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Shein Files Lawsuit Against Temu Over Alleged Intellectual Property Theft

Shein Files Lawsuit Against Temu Over Alleged Intellectual Property Theft Aug/21/2024

Shein, the Chinese fast-fashion behemoth, has launched a lawsuit against rival Temu, accusing it of extensive intellectual property theft and fraud. Filed in Washington, D.C., federal court, Shein's complaint alleges that Temu, a platform owned by PDD Holdings, has engaged in systematic counterfeiting by encouraging its sellers to copy Shein’s designs and subsequently obstructing the removal of these infringing products. The lawsuit further accuses Temu of deceiving consumers with its extremely low-priced goods, which it claims are subsidized by the sale of counterfeit items, thus masking substantial losses. This legal clash comes amidst Shein’s own battles with various brands and artists over similar allegations and follows a prior suit by Temu accusing Shein of coercive tactics against suppliers. Shein’s complaint details allegations of Temu using stolen trade secrets and reproducing Shein’s copyrighted images to promote counterfeit products. The retailer seeks judicial relief to prevent Temu from further utilizing its confidential information and to halt the alleged infringement. Temu has yet to comment on the matter. The visualization below illustrates the registered and pending trademarks held by Roadget Business in the US.