Estée Lauder, Inc. and several of its cosmetics brands filed a complaint against Walmart, Inc. on Monday alleging trademark infringement over counterfeit products sold through the retailer’s third-party marketplace.
The complaint showcases photos of allegedly fake products sold through Walmart’s marketplace sellers, specifically claiming they violate trademarks for Le Labo, La Mer, Estée Lauder, Clinique, Aveda and Tom Ford.
Estée Lauder, Inc. notes that a shopper would reasonably believe that Walmart was the seller of the accused products, due to the way Walmart discloses the sellers on listings.
Additionally, the cosmetics giant notes that Walmart’s website says it vets third-party marketplace sellers to “ensure they can give the same high-quality experiences to all our Walmart.com customers.” Because of this, Estée Lauder, Inc. says that means Walmart “permitted and selected” the sellers of the accused products.
“We are aware of the complaint and have zero tolerance for counterfeit products,” Walmart said in a statement shared with Retail Dive Wednesday. “We will respond appropriately with the court when we are served.”
Estée Lauder, Inc. seeks a jury trial and has requested relief in the form of orders requiring Walmart to stop importing, selling and advertising the accused products. It also requests damages and asks for Walmart to disclose the suppliers or manufacturers of the products, an accounting of Walmart’s profits from the sales and more.
As for the actual sellers, the complaint from Estée Lauder Inc. notes that it is “unaware of the names and true capacities of Defendants, whether individuals, corporate and/or partnership entities,” and therefore sues them in addition to Walmart by their “fictitious names” in the filing. The cosmetics company is open to amending the complaint “when their true names and capacities are ascertained.”