I'm actually Canadian. :) Anyway, what I mean by 'quick reading,' and I should have expanded on this, is that when LJ or IJ take a look at our community and try to figure out whether our activities can be considered fair use, they seem to be going by a 10% + commentary rule. It might be a made up rule, but that's the one that's determining when the ban hammer comes down. It's also the made up rule that people on the opposite side of this thing seem to be working from. "They're posting more than 10%? And sometimes without commentary? Report them!" It's almost irrelevant what an actual legal reading would be, because the opinion of lawyers has little to do with our being TOSed (or not), or harrassed by trolls (or not). Couple that with the fact that the community's just not set up for an actual legal fight, and it becomes an issue. In the eyes of many hosts and copyright holders, our activities will never be 'fair use'.
So all of that was to say that our rules, as they stand, wouldn't protect us from being TOSed from a lot of places, or from getting a letter from Marvel legal. I don't want people to get the sense that because we're off LJ we're somehow safe. What we're doing will still be seen as threatening, although, for the record, I don't think it actually is.