Lululemon Athletica Canada Inc. is accusing Costco Wholesale Corp. of infringing on its intellectual property by selling knockoffs of some of its most popular products.
A lawsuit filed in a California court alleges Costco sells dupes of Lululemon's Scuba hoodies and sweatshirts, Define jackets and ABC pants.
Some of the alleged dupes Lululemon identified are sold under Costco's house label Kirkland, but others are made by Danskin, Jockey and Spyder.
The lawsuit says that some customers incorrectly believe Costco's products are authentic Lululemon apparel, while others purchase the dupes on purpose because they are so difficult to distinguish from the company's original designs.
Lululemon says these scenarios take advantage of both its patents and reputation.
The company wants Costco to stop manufacturing and selling the items and to cover any lost profits Lululemon incurred.
Costco did not immediately respond to a request for comment. It has yet to file a response to Lululemon's lawsuit.
This report by The Canadian Press was first published June 29, 2025.
Companies in this story: (TSX:LULU)
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