Got this off IMRR. Can anyone confirm this?:
Simon & Schuster has changed its standard contract language in an attempt to retain exclusive control of books even after they have gone out of print. Until now, Simon & Schuster, like all other major trade publishers, has followed the traditional practice in which rights to a work revert to the author if the book falls out of print or if its sales are low.
The publisher is signaling that it will no longer include minimum sales requirements for a work to be considered in print. Simon & Schuster is apparently seeking nothing less than an exclusive grant of rights in perpetuity. Effectively, the publisher would co-own your copyright.
The new contract would allow Simon & Schuster to consider a book in print, and under its exclusive control, so long as it's available in any form, including through its own in-house database -- even if no copies are available to be ordered by traditional bookstores.
Other major trade publishers are not seeking a similar perpetual grant of rights.
We urge you to consider your options carefully:
1. Remember that if you sign a contract with Simon & Schuster that includes this clause, they'll say you're wed to them. Your book will live and die with this particular conglomerate.
2. Ask your agent to explore other options. Other publishers are not seeking an irrevocable grant of rights.
3. If you have a manuscript that may be auctioned, consider asking your agent to exclude Simon & Schuster imprints unless they agree before the auction to use industry standard terms.
4. Let us know if other major publishers follow suit. Any coordination among publishers on this matter has serious legal implications.
Feel free to forward and post this message in its entirety.