The final say in the 3rd Party/IP Theft/KO debate?

I'm under no illusion that this may degenerate into the typical butting of heads and clashing of opinions, however I do feel it needs to be brought to the attention of all who have strong feelings one way or another. And yes I know that there will be those who won't change their opinions even if contradictory evidence was found on The Golden Disk but if a few could be better educated on the subject then who knows how it could benefit future views and discussions?
For those that do not know, NATO-BOT was one of the first ever to make and sell TF accessories, first for Alternators, then he made an Animated Prime Axe and a kit to turn Universe Roadbutster into something slightly more G1-ish. I'm not sure what he's up to these days but I take his words with more truth than most on these boards who weigh in with opinions (my own included).
Context for his posting can be found here
For those that do not know, NATO-BOT was one of the first ever to make and sell TF accessories, first for Alternators, then he made an Animated Prime Axe and a kit to turn Universe Roadbutster into something slightly more G1-ish. I'm not sure what he's up to these days but I take his words with more truth than most on these boards who weigh in with opinions (my own included).
Context for his posting can be found here
NATO-BOT wrote:Ok, so here's two cents from some one with a little experience with this particular subject. When I started proposing my BT/ALT add-on kits waaaayy back in the day before there was a Fansproject (2004), I was known as NATO2469 over on TFANS, I was among those who jump started this whole conversation when I swore up and down that I would eventually produce my BT/Alt Ironhide. I read quite a lot on trademark and copyright law, as well as a few books on the toy industry specifically. And I'm sorry to tell you but Scaleface is right. With the exception some of the strait mold copies (MP Prime and seeker KOs etc.) there is no IP infringement being done here. So long as the design is at least "15% different" and the name is not so close that it can be confused with Hasbro's IP it cannot be considered trademark infringement. Copy right only deals with the printed page or things that could be printed in the cases of digital media (and must be exact copies). Patents only effect ideas and processes and are very hard and time intensive (and thus almost never sought in the toy industry). Hasbro would have no legal claim, on FP and most of the other 3rd parties.
Since then I have learned that Hasbro considers the 3rd parties as "direct competition" not IP thieves. So take that for tidbit for what it's worth.
The link given for the MLP KO game shows an obvious use of exactly the same designs used the official Hub show (including hair, face shape etc.) had they designed their own little brightly colored ponies instead of using the show's ponies with different cutimarks there wouldn't be a problem. There are plenty examples of pink and purple pony toys out there that Hasbro has no legal claim on (including some with frilly designs on their flanks).