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Threaten legal action. Probably wont do anything but you might make for an interesting conversation. Generally I don't like to go out of my way to chew someone out on the phone but I would definitely follow up with them.
Edit: those two paragraphs are from diffefent parts of their terms and conditions not in that order. I just combined them into one image.
It's not fair but unless international agreements are made and adhered to, I can't see it stopping, even then there will be pirates who get away with it.
1.You didn't own IP.
2.Loz is China Company.
3.Look like IP Holder (Nintendo,Toei,WB,Disney etc etc.) didn't care about Loz sell their character.
He gained zero monetary compensation for his work and can prove that he created these for his own amusement and just had the designs up on his website (can probably even prove when he uploaded his pics).
I don't see any violation.
Another company has been working with AFOLs and giving credit to the designers, but it is not clear that those designers have any rights to the IP the sets are based on, or that the manufacturer has secured those rights. Specific examples would be the Arvo Brothers' Alien and Kaneda Bike, now being manufactured by XingBao and crediting the Arvo Brothers as designers. I don't know if the IP owners are on board or not, but if not it would seem the Arvo Brothers could be subject to any litigation brought against XingBao over those sets.
Only #2 is the biggest, and really the main, reason why there is no litigation as the Chinese government views the IP laws around the world as non-applicable in their country, otherwise the Asian markets would not be flooded with counterfeits.
it sucks to see your work pad someone's pockets though, wish there was a viable option to stop them, but i don't know it.
I don't know why people are even still bumping this thread