Just an update on this situation. What the sites are doing is using a DNS proxy service that may or may not be associated with this bot... They call the image, the bot retrieves it and it's served on their page.
After many emails with this DNS Proxy service they say they cannot help since they are not the host even though they are listed as the hosting company on who is.
I've done a tracert to the sites in question and they all resolve to rackspace. So I've contacted rackspace about it and because the ip that appeared in our logs is not one of theirs they keep saying they dont host them even though I know that they have traces don't lie.
I'll be spending the next few days filing DMCA violations and see what transpires.
Legally what they're doing is wrong and we should be owed compensation for their abuse and use of our formatted images. I've contacted a few attorneys, but the ones I spoke with aren't tech savvy enough to know what I'm talking about. Any ideas?