Lululemon files lawsuit against Costco for selling knockoffs
- Lululemon accuses Costco of selling unauthorized versions of its clothing.
- The lawsuit claims these knockoffs confuse consumers regarding brand authenticity.
- Lululemon seeks monetary damages and a halt to Costco's distribution of the infringing products.
In late June 2025, Lululemon Athletica Inc. filed a lawsuit against Costco Wholesale Corporation in the U.S. District Court for the Central District of California. The athletic apparel company alleges that Costco has been selling unauthorized replicas of its products, specifically accusing the wholesale retailer of copying popular items such as the Scuba hoodies, Define jackets, and ABC pants. Lululemon claims these items are substantially similar in design to their original products, leading to consumer confusion and damaging Lululemon's brand reputation. Lululemon asserts in the 49-page complaint that Costco's Kirkland private-label line features designs that resemble their own line of apparel but at significantly lower prices, undermining Lululemon's market position. For instance, the company highlights that while its Scuba hoodie retails for $118, a comparable product from Costco is priced around $20. This substantial price difference is cited as evidence that Costco's actions not only infringe on Lululemon's intellectual property but also mislead consumers into believing they are purchasing authentic Lululemon products. The lawsuit further claims that Costco has unlawfully profited from Lululemon's reputation and goodwill by selling these infringing goods. Lululemon insists that selling these