What is Fair Use:
Fair use is a legal exception to the exclusive rights an owner has for his or her copyrighted work
It governs the use of pictures (and content) found on the internets (as well as other places). Running afoul of it will cause a person to get a cease and desist notice due to the The Digital Millennium Copyright Act (DMCA). (Or sued, or worse.)
Resources:
Wikipedia article on Fair Use
Fair Use legal article
Fair Use Analysis Tool by Purdue University
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