I think most often that means the fabric isn't flame retardant. There was a safety ruling years ago that children's sleepwear must be flame retardant, made after several fires in which children died from flames and from smoke inhalation.
You can use the fabric for clothing, assumably most children aren't unattended for long periods in case of house fire and parents are sleeping. You can use it for blankets, toys, etc., just not for sleepwear.
Last edited by sara1955; 05/13/09 10:44 AM.