@BESW probably not the right tool, but still one they have. I am totally fine if people gets mad ad C&D letters sent to people that were just doing funny animations (while, I must also add, many of the most famous C&D in the past gets a little shady if you actually try to research them a little. It is really so strange that a video using "stolen" flash puppets from the show got a C&D?).
Still, until they have such power at hand and they use it to shut down content that is actually doing harm to the brand, I say go for it.
I don't know if you actually have a vague idea of the contents of the two videos quoted in the post above. Cupcakes over anything else.
@BESW Also, about the "Fair Use" thing, I get your point and all the like. But I also think that Cupcakes may even violate Youtube TOS for displays of... animated torture. I don't know if the defense would really stand "fair use" against a "Thank you for taking our kid show and turning it into this ..... something."
I also understand that given that, they could have acted in a way that would put the focus on the content before the copyright, and that would probably have been more effective at giving a message.
I am just saying that from my point of view, I accept the fact that the copyright holders have the power to shut me down if I create fan works - at least they can in many countries (Japan is a lot different - see the whole fan comics market there). At any time and for any reason.
Legend of Equestria is a pony based mmorpg, they changed the names, changed the layouts but kept the art styles and many places are obvious references to the original ones (Cantermore? Really?). They know they may get acted upon at any time, they have their defenses ready and they even contacted Hasbro firsthand in the past. I will be sad and everyone would if they will ever get shut down, but is still something you knew when you started.
What I am saying is not that I think the copyright rules are wrong or right (I for once think I have already stated that for me the most important part is avoiding creating content that is untrue to the original soul of a work. "It is a show about friendship, not about killer psychopaths") - I an just saying that I accept them as existing.
Trad: *Dear Cupcakes maker, when you created your video you knew that Hasbro could act at anytime. You also decide to tickle the sleeping dragon, by choosing to associate your work to an actual song name, and by creating a video that not only is offensive to the MLP friendship theme, but will probably feel unsettling for many people that don't even know what MLP is. Don't cry now, for I am sorry to say you that you should have seen that one coming".