Authors Challenge Publishers and Agents Over Anthropic Settlement Payouts

Authors participating in Anthropic’s $1.5 billion copyright settlement are reporting that publishers and literary agents are filing claims for payments that legally belong to them. The settlement, which received final judicial approval in July, follows a lawsuit alleging that Anthropic pirated copyrighted material while training its AI models, despite a prior ruling that such training generally constitutes fair use.

Under the agreement, creators of approximately 500,000 titles are entitled to $3,000 for each work deemed pirated. If a book remains in print through a traditional publisher, the compensation is split evenly between the author and the publisher. However, if the work was self-published or if publishing rights have reverted to the author—often because the title went out of print—the author is supposed to receive the full amount.

Recent social media activity has highlighted discrepancies in these payouts. Mystery and thriller writer April Henry revealed that HarperCollins claimed rights to a book that had reverted to her more than 17 years ago. Henry also noted she received a notification listing HarperCollins as her employer on the same day, a designation she stated was inaccurate.

Victoria Strauss, who writes for the Writers Beware blog, said she has received a high volume of complaints falling into two categories: publishers claiming works where rights have reverted, and those requesting 100% of payments when they are only owed 50%. While Strauss initially suggested these errors might stem from poor record-keeping rather than malicious intent, she acknowledged that the repetitive nature of the reports indicates a systemic issue rather than routine glitches.

Complicating matters further, Strauss reported that some literary agencies are also attempting to claim a share of the settlements. This has drawn sharp criticism, as agents typically do not hold rights to the books they represent. Author Courtney Milan, writing on Bluesky, condemned the agents’ actions as unwarranted.

Despite the frustration, Mary Rasenberger, CEO of the Authors Guild, told The New York Times that she does not view the publishers’ actions as an intentional grab. She characterized the situation as a predictable outcome of complex record-keeping and a confusing settlement process. Both the Authors Guild and Milan have provided guidance on how authors can dispute incorrect payment allocations, noting that rights reversion must have occurred before August 10, 2022, to qualify for full author payment.