It's unlawful to sell a product that displays someone else's image without the image owner's permission -- even if the maker of the product lawfully purchased the fabric (or any other material) that contains the image. The fabric comes with a "personal use license".
The rationale is: consumers would likely falsely believe that the image owner either made the product or sponsors, endorses, or is somehow associated with the maker of the product made from the fabric (in violation of trademark law).
Sorry!