Lululemon Athletica has sued Costco Wholesale Corp., alleging the warehouse-club chain is selling copycat versions of its signature athleisure apparel. The complaint was filed on June 27 in the U.S. District Court for the Central District of California. In a 49-page filing, the Vancouver-based company says Costco imported, marketed and sold lower-priced garments that mimic Lululemon’s Scuba hoodies, Define jackets and ABC pants. Some items are sold under Costco’s Kirkland house label, while others carry brands such as Danskin, Jockey, Spyder and Hi-Tec. The suit highlights a price gap that it argues fuels consumer confusion, noting Lululemon’s Scuba hoodie sells for $118 compared with a look-alike at Costco priced around $8; a Hi-Tec men’s hoodie retails at Costco for $19.97 versus Lululemon jackets that top $100. Lululemon claims patent and trade-dress infringement as well as unfair competition, saying the alleged knockoffs trade on its reputation and goodwill. The company seeks a jury trial, an injunction barring further sales of the disputed products and unspecified monetary damages covering lost profits. It says it previously sent cease-and-desist letters that went unanswered. Costco, headquartered in Issaquah, Washington, has not publicly responded to the allegations. The case underscores the growing legal battles over so-called "dupe" products; Lululemon settled a similar dispute with Peloton in 2023. Its shares are down 37 percent so far this year amid softer U.S. traffic and higher tariff costs.
Lululemon Athletica claims that Costco “unlawfully traded” on its reputation by selling unauthorized and unlicensed versions of its products https://t.co/gM05Ezx2vl
Lululemon has filed a lawsuit against Costco that accuses the wholesale club operator of selling lower-priced duplicates of some of its popular athleisure clothing. Lululemon Athletica claims in it… https://t.co/nQ9HKaufQ9
Alo yoga, home of $128 sweatpants and $32 crew socks, was targeted by burglars *again* Tuesday morning. An initial estimate put the loss at $25-30k https://t.co/v9V2hIyf4o