Obvious flaws in the US "Six Strikes" copyright procedure

Copyright holders will scan the ‘Net for infringement, grabbing suspect IP addresses from peer-to-peer file-sharing networks. If they see your IP address participating in a swarm for, say, Transformers, they will look up that IP address to see which ISP controls it, then fire off a message… ISPs have agreed to institute "mitigation measures" (or, as you and I know them, punishments) based on the collected say-so of copyright holders.

Well I can spot two flaws so far, (1) The lack of a legal process or the involvement of the judiciary at the punishment stage and (2) letting the copyright holders fire off the infringement message to the ISP’s with no checks. It’s not like they’d ever mis-identify a laser printer as a nexus of copyright theft.