For the <A HREF="http://www.billboard.com/bb/biz/newsroom/legal_management/article_display.jsp?vnu_content_id=1000650858">second week in a row</A>, Induce legislation co-sponsor and Judiciary Committe

For the second week in a row, Induce legislation co-sponsor and Judiciary Committee chairman Orrin G. Hatch, R-Utah, pulled the bill, S. 2560, from the list of items to be marked up by the committee today (Oct. 7).

Hatch's decision further shrinks the bill's chances of making it to the Senate floor for a vote before Congress adjourns Oct. 9 after an extended Saturday session.

The move came after negotiations between the record and movie industries and opposing tech and consumer electronics bodies to hammer out mutually acceptable wording collapsed yesterday. Insiders say that the chasm could not be bridged even after three days and nights of discussions called by Hatch.

The bill, which was written to go after peer-to-peer file-sharing companies that "induce" consumers to illegally download music and movies, has been saddled by massive opposition since its introduction June 22.

Opponents claim the bill would rope in legitimate new technology as well as "bad actors" and dismantle the seminal 1981 Supreme Court Sony-Betamax decision, which ruled that technology "does not constitute contributory infringement if the product is widely used for legitimate, unobjectionable purposes, or, indeed, is merely capable of substantial noninfringing uses."

Comments Mitch Bainwol, CEO of the RIAA, "The fact that Congress has devoted this much attention to intellectual property protection with the many other issues confronting policymakers is a powerful signal to the seriousness with which it views the activities of these bad actors."

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