According to someone named Commodore4eva posting on the XBoxHacker BBS, there is now patched firmware available for some revisions of the console.
The new patches are not for the technical novice, they involve flashing your drive, sector extraction and manually backing up your legit games. There is also the more than zero chance you will brick your 360, not a pleasant thought for anyone. I would put this patch down to a technically interesting tool for the deeply geeky. Skiddies, this is not your PHD tool, buy your games like you should.
More...Credit: The Inquirer