It effectively does. The DMCA makes damages, costs and attorneys fees mandatory for material misrepresentations. Doctorow can sue at no cost to himself, while Fox would be out a significant amount of money in two sets of attorneys fees plus whatever damages Doctorow can show this caused to his sales.
Fox likely just has lawyers on staff and would not really be paying attorney fees, just their usual wages.
This is the downfall of the legal system, you need hefty resources to pursue justice.
This seem to be a major reason that there is no practical penalty for false notices the majority of the time.
DMCA is an American law that only hurts people who live in US. It is very easy to abuse DMCA and trouble people in US if you live outside the country.
I'm not sure, but I suspect, without those, the notice is legally void and provider should just drop it as junk mail.
Oh, wait...
The biggest issue with the DMCA is that it exists. There's no way of mitigating the basic concept of putting exercising the law into the hands of those who profit from it.
Then there's conspiracy to commit fraud (I guess that is what happens when your lobbyists can't get your scam passed as law, but you try to get your way anyway? ;-)
This is about "screwing up" alot, to the point that it becomes malicious.
That's my simple solution: Abuse it, and you lose it -- for everything.
P.S. And your little dog, too. I.e. any subsidiaries or shell companies you create, and any subsequent purchaser of copyright for the specific material in question. (In this instance, Fox's copyright surrounding their "Homeland" product.) And any material passed to another agent under the terms of your sale to said agent remains excluded from DMCA action.
Copyright is a monopoly granted by the government -- in our democracy, by the people -- to serve the common good. I'm perfectly happy with the people changing the terms of such grants when they find that they are not serving the common good. If we can "Mickey Mouse" ever longer copyright term extensions, by goodness, we can curtail them, as well.