Oh I'm sure they're just following the letter of the law and protecting themselves legally, it's more the idiocy that they have to go to such lengths even banning parents from taking pictures of their own children at their own childs birthday party.

If the child asks why and parents are honest they'll just have to say "dear, it's because some of the other parents here might be perverts wanting to do nasty things to you and your friends."

Yes, we live in such a nice world where you can't even have a birthday party without it being turned into something unpleasant.