Author Terms of Service — W.E. Books (The Wonder Emporium Inc.)

2.1 Founding 100 Authors Program

• Limited to the first 100 authorswho complete registration, sign these Author Terms, and successfully publish at least one qualifying title before our public launch date (the "Founding Window").
• Founding 100 Authors receive permanently locked-in premium royalty rates, as set out in the Founding 100 Author Addendum provided to you at signup. These locked rates apply to titles published under your Founding 100 status for as long as your account remains active and in good standing, and will not be reduced by any future general rate changes under Section 4.4.
• Founding 100 status is tied to your individual Author Account and is non-transferable. It does not apply to accounts created after the Founding Window closes, regardless of when a given title is uploaded.
• We reserve the right to verify Founding 100 eligibility (e.g., confirming your registration and qualifying title were completed within the Founding Window) and to correct any erroneous grants of Founding 100 status.

2.2 Standard Authors

Authors who register after the Founding Window closes are Standard Authors. Standard Authors choose, at the time of upload for each title, between:

• W.E. Books–Exclusive Distribution: Your title is made available only through the W.E. Books platform (not simultaneously listed on other retailers or platforms by you). In exchange, you receive a higher royalty rate than the Wide Distribution option.
• Wide Distribution: Your title may also be distributed by you through other retailers or platforms outside W.E. Books. This flexibility comes with a lower royalty rate on W.E. Books sales, reflecting the non-exclusive nature of the arrangement.

Current royalty percentages for each tier and distribution path, for both digital and print formats, are set out in the Royalty Schedule available in your Author Dashboard and are incorporated into these Author Terms by reference.

2.3 Changing Distribution Path

Standard Authors may change a title's distribution path (Exclusive vs. Wide) prospectively for future sales by updating their selection in the Author Dashboard; changes do not retroactively apply to royalties already earned or in process.

3.1 Supported Formats

You may upload manuscripts for distribution in one or more of the following formats:

• eBook (digital, read via the WE Books App);
• Audiobook (digital, streamed or downloaded via the WE Books App); and
• Print (physical books produced on-demand through our print fulfillment partner, described in Section 5).

Each format is uploaded and managed separately in the Author Dashboard and may have independent pricing, availability, and distribution-path settings.

3.2 Content Requirements

You agree that all Author Content you submit:

• Is your own original work, or you hold all necessary rights, licenses, and permissions (including from co-authors, translators, illustrators, narrators, or estates) to publish and distribute it;
• Does not infringe any copyright, trademark, right of publicity, privacy right, or other intellectual property or legal right of any third party;
• Does not contain defamatory, obscene (under applicable law), or unlawful material;
• Complies with our content guidelines as published in the Author Dashboard (which may prohibit or restrict certain categories, such as content that infringes third-party IP, is plagiarized, or is generated in violation of another platform's terms); and
• Accurately represents its genre, content warnings, and age-appropriateness metadata as requested during upload.

3.3 Metadata and Discoverability

You are responsible for the accuracy of the title, description, keywords/tags, categories, and cover art you submit. We may adjust metadata formatting for platform consistency but will not alter the substantive content of your listing without notice.

3.4 Review and Removal

We may review submitted Author Content for compliance with Section 3.2 and our content guidelines. We reserve the right to reject, delay, or remove any title — including titles already published — that we reasonably believe violates these Author Terms, infringes third-party rights, or exposes W.E. Books to legal risk. Where practical, we will notify you of removal and the reason.

4.1 Royalty Basis

Royalties are calculated as a percentage of Net Revenue, defined as:

• For digital À La Carte purchases and membership-supported reads/listens: the purchase price (or allocated membership revenue, per Section 4.5) actually collected, less payment processing fees and applicable taxes remitted on your behalf.
• For Print titles: the purchase price actually collected, less the print production cost charged by our print fulfillment partner for that unit, less payment processing fees and applicable taxes remitted on your behalf.

4.2 Print Fulfillment Through Lulu Press

All Print-format titles are produced and fulfilled on a print-on-demand basis through Lulu Press, Inc. ("Lulu"), our third-party print fulfillment partner. You acknowledge and agree that:

• Lulu's per-unit print production cost (which varies by trim size, page count, binding, color, and the country in which a given copy is printed and shipped) is deducted from the sale price before your print royalty is calculated;
• Because Lulu's production costs differ by country, your effective print royalty and the customer-facing retail price for a given title may vary by region; the Author Dashboard's pricing calculator reflects these country-specific costs so you can see estimated royalties per region before setting your price;
• We apply a Protected Margin Pricing methodology, meaning we set minimum retail price floors for Print titles designed to ensure that W.E. Books' own margin is not eroded by fluctuations in Lulu's production costs; this may mean we decline to publish a Print edition at a price you request if it would fall below the calculated floor for a given region;
• W.E. Books is not responsible for Lulu's manufacturing quality, shipping times, or fulfillment errors, though we will assist in coordinating reasonable corrections where possible; and
• Availability of Print format for a given title may be limited by Lulu's supported trim sizes, page counts, and shipping regions.

4.3 Setting Your Price

You set the retail list price for each format and title within any minimum/maximum bounds shown in the Author Dashboard (including the Protected Margin Pricing floor for Print titles). We may display converted/localized prices to customers in different countries or currencies; your royalty is calculated based on the Net Revenue actually collected in each region, converted to U.S. dollars at the time of payout using a commercially reasonable exchange rate.

4.4 Rate Changes

We may adjust the general royalty schedule for Standard Authors prospectively, with at least 30 days' notice via email or Author Dashboard notice. Rate changes apply only to sales occurring after the effective date of the change and never apply retroactively. Founding 100 Authors' locked-in rates are not affected by general rate changes, as described in Section 2.1.

4.5 Membership/Subscription Revenue Allocation

For sales made through a reader's paid membership rather than an à la carte purchase, your royalty is calculated based on your title's share of total qualifying reads/listens (or another reasonable allocation methodology disclosed in the Author Dashboard) applied to the pool of membership revenue for the relevant period, less the deductions described in Section 4.1.

5.1 Lulu as Fulfillment Partner

By selecting Print distribution for a title, you authorize W.E. Books to submit your manuscript files and cover art to Lulu for production and to enter into the necessary print-on-demand arrangement on your behalf as part of the W.E. Books Print program. You are not required to hold a separate, direct account with Lulu.

5.2 File Requirements

Print titles must meet Lulu's technical file specifications (trim size, bleed, resolution, file format) as communicated through the Author Dashboard upload flow. We may reject or request corrections to files that do not meet these specifications.

5.3 Returns and Printing Defects

Customer returns or complaints regarding physical print defects (misprints, binding errors, shipping damage) are handled under our return policy in coordination with Lulu. Print royalties are not paid on units that are returned, refunded, or reprinted due to a defect.

6.1 Payment Method

Author royalty payments are made via direct deposit (ACH) to a U.S. checking or savings account that you provide in the Author Dashboard. To receive payment, you must submit:

• Your bank's routing number; and
• Your account number for the checking (or savings) account where royalties should be deposited.

You are solely responsible for the accuracy of this banking information. Payments sent to an incorrect account due to inaccurate information you provided will not be re-issued at our expense.

6.2 Payment Schedule and Minimum Threshold

Royalties are calculated and paid on the schedule and minimum payout threshold disclosed in the Author Dashboard (for example, a monthly payout once accrued royalties exceed a stated minimum). Amounts below the threshold roll over and accumulate until the threshold is met.

6.3 Currency

Payouts are made in U.S. dollars. If you are located outside the United States, you are responsible for any currency conversion or international transfer arrangements and any associated fees on your end, unless we expressly offer an alternative payment method.

6.4 Payment Errors

If you believe a royalty payment is incorrect, you must notify us at support@thewonderemporium.com within 90 days of the payment date. Claims made after this period may not be eligible for correction.

6.5 Right to Withhold

We may withhold or delay payment where required by law (including tax withholding under Section 8), where a payment dispute is under investigation, where fraud or content violations are suspected, or where your banking information is incomplete or invalid.

8.1 U.S. Persons — Form W-9

If you are a U.S. person (as defined by the IRS) or U.S. entity, you must submit a completed Form W-9 through the Author Dashboard before your first royalty payment. We will not release payment until a valid W-9 is on file.

8.2 Form 1099-NEC

If your royalty payments meet the applicable IRS reporting threshold in a calendar year, we will issue you a Form 1099-NEC by the required deadline and file a corresponding return with the IRS. You are responsible for reporting and paying all applicable federal, state, and local taxes on your royalty income.

8.3 Non-U.S. Authors

If you are not a U.S. person, you may be required to submit an applicable IRS Form W-8 series form, and payments may be subject to U.S. tax withholding at the statutory rate unless a tax treaty benefit applies and is properly claimed. You are responsible for your own tax obligations in your country of residence.

8.4 No Tax Advice

W.E. Books does not provide tax advice. You should consult your own tax professional regarding the treatment of royalty income.

9.1 You Retain Ownership

You retain all right, title, and interest (including copyright) in and to your Author Content. Nothing in these Author Terms transfers ownership of your work to W.E. Books.

9.2 License You Grant to Us

By submitting Author Content, you grant W.E. Books a non-exclusive (or, if you select W.E. Books–Exclusive Distribution under Section 2.2, exclusive-as-to-W.E.-Books-platform-sales-only) worldwide license to:

• Reproduce, store, format-convert, and distribute your Author Content in eBook, audiobook, and/or Print formats through the Platform and our print fulfillment partner;
• Display your title's metadata, cover art, and marketing excerpts for promotional purposes on the Platform, our marketing channels, and (with your separate consent) third-party promotional placements; and
• Apply reasonable digital rights management (DRM) or access-control technology to protect your Author Content from unauthorized copying, consistent with Section 6 of our Customer Terms of Service.

This license continues for as long as the applicable title remains published on the Platform and terminates (subject to Section 10.3) upon removal of the title or termination of your Author Account.

9.3 Your Warranties

You represent and warrant that you own or control all rights necessary to grant the license in Section 9.2, and that doing so does not violate any other agreement you have entered into (including any exclusivity commitment to another platform, if you have selected W.E. Books–Exclusive Distribution).

10.1 Term

Your Author Account remains active until terminated by you or by us as described below.

10.2 Termination by You

You may withdraw a title or close your Author Account at any time through the Author Dashboard or by written notice to support@thewonderemporium.com. Withdrawal removes the title from future sale but does not affect royalties already earned on completed sales, nor customers' existing access to previously purchased copies.

10.3 Termination by Us

We may suspend or terminate your Author Account, or remove specific titles, if you materially breach these Author Terms (including submitting infringing, fraudulent, or prohibited content), if required by law, or if your account poses a legal or security risk to the Platform or our users. Where practical, we will provide notice and an opportunity to cure before termination, except in cases of suspected fraud, infringement claims, or legal necessity.

10.4 Effect of Termination

Upon termination, any accrued and unpaid royalties owed to you (net of any amounts properly withheld) will be paid out according to our normal payment schedule in Section 6.2, provided your banking and tax information on file is valid.

12.1 No Guarantee of Sales

We do not guarantee any minimum level of sales, royalty income, visibility, or promotional placement for your Author Content.

12.2 Disclaimer

THE PLATFORM AND ALL RELATED SERVICES ARE PROVIDED "AS IS" WITHOUT WARRANTIES OF ANY KIND, EXPRESS OR IMPLIED, INCLUDING WARRANTIES OF MERCHANTABILITY, FITNESS FOR A PARTICULAR PURPOSE, OR NON-INFRINGEMENT.

12.3 Limitation of Liability

TO THE MAXIMUM EXTENT PERMITTED BY LAW, W.E. BOOKS' TOTAL AGGREGATE LIABILITY TO YOU ARISING OUT OF OR RELATED TO THESE AUTHOR TERMS WILL NOT EXCEED THE TOTAL ROYALTIES PAID TO YOU IN THE 12 MONTHS PRECEDING THE CLAIM. W.E. BOOKS WILL NOT BE LIABLE FOR INDIRECT, INCIDENTAL, CONSEQUENTIAL, OR PUNITIVE DAMAGES, INCLUDING LOST PROFITS OR LOST ROYALTIES.

14.1 Informal Resolution

Before filing a claim, you agree to contact us at support@thewonderemporium.com to attempt informal resolution for at least 30 days.

14.2 Binding Arbitration and Class Action Waiver

Any dispute arising out of or relating to these Author Terms will be resolved by binding individual arbitration administered by [AAA / JAMS — TO BE FINALIZED WITH COUNSEL], rather than in court, except that either party may bring an individual claim in small claims court where it qualifies. You and W.E. Books agree that any proceeding will be conducted only on an individual basis and not as a class, consolidated, or representative action.

14.3 Governing Law

These Author Terms are governed by the laws of the State of Texas, without regard to conflict-of-law principles, except where preempted by federal law.