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Shein is suing Temu over claims of stolen designs. What’s going on?

Shein is suing Temu over claims of stolen designs. What’s going on?

Global News
Wednesday, August 21, 2024 06:26:20 PM UTC

The allegations come as Shein itself is the target of lawsuits from brands and designers that have accused the company of stealing designs and selling copycat items.

Online fast-fashion giant Shein has filed another lawsuit against competitor Temu, accusing the China-founded shopping platform of stealing its designs, copying its product images and engaging in other types of fraud.

The complaint filed in a Washington federal court this week alleges that Temu, which has grown in popularity in the U.S, has subsidized its low prices by encouraging sellers to offer counterfeited items, stolen designs and sub-standard products.

The allegations come as Shein itself is the target of lawsuits from brands and designers that have accused the company of stealing their designs and selling copycat items on its e-commerce site.

Asked for comment about the new lawsuit, a Temu spokesperson said in a prepared statement that Shein’s “audacity is unbelievable.”

“Shein, buried under its own mountain of IP lawsuits, has the nerve to fabricate accusations against others for the very misconduct they’re repeatedly sued for,” the spokesperson said.

The new lawsuit against Temu represents an escalation of the ongoing feud between the two companies, which have sued each other in U.S. courts before.

Temu, a platform owned by Chinese e-commerce company PDD Holdings, alleged in a previous lawsuit that Shein compelled clothing manufacturers to submit to unfair supply chain arrangements in order to prevent them from working with Temu.

Shein, which was founded in China but is now based in Singapore, accused Temu in court of engaging in deceptive business practices and misleading consumers by creating impostor accounts on social media that used Shein’s name but directed people to Temu’s platform.

Read full story on Global News
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