economy
February 10, 2026
Estée Lauder sues Walmart alleging 'despicable' sale of counterfeit beauty products
The counterfeits were sold by third-party sellers on Walmart's marketplace but Estee Lauder alleged the retailer played an active role facilitating those sales.
TL;DR
- Estée Lauder is suing Walmart for allegedly selling counterfeit beauty products on its website.
- The lawsuit cites counterfeit items using Estée Lauder, Le Labo, La Mer, Clinique, Aveda, and Tom Ford trademarks.
- Estée Lauder claims Walmart actively facilitated sales by third-party sellers on its online marketplace.
- The company alleges Walmart profited from these sales and used trademarked names to drive traffic.
- The lawsuit follows a CNBC investigation into counterfeit beauty products and fraud on Walmart.com.
- Estée Lauder describes Walmart's conduct as 'extreme, outrageous, fraudulent … despicable and harmful.'
- Walmart's online marketplace is a key part of its strategy for profit growth and competing with Amazon.
- The Shop Safe Act, designed to curb the sale of fakes online, has faced opposition from major online marketplaces like Walmart.
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