So when using a file sharing client I notice the protection pops up a lot..that's fine & everything..what I'd like to see is identification of what it's blocking..

Is the intention..or even the current functionality unintentionally similar to say..PeerGuardian? are the IPs it's considering bad say..BayTSP..MediaSentry..etc.

Yes, in general the IP are on a known bad IP list. However its also very possible that some are false positives and there is an update in the next version to help address some of these.
Please check back soon as the 1.41 version will hopefully be released soon.

Not exactly AFAIK. MBAM targets malware ranges, not anti-P2P-companies.

I want to know what causes it to block an IP when you're not surfing. I have it just randomly show up as I'm working on another application. I have run a scan and it shows clean so is something trying to run in the background on my computer?

Any application with Net access can trigger an alert. Most common culprits are P2P apps and IM clients.

Nothing will show up in any scan as the system is not infected in any way 99.99% of the time.

Some advanced firewalls can tell you which applications have Net access.