The American Film Institute has squared accounts with Katharine Hepburn at last.

She's the foremost "legend" among movie actresses, ranked just above Bette Davis in balloting by the AFI membership.And for Kate of the illustrious Hepburns -- Audrey (no relation) placed third -- the recognition is rich with irony.

Since 1973, the American Film Institute has annually bestowed its Life Achievement Award upon variably fabled performers and other creative artists, beginning with director John Ford.

The AFI award has illuminated most of the great stars of the movies' Golden Age. But Katharine Hepburn's name is conspicuously absent from the roll call of past winners.

Why?

The AFI's Life Achievement Award is solemnized by a national telecast in which the honoree is present, along with friends and colleagues who testify for his or her stature. Because Katharine Hepburn has refused to be a party to such proceedings, the AFI has said, in effect, "Then you can't have our award."

Today 92-year-old Hepburn, Marlon Brando and Elizabeth Taylor are the only AFI top 10 legends who are still living. She is, therefore, still eligible for the institute's lifetime recognition, and the AFI could do itself proud by finally honoring Hepburn with a televised tribute minus her presence.

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