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Well, I have no idea of the legality of it, but I know that the book version of Legally Blonde uses real sorority names. Elle is a DG, the finess instructor accused of the murder is a Theta, and the real murdurer is a KKG. :-D
It was changed for the movie, so I wonder if there are different issues affecting the book versus the movie? Or maybe it was essentially a courtesy issue? Movies are much more widely circulated, and I know some Kappas who would not be amused by the murderer being identified as a Kappa. (I personally think it's very amusing.)
I know some USC sororities cooperated by letting Reese Witherspoon observe their houses for the movie, so maybe the change was also tied into that.
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