As a point of order, I notice a lot of people italicizing the word "
FIRST". That's not necessary in text; that's merely their way of emphasizing their name on their logo and promotional materials. The legal name continues to be "United States Foundation for The Inspiration and Recognition of Science and Technology", so any appropriate initalism or acronym (or in the case of "U.S. FIRST", a hybrid) is valid. They can't sue you for not italicizing the name (in reference to them), any more than they could sue you for mispronouncing it (e.g. "us feerst"

). And of course, they wouldn't want to, even if they could.
As for the logo, that's a different matter. In that case, since the pictorial representation of the acronym FIRST is part of the logo, you must reproduce it faithfully, or risk a letter from their lawyer. If IndianaFIRST incorporates any part of the real FIRST logo, or uses a similar design, they should ask FIRST for permission, in order to ensure that no dilution of their branding takes place. Calling themselves IndianaFIRST, or having that name appear on a logo (without using any part of the real FIRST logo) is completely legal.
Now, depending on how you read the competition rules, it's conceivable that a
team might be bound to follow a slightly stricter set of rules, during the period for which section 1.13 of the 2005 rules applies. By participating in the competition, they implicitly agree to abide by the rules, which offer the following
guidelines:
Unmodified: Use the FIRST logo without modification. This means that you
will use our name and the triangle, circle and square as you see it
on our website or letterhead. You can use it in red, blue, and
white, or in black and white. Refer to the FIRST logo standards
for additional details including placement, size, and color
specifications and incorrect logo usage.
IndianaFIRST is not a team; while it would be courteous of them to follow the same standards, the
rules do not apply to them in any way. For them, it's simply a matter of trademark law (hence, the potential for a letter from the lawyer).