I haven't seen a legitimate use of a 1099 in my life.
I use to do some contract development work in my spare time (Scripting and putting together Winamp3/5 skins) and would get a 1099-MISC form at the end of the year. It was pretty darn legitimate. Wasn't constant work and was on a per-skin basis.
Is it possible that software is not like anything else, that it is meant to be discarded: that the whole point is to always see it as a soap bubble?