Aren't you all overacting this, just a bit?
Actually quite a bit...
..."illegal avatars"? WHAT!?
I mean, come on, will for example the police tear down your T-shirt if it shows your favorite character from somewhere? I think nope.
What - theoretically - shortens someone's, or a company's business IS ILLEGAL, and should follow legal actions. Pictures randomly appearing won't do any harm to anybody's business, and therefore no worries.
How did we arrive to these childish fears from cracked games and uploaded movies?
IF by any chance this law, which i know little of, it isn't easy to get to know it since everybody just pukes out these idiotic fear instead of facts... so if this law really would permit those what you are saying, well then it is not a strict law, but rather a very stupid law.
-Mental Hybrid: A unique heavy story based shoot'em ~40% (primary project)
-CoreFleet: An underground commander unit based RTS (canned) ~15%