Shein Sues Temu for Copyright Infringement in the US

Fast-fashion online giant Shein has filed another lawsuit against rival Temu, accusing the China-based shopping platform of stealing its designs, copying its product images and engaging in other types of fraud.

The lawsuit, filed this week in federal court in Washington, alleges that Temu, which has grown in popularity in the United States, has subsidized its low prices by encouraging sellers to offer counterfeit goods, stolen designs and substandard products.

The allegations come as Shein itself is facing lawsuits from brands and designers who have accused the company of stealing their designs and selling counterfeit goods on its e-commerce site.

When asked to comment on the new lawsuit, a spokesperson for Timo said in a statement that “Shane’s audacity is unbelievable.”

“Sheen, buried under a mountain of its own intellectual property claims, has the audacity to fabricate charges against others for the same misconduct they have been sued for over and over again,” the spokesperson said.

The new lawsuit against Timo represents an escalation of an ongoing dispute between the two companies, which have previously sued each other in US courts.

Temu, a platform owned by Chinese e-commerce company PDD Holdings, alleged in a previous lawsuit that Shein forced apparel makers to make unfair supply chain deals to prevent them from working with Temu.

Shein, which was founded in China but is now based in Singapore, has accused Temu in court of engaging in deceptive business practices and misleading consumers by creating fraudulent social media accounts using the Shein name, but directing people to the Temu platform.

The companies dropped those lawsuits in October. Timo sued Sheen again in December, accusing its rival of using “mafia-style intimidation” of suppliers to stifle its growth in the United States.

At least one Temu employee stole “valuable trade secrets” from Shen that identified top-selling products and internal pricing information, Shen’s lawyers wrote in the new lawsuit.

They also again alleged that Temu was falsely presenting itself as Shein through the Scammer X accounts that directed customers to Temu’s website. Additionally, they alleged that Temu engaged in similar practices through Google-sponsored ads.