Chereads / PLEASE READ and LET'S DISCUSS / Chapter 9 - Section 10

Chapter 9 - Section 10

10. Right of Priority

10.1 Party A and Party B agree and acknowledge that all other works created by Party B in addition to the Work within one (1) year after completion of the Work under this Agreement shall be regarded as "Party B's New Works", for which Party A has rights of priority to exploit. If Party B wishes to transfer or authorize others to exploit such Party B's New Works, Party B shall notify Party A in advance in writing (attaching the proposed terms of agreement, if any); Party A shall have a priority right over any third party to obtain the foregoing rights, and Party B shall take such actions as necessary and appropriate to allow Party A to exercise such priority rights. If Party B only creates new works after the expiration of the above stipulated period of time, Party A shall enjoy the same priority rights described herein to the first new work created by Party B (which will be regarded as part of the Party B's New Works) after the above stipulated period of time. Unless Party A fails to exercise its priority rights within thirty (30) business days after receiving a written notification from Party B so requesting, Party B shall not transfer or license the aforesaid rights to any third party. Party A's priority rights shall be exercised in a manner consistent with maintaining the legitimate rights and interests of Party B, and Party A shall use all reasonable endeavours to create income for Party B by so doing.

(PER 10.1 This is kind of a non compete clause which is partly understandable but the phrasing of Addition to the Work should only cover derivative works like sequels, prequels, side story etc. Yet the wording here treats it as all new works, even if the new works that are not connected to the signed work. Yet when you go down the paragraph the wording is ambiguous, affecting all works (connected or not). Because of this, even after expiration of one year time period as stated, they still have priority now and you are contractually obligated to give webnovel first option on any work.

Then, there is the 30 day reply window in the clause where they need to respond. Assuming they know you really want to leave, that 30 day only requires one response from webnovel for that new work (even after 1 year of the contract ending) and you are now tied down to them as there was no mention when webnovel loses the first option after they've replied within the 30 day window. Keep in mind also that they can request drafts and ideas and not push through with it, perpetually locking you down in webnovel purgatory until you yield to their contract and come back "home".

It seems maniacal but since it is not mentioned, the first priority existing even after the 1year time frame when the contract ends is written down, nothing else mentions a way of relief for the author who doesn't want to work with webnovel anymore.)

10.2 The Parties hereby agree and acknowledge the methods and conditions for exercising the priority rights described herein. If Party B grants or licenses copyright pertaining to the Party B's New Works without the permission of Party A such that Party A cannot exercise priority rights to which it is entitled, it shall be deemed as a breach of this Agreement on the part of Party B, for which Party B shall pay damages to Party A for all losses suffered in that connection, including but not limited to any expenses incurred by Party A such as notary fees, attorney fees, accreditation fees, litigation fees, and travel fees. Moreover, Party B shall treat all income reasonably obtained from third parties as compensation to be paid to Party A for breach of the priority rights provisions herein; Party A has the right to deduct such compensation directly from the remuneration payable to Party B.

(PER 10.2, webnovel would like to assure you that there is no escape or risk their full reach with this contract. With what 10.1 stated and what was mentioned as an issue, Party A has full control of any work you plan to do during and after the contract period as you agreed to first priority. Now, with that 30 day window reply being the only mention, any and all works you planned can't be offered or sold through anyone else if they reply one during that window period you are required to inform them of the new work.

Also, what happens after Party B terminates Party A for contract violation. Do they have first option clause active still? Morally, I would say no. But the copyright didn't return to the author eventhough webnovel/party A was terminated as structured by the contract's wording. So… take that how you will.)