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I think that Google is probably on the wrong side of the law here too, which leads to what Google should do going forward. It seems to me that they should settle on the best terms they can get and seek a legislative solution. As the SOPA battle shows, its not like they're without resources there. They've got platoons of lawyers, lobbyists, and legislators on call.
I think Google's idea is good but maybe a governmental or non profit agency should do it. If Google or other for-profit corporation does it, may it should be done pursuant to a specific and narrowly tailored legislative scheme.
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