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Most of the "illegal" websites are easily identified by what I'd call "broken Pottery". That's to say if they're selling or giving away the Harry Potter books, they're not legal (at this time). Of course, that's not the only thing to test, but it's that kind of thing - popular titles sold at the major stores, but given away for free, or titles known to not yet be officially in ebook form. Some names and methods you also get to know (those "subscribe $5/year to us and get all these ebooks for FREE!" type websites, often looking very similar to each other).
That's pretty general, but that's the gist of it.
Cheers,
Marc
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