In Precious Moments vs La Infantil, 1997, (D.P.R.) 971 F.Supp. 66, the court stated:
The touchstone of an action for trademark infringement and unfair competition is whether the use of
the trademark is likely to cause confusion. VMG Enters., Inc. v. F. Quesada & Franco, Inc., 788 F.Supp. 648, 660
(D.P.R.1992). The evidence presented indicates that the items manufactured for La Infantil from the Precious
Moments fabric come with a notice identifying "PMI, Inc." [sic] as the owner of the art and design and "T.M. Sewing
Service" presumably as the manufacturer of the bedding, although it does not specify. While La Infantil has not made
any false representations, and indeed appears to have attempted to identify the sources of the products accurately,
the Court finds that the notice is inadequate to prevent potential confusion as to Precious Moments' sponsorship (or
lack thereof) of the products. In addition to being plainly visible to the purchaser, the notice should specify that, apart
from the fabric, the items manufactured by T.M. Sewing Service for La Infantil are not in any way connected to
Precious Moments, Inc. See C.M. Paula Co. v. L. Gene Logan, 355 F.Supp. 189, 193 (N.D.Tex. 1973); Scarves by
Vera, Inc. v. American Handbags, Inc., 188 F.Supp. 255, 258 (S.D.N.Y.1960); cf. Caterpillar, Inc. v. Nationwide
Equip., 877 F.Supp. 611 (M.D.Fla.1994).
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