Copyright/Trademark Infringing Websites: Fails, Peoples and Lames

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whatisthelaw

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Let's say I got a picture of someone off flickr, or Googe images, or somewhere else. I take that picture and Photoshop it and put "FAIL" or "OWNED" or maybe put it in a black frame with a quote, or maybe write quotes on it like:

Failblog.org, peopleofwalmart.com, etc.

Would that be infringing? If so, then how do those websites get away with it?
 
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