Nope, it's just like censoring chat. They can and will bypass it. There is no algorithm we could implement that would be able to accurately detect stolen graphics that people couldn't find out simple ways to bypass... and even if we did, it would be VERY late to the game and thus, there's already thousands of graphics on the server... how would we determine who REALLY owns what.

Those sort of things are not really in favor of the little guy. The best someone like me can do is send them an e-mail asking them to remove it and hope they're actually pretty decent people that weren't really trying to do damage or anything... but most of the time they're not. Sometimes they'll respond that they're going to remove it and don't, some just don't respond. In the cast of one game on X-box Live arcade even filing a report through Microsoft(the game was using stolen art from various Minecraft texture packs), it was a waste of time.

Typically not even big companies will go to the extreme of actually suing anyone, they just have their lawyers send out scary Cease and Desists and such that typically deal with most minor copyright issues. Dealing with courts and lawyers is such an expensive process that just fighting for something you actually have legal reason to fight for can end up with you going bankrupt... and that's actually a strategy big business will employ--where they have the money to just keep little people in court until they bankrupt and can't fight the case anymore.