Shein and Temu Spar Again: Temu Files Fresh Lawsuit, Alleging 'Mafia-Style Tactics'

December 18, 2023 : The gloves are again off in the heated battle between fast-fashion giants Shein and Temu. A new lawsuit filed by Temu accuses its rival of employing “mafia-style intimidation” tactics to stifle competition. These explosive allegations mark the latest chapter in a bitter legal fight that has been simmering for months.

Temu’s claims center around two key points:

• Supplier Pressure: The lawsuit alleges that Shein has pressured manufacturers working with Temu to stop supplying the up-and-coming competitor. This alleged coercion, described as “mafia-style intimidation,” could potentially cripple Temu’s ability to source products and compete effectively.
• Copyright Disputes: The lawsuit also accuses Shein of filing “baseless” copyright infringement lawsuits against Temu, aiming to harass and disrupt its operations. Temu claims these lawsuits are not grounded in legitimate concerns but are a strategic weapon to hamper its growth.

Shein, unsurprisingly, vehemently denies these accusations. The company has asserted that its business practices are ethical and that the copyright lawsuits are justified to protect its intellectual property.

This legal tussle, playing out in the courts and across social media, underscores the fierce competition within the fast-fashion industry. Both companies are vying for a share of a lucrative market and are fearless in employing aggressive tactics to gain an edge.

The implications of this ongoing battle extend beyond the two brands. The alleged practices raise concerns about fair competition and ethical business conduct within the industry. If Temu’s claims are substantiated, it could set a dangerous precedent and have wider ramifications for suppliers, consumers, and the overall business environment.

The legal battle will likely continue as both sides dig in their heels. The outcome will not only determine the fate of these two companies but also send a signal about the acceptable boundaries of competition within the fast-fashion landscape.