Title 4 United States Code:
§ 8. Respect for Flag
(g) The flag should never have placed upon it, nor on any part of it, nor attached to it any mark, insignia, letter, word, figure, design, picture, or drawing of any nature.
This "Obamanation" is being flown over some guy's house in Kokomo,Indiana.
However, there is no violation of the law - apparently because this is not an actual US flag. An attorney would argue that this product falls under the same heading as shirts/pants/scarves and other similar items. Even though it mimics the flag design, it is nothing more than a very tasteless novelty. Just like the fake money with O's face on it.
It just goes to prove that people can make money off of selling "kitsch" to Obamabots.
Apparently one can buy all kinds of stuff with O's face on it:
(H/T Atlas Shrugged)