I am from Europe too, but my sites are hosted on US servers.

I don't quite understand why so many people think that moving your sites to an European-based hosting would make much difference, unless you also make sure that you absolutely don't use any of the US sponsors/processors.

If you are still using US processors (e.g. Epoch or CCbill) or AVS/AVN systems (such as UGAS), then switching to offshore hosting doesn't make your business totally independent of USA.

How exactly will the physical location of one's hosting be evaluted by the US Law?