Online Sellers Sued | Lululemon Alleges Trademark Infringement

Hey there online sellers, we’re the law firm of Stockman & Poropat, PLLC and we’re here to provide you with the legal counsel you need! Our unrivaled team has an uncommon knowledge of everything e-commerce. We know that as an online seller you can face many legal challenges. Which brings us to today’s topic: the latest Lululemon trademark infringement action. 

The brand Lululemon has filed a federal lawsuit against online sellers. The Plaintiff has submitted a range of claims related to counterfeiting and unauthorized sales. To better grasp the nature of Lululemon’s allegations we can consider the following selections taken from the legal complaint:

E-commerce stores operating under the Seller Aliases often include content and images that make it very difficult for consumers to distinguish such stores from Lululemon’s website or another authorized retailer. Lululemon has not licensed or authorized Defendants to use any of the LULULEMON Trademarks, and none of the Defendants are authorized retailers of genuine Lululemon Products. 

Counterfeiters such as Defendants typically operate under multiple seller aliases and payment accounts so that they can continue operation in spite of Lululemon’s enforcement. E-commerce store operators like Defendants maintain off-shore bank accounts and regularly move funds from their financial accounts to off-shore accounts outside the jurisdiction of this Court to avoid payment of any monetary judgment awarded to Lululemon. 

Defendants’ unauthorized use of the LULULEMON Trademarks in connection with the advertising, distribution, offering for sale, and sale of Counterfeit Lululemon Products, including the sale of Counterfeit Lululemon Products into the United States, including Illinois, is likely to cause and has caused confusion, mistake, and deception by and among consumers and is irreparably harming Lululemon. 

The Lululemon Lawsuit is Totally Legitimate!

If you’re wondering whether this Lululemon lawsuit is legitimate, you bet it is! And for that reason, the Defendants will need to respond to the court. Any seller who fails to respond could face penalties. Why put your e-commerce operation into further turmoil when you don’t have to?! Responding in a timely fashion is a must when it comes to Schedule A infringement lawsuits like this one. If you’re unsure of how the response ought to be composed, Stockman & Poropat, PLLC can help with that, too! 

The Lululemon trademark lawsuit will result in a temporary restraining order aimed at the Defendants. This restraining order will in effect freeze the online sellers’ marketplace accounts. Unfortunately, this means sellers won’t have the ability to touch or withdraw the money in those accounts. The purpose of the injunction is to hinder the Defendants’ power to sell more Lululemon goods. Why does the Plaintiff want to stop the named sellers from selling their products? Because Lululemon alleges that the total sale of counterfeit versions of their products by the sellers has cost them. That cost, allegedly, has damaged the Lululemon brand due to consumer confusion and revenue loss. Don’t be intimidated – take action and retain your own intellectual property attorney! 

How to Address the Temporary Restraining Order Freezing Your Accounts

The court will approve the Plaintiff’s request for a temporary restraining order and sellers will be affected. Until you negotiate or otherwise settle with Lululemon, the allegations will stand and you’ll be blocked from accessing your money. Addressing the lawsuit in the proper way is so essential because your e-commerce business is on the line. The amount of money that’s tied up in your online seller accounts could be in the tens or even hundreds of thousands. Stockman & Poropat, PLLC has developed creative and successful legal solutions for online sellers across the world. We’re a compassionate team of lawyers and professionals who are pleased to provide you with the counsel you require. Want to save money and protect your e-commerce operation? Give us a call! 

Stockman & Poropat, PLLC Can Deliver Creative Legal Strategies

Given that the Plaintiff has identified the sellers as a group, it’s up to each Defendant to present their own individual push back. You’ll want a legal strategy that’s developed based on the unique needs of your e-commerce business. Perhaps you know that what the Plaintiff said you did is not at all accurate. You might not be so confident, either, but that’s also ok. Regardless of the accuracy of the allegations, an attorney can truly be beneficial. We’re prepared to do whatever it takes to get you the resolution you deserve. 

And so, Lululemon has filed a federal trademark infringement action to stop counterfeit sales. The Plaintiff claims that the Defendants acted in concert with one another. The relationship between the named sellers, says Lululemon, is enough to establish them collectively as a counterfeit network. Whether this is true for all or any of the Defendants has yet to be proven. In the meantime, the seriousness of the allegations and the federal nature of the lawsuit will result in a temporary injunction. That restraining order can cause a strain on the businesses affected. Rather than try to negotiate a settlement on your own and lose money, work with our team at Stockman & Poropat, PLLC!

Contact our team at Stockman & Poropat, PLLC today for a free initial consultation! 

Download the legal complaint below:

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