Only last week I was speaking to a chap at the Green Grid Technical Update EMEA about the prospect of the law entering a data centre and getting up to mischief.
Well, it seems that its already happened judging by this link
http://www.wired.com/threatlevel/2009/04/data-centers-ra/?utm_source=feedburner&utm_medium=feed&utm_campaign=Feed%253A+wired%252Findex+%2528Wired%253A+Index+3+%2528Top+Stories+2%2529%2529&utm_content=Google+Feedfetcher
I think we can agree that the law in what ever form it takes is not technically savvy, and if any criminals and by this I mean kiddie porners, fraudsters and other ner'do wells have access to or own any item within a cloud data centre where your equipment is also housed, then you can expect some disruption.
Policemen will just take everything or seal the building preventing access, they'll also cut the comms links and they wont be very careful about it.
In this case the FBI took routers and network access equipment and I am sure I dont have to remind you that the network is what controls access to your equipment and in a hosted environment also provides the means for your virtual server to be moved in the event of a equipment or power outage.
Another very good reason to be very careful when you choose to get into the cloud
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