Hey there.
The whole bodypainting discussion is still going on, but I'd *personally* like to keep a relatively lax attitude.
Yes, there have been a handful of bodypainted furs around who were not careful enough, especially after getting drunk and hugging everybody and the kitchen sink (literally, I could image, later at night). However, there's still a simple rule in effect: You break it, you pay for it. If somebody ruins someone else's attire, be it with bodypaint, a cocktail or a snot rocket, that somebody has to undo the damage. Simple as that.
The dances and certain fursuit events are a special matter, though. It's way too easy there to bump into someone and leave some permanent, expensive damage. Henceforth I'd like to see no bodypaint during the dance or in a pile of fursuits. Facepaint is a difficult gray area, but most likely not a real problem, even during the dance. It might be easier to ban paint from the dance altogether, though, and there's plenty of time beforehand to prance around in your colorful attire. Unfortunately, especially the glowing paint is *way cool* and adds a lot to the atmosphere.
Why so lax?
I don't see a sensible way to police issues away that merely could happen, if the expected damage is rather low. You know, basic risk calculation. During the dance and in (fursuit) crowds, the risk is much higher und should be avoided, but it's a slippery slope we're getting onto if we're trying to replace basic, personal responsibility with rules. We're not in the U.S. after all!
What I'd certainly NOT advocate is holding the *painter* responsible for any damage done. The coloring's sole purpose is NOT rubbing off on others and causing damage.
My 2¢,
Gyro