: Where can I find information about a contract that allows two authors to use a "shared world"? A friend of mine was gracious enough to let me write a story using a setting he has been using

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If you are both publishing independently, then it doesn't much matter. Write up a contract spelling out everything, you both sign two copies, and Bob's your uncle.

Examples of "everything":

John Smith (hereafter "Author") is the creator of the SchmoopyWorld setting, environs, and characters (hereafter "Universe").
Copyright belongs to him, his assigns, and heirs unless explicitly
granted otherwise.
Frank Luke (hereafter "Buddy") is granted permission by Author to
write stories in the Universe.
Buddy's stories may or may not contain elements of Author's stories.
Elements include but are not limited to characters, settings, events,
geography, animals, language, technology, culture, literature, music,
ninjas, sharks, and ninjas riding on sharks.
Buddy agrees to confer with Author before embarking on any writing
projects to make sure that Buddy's works do not violate the
continuity of Author's works.
Author may write whatever stories he chooses in the Universe, and is
not obliged to seek or receive Buddy's permission before doing so.

These are just off the top of my head. Basically, you hash out every possible thing the two of you can think of in regards to your stories, write it down, and agree to it. Add a line about Severability (if part 1 is declared void, that doesn't mean the whole contract is) and that you can add to the contract if you need to.

However, if your friend gets a contract with a regular publisher, the rights which he's granting you would have to be worked into his contract with them, and that's a different kettle of fish. I don't know if a publisher would allow that with a new author.

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