I don't understand this really. I mean with Peer Blocker and forced encryption in uTorrent, why do you need a VPN? I've been doing it this way for years and I've never received a warning or a C&D.
Well peerblocker is nearly useless, but forced encryption should work, as well as sticking to private trackers (no, not shitty "private" trackers like demonoid). The only people who get caught are the idiots who download extremely popular torrents off piratebay with no encryption and leave it seeding forever.