Costco's Lululemon Dupe Results in Lawsuit—But Why Are Shoppers Siding with the Retail Giant?

In a move that has divided opinion, thousands of shoppers are standing by Costco after the retail giant was sued by Lululemon over alleged product copying. The case centres on claims that Costco's Kirkland line sells clothing that infringes on Lululemon's patented designs, yet many consumers remain loyal to the wholesale club. The question lingers: why are shoppers siding with Costco despite the legal battle over supposed 'knockoffs'?

The Lawsuit and Its Allegations

On 27 June 2025, Lululemon filed a lawsuit in a California federal court accusing Costco of selling clothing that closely resembles its own popular styles. The sportswear company claims that Costco's sweatshirts, jackets, and pants violate its patent and trademark rights. The lawsuit specifies that Costco's Kirkland brand copies items like Lululemon's Scuba hoodies, Define jackets, and ABC pants.

The legal complaint states that these 'dupes' are designed to confuse buyers, making them believe they are purchasing authentic Lululemon products. The company's spokesperson emphasised the importance of protecting its intellectual property and intends to seek damages and a court order to halt sales of the allegedly infringing items. The case, known as Lululemon Athletica Canada Inc v. Costco Wholesale Corp, underscores the ongoing tension between brand protection and retail competition.

Why the Public Is Choosing Costco

Despite the legal accusations, a significant portion of consumers aren't taking sides in the dispute. Many see Costco's pricing as a major factor. While Lululemon's ABC pants sell for between £75 and £110 (approximately $100 to $145), the Kirkland version costs just £16 (roughly $21). This stark difference in price makes Costco's offerings attractive, especially for those on a budget.

Moreover, shoppers often argue that the designs are not exact copies but similar enough to serve different purposes. Some customers point out that they prefer the affordability and convenience of shopping at Costco, where they can pick up activewear alongside groceries and household goods. For many, the value proposition outweighs concerns over potential IP infringement.

Legal Battles and Consumer Trust

Lululemon's lawsuit isn't just about protecting its designs; it's also about maintaining its brand reputation. The company claims that some counterfeit products are sold under Costco's private label Kirkland, while others are produced by brands like Danskin, Jockey, and Spyder. The company argues that these copies could mislead consumers into believing they're buying genuine Lululemon items. Yet, despite these claims, many consumers remain sceptical about the real impact of the lawsuit.

Public Response

Many are siding with Costco over the lawsuit, saying 'Not a single person has ever been confused about if they're buying lulu or Kirkland'. Some have theories of their own; 'From what I've heard LULULEMON sales have tanked. So I'm thinking they don't want to take a loss. Cause honestly how can you confuse a Kirkland item with LULULEMON.' and have come to their own conclusions; 'Customers aren't confused. They don't want to pay Lululemon prices for cute workout wear.'

Many say that the credibility of Lululemon has dropped in recent years, which, alongside tanking quality and rising costs, has made the brand much less unattractive. Others say that Lululemon's people-in-charge have made racist remarks, while Costco is perceived to care more about DEI (Diversity, Equality, and Inclusion).