Shein Sues Temu Over Copyright Infringements As The Legal Feud Between The Two Companies Heats Up

Shein, the online fast-fashion behemoth, has filed another lawsuit against Temu, alleging the Chinese-founded shopping platform of stealing its designs, reproducing its product photos, and indulging in other forms of fraud.

The case, filed this week in a Washington federal court, argues that Temu, which has risen in popularity in the United States, has subsidized its cheap costs by encouraging sellers to produce counterfeited items, stolen designs, and subpar products.

Temu

Shein Sues Temu Over Copyright Infringements As The Legal Feud Between The Two Companies Heats Up

The charges come as Shein faces litigation from brands and designers who accuse the company of stealing their designs and selling counterfeit merchandise on its e-commerce platform.

When asked to comment on the latest case, a Temu representative 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,” a spokeswoman told me.

The new action against Temu escalates the existing feud between the two corporations, which have already sued each other in U.S. courts.

A platform controlled by Chinese e-commerce business PDD Holdings, said in a prior complaint that Shein forced apparel manufacturers to enter into unfair supply chain agreements to restrict their cooperation with Temu.

Shein, which was formed in China but is now based in Singapore, accused Temu in court of deceptive business tactics and misleading consumers by creating counterfeit social media pages using Shein’s name but directing visitors to Temu’s platform.

The corporations abandoned the claims in October. Temu sued Shein again in December, accusing its rival of using “mafia-style intimidation” of suppliers to hinder its expansion in the United States.

Shein Sues Temu Over Copyright Infringements As The Legal Feud Between The Two Companies Heats Up

In the latest complaint, Shein’s attorneys claimed that at least one Temu employee took “valuable trade secrets” from the company, including best-selling goods and internal pricing information.

They further claimed that Temu misrepresented itself as Shein using imposter X accounts that referred customers to Temu’s website. They also claimed Temu had engaged in similar tactics through sponsored Google advertising.

SOURCE | AP