Temu v. Shein

Two megaretailers accuse each other of copying, stealing secrets, and unfair business tactics.

Summary :

Shein sued Temu in U.S. federal court (Washington D.C.) in August 2024, saying Temu copied Shein’s designs, images, and tried to steal trade secrets. Shein claimed Temu encouraged sellers to infringe and posed as Shein online to misdirect customers. Temu has denied the claims and countersued: alleging Shein intimidated suppliers, forced exclusive contracts, and misused IP takedown notices. Many lawsuits were filed, some now dropped or settled “without prejudice,” with a major UK trial set in late 2026.

Facts :

⦁ Shein’s complaint (August 2024): Alleges Temu stole designs, photos, and trade secrets; encouraged infringement; impersonated Shein on social media; mislead consumers

⦁ Temu’s counterclaims: Accuses Shein of using "mafiastyle" tactics—intimidating suppliers, forcing exclusivity, abusing IP complaints. Filed in late 2023 and early 2024.

⦁ Both parties dismissed cases without prejudice in U.S. courts in October 2023, meaning they may be refilled.

⦁ UK High Court cases: Shein sued Temu over copied listing photos; Temu countered with antitrust claims worth £4.2M. Trial expected by end of 2026.

Findings / Status :

⦁ Shein alleges Temu runs a “fraud marketplace” benefiting from copied content, stolen secrets, counterfeit products.

⦁ Temu describes Shein’s tactics as aggressive market control—threats, exclusivity demands, supplier coercion.

⦁ Some regional legal filings dismissed or paused; however, major UK litigation is ongoing and others may resume.

Suggestions :

⦁ Fastfashion platforms should respect IP: avoid copying designs or using others’ images.

⦁ Sellers should not impersonate competitors online or push misleading ads.

⦁ Companies must avoid heavy-handed tactics: coercing suppliers, filing abusive takedown notices.

⦁ Legal strategy should align prosecution with local courts (e.g. U.S. vs U.K.) based on specific allegations.

Judgment / Status :

⦁ U.S. cases (2023/2024): Filed by both sides; many dismissed or settled without prejudice—currently inactive.

⦁ UK case : Active, headed for trial in late 2026.

⦁ EU scrutiny : Temu under investigation for consumer protection violations, but that’s separate from Shein’s suit.