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Sunday, June 16, 2024

Lululemon Wins Peloton Lawsuit Dismissal

  • Lululemon sent Peloton a cease-and-desist letter in November, informing Peloton of their intention to file suit.
  • Peloton filed a lawsuit weeks later that sought to protect a new athletic wear line from trademark complaints by Lululemon.

Peloton has filed another loss — this time in the courtroom.

Lululemon won dismissal of a Peloton lawsuit that sought to protect a new athletic wear line from the former’s trademark complaints.

In November, Lululemon wrote in a cease-and-desist letter that the connected fitness company infringed on patents for apparel design. The judge stated that the letter informed “Peloton of the intention to file suit in federal court” and “specified the causes of actions Lululemon would pursue.”

Lululemon provided a deadline of Nov. 19, 2021, “by which Peloton needed to comply with its demands before Lululemon brought its claims to court.” The letter directed Peloton to stop selling specific apparel products.

Thirteen days after the letter was sent, Peloton sued Lululemon, requesting the court claim there were no trademark violations.

  • Peloton said it had been selling apparel since 2014 and only started its clothing line after an “amicable” termination of the companies’ co-branding relationship last year.
  • Lululemon sued in a California court five days later for infringement of six design patents, but the case was paused in March due to the New York case.

The federal court claimed Peloton’s lawsuit “is clearly an anticipatory action that warrants dismissal.”

Court Callings

Earlier this month, a U.S. International Trade Commission judge sided with DISH Network in a case that alleged Lululemon and Peloton infringed on streaming technology patents. 

Lululemon reported $1.87 billion in Q2 revenue, and Peloton posted $678.7 million in Q4 revenue.

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