I can't say I fully understand it. Suppose we have a server hosting an index/search engine in the US (A) and another hosting pirated materal (B) which is not in the US, being accessed from somewhere else (C).   C may or may not be in the US. So can C still access pirated material by going to B directly if C is not in the US? Can they do so even if C is in the US? If its only the ISP who blocks this, what happens when a US person uses an non-US ISP? If A is responsible for blocking things, then A is at a commercial disadvantage when compared to other non-US equivalents of A. Then there's the whole business of shared servers. If I join a huge server farm and put one pirated item on it, or even hundreds if that's still less than say 1% of the farm, can the whole thing be shut down because of my transgression, including the thousands of innocent users?