Temu files lawsuits against ‘cybersquatters’ in US e-commerce market as it seeks to end legal fights with rival Shein

Fast-growing online marketplace Temu, owned by Shanghai-based PDD Holdings, has filed a lawsuit against 20 websites in the United States for cybersquatting and offering unauthorised coupon codes, while the e-commerce app also looks to end its legal fights with major rival Shein.

The Chinese budget shopping platform has targeted website domains that imitate Temu, such as “temuapp.biz” and “temucouponcodes.com”, as well as offering coupon codes without authorisation, according to a complaint filed with the US District Court for the Northern District of Illinois on Monday.

Temu accused the sites of “trademark infringement, unfair competition and false designation of origin”, and promoting phishing and online fraud schemes. The company is seeking compensation for damages or US$100,000 for each use of the counterfeited use of Temu’s trademark. Temu has also asked the court to issue temporary bans on the sites accused of infringements during the course of the suit.

“Fraudsters are posing as Temu on fake apps and websites to scam consumers. This not only damages our reputation but also hurts consumers who have been deceived into believing that they were engaging with genuine Temu platforms,” a Temu spokesperson said on Wednesday.

“We will take swift legal action to defend our rights and shield our customers from such malicious and unlawful activities.”

Temu’s lawsuits come amid a rapid rise after it entered the US e-commerce market last September, before its expansion into Europe, Asia and the Middle East.