3:23 PM PT -- The artist, Jules Muck, tells the IndyStar she's reached a compromise with Bird ... agreeing to remove all the tattoos except for the "Indiana" one on his left forearm.
Larry Bird is adamant he's NOT a "tattooed guy" -- and he ain't happy with a new mural in Indiana that depicts him as a walking canvas.
The NBA legend's attorney has reached out to Jules Muck, the artist who created the Bird tribute on a Fountain Square building in Indianapolis ... an image that shows a young Bird with ink on his face, chest and arms.
In the mural, Bird looks like a SoundCloud rapper -- with tats showing everything from bunnies humping to the word "Indiana" on his forearm ... there's also a clover (Celtics) and a spider web.
"Larry’s position is he has elevated himself from where he began to where he is now through a lot of hard work. He has developed a brand that is marketable and he needs to protect that brand,” attorney Gary Sallee told IndyStar.
"The mural, as originally painted, was a departure from that brand."
The artist says she's conflicted about how she'll handle the issue -- she's still considering her options.