iAsk.ca

Lululemon sues Costco over sale of alleged knock-offs

(5 months ago)
Tara Deschamps
Costco Wholesale CorporationBusinessInternational tradeGlobal tradeIntellectual propertyPatentsLawsuits

AI Summary

TL;DR: Key points with love ❤️

Lululemon has filed a lawsuit in a California court against Costco, accusing the retailer of infringing on its intellectual property by selling 'dupes' of popular Lululemon products. These alleged fakes are sold under Costco's Kirkland private label and by other manufacturers like Danskin, Jockey, and Spyder. Lululemon claims this exploits its patents and reputation, seeking a jury trial to halt sales and recover lost profits.

Trending
  1. 1 2023: Lululemon held a 'dupe swap' event.
  2. 2 Last year and earlier this year: Lululemon faced consumer disappointment due to a lack of newness.
  3. 3 Recently: Lululemon sent cease and desist letters to Costco.
  4. 4 Recently: Lululemon files a lawsuit against Costco in a California court.
  5. 5 Weeks after the lawsuit: Lululemon announces modest price increases to weather new tariffs.
  • Potential legal battle between two major retailers
  • Possible financial penalties for Costco
  • Increased scrutiny on the 'dupe' market and intellectual property rights
  • Lululemon's efforts to protect its brand and designs
What: Lululemon is suing Costco for intellectual property infringement over the sale of alleged 'dupes' (knock-offs) of its popular products.
When: Recently (lawsuit filed); 2023 for Lululemon's 'dupe swap' event; 'last year and earlier this year' for Lululemon's lack of newness.
Where: California court (where the lawsuit was filed); Vancouver (Lululemon's base); Washington (Costco's base).
Why: Lululemon alleges that Costco's sales of 'dupes' infringe on its patents and exploit its reputation, leading customers to mistakenly believe they are authentic Lululemon products or purchase them due to their indistinguishable similarity.
How: Lululemon filed a lawsuit after sending cease and desist letters, seeking a jury trial to order Costco to cease manufacturing, importing, marketing, and selling the alleged knock-offs, and to cover Lululemon's lost profits.

Lululemon has filed a lawsuit in a California court against Costco, accusing the retailer of infringing on its intellectual property by selling 'dupes' of popular Lululemon products. These alleged fakes are sold under Costco's Kirkland private label and by other manufacturers like Danskin, Jockey, and Spyder. Lululemon claims this exploits its patents and reputation, seeking a jury trial to halt sales and recover lost profits.