I think Platypus has the right idea.
Pawn shops aren't allowed to resell stolen items. It is their responsibility to make sure it is legit and if it's not, well, that becomes their problem. Your ISP is the pawn shop. If they're letting the distribution of stolen good occur, well, that becomes their problem to correct.
I know this may be hard for some of you youngsters, but look back a few years to analog recordings. It was incredibly easy to copy a cassette or VHS tape and give it to a couple friends. Everybody knew this, even the recording industries, and nobody really cared enough to do something about it. Why? There was no distribution network. You gave a copy to a couple friends and that was the extent of it. Now that sharing has occured on such a massive scale, the industry wants something done about it. That's not a failed business model, that's theives ruining what used to be a good thing.
If massive sharing hadn't occured, I'll bet that personal use copies of digital material wouldn't be a big deal. They weren't when it was analong...