From the Super Mario Wiki, the Mario encyclopedia
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Creased is a status effect in Mario & Luigi: Paper Jam that only Paper Mario can be afflicted with. When in this state, Paper Mario cannot utilize copies at all. The status is indicated by Paper Mario drooping away from the camera, and with any previously available copies sprawled on the ground beside Paper Mario. This status can be inflicted by enemies such as Sandmaarghs.
Mario & Luigi: Paper Jam