I buy most of my fabric online..wouldn't (shouldn't) they be required to let me know up front if it is restricted use? and if not shouldn't I be able to get my money back when I can't use it as I intended? I think the manufacturers try to play chicken with us..they know we don't have the money to sue them... Legal or not, I think they are plain greedy. The purpose of fabric is for people to make something from it. That IS its intended use. That being said, Its entirely possible that large scale users of their fabric require them to restrict commercial use so the little guy selling at craft shows, etc., doesn't cut in on the large commercial craft producers market? That is, the fabric designer/producer wouldn't care if you used it and made a profit from your craft, but Joe Blow Bedding company won't buy in huge quantity unless no one else can make sheets (comforters, duvets, quilts) from that particular fabric, especially if we're going to sell at a cheaper price, no matter how small your market is. There's more business wrangling going on out there than we can possibly imagine.
Still, to keep me out of trouble, just in case....I want to know BEFORE I buy what fabric has restricted use and I think every seller should have to indicate the restriction.