My last post went on and on about license character infringement and how it relates to the handcrafted small business person. If you haven't read it, go and do that now.
This past weekend I was doing a local event with Bourgeois Baby and had the pleasure of meeting Stacey of Three Monkeys Cloth Diapers (check out her stuff....SO CUTE!) and we chatted about licensed character products. Her understanding of using licensed characters in clothing, cloth diapers, etc, was completely different than mine. She said that so long as you don't name the product the licensed name, then you are fine. I really wasn't buying it, although I had seen items on Etsy like "Cat in the Hat Inspired Shirt" or whatever. I needed to research this more myself.
Tonight I was digging around the internet and found this page about the use of licensed fabric. So it seems that it is totally fine to sell items made from licensed fabric. I found the Tabberone website every interesting on various topics, and got a chuckle of their comments on the Uninformed Mavens of Etsy.
And I will say it again- I was wrong. At least as far as it goes with fabrics. As much as I like Hello Kitty, don't expect her to show up on my business website. But it does open up possibilities for other things in the future.