Reposting pics from other sources, as long as you don't attribute it to yourself, is totally fair use. I read a while back about Drudgereport fighting a battle about the same thing and won.
This firm is making money just because people settle instead of fighting it.
Do not be so sure about your interpretation of the Fair Use provisions of the Copyright Law. I would suggest that if you want protection, you talk with a qualified IP lawyer first. Here are a few items to consider:
A few examples of Fair Use (USCopyright.gov):
- The purpose and character of the use, including whether such use is of commercial nature or is for nonprofit educational purposes
- The nature of the copyrighted work
- The amount and substantially of the portion used in relation to the copyrighted work as a whole
- The effect of the use upon the potential market for, or value of, the copyrighted work.
It could have gone the other way for Drudge, even if he was legally OK. It depends on several factors including the mood of the court or how much Drudge is liked or hated. I am not familiar with the case, so I will not comment except to point out this little paragraph from the copyright office web site:
Section 107 contains a list of the various purposes for which the reproduction of a particular work may be considered fair, such as criticism, comment, news reporting, teaching, scholarship, and research.
So it is possible that he is protected if he is considered a reporter, teacher, etc.
Copying a complete image and using it on a web site probably does not fall under the fair use provisions. It depends upon how much the owner of the materials protects the work. Failure to protect your work can mean you no longer have a right to go after infringers.
Copy images from the Disney or NASCAR web site and when they contact you, shout fair use. It is not going to help you much. But, oddly enough, you can still use their images in commercial products with the blessing of the Federal Court. Ask me how if interested.
Also, if you are not making money or generating a profit, it is still stealing and you can be punished.
I would invite you to visit the USCopyright.gov and learn a little something. Also visit the DMCA site and see just how intertwined these laws are. No wonder compliance is hard for folks to grasp.
Did you know that copyright violations are tried in Federal Court for the most part?
Did you know that even though you now have protection the moment you create something, you must have a registered copyright before your case can be tried in Federal Court?
Did you know that these things cannot be protected: (source, USCopyright.gov)