Here is an image of the T-shirt quilt I was working on prior to christmas.
The owner was thrilled with the finished product.

Detail: The embroidery on this t-shirt is in amazing shape however it unfortunately pulled and distorted the fabric a fair amount. Rather than try to remove all this I sewed closely around the lettering and left seams from the collar and sleeve as feature details. All of the fabric was lined with interfacing to ensure against shifting or buckling. The entire quilt was machine sewn.