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Contract clause

Subsidiary rights clause

This clause states that the publisher has the right to sell or license various subsidiary rights related to your book, such as translation rights, audioboo

The Blue Flame Editorial Team
Published 10 September 2026 · 1 min read
The clause, in typical wordingThe Publisher shall have the exclusive right to license, exploit, and sublicense Subsidiary Rights in the Work, including but not limited to translation, audiobook, film/television, serialization, and book club rights. Royalties derived from such licenses shall be shared equally (50/50) between the Author and the Publisher, after deduction of any direct expenses incurred by the Publisher in securing such licenses.

In plain English

This clause states that the publisher has the right to sell or license various subsidiary rights related to your book, such as translation rights, audiobook rights, film/TV rights, serialization rights, and book club rights. Any money made from these deals will be split between you and the publisher, usually 50/50, after the publisher deducts any costs they incurred in making the deal.

What it means in practice

In practice, this means the publisher can pursue opportunities to adapt your book into different formats or markets (like other languages, audio versions, or movies) and will share the revenue with you. However, the publisher has control over these deals, and you may not have much say in the terms or partners they choose. The revenue split and expense deductions will affect how much you earn from these opportunities.

What's standard

Standard / acceptable

It is standard for the publisher to handle subsidiary rights and for the revenue split to be 50/50 after the publisher deducts any direct expenses.

Red flags

Red flag

A clause that allows the publisher to deduct indirect or vague expenses from your share of subsidiary rights revenue.

Red flag

A clause that gives the publisher exclusive rights to subsidiary rights without a time limit or performance clause.

Red flag

A clause that does not specify the revenue split, leaving it open to negotiation or interpretation.

What to ask for instead

Ask for language that specifies the revenue split for each type of subsidiary right (e.g., 50/50 for translation, 60/40 for film/TV) and limits the publisher's ability to deduct expenses to only those directly related to securing the deal. Additionally, consider including a clause that allows you to regain control of subsidiary rights if the publisher has not exploited them within a certain period, such as 12 months.

This is information, not legal advice. Contracts turn on their exact wording and your circumstances — before you sign, have a publishing lawyer or a body like the Society of Authors or the Authors Guild review the actual document.

Sources
  1. The Authors Guild — model trade book contract
  2. The Society of Authors — guidance for authors
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