Just my opinion . . . but there is NO way I would do another quilt! You were thoughtful enough to choose the colors she told you she planned to use . . . even though you didn't personally care for them that much. If she wants to use the quilt as her primary nursery quilt, SHE COULD REPAINT THE NURSERY! Much easier than piecing and making a quilt . . . As most others have said . . . she can always use the quilt you've made in many other ways and on many other occasions . . . Again, as someone else said, I would present along with a note or tell her that you planned the quilt around the colors she told you she planned to use and are quite pleased with it, even though had you been left to your own devices, you would have chosen other colors. I don't think this is anything for you to give much more of your VALUABLE thought. The "mistake" if it can be called that is hers, not yours!