Lululemon says Peloton made improper end-run in intellectual property fight

The logo for Lululemon Athletica is seen at a store in Manhattan, New York
A Lululemon Athletica store in Manhattan, New York. REUTERS/Andrew Kelly
  • Lululemon said Peloton misled it, filed surprise complaint
  • Lawsuit should be dismissed based on its 'anticipatory nature,' Lululemon said

(Reuters) - Lululemon asked a Manhattan federal court Friday to toss a lawsuit in an intellectual-property dispute over Peloton's clothing line, arguing Peloton improperly raced to the court to head off infringement claims by Lululemon in Los Angeles.

The Canadian athletic apparel maker said Peloton used the extra time it was given to respond to a cease-and-desist letter to instead file the lawsuit, which "served only one purpose -- to deprive Lululemon of its choice of venue."

Lululemon said it supplied Peloton-branded clothing from 2016 until Peloton started its own apparel line last year. It told Peloton in November that its bras and leggings infringed Lululemon's design patents and trademark rights.

Lululemon allegedly warned Peloton it would sue if Peloton didn't stop infringing by Nov. 19 but extended the deadline for a response to Nov. 24 at Peloton's request. New York City-based Peloton sued in Manhattan that day, asking the court to rule that its bras and leggings didn't infringe and that Lululemon's designs don't merit IP protection.

Lululemon sued for infringement in Los Angeles five days later.

Lululemon said Peloton's lawyers "misled Lululemon's counsel so that Peloton could select its preferred venue."

It asked the Manhattan court to dismiss Peloton's case because of its "anticipatory nature" and the company's "misleading pre-litigation correspondence."

Lululemon, Peloton, and their attorneys didn't immediately respond to a request for comment.

The case is Peloton Interactive Inc v. Lululemon Athletica Canada Inc, U.S. District Court for the Southern District of New York, No. 1:21-cv-10071.

For Lululemon: Craig Summers and Ali Razai of Knobbe Martens Olson & Bear

For Peloton: Steven Feldman and Matthew Walch of Latham & Watkins

Read more:

Peloton sues Lululemon in dispute over new apparel line

Lululemon fires back at Peloton lawsuit with its own, calls rival a 'copycat'

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Blake Brittain reports on intellectual property law, including patents, trademarks, copyrights and trade secrets, for Reuters Legal. He has previously written for Bloomberg Law and Thomson Reuters Practical Law and practiced as an attorney. Contact: 12029385713