H2O3C4Nitrogen
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As long as the website is not copying materials (content, images, brand names, content, script source) from the original site, it is legal.
Styling and name are part of IP and there is blatant violation going on here.
RenRen was an utter ripoff but it went original within its initial days and does not violate any styling or names and hence continues to operate (it is China's biggest social networking site).
Links Please