One thing that would help with copyright issues is to encourage people to get their source story from Project Gutenberg or something like that. I'm sure that's not what you were thinking of, but that's what popped into my head.

Also, if you need a reader, let me know. 5000 words is about what I can handle right now. (Sadly, reading The Hundred Thousand Kingdoms is difficult with my level of brain fail right now. HOW SUCKY IS THAT?!)