I imagine they'll have a big lawsuit on them eventually. You can't just take other people's work and put it on your site.
"You acknowledge and agree that ... neither the Member Content nor your posting, uploading, publication, submission or transmittal of the Member Content or Cold Brew Labs use of the Member Content (or any portion thereof) on, through or by means of the Site, Application and the Services will infringe, misappropriate or violate a third partys patent, copyright, trademark, trade secret, moral rights or other proprietary or intellectual property rights, or rights of publicity or privacy, or result in the violation of any applicable law or regulation."
Since the whole point is putting other people's content on there, they can't really deny they are encouraging it.
http://www.quora.com/Are-users-of-social-cataloging-sites-like-Pinterest-violating-copyrighthttp://createhype.com/how-to-use-pinterest-to-boost-traffic/The entire thing is based on taking other people's "pretty images".
"I think its a reasonably-common meme that if youre linking to another blog, you can use an image without permission (again, if you check first for a statement on the blog that prohibits this expressly). I see large blogs with huge audiences doing this every single day, and since the people who are being linked generally see a spike in traffic as a result, the image use is almost never questioned."
from:
http://www.craftypod.com/2011/09/29/pinterest-inspiration-copying-and-the-whole-ethics-thing/"can we agree as a community that we are not going to post images that we found on Pinterest on our blogs and give the image credit to Pinterest??? This drives me absolutely bananas. If you want to post an image you found up on your blog, I really believe you must do your duty and click through until you can determine where it came from and then credit the photo properly (assuming the person who posted it is ok with that!) "
http://pinterest.com/source/istockphoto.com/http://pinterest.com/source/shutterstock.com/http://pinterest.com/source/blog.shutterstock.com/http://pinterest.com/source/dreamstime.com/Pinterest is storing local copies of copyrighted IS content and redistributing it:
http://d30opm7hsgivgh.cloudfront.net/upload/256450194_Ih5r3kJV_b.jpg