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Lululemon Sues Costco Over Alleged Knockoffs of Popular Apparel

Lululemon Athletica Canada Inc. has filed a lawsuit against Costco Wholesale Corp., accusing the popular retailer of selling unauthorized copies of some of Lululeamon’s most popular clothing items.

The lawsuit, recently filed in a California court, claims that Costco is offering dupes of Lululemon’s best-selling Scuba hoodies, Define jackets, and ABC pants. 

Some of the alleged copies are sold under Costco’s in-house Kirkland brand, while others are produced by third-party labels including Danskin, Jockey, and Spyder.

Lululemon claims this infringes on its design patents and undermines the brand’s reputation and customer loyalty. The company says it previously sent Costco cease and desist letters but is now pursuing legal action after those efforts failed.

We reached out to Costco and Lululemon for a statement but didn’t hear anything back. 

The 49-page court filing requests a jury trial and asks the court to order Costco to stop manufacturing, importing, advertising, and selling the disputed products. Lululemon is also seeking damages for lost profits and a mandate to remove any marketing or listings of the alleged dupes.

This lawsuit comes as Lululemon navigates pricing challenges related to new and potential tariffs. The company recently announced it would implement only modest price increases on a limited number of products.

The case highlights a growing trend among consumers seeking affordable alternatives to premium brands. The popularity of “dupes” that mimic higher-end items has surged on social media as inflation and economic uncertainty push shoppers to stretch their dollars.

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