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The hotel heiress filed her lawsuit against Hallmark Cards in Los Angeles' Federal District Court on Thursday, citing invasion of privacy and misappropriating her image.
She is seeking more than $500,000 in damages and a permanent injunction preventing Hallmark from further using her name and likeness.
According to the lawsuit, Hallmark's card features Hilton's face superimposed on top of a cartoon waitress serving food. The catchphrase reads: 'Don't touch that, it's hot. What's hot? That's hot.'
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