On Tuesday, an attorney for literary agent Yfat Reiss Gendell wrote to the judge overseeing former partner Peter McGuigan’s motion asking for a court appointed receiver for the bank accounts of their former agency, Foundry Literary, requesting an adjournment until mid-March. “The parties have made significant progress,” the attorney reports. “They have identified an independent accountant to potentially assist the parties in managing Foundry Media, and have tentatively selected a new bank for the company’s accounts.” Filed with the consent of the plaintiffs, “The parties seek additional time to formalize these arrangements.” Judge Joel Cohen quickly consented, and rescheduled the […]
Agency News
McGuigan Sues Former Partner Gendell, Alleging “Criminal Embezzlement” of Funds
On Thursday, literary agent Peter McGuigan filed suit on behalf of himself and the literary agency Foundry in New York Supreme Court against former business partner Yfat Reiss Gendell, charging breach of contract, conversion of funds, intentional fraud and fraudulent conveyance, negligent misrepresentation, and more. Alleging “criminal embezzlement,” the suit says that Gendell illegally transferred over $800,000 from Foundry accounts to herself and to cover expenses related to her new agency YRG Partners. It also alleges that over $45,000 in unlawful charges were made to company credit cards on Gendell’s behalf; that she hired some former Foundry employees in violation […]
People: Richman to Co-Lead Media Rights at UTA, Trimmer to Head MTV Books Relaunch
UTA has promoted book-to-film agent Jason Richman to co-lead its Media Rights Group, alongside Keya Khayatian. Richman has been at UTA since 2010. The agency says that the department has closed over 250 deals in the past year, licensing literary properties for film and TV. Separately, Christian Trimmer will lead a relaunch of MTV Books. Trimmer will report to MTV Entertainment president of content and chief content officer Nina Diaz. The imprint will publish in partnership with Simon & Schuster, housed within the branded publishing group of Simon & Schuster Children’s, with director of branded publishing Kara Sargent as the […]
Publishers Are Holding or Bifurcating Foundry Payments
Following our story from last week on authors receiving bad checks from Foundry Literary + Media for payments due — along with advocacy from the Authors Guild — we have learned that multiple large publishers have moved quickly to protect authors’ funds. The Penguin Random House royalty department told a representative of Foundry in an email shown to PL that they “have had several authors request bifurcated payments” and would be granting those requests. (When bifurcating payments, the publisher pays directly to the author their share — usually 85 percent — and pays the agency commission only directly to the […]
Foundry Authors and Former Employees Warn On Payment Problems
Both authors and former employees of Foundry Literary + Media have indicated problems recently in receiving payments due from the agency. In September, Foundry’s co-founders Yfat Reiss Gendell and Peter McGuigan went separate ways to create YRG Partners and Ultra Literary respectively. Authors represented by Foundry report having received royalty checks that bounced, starting some time in late November. Two authors contacted the Authors Guild for assistance, and the organization has heard from some former Foundry agents as well. A demand letter sent to Gendell and McGuigan did result in a wire payment. (Knowingly issuing a bad check is a […]
AAR Changes to Focus On Literary Agents, Adds Non-Profit Arm
The Association of Authors’ Representatives has changed its name to the Association of American Literary Agents which “better reflects the membership and aligns the organization with its core mission of empowering and educating literary agents.” Along with the new name, the organization is updating its branding, communications, and website and aims to “offer deeper resources for members and writers.” The organization has a Twitter feed now, too. The AALA is also focused on helping to “build a more equitable publishing industry.” A new charitable non-profit arm, Literary Agents of Change, will “provide stipends for interns and a mentorship program to […]