They weren't the first designer plush dolls, and they probably won't be the last, but a cast of 15 unattractive, ever evolving characters called Uglydolls—each accompanied by a quirky, amusing narrative—have plopped down at the forefront of the designer-toy movement. The dolls' creators, David Horvath and Sun-Min Kim, are themselves outsiders in a nearly monopolized corporate toy industry. Their first doll, a snaggle-toothed, apron-donning orange blob named Wage who, the story goes, works at a grocery store and lives for chocolate-chip-cookie dough, was born in 2001 not as a pop-culture collectible but as a love letter turned art project.
Since then, over...
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