Some recently I learned from some acquaintances about a series of incidents where content created, owned by other people, have reportedly been stolen and used without their permission. The most recent incident being a sign of failure for the staff to act on its own rules. I am not naming names due to confidentiality and obligations to keep my friends anonymous. Unfortunately, this has become a major growing pain with the site in recent times.
I believe rule 1 needs to be updated to include close designs, such as species and outfits. Of course, these changes exclude if it is used with permission.