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From: Sr K11/30/2021 1:14:44 AM
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Lululemon Hits Back at Peloton, Sues Over Allegedly Copied Designs

Athletic-apparel maker says new Peloton items are knockoffs; Peloton last week asked a court to declare it didn’t infringe on designs


Lululemon is asking that Peloton pay for lost profits and other damages, but didn’t specify an amount; a Lululemon store in San Francisco this year.PHOTO: DAVID PAUL MORRIS/BLOOMBERG NEWS

By
Joseph Pisani

Nov. 29, 2021 5:16 pm ET

Lululemon and Peloton used to make workout clothes together. Now, they’re locked in a legal battle.

The first lawsuit came last week, when Peloton Interactive Inc. PTON -4.35% pre-emptively sued Lululemon Athletica Inc. LULU 1.46% in the Southern District of New York, asking a federal court to declare that it didn’t infringe on Lululemon’s designs.

On Monday, Lululemon hit back with its own lawsuit against Peloton, alleging the exercise bike maker copied the designs of its workout leggings and bras to launch its own clothing line. It also alleged Peloton filed its lawsuit in an attempt to “wrestle away Lululemon’s choice of forum.”

Lululemon said in its complaint, filed in the U.S. District Court for the Central District of California, that it first sent a cease-and-desist letter to Peloton on Nov. 11, asking the company to stop selling the alleged copycat designs. Peloton asked Lululemon for extra time to respond, but instead of responding, Peloton filed its pre-emptive lawsuit, according to Monday’s complaint.

Peloton didn’t immediately respond to a request for comment Monday. In its lawsuit Friday, the company said Lululemon was threatening to sue because of Peloton’s recent success.

The two companies formed a partnership in 2016, with Lululemon supplying its athletic wear and Peloton stamping its logo alongside Lululemon’s, as agreed, according to Lululemon’s complaint. The co-branded clothing was sold on Peloton’s website and in its stores.

Lululemon said Peloton asked to end the partnership earlier this year, and shortly afterward announced it was launching its own clothing line, according to the complaint.

Lululemon alleges that Peloton didn’t spend any time creating its own clothing and instead started selling knockoffs of Lululemon leggings and bras.

Lululemon is asking the court to stop Peloton from selling the designs it said were copied, including workout bras and leggings. It is also asking that Peloton pay Lululemon for lost profits and other damages, but didn’t specify an amount.

“We are confident in our position and look forward to properly resolving this case through the courts,” said Shannon Higginson, Lululemon’s general counsel and chief compliance officer.

Excerpt.
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