Yup, there is a lot of money and power up for grabs, and if there isn't sufficient public outcry then they can and will make it happen. They will typically try to justify this by saying "its for the children" inventing some child pornography case for example.
Examples of abuse:
1) Apple has already coerced police departments to violate the law and do their personal bidding, such as in the case of the Gizmodo editor who got a hold of the iPhone 4 that one of their interns forgot at a bar while intoxicated at a birthday party. With this law in place, they would likely simply use their influence to censor any leaked information about their products via the four major ISPs within minutes, while destroying those merely doing as the press is supposed to and offering sneak-peaks when available.
2) There are a plethora of sites that rely on thousands of contributors from the internet, but under this law a single infraction from one of those users could have the entire site blacklisted. Such a threat would cause social networking, search engine, forum, and video/image hosting sites like Youtube to create draconian policies being extremely harsh and unreasonable with its customers for fear of lost revenue. This also would more likely be used against smaller hosts and startups that could not afford the legal fees to defend themselves, stifling innovation and competition. In other words "fair use" would be irrelevant, as sites would gravitate to "better safe than sorry" and create bogus rules.
3) Smaller news outlets and blogs would likely experience the same effect as "the great firewall of China" that severely limits free speech. It is bad enough that online news outlets and bloggers are under law not considered journalists and thus not afforded any protection under freedom of the press, although they are clearly and rapidly becoming the most widely used news outlets. Controversial sites such as wikileaks that leaks information about war crimes, human rights abuses, and political corruption around the globe would surely be the first to be banned.
My fear is that not enough people will realize how serious this really is.