Oh, it gets worse,
@DuckRabbit
I just found this blogger,
Kristine Kathryn Rusch, who has opened my eyes to the scams in publishing, which have ramped up to incredible levels over the last couple of decades. Makes me feel even more vindicated that I am "going indie" with my books.
Business Musings: What It Feels Like To Have An Agent
My heart is breaking.
Michael Peck sent me a link to an article in The Guardian about Chuck Palahniuk. Palahniuk is one of the clients of Donadio & Olson, the agency that had a bookkeeper embezzle a minimum of $3.4 million from writers over the past seven years. Palahniuk is one of those writers.
I blogged about this agency and the embezzlement in last week’s post. Unfortunately, as I have been telling you all for years now, embezzlement and financial negligence is rampant at big name agencies. Almost none have systems set up to prevent it. Of the four agencies I worked with over the decades, two actively embezzled from me. I was anal with the latter two by constantly monitoring money, so I know they didn’t embezzle. They didn’t have the chance.
The literary agency who was embezzling from Palahniuk (the author of
Fight Club, made into a popular film, so we are talking real money here) was in turn embezzled by their own bookkeeper, because they, being thieves, didn't monitor the thief in their own midst. So there's not even the awful option of suing to get the money back.
When Dean and I hired the big agency that embezzled from us, we demanded that our money come to us the moment it cleared the agency’s account, no more than ten days after it arrived. Then we monitored. Those were expected funds—advances, timely royalty payments. So, the agency got creative. When it stole from us, it did so with things we had no way of knowing about, payments that were actual surprises—something selling better than expected in, say, Germany, for example, so that a company that had paid no royalties in the past (but sent statements) suddenly paid thousands. And we were told that “this year, they forgot” to send royalty statements, but there was no payment just like previous years.
See how easy that is? Even when someone is monitoring the agent?
I have signed up to follow her on Patreon and she has many timely and interesting blog posts. This is vital for all creative work now, because she says:
I’ve been accused of having a “bad breakup.” I’ve been accused of “being crazy about agents.” I’ve been accused of lying about this.
Sorry, folks. I’m not crazy. I didn’t have a bad break-up. This type of financial mismanagement, the kind that led to the embezzlement, is common in these agencies. It’s becoming visible now, because traditional book sales have declined, and so it’s harder for an agency to pay one complaining client with another (non-complaining) client’s advance.
But here’s what I want you to see. I want you to look again at Palahniuk’s apology.
I apologize for cursing my publishers. And I apologize for any rants about piracy. My publishers had paid the royalties. Piracy, when it existed, was small scale.
Now, I want you to think about how many big-name writers you’ve seen railing against piracy and how it’s cutting into their book sales. I want you to think about how many big-name writers blame Amazon (!) for ruining the book business and causing book sales to decline.
I want you to think about how many big-name writers who have said there’s no money in writing, not like there used to be.
All of those writers have agents. All of them.
All of those agents pay New York rents. All of those agents have lifestyles to maintain. All of those agents have unfettered access to millions of dollars.
She states that going indie with Amazon or Barnes & Noble is safer because they are publicly traded companies and have auditing rules they must follow. But literary agencies are completely unregulated and don't even have licenses to practice.