Checking that site over, Terry, it seems that only her name and pictures are registered.
Basically, you could the pattern that you posted and even make the ornaments in similar materials and colors. There is no TM infringement there that I can see. Basically, if you're making Christmas ornaments in red, green and white, how can anyone say that is an infringement. Those are traditional colors.
However, if you got the EXACT materials and used them in the same fashion, then she might have something to stand on.
But as the pattern is a "free" pattern, she does not have a copyright on that pattern and you are able to use it?
Is that any clearer?