THE WHAT? Estée Lauder has filed a lawsuit against Walmart in a California federal court, alleging the retailer sold counterfeit Estée Lauder fragrances and skincare products through its website.

THE DETAILS According to the complaint, Walmart allegedly sold knockoff products bearing identical branding to fragrances from Tom Ford and Le Labo, as well as skincare from Clinique and La Mer and Aveda hair brushes. Estée Lauder is seeking unspecified monetary damages and a court order to stop Walmart from selling the alleged counterfeit items. The lawsuit accuses Walmart of trademark infringement, counterfeiting and false designation of origin, claiming the retailer does insufficient vetting to ensure only authorised, authentic products are sold on its online marketplace.

THE WHY? The action comes as Estée Lauder’s fragrance business continues to grow, particularly among Gen Z consumers, increasing the importance of brand protection and consumer trust as Walmart rapidly expands its e-commerce platform.

Source: Reuters