Lululemon sues Costco in a headline-making lawsuit over allegedly selling unauthorized “dupes” of its popular activewear. The athleisure giant claims that Costco’s lookalike products are infringing on Lululemon’s trademarked designs and confusing customers. From SCUBA® hoodies to DEFINE® jackets, the lawsuit argues that these imitations are so close to the originals that shoppers may believe they’re buying authentic Lululemon apparel. With this legal action, Lululemon sues Costco to protect its brand identity and send a strong message against design infringement in the retail industry.
Why Lululemon Sues Costco: The Case Behind the Lawsuit
Filed on June 27 in a California federal court, the lawsuit claims Costco is selling knockoff versions of Lululemon’s fan-favorite pieces, including:
- SCUBA® hoodies
- DEFINE® jackets
- ABC pants
Lululemon says these items are being sold under different brand names—like Danskin, Jockey, and Kirkland (Costco’s own brand)—but look nearly identical to its original products.
One major issue raised in the complaint? Costco apparently used the name “Tidewater Teal” for one of its colors—a name Lululemon trademarked back in 2019.
Lululemon Sues Costco Over Design Imitation: What’s at Stake
Lululemon isn’t just mad about similar stitching. They believe Costco’s products are meant to confuse shoppers, making people think they’re buying real Lululemon at a bargain price. The company calls this “consumer confusion,” both at the time of purchase and later, when others might assume the clothing is genuine Lululemon.
“One of the purposes of selling ‘dupes’ is to confuse consumers at the point-of-sale and/or observers post-sale,” the complaint reads.
In other words, if it looks like Lululemon, fits like Lululemon, and even uses the same color names—people might assume it is Lululemon.
Costco’s Response? Crickets (So Far)
Costco hasn’t responded publicly to the lawsuit yet. But given its history of offering budget-friendly alternatives to premium products, this isn’t the first time the retailer has been accused of copying high-end brands. Still, going head-to-head with a company as established (and litigious) as Lululemon is a big deal.
Lululemon’s Message Is Clear: Don’t Mess With Our Brand
Lululemon says it pours serious time and money into designing innovative athletic wear. Protecting that work is part of the deal. In a statement, the company emphasized its responsibility to defend its intellectual property:
“As an innovation-led company that invests significantly in research, development, and design, we take the responsibility of protecting our rights seriously.”
The brand is asking for damages—and wants the court to block Costco from selling the lookalike pieces.
What This Means for Shoppers
If you’ve picked up a comfy hoodie or yoga pants from Costco lately, this might explain why it looked so familiar. While many people love a good “dupe,” this case could impact how retailers approach similar styles and color names in the future.
And for companies like Lululemon, it’s a reminder that brand protection goes beyond logos—it’s about identity, design, and the experience shoppers associate with their clothes.