Home Estate Planning Shein continues to face copycat claims as it plots US listing

Shein continues to face copycat claims as it plots US listing

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Fast fashion giant Shein has reportedly been accused of breaching its own legal settlement and continuing to sell copycat products despite saying it would stop. 

According to reports in the Financial Times, the total number of cases filed against the group accusing it of copyright is now close to 100. 

“At least 93 different designers and companies have filed lawsuits in US federal courts against Shein for alleged copyright or trademark infringement since 2018”, the outlet said. 

The Chinese retail behemoth has repeatedly denied these accusations and said it has systems in place to detect infringements. 

But the growing number of claims could spark concerns for potential investors as it gears up for a public listing in the US. 

Andrew Gerber, an intellectual property lawyer at Kushnirsky Gerber who has been involved in more than a dozen lawsuits against the company told the outlet: “Many of [the cases] involve flagrant recidivism. 

“Shein knows what it’s doing. They use unscrupulous suppliers and continue working with them.”

However, Shein, said in defence it “takes all claims of infringement seriously” and was “continually investing in its review process”.

Reports come as the business has been trying to get a greater foothold in the western retail market. 

The brand has been in the online shopping scene since 2008 but has only really come into the mainstream over the last three years, partially thanks to young women vlogging their budget purchases on TikTok. 

It is expected that Shein’s chokehold on shoppers will get even greater. Last year the company made its first UK acquisition, taking the ailing brand Missguided out of Frasers Group’s hands.

City A.M has contacted Shein for a comment. 

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