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Globe says Lululemon seeks a leg up on knockoffs

2014-07-21 06:31 ET - In the News

The Globe and Mail reports in its Saturday edition that Lululemon athletica has filed a lawsuit targeting a sealed list of unidentified defendants it says are China-based knockoff artists selling fake versions of its yoga pants on-line. The Globe's Jeff Gray writes that Lululemon said in a court filing, dated July 17, the defendants create websites "by the hundreds" and "design them to appear to be selling genuine Lululemon products, while actually selling counterfeit Lululemon products to unknowing consumers." The murky multibillion-dollar world of counterfeit merchandise is increasingly fuelled by the global reach of on-line commerce. A spokesman for Lululemon declined to comment on the lawsuit. In its court complaint filed in the U.S. District Court for the Northern District of Illinois, Eastern Division, Lululemon says websites selling all manner of counterfeit goods are estimated to generate more than $135-billion (U.S.) a year in sales. Lululemon says the on-line stores it alleges are producing fake Lululemon goods accept payment via PayPal, credit card or Western Union, and ship their goods by mail in small quantities in order to avoid attention from border officials.

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