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The Facts of the Lawsuit Filed by Two Authors Against Cengage
Cengage
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The Facts of the Lawsuit Filed by Two Authors Agai...

Response to Cengage Unlimited has been tremendously positive. We have had the best spring selling season ever, winning hundreds of thousands more unit adoptions based on the opportunity that Cengage Unlimited brings to instructors and students—to make quality learning materials affordable and accessible to all learners.

 

Momentum continues to build for our new subscription service; nonetheless, on Monday, May 14, a complaint was filed in U.S. District Court against Cengage Learning by two Cengage authors.

 

Litigation following the launch of a new and innovative business model is not unusual, and our legal team is well prepared to address the complaint.

 

Our Product, Technology, Sales & Marketing, Finance and other teams are committed to an all-hands-on-deck effort to ensure a successful launch of Cengage Unlimited for students and instructors for the upcoming fall semester.

Here are the facts of the lawsuit:

 

  • Two authors have filed a lawsuit in New York federal court challenging certain Cengage practices. One of their contentions is that the new Cengage Unlimited subscription service is inconsistent with the royalty provisions of their publishing agreements. The lawsuit also complains that Cengage’s allocation of a portion of digital courseware revenue to the Cengage platform itself as being inconsistent with the publishing agreements.
  • The Court will determine whether the case is suitable to proceed as a class action.
  • While Cengage legal will respond to the compliant, we emphatically disagree that Cengage has violated any of its contractual duties to the two authors.  

 

The launch of Cengage Unlimited is moving forward as planned. This lawsuit, or any similarly filed lawsuit, will not delay the launch of Cengage Unlimited for students and instructors in August.