see the situation as a grab by publishers or an attempt to shortchange authors, but rather the result of poor recordkeeping and a confusing settlement process.

Strauss cautioned that the complaints she has seen represent only a small view of the broader picture. Still, she said the unusually high number of reports over two days, combined with authors describing the exact same errors repeatedly, suggests the problem is widespread and systemic rather than routine.

Agents also seeking a cut

Publishers are not alone in filing claims. Strauss said several literary agencies are also seeking a portion of the payments, which she called surprising because agents are not rightsholders in the books they sell.

Author Courtney Milan, the pen name of former law clerk and law professor Heidi Bond, objected sharply on Bluesky, writing that agents should not attempt to claim percentages of the settlement. Milan and the Authors Guild have both raised concerns about the claims being submitted against author payments.

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Image: techcrunch.com

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