I wouldn't pay the RIAA or Napster a damn cent. Why, so the RIAA execs can get an extra mansion on an island somewhere while artists are still getting d!cked out of money. And the plan, if it could be called one, rests on the assumption that people will be willing to pay $5 to share their own music.
Ways this will fail:
1) The general public, the main users of Napster, becomes resourceful enough to learn how to go to web and ftp sites, irc channels, etc to find their own mp3s.
2) The general public starts using other peer-to-peer programs (Gnutella, etc)
3) If people realize that most 'good' music either doesn't come out anymore, or comes out less often than once every 3 months (avg price of a cd = approx. $15)
Ways it could succeed:
1) If all mp3 sites are shut down, all irc channels that distribute mp3s, blank cdr prices are increased (to slow down the ability of distributing music), everyone decides to be nice and allow sharing, regardless of the fact that downloaders will now be wasting their precious time on napster, which they'll be paying for.