I agree that there is probably no law preventing wearing letters. In my day, I went to the campus Greek shop and bought all kinds of merchandise (for my own fraternity, of course) but I never had to prove that I was a part of that organization. I could have bought a hat, shirt, keychain, etc. from any fraternity I wanted, and it wouldn't have made a difference. But I think you are all correct when you say that if the real brothers catch you wearing their letters when you are not really a member, you'll probably get your ass kicked.
On a somewhat related note, I remember when I was a sophomore and I heard that a couple of the seniors in our house saw a homeless man on a main campus street, wearing one of our letter sweatshirts. Absolutely no clue where he could have gotten it. Again, there was no kind of legal action they could have taken to get him to hand over the sweatshirt. One of our guys supposedly offered him $10 for it, but he refused. I think he had a right to keep it simply because there would have been nothing else for him to wear if it got cold. Maybe if nothing else, our house was seen as a charitable group, handing out clothing to the homeless people! : )
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