Sorry this May be old... may have been struck down/failed to pass some time ago but the topic has zombied in to something still doing the rounds and can't die as it gets posted from forum to forum... in that case I appologize for passing it on without additional research. I honestly do hope it was quashed or (even better) it reverted back to, and passed in to law, in its beneficial, original, intended form.
here's another, more ... um... professional? less histrionic ... blog article...
as this writer says, it seems to have started with all good intent but spun out to some out of control IP grab
http://orphanworks.blogspot.com/2006/03/next-generation-stock-orphans-for.htmlbut it still makes it sound like it's a real bad deal.
given the out and out hostile and bordering on illegal and vexatious actions of the Film and Audio industries' copyright protection agents it really come of, at best, as bad PR and the left hand not knowing what the right hand is doing, and at worst it looks like they want to play the field from both sides while squashing individuals who "dare" try assert their rights (moral or legal).
EDIT: OK doing some research - it's back - it got killed off but has risen from the dead to have another shot at passing through the US law making system... there is some good news though in that individual artists and "image makers" seem to have been represented this time:
http://orphanworks.blogspot.com/2008/03/orphan-works-is-back.html of course I'm unaware of the situation pass/fail in other areas, at least this law hasn't (as yet) arisen in my country (though the US law, if poorly implemented, would gravely affect a large amount of even hobbyists like me in other countries who could potentially find their works are claimed for commercial use in what might be their biggest market if they decided to "turn pro")