Oh man, I never liked flan...but this takes it to whole new level.
Bleh.
From All I Can Say Is...
While I appreciate your statement on the subject of Cassie Edwards' novels, your statement of Signet's position is certainly not well received and is quite disappointing.
For one thing, the use of the word "done nothing wrong," allows for ethical debate that doesn't do Ms. Edwards any favors. Ethically, if our comments on Smart Bitches and on Dear Author are any indication, Ms. Edwards is in hot water with romance readers. She may not have broken any laws, but she would have failed my English class.
But more importantly, your statement that "reasonable borrowing and paraphrasing of another author's words" is permitted under fair-use is not applicable to the facts of this situation, because our evidence seems to show that Ms. Edwards allegedly reproduced word-for-word paragraphs of written data as dialogue for her characters. It wasn't paraphrasing or borrowing, in my opinion. It was reproduction without citation or acknowledgment. Further, many, many authors of historical novels cite sources in their acknowledgments or "Author's Note" sections.