User uploads file. Mega computes the convergent encryption E(F) using the hash of the file H(F). The hash of E(F) is H(E(F)) and determines the file already exists in Mega, and thus is deduplicated.
Mega does not tell the user this, and their used storage size increases (thus, RIAA cannot upload The Hobbit and determine it's already there). The user enters their password P, the convergent hash H(E(F)) is encrypted with the user's password - P(H(E(F))) - and is only stored correlated with the user as such. The hash of the original H(F) (used to convergently encrypt the file) is also encrypted with the user's password, as P(H(F)).
On retrieval, the user enters their password P, the hash P(H(E(F))) and the hash of the original P(H(F)) is decrypted. Now Mega knows where to find the convergently encrypted file, using H(E(F)) to locate E(F). Mega decrypts using the hash of the original, and returns the file F to the user.
If the password P is only stored hashed (as it should!), then there is no way to correlate a given infringing file with any other user's ownership. The user's account only contains P(H(E(F))) and P(H(F)), both of which are unique to that user.
Anyone see a problem (other than the implementation details and possible lack of motivation for Mega to do so)?