Question concerning business law?

[nann]

Elvis Presley Enterprises, Inc. (EPE), owns all of the trademarks of the Elvis Presley estate. None of these marks is registered for use in the restaurant business. Barry Capece registered “The Velvet Elvis” as a service mark for a restaurant and tavern with the U. S Patent and Trademark Office. Capece opened a nightclub called “The Velvet Elvis” with a menu, décor, advertising, and promotional events that evoked Elvis Presley and his music. EPE filed a suit in a federal district court against Capece and others, claiming, among other things, that “The Velvet Elvis” service mark infringed on EPE’s trademarks. During the trial, witnesses testified that they thought the nightclub was associated with Elvis Presley. Should Capece be ordered to stop using “The Velvet Elvis” mark? Why or why not? [Elvis Presley Enterprises, Inc. v. Capece, 141 F.3d 188 (5th Cir 1998)]

[chen12]

Yes, and it is the fact that a reasonable person would be confused.