Copyright Question

[MugRugsWithMeaning]

I make fabric beverage coasters. 3 of my listings were deactivated where I used a Grinch design. I see other listings using those designs. How do I know when I purchase a design from someone on Etsy if I can or can’t use their design on my product?

[DesertChains]

You need your own license to use intellectual property if you want to sell it.

[CoquetteBath]

basically, if the design features ANY known TV show/cartoon/band/movie/book/celebrity/college/university/sports team/etc....

you can't use it without permission from that IP holder.

yes, the fabrics are sold...for personal use only. You can make all of the Grinch stuff you want, all day long. You can stand on a street corner and give them to anyone you want, too.

no problems at all.

but you charge EVEN .01 for one and (presto magico!) they instantly are transformed into a illegal, counterfeit IP infringing item that can get you in true trouble. Some folks have been handcuffed at a sports event and taken out by the police. I've seen Disney come to a high school craft show WITH THE SHERIFF and take an entire booth down to...nothing.

Some images are protected even if you don't use the name. Like 3 black circles arranged to look like a famous Mouse. Or...a green tractor with yellow wheels. That's a TM and trade dress. And then we get into fonts...where some are instantly known. Like the font for Barbie or Walt Disney's script writing.

In your listings, I see ValPo. Your Snoopy's Coffee trades on both Peanuts & Starbucks. Double negatory. Then 11  more Peanuts IP infringements.

On your first page.

You do you, but I surely would not.

[Amaradorn]

Learn about Intellectual property, specifically copyright and trademark.

Buying a svg does not necessarily give you the right to use it for profit. It might well be that the person who sold it to you does not have the right to sell it either. In the case of the Grinch which is owned by Seuss Enterprises - you cannot use its likeness (images) or name (word) unless you have a licence agreement with the IP owner (Seuss). 

Regarding Snoopy: For copyright information or permission to use Peanuts characters and comic strip reproductions, please contact Peanuts Worldwide at info@peanuts.com, the licensing agent for Peanuts properties. Please be aware that it is illegal to use any Peanuts characters without permission from Peanuts Worldwide.

[Amaradorn]

Watch out for Disney too - you can't use that either.

'onesie' is a trademark of Gerber. You can't use that word unless you are using an actual Gerber onesie and then there is still doubt over whether they can be sold.

[PlatypusDream]

https://www.etsy.com/seller-handbook/article/22398703823

It looks like you still have infringing items in your shop. Time to educate yourself about intellectual property law before your shop is permanently banned. Things you can get away with at local craft sales and garage sales won't fly on a searchable world wide site.

Examples:

Snoopy / Starbucks, MORE Snoopy (so much), Valpo, Bluey, Mickey Mouse, Frosty the Snowman, The Lion King, Hocus Pocus, USC Trojans, LA Rams, Harley Davidson, Gophers, Vikings, Hawkeyes, Badgers, Twins, Las Vegas Knights, Green Bay Packers, Saints, LSU, Broncos, Bills, Minnesota Wild, Monopoly, Scrabble, Candyland

Even "Onesie" is trademarked by Gerber and MUST be used properly or your items will be pulled for infringement. ONLY real, genuine Gerber brand bodysuits may be called "onesies".

YOU MAY SEE other shops blatantly breaking the rules. They may have actual legal licensing for the products, or they may not have been caught yet.

As for shops selling illegal designs - go back and demand a refund from them. Leave an honest review in the shop saying they are selling illegal counterfeits.

Edited to add:

Looking at your shop, there is a MAJOR problem with IP infringement.

https://www.etsy.com/ca/legal/prohibited#Q5

"Unauthorised replicas or copies of items, and patterns or designs enabling their creation, are prohibited on Etsy. We consider counterfeit or unauthorised goods to be items that imitate an authentic good, particularly by using a brand’s name, logo, or protected design without the brand owner’s consent."

[TBQSC]

First, the person selling the Grinch design was in the wrong ... Grinch is a licensed character ... so you using that same design in your coasters is what prompted the takedown.  You can use the design for personal use only ... no commercial use allowed!  Just because you see others doing something on Etsy does not make it legal or ok for you to do the same.  If you are ever in question about things, be sure to read the Seller Policies @ https://www.etsy.com/legal/section/sellers ... in this particular case, I recommend reading up on Intellectual Property.  With that in mind, Unless you have a license to do so --from the original design creator, not a reseller-- I would suggest removing your listings for Snoopy, Starbucks Design, School Mascots / Logos, or any other design that infringes upon another IP!  

[ArtDollsbyJD]

Was the fabric licensed Grinch fabric?  There are counterfeit fabric out there which is not licensed by the owner of Grinch.  And even fabric stores can be fooled.

You can use the fabric to make items to sell.  I disagree with many here that talk about that selvedge edge as being prohibitive.

Was this from a holder?  I checked TESS and while the Grinch is well represented for clothing and other articles including aprons, I did not see anything about coasters.   There were mugs and blankest. tapestries,etc. 

Was the holder another seller making the same item?  

It is good to read up on trademark and use of.  Make sure to read the goods and services which most forget to read.

As to that selvedge edge. it just means that the fabric on the bolt is for sale to individuals and not to manufacturers.  

Question here is do you want to pursue this?  You could talk to an IP expert for their input rather than relying on the forums here or you can simply give the items away or use them.

[PlatypusDream]

"You can use the fabric to make items to sell.  I disagree with many here that talk about that selvedge edge as being prohibitive."

Okay, so let's say I use the Grinch fabric and make bondage gear, @$$less panties and men's crotchless sissy underwear. I put them in my Etsy shop and proudly call them "Grinch Gotch".

Do you think the owners of Dr. Seuss's IP would be okay with that?

[ChantillyAvenue]

@PlatypusDream 

That's a hysterical mental image, which I'm not sure I want, tbh.  But it would probably be the use of the name "Grinch" that triggers the DMCA.  That said, I don't believe in the cardinal rule of the selvedge edge either.  But, you almost have to go to court to establish if the warning means what everyone seems to think it means, and that's going to cost you more in terms of legal fees, merchandise, and investment of time & labor (not to mention deactivated listings and dings on your shop) than you may be willing to risk.  I sew, sometimes for profit, but I never use fabrics with trademarked characters.

And just FYI for the OP @MugRugsWithMeaning 

If you base your belief that it's okay to sell something here because you see hundreds or millions of them being sold, you aren't doing proper due diligence.  You need to research whether or not it's legal to sell that product, and forget about what Etsy misses or overlooks, because at the end of the day, they are understaffed and unconcerned with much aside from making money.

[sharonjenkins1]

You actually are very fortunate that the Grinch is all that is removed.  I would carefully go  through your shop and take down all your infringing items.

[howtobooksandmore]

How do I know when I purchase a design from someone on Etsy if I can or can’t use their design on my product?

IP licenses can not be transferred. Anybody who is selling items that are copyrighted or trademarked and tells you that your purchase includes the license is lying or mistaken.  You have to buy the license directly from the IP holder for it to be legal to resell.  And they usually have to approve the items you make using the license.  The only time you can use a design you purchase from anywhere that you can reuse is if the person selling you the license owns the rights.  And the only people who own the rights to Disney, Suess characters or anything else like this is Disney, Seuss or other well known entities.  Rule of thumb, if it is for sale on Etsy or anywhere else, the license is not included.

[BagmakerSupply]

@MugRugsWithMeaning: Irrespective of intellectual property (IP) issues, doesn't using a purchased design violate Etsy's definition of 'handmade'? Did the party you purchased the design from provide you with legal documentation of an enforceable transference or assignment of intellectual property rights to you? You would need that proof if the actual owner of the IP comes after you.

[MirageRiverCreations]

If you use licensed fabric, you need to list as “coaster made using licensed fabric.” If you list as “grinch coasters” then you’re infringing because you make it seem like it was made by the owner of the grinch and it was not. If you were using an embroidery design, however, the design itself needed to be officially licensed for the person selling that, and then you would need to say “coasters made using officially licensed design.” 

Many people infringe with designs of characters they don’t have the rights to use. Just because you bought it from someone selling on Etsy doesn’t mean it was legal for them to make and sell it. There are a lot of rule breakers selling here.

[BootifulLabels]

If someone else came up with the character or quote you want to use on your products, you need a license from them to use it commercially.  As soon as you put a price on something made with another persons creative property you are infringing on their legal rights.  If you didn't create the image from your own idea, or come up with the original content, it is not yours to profit from.  IP infringement is illegal, not just on Etsy but in any situation.  You are not only stealing the idea that belongs to someone else, you are profiting off their hard work and investment.

Sorry if this sounds harsh, but sometimes it needs to be spelled out clearly to get the message across.  You may see others doing the same thing, but that doesn't make it legal for you to do.  I recall  when I was a kid and would ask "why can't I do it, all my friends are doing it" my grandmother would ask "If all your friends jumped off a cliff would you do it too?"  There is really no valid way to answer that question in the affirmative.

[printablecandee]

Most of the items in your shop need to be removed. You really need to go through it all.

[Jewels2at]

I think you have all the info on infringement now...so I am not going to say anything about that...

I will say you have a lot of infringing items.

[JustMeToo]

@MugRugsWithMeaning   I would certainly remove all of the Snoopy items and the word "onesie" from your listings.  Your shop could be permanently shut down.  That would be a shame because you have a lot of nice products that ARE legal to sell.

[CraftyCornishMaids]

You can't use trademarked items without a licence from the owner

For  Grinch, you would need a licence from

Dr. Seuss Enterprises, L.P.9645 Scranton Road #130 San Diego CA 92121, United States of America

...

you can look trademarks up in the government trademark database, and find the owner, and their address

to use the word Snoopy, anywhere, item, headong, tags, description, you need one from

Peanuts Worldwide LLC1450 Broadway, New York, New York 10018, United States of America

to use the starbucks logo, or anything similar to the logo, you need one from

Starbucks Corporation2401 Utah Avenue South, Seattle, Washington 98134, United States of America

etc etc

[TBQSC]

How to legally use the word "onesie" -- https://www2.gerberchildrenswear.com/HOME/GerberChildrenswearBrandUsage/tabid/128/Default.aspx

[BluKatDesign]

You have a lot of cool items in your shop, I wouldn't want to see you shut down for using illegal Snoopy and Peanuts items that are trademarked. I would take those down now!

[LoisCoDesigns]

On this same track - I make wreaths.  There is a store called Sports Wreath Shop that sells "fully licensed" sports items like college football signs, ribbon, etc.

If I purchase a licensed sign or ornament or ribbon - let's say its for LSU - and make an LSU colored wreath with the licensed sign attached

to it - is that banned?  If so, how was the other company able to sell the sign to me?

[AnniebelloPaper]

@LoisCoDesigns it is possible the shop you buy from has paid a license to make those licensed items, hence the 'fully licensed' tag. It's also possible they aren't and have sold you a counterfeit product. In any case, YOU need to get licensing from the owner of the IP directly. Permission is not transferable.

[BootifulLabels]

1.  You can't call out other shops on Etsy, it can lose you your posting privileges, or worse.

2. Unless the other shop has negotiated a license from the sporting entities involved, then legally they can't sell them.  However, you can't know whether or not they have such a license, and even if they didn't, them doing the wrong thing doesn't make it right for you to do the same.

3. Retailers can purchase licensed products from licensed wholesalers, for resale to the general public.  Those wholesalers jump through major hoops and invest a lot of time and money to obtain and maintain those licenses. 

Just to add context, I worked for years for one of Australia's largest wholesalers of licensed giftware.  We sold to the gift trade, licensed products such as toys, apparel and gifts.  Our wholesale licenses allowed us to sell ONLY to reputable, established B&M retailers, with a basic retail license included that allowed those retailers to sell to the public.  Disney was one of our biggest license portfolios, and every new Disney asset released required us to jump through those hoops all over again before we could wholesale the product.

It isn't just Disney, we were licensed to all the big Perfumeries as well, and if you think Disney are strict, you should try the likes of YSL or Chanel.  As a general rule they shipped the packaging separately from their printer, and the product from their manufacturer.  If a bottle or its packaging was damaged in transit we had to return the damaged item before they would send a replacement.  Both the bottle and the box had to go back, so that every item and its packaging was accounted for.  

This just demonstrates why licensing costs so much, and why legitimate licensees get so upset about counterfeiters.

I know it is frustrating seeing others break the rules, but adding to the problem is not the answer.