Costco’s label Kirkland copies Lululemon’s Scuba hoodies, Define jackets, and ABC pants, according to the suit.
Athleticwear brand Lululemon (LULU) sued wholesale chain Costco (COST) on Friday for allegedly copying its designs, according to a Reuters report.
The lawsuit, filed in a California federal court, alleges that Costco’s “dupes” infringe upon Lululemon’s patent and trademark rights in its clothing designs and are likely to cause confusion among potential customers.
Costco’s label Kirkland copies Lululemon’s Scuba hoodies, Define jackets, and ABC pants, according to the suit.
It cited reports in The New York Times and The Washington Post, calling Costco’s products “dupes” of Lululemon’s, and stated that the similar designs could confuse buyers into thinking that Lululemon had made them for Costco’s private label.
According to the Reuters report, Lululemon requested an unspecified amount of monetary damages and a court order forcing Costco to stop selling the clothes.
The news had little bearing on the retail sentiment of stocks of both companies. As of early Monday, the sentiment was ‘bearish’ for both Lululemon and Costco.
Among the most notable cases, the now-bankrupt Forever 21 faced and settled lawsuits from Puma and Gucci over design copying. More recently, Nike secured a settlement against BAPE, forcing the sneaker brand to halt production of styles that closely resembled its iconic Air Force 1 and Jordan 1 models.
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