As far as I know, Broders were illegal and unlicensed at all points, even the ones that put the MLB logo on the backs of them. The magazine inserts (whether it was BCM, Legends, or the junky Rookie Review) didn't need licensing because they were considered to be part of the periodical, and thus exempt.
They were only forced to shut down because they either didn't have the money (or weren't willing to invest it)..
I know guys that ran these companies and frankly they were hit and run guys with no long term vision of desire to do things they needed to do to be sustainable..
BG