The festival is a private event that takes place on private property, so it has the right to set the guidelines or standards for activities that take place there. Here is the festival's statement about photography rights from their web page:
The confrontation raises the issue of photographers rights when taking images on both public and private property. We've put articles on this blog previously relating to this topic, but the area is still a confusing one for photographers because of the number of different fact circumstances that can give rise to issues relating to our rights.
The council will continue to post information about your rights as a photographer here when it becomes available. We have also asked attorney Mike Waterman (who made an enlightening presentation on intellectual property at the last Spring Break) to send us any information he can provide on this subject. We hope to have his input here soon. In the meantime, if you do go to the Renaissance with your equipment be mindful of the lens length restriction, and make sure you ask permission to take images of visitors who are not participants in the festival.
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While not as restrictive as a private property event, it should be noted that many city parks, including Minneapolis (http://www.minneapolisparks.org/documents/agendas/2011-08-17/7-2-163ADM.pdf, page 5) and St. Paul (http://www.stpaul.gov/DocumentView.aspx?DID=4007), have various restrictions on commercial photography and video production. In most cases this requires prior permission and fees for such activities. Other such venues as the Minnesota Landscape Arboretum similarly restrict commercial photography (http://www.arboretum.umn.edu/Hours_and_Fees.aspx). At these places photos and video for personal use are more than welcome and no one is going much to care if an amateur photographer sells a few prints here and there.
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