Virgin Enterprises Ltd. v. Nawab

Virgin Enterprises (plaintiff), which registered multiple "Virgin" marks and operated Virgin Megastores in New York City, later sought to register a mark for telecommunications services when it began expanding wireless services from the U.K. to the U.S., but was blocked because Cel-Net Communications (defendant) had already registered VIRGIN WIRELESS and related marks and opened retail kiosks under VIRGIN WIRELESS in New York and Pennsylvania. Virgin Enterprises sued to stop Cel-Net's use of VIRGIN in wireless retail, presenting evidence of actual consumer confusion, but the district court denied a preliminary injunction, reasoning Cel-Net registered the wireless-phone VIRGIN mark first and that the marks' differing appearances made confusion unlikely. Virgin Enterprises appealed.