besides making sure you are not using Licensed fabric, or a copyrighted pattern, you need to read up on the CPSIA guidelines!
It is NOT about big brother watching you to bust the little guy...it is about oh let us say LEAD content, flammable materials, etc..
when you the consumer buy bedding/clothing etc, do you NOT read the labels to make sure you are not buying something you know is dangerous to your health? Labeling your art/craft items is no different!
http://www.cpsc.gov/about/cpsia/smbus/cpsiasbguide.pdf