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An alternative, legal, way... sign up for a Movies Anywhere account, link it to both iTunes and Vudu, use Vidu app on TiVo to watch movies. (also works with Amazon instead of Vudu)
Second this. The videos that itunes provides for download are often of lower quality than what is available for streaming (720p vs. 1080p). I haven't done a direct comparison between Vudu streaming vs. Itunes downloads, but I'd assume that it is of higher quality than the downrezed itunes downloads.

Also, Movies Anywhere is generally a great service which I am amazed actually exists, given virtually all of my past experiences with how these companies treat digital video.
 
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