Etsy Compliance 2026: Avoid Listing Violations

Who this is for

You just opened your Etsy shop. You've got products ready to list, but you've heard horror stories: shops suspended overnight, listings yanked without warning, accounts banned for "policy violations" the seller didn't even know existed.

This guide covers the three compliance areas that trip up most new sellers: trademarks, medical claims, and handmade requirements.

The goal

Keep your shop open and your listings live. Intellectual property violations are one of the top reasons Etsy removes listings and suspends accounts. Most affected sellers didn't realize they were breaking rules until it was too late.

The rules that matter

Trademark and intellectual property

The rule is simple: don't use other people's trademarks, copyrights, or designs without permission. But sellers mess this up constantly.

What counts as infringement:

• Using brand names in titles or tags (even with "inspired by" or "style")
• Selling fan art of TV shows, movies, video games, or sports teams
• Copying another shop's product photos, descriptions, or designs
• Using "free" clipart that actually requires commercial licensing
• Using stock images without an extended/merchandise license

The "inspired by" trap:

Many sellers think adding "inspired by" makes it legal. It doesn't. Writing "Inspired by Taylor Swift" or "Pottery Barn style" still uses the trademark. Etsy will remove these listings when reported.

How to rewrite risky titles:

Instead of "Star Wars lightsaber keychain," try "Sci-fi laser sword keychain, space warrior gift." Describe the item's features without naming the franchise.

Instead of "Pottery Barn inspired throw pillow," try "Neutral farmhouse throw pillow, minimalist living room decor." Focus on the style, not the brand you're imitating.

Instead of "Taylor Swift Eras Tour bracelet," try "Friendship bracelet set, concert outfit accessory." You can sell concert accessories—just don't name the artist.

And "Nike swoosh vinyl decal"? Don't sell this at all. Logos are off-limits.

For a complete guide to writing titles that rank without compliance issues, see our Etsy title formula.

Stock images and clipart:

Buying a stock image doesn't mean you can print it on mugs. Most licenses (Shutterstock, Adobe Stock, basic Creative Commons) prohibit merchandise use. You need an extended license or merchandise license—and even then, read the terms carefully.

"Free" clipart is rarely free for commercial use. If you can't find an explicit commercial license, don't use it.

These rules apply everywhere in your listing—including your tags and attributes. For a deep dive on using tags strategically without crossing compliance lines, see our guide on Etsy tags that rank.

Medical and health claims

Etsy is strict here. You cannot claim products prevent, treat, diagnose, or cure any medical condition. Doesn't matter if it's true. Doesn't matter if you add disclaimers.

Prohibited claims include:

• Disease claims: "treats eczema," "cures anxiety," "heals inflammation"
• Structure/function claims: "balances hormones," "boosts immune system," "detoxifies"
• Weight/body claims: "burns fat," "promotes weight loss," "slims waistline"
• Sexual health claims: "enhances performance," "increases libido"

Disclaimers don't help:

Adding "This is not medical advice" or "Results may vary" doesn't make prohibited claims compliant. Etsy's policy states that disclaimers are not an acceptable workaround.

What IS allowed:

Cosmetic descriptions are fine:

• "Moisturizing," "conditioning," "softens skin"
• "Deodorizing," "freshening"
• "De-tangles hair," "adds shine"

How to rewrite medical claims:

Instead of "Healing crystal for anxiety relief," try "Amethyst palm stone, meditation crystal, calming gift." Describe what it is, not what it supposedly treats.

Instead of "Anti-inflammatory turmeric soap," try "Turmeric soap bar, natural ingredients, gentle cleansing." Name the ingredient without claiming medical benefits.

Instead of "Essential oil blend treats migraines," try "Peppermint lavender roll-on, aromatherapy blend." Aromatherapy is fine; treating conditions is not.

Instead of "Eczema cream, heals dry patches," try "Rich body butter, deeply moisturizing, for dry skin." Moisturizing is cosmetic. Healing eczema is medical.

And "Weight loss tea, burns belly fat"? Don't sell this on Etsy. Weight loss claims are always prohibited.

The label loophole that isn't:

If your product photo shows a label with medical claims ("Arthritis relief," "Hormone balance"), Etsy will flag it. The policy applies to titles, descriptions, tags, AND images.

Handmade and creativity standards

Etsy positions itself as a handmade marketplace. That doesn't mean you must hand-craft every item, but you must meet their Creativity Standards.

What Etsy allows:

• Items you make yourself
• Items designed by you and produced by disclosed production partners
• Vintage items (20+ years old)
• Craft supplies

What Etsy prohibits:

• Reselling manufactured goods you didn't design
• Dropshipping products you have no creative role in
• Using templates or third-party designs with computerized tools (as of June 2025)

The June 2025 update:

Etsy tightened rules for computerized production (laser cutters, 3D printers, Cricut, embroidery machines). Previously, you could use purchased templates. Now, items made with these tools must use your original design. Commercial-use licenses for third-party designs no longer qualify.

Production partner rules:

You can use production partners (print-on-demand, manufacturers, craftspeople), but you must:

1. Disclose them in your listing
2. Maintain creative ownership of the design
3. Ensure they're not white-label, OEM, or wholesale suppliers

For detailed instructions on setting up production partner disclosure, see our production partners guide.

What compliance looks like in practice:

Buying mugs from AliExpress and reselling them? That's reselling, not handmade. Design your own artwork and use a disclosed print-on-demand partner instead.

Using a purchased SVG file for Cricut projects? That no longer qualifies under the June 2025 rules. Create your own SVG designs.

Dropshipping jewelry you found on Alibaba? That's prohibited. Source your own findings, then assemble and design the pieces yourself.

Forgot to mention your print partner? Add their info to your listing. Transparency is required, not optional.

Red flag phrases to avoid

Phrases that commonly trigger Etsy enforcement:

Trademark red flags:

• "Inspired by [brand name]"
• "[Brand] style" or "[Brand] dupe"
• Character names from franchises
• Sports team names or logos
• Celebrity names

Medical red flags:

• "Cures," "heals," "treats," "prevents"
• "Anti-inflammatory," "antibacterial," "antiviral"
• "Balances hormones," "boosts immunity"
• "Weight loss," "fat burning," "slimming"
• "Pain relief," "migraine relief"
• Any disease name (eczema, arthritis, anxiety, etc.)

Handmade red flags:

• No production partner disclosure when using one
• Stock photos instead of your own product photos (see our listing photos guide for what's allowed)
• Identical listings across multiple shops
• No evidence of your creative process

Compliance checklist

Before publishing any listing, verify:

Intellectual property:

• No brand names, logos, or character names I don't have rights to
• No "inspired by" with trademarked terms
• All images are my own photos (not stock)
• Any graphics I used have proper commercial/merchandise licenses
• Design is original, not copied from another seller

Medical claims:

• No disease or condition names in title, description, tags, or photos
• No treatment/cure/healing language
• No structure/function claims (hormones, immunity, inflammation)
• Using cosmetic descriptions only (moisturizing, conditioning, etc.)
• Product labels in photos don't contain prohibited claims

Handmade requirements:

• I designed this item OR sourced vintage/supplies
• Production partners are disclosed if used
• Not reselling items I didn't creatively contribute to
• Using my own designs for computerized tools (not purchased templates)
• Photos show my actual products

FAQ

What happens if Etsy removes my listing?

Etsy will notify you of the violation. You can appeal if you believe it was removed in error. Repeat violations can lead to shop suspension or permanent termination. Etsy's automated systems sometimes flag listings incorrectly—always appeal if you're confident you're compliant.

Can I use trademarked terms in tags if not in the title?

No. Etsy's policy applies to titles, descriptions, tags, and images. Using "Disney" as a tag is just as risky as using it in your title.

What if my product actually does have health benefits?

It doesn't matter. Etsy prohibits medical claims regardless of accuracy. If you're selling a product regulated by the FDA or similar agencies, you need to comply with those regulations AND Etsy's policies. When in doubt, stick to cosmetic descriptions.

Do I need to disclose AI-generated content?

Yes. If you use AI to create designs, images, or content for your listings, Etsy requires disclosure. This is a newer policy area—check Etsy's current guidelines for the latest requirements.

How do I report a seller copying my work?

Use Etsy's Intellectual Property Reporting Portal. You'll need to be the rights holder or authorized representative and make statements under penalty of perjury. Etsy takes these reports seriously.

Can I sell "inspired by" products if I don't use the brand name?

Maybe, but be careful. If your product is clearly designed to evoke a specific brand (same colors, similar name, recognizable design elements), it could still be flagged. The safest approach is creating genuinely original work.

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Three rules keep you safe: skip the brand names you don't own, drop the medical claims entirely, and be upfront about how your stuff gets made. Follow those, and you're ahead of most sellers on the platform.

For the business side of your shop, see our guide on pricing and shipping strategy.

Once your compliance basics are solid, the next step is optimizing your tags for search visibility. Check out our guide on how to pick 13 Etsy tags that rank.

Want to check your listings for compliance issues? Try our free Compliance Scan tool to catch violations before they get your listing removed.

Sources

• Etsy Intellectual Property Policy
• Etsy Trademark Policy
• Etsy Medical Claims Policy
• Etsy Creativity Standards
• Etsy Prohibited Items Policy
• Working with Production Partners on Etsy
• 4 Policy Best Practices When Listing Items on Etsy
• What Can I Sell on Etsy?