Wow! There are so many "says" and "states" that I almost lost track of what's going on.
Anyhoo, someone said this, maybe it was Masnick, maybe Griffin, maybe someone else:
it's just a covenant for the labels not to sue, rather than a license, it doesn't cover all of the other rightsholders, such as songwriters and the music publishers -- meaning that those who file share will still be wide open to lawsuits from those parties.
I don't think the labels care if other rightsholders get a fair share, they only care about their own pockets and as long as they get paid, they don't sue. Similarly other rightsholders only care about their own pockets, as long as they get paid, they don't sue.
So I guess the question is, will this kind of covenant work? If it will, why not extend to other rightholders?