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This week parliamentary deputies will question the country's culture minister Renaud Donnedieu de Vabres about the draft legislation that proposes to allow unlimited file sharing in return for the payment of a monthly fee of 'several euros'. Consumer groups back the move, but the record industry is staunchly opposed.

'If France continues down this road, it could jeopardise the promising growth we're now seeing in the legitimate online market,' said EMI chairman Eric Nicoli. 'Many French artists, authors, indies, majors, film producers and entertainment retailers have expressed their strong opposition to the proposed "global licence" and to other detrimental proposal.'

Francine

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Cunningham, a spokeswoman for the International Federation of the Phonographic Industry (IFPI) trade group, agreed.

'The "compulsory licence" would replace the fast-growing legitimate online market in France by an "average" payment which would by no means remunerate the creation of music and investments made by the recording industry,' she said.

'We are concerned and monitoring the situation closely,' she added. 'But it has a long way to go before it becomes law.'

Spokeswoman for the Motion Picture Association in Europe, Geraldine Moloney, said that it the government has indicated that the proposal will be rejected.

'Everything we're hearing from the government is that it won't happen,' she said.

The government had originally put forward a bill that would impose heavier sentences for file sharing, including fines up to €300,000 and gaol sentences, but a small number of ruling and opposition deputies took advantage of a low attendance in the parliamentary chamber to throw that out and inserted the amendment to legalise licensed sharing.

However legal experts believe that p2p licensing would fall foul of EU copyright law, if it is not first thrown out by a fully-occupied parliament.