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Question.. I was told that if I used a character from an anime, game, etc- that I could get sued and such.. As long as the content that's created is free, is it okay? Or is there more to it?

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It doesnt matterif its free or not in this day and age. If you use anything copyrighted, whihc is everything now, you are gettied sued. It does depend a fair bit on who said copyright belongs to though. So i say do whatever it is you were thinking of doing and dont bother worrying about it. I would stick to the keeping whatever it is yer thinking of free though.