Consumer class action against Costco alleging misrepresentations about its ethical sourcing practices

Larkins Vacura Kayser represents two Costco members who have filed a putative class action against the company for misrepresentations regarding its sourcing practices. The complaint alleges that Costco commits to prohibit child labor and forced labor in its supply chains and to maintain visibility over its supply chains to enforce those prohibitions, but does not actually do so. The lawsuit seeks relief under Oregon’s Unlawful Trade Practices Act of $200 per class member.

At the center of the case is Kirkland Signature, the private-label brand that has become one of the most successful consumer brands in America and a major reason many shoppers choose Costco over other retailers. Costco tells members that Kirkland products are created through a process that gives the company direct insight into sourcing, labor conditions, and product development. The lawsuit alleges that many Kirkland products are instead manufactured by outside companies whose identities—and labor scandals—Costco works to keep hidden from consumers.

The complaint identifies the companies alleged to manufacture certain Kirkland products and alleges that some suppliers have been linked through disclosures and independent investigations to labor abuses and supply-chain problems, even as Costco continued marketing its memberships and Kirkland products as ethically sourced and closely monitored.

In explaining her motivations for bringing the lawsuit, Plaintiff Leslie Brunker said, “I have been a Costco member for many years, thinking that their purchasing practices were ethical, as they say they are. I found out that some of the products that Costco sells are sourced from companies that use child labor and other unethical labor practices. I have discontinued my membership in protest not only of these practices but because of Costco lying to its members about them.”

Plaintiffs seek to represent a class of Oregon Costco members, defined as all persons who, within the year prior to the date of filing of the action:

• purchased or renewed a Costco membership at a warehouse in Oregon, purchased or renewed a Costco membership online using an Oregon address,
• purchased or renewed a Costco membership and shopped at a warehouse in Oregon, or
• purchased or renewed a Costco membership and shipped a product to an Oregon address.

Certain people related to Costco and the court hearing the case are excluded from the class.

Larkins Vacura Kayser attorneys Tom Bode, John Rake, and Brian de Haan represent the plaintiffs. Larkins Vacura Kayser’s consumer protection and class action experience means that class members’ claims are in good hands.

At this time, prospective class members do not need to do anything to protect their rights.

Oregon Costco members with questions about this case may contact paralegal Chrissy Ortez, cortez@lvklaw.com.

Case materials:

• Class Complaint (filed October 1, 2026)
• Press Release