Lululemon Athletica Inc (LULU.O) made good on its threat to sue Peloton Interactive Inc (PTON.O) over the exercise bike company’s new clothing line’s “copycat products” on Monday.
The Canadian athletic apparel manufacturer filed a federal lawsuit against Peloton in Los Angeles, seeking triple damages for its rival’s alleged “willful” infringement of six design patents.
Lululemon filed its lawsuit five days after Peloton filed its own case in federal court in Manhattan, seeking a declaration that Lululemon’s claims were without merit. Requests for comment from Peloton and its lawyer jobs were not immediately returned.
The dispute arose as a result of Peloton’s September launch of a private-label apparel brand, which followed the end of the companies’ five-year co-branding relationship. Lululemon claimed that five Peloton women’s bra and legging products infringed on its patents: the Strappy Bra, the High Neck Bra, the Cadent Peak Bra, the Cadent Laser Dot Bra, and the Cadent Laser Dot Leggings. It also said another Peloton product, One Lux Tight, is a knockoff of its Align pants, one of its all-time best sellers.
Peloton “intended to closely copy Lululemon’s proprietary designs and pass off its goods as Lululemon’s high-quality products to misappropriate the immense goodwill that Lululemon has spent enormous time, effort, and expense to cultivate,” Lululemon said in its complaint.
In a Nov. 11 letter to Peloton, the Vancouver, British Columbia-based company threatened to sue unless sales of the alleged knockoffs were halted. In its lawsuit, Peloton claimed that customers would be able to tell the two companies’ products apart and that Lululemon’s designs were not unique enough to warrant patent protection.
Based in New York, Peloton has tried to diversify its revenue jobs streams after sales of its bikes and treadmills slowed as more people received COVID-19 vaccines and stayed at home less frequently.
The cases are Lululemon Athletica Canada Inc v Peloton Interactive Inc, No. 21-09252 in the Central District of California, and Peloton Interactive Inc v Lululemon Athletica Canada Inc, No. 21-10071 in the Southern District of New York.