Hagens Berman Files Consumer Class Action Accusing Lululemon of Unlawfully Passing Tariff Costs to Consumers
SEATTLE – Hagens Berman, along with its co-counsel The Miller Law Firm, today filed a consumer-protection lawsuit alleging Lululemon collected hundreds of millions of dollars from customers through price increases tied to since-invalidated tariffs.
The lawsuit, filed June 30, 2026, in the U.S. District Court for the Western District of Washington, alleges that beginning in February 2025, when the Trump administration imposed tariffs on imported goods under the International Emergency Economic Powers Act (IEEPA), Lululemon raised prices on imported products sold directly to consumers.
After the Supreme Court invalidated the IEEPA tariffs, Lululemon filed suit in the U.S. Court of International Trade to recover the tariffs it had paid. According to the lawsuit, Lululemon has made no commitment to return any portion of those funds to the consumers who ultimately bore the costs.
“Lululemon admitted publicly that tariffs drove up its costs and forced the company to raise prices,” said Steve Berman, managing partner of Hagens Berman. “Now that the tariffs have been ruled unlawful, Lululemon stands to recover millions – money that came from consumers and belongs to them.”
The Ripple Effects of Trump's Tariffs
On Feb. 4, 2025, the Trump Administration imposed a 10% tariff on Chinese imports under the IEEPA. The following month, two executive orders added 25% tariffs on goods from Canada and Mexico. By April 2025, tariffs extended to most other U.S. trading partners. The IEEPA tariffs remained in effect until Feb. 20, 2026, when the U.S. Supreme Court declared them invalid.
Lululemon imports a significant share of its products from countries subject to the tariffs, including Vietnam, Cambodia, China, Indonesia and Canada. Public reporting estimated the tariffs would reduce Lululemon’s gross profit by approximately $240 million. The lawsuit states that both Lululemon’s CFO and CEO publicly stated that the company planned to raise prices in response to the tariffs – and did so nationwide.
Payback Belongs to Consumers
Tariffs are paid by the importer of record, the party legally responsible for the goods at the time they enter the United States. Regardless of who ultimately bears the economic burden – consumers, according to the lawsuit – federal law grants the right to recover unlawfully collected tariffs exclusively to the importer of record. As a result, consumers are left without compensation for the overcharges they paid unless the importer passes the refund along.
Other retailers in Lululemon’s position have established tariff refund programs to compensate customers who paid higher prices due to tariff costs. Lululemon could have done the same but chose not to.
The lawsuit brings claims for unjust enrichment and violations of state consumer-protection laws, and seeks to recover losses incurred by Lululemon customers as a result of the retailer’s price increases.
Read more about the lawsuit against Lululemon regarding tariff costs pushed onto consumers.
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About Hagens Berman
Hagens Berman is a global plaintiffs’ rights complex litigation law firm with a tenacious drive for achieving real results for those harmed by corporate negligence and fraud. Since its founding in 1993, the firm’s determination has earned it numerous national accolades, awards and titles of “Most Feared Plaintiff’s Firm,” MVPs and Trailblazers of class-action law. More about the law firm and its successes can be found at hbsslaw.com. Follow the firm for updates and news at @ClassActionLaw.
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