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Lululemon is accusing Costco of ripping off its chinos and yoga jackets

1. Lululemon filed a lawsuit against Costco for copying designs. 2. Accusations include infringement on yoga jackets and chinos. 3. Lululemon seeks damages and cessation of similar product sales. 4. Costco's products are allegedly 'confusingly similar' to Lululemon's. 5. Past lawsuits indicate ongoing design protection efforts by Lululemon.

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FAQ

Why Neutral?

The lawsuit introduces potential financial liabilities for Costco, but the overall impact remains uncertain as the litigation outcome is unclear.

How important is it?

The lawsuit raises concerns about Costco's product strategies, which could influence investor perceptions and stock performance.

Why Short Term?

The lawsuit's proceedings may cause immediate media attention and investor concern over Costco’s brand management.

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