The Red Hat Society, like virtually every entity, has valuable intellectual property including trademarks and copyrights which must be protected to be preserved. There are many who would like to utilize this intellectual property for their own commercial purposes. The appropriate way to do this is through an agreement (such as a license) which permits the use of this intellectual property. Anyone who fails to follow this approach infringes upon the rights of the Red Hat Society, which is illegal.
This does not mean that other commercial entities cannot produce and sell products which are in our colors. It simply means that they cannot use RHS intellectual property in doing so and create confusion in the mind of the public as to whether what they are doing is related to RHS. They must determine whether they would be violating the rights of the RHS in what they do, and make sure that they don't.
RHS encourages legitimate product by others which appeals to our Membership. There is a substantial amount of such product on the market, and we hope our Members will enjoy it.