Shein Lawsuit Accuses Fast-Fashion Co. of Stealing Creators’ Work for Its Own Products

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Shein faces a proposed class action lawsuit that alleges the global fashion and lifestyle brand has infringed upon countless copyrights by scouring the internet in search of popular works created by artists and then misappropriating those works to make and sell as its own products. 

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The 23-page Shein copyright infringement lawsuit says the Chinese company, the world’s largest fashion retailer, has for years utilized algorithms, artificial intelligence and related “computerized monitoring systems” to track consumer trends and catch trending and viral images and designs across the web and social media. Shein then steals those images and designs, which its systems “predict[] will be commercially successful,” from the works’ owners, often “innocent creators who support themselves through creative work,” the suit alleges. 

Though Shein purports to offer thousands of new products every day, the company “does not create many of its products” and “certainly does not design thousands daily,” the case claims, accusing the e-commerce giant of running an “industrial-scale, systematic” digital copyright infringement scheme at the expense of countless designers, artists and creators. 

According to the suit, Shein’s business model relies upon the mass production of thousands of new items per day. To produce this many products, Shein’s algorithmic-based design system transmits, in many instances, “identical copies of copyrighted works” right to its own factories for production, with no human interaction or compliance measures to ensure designs are not stolen, the filing relays. Moreover, Shein reinforces its “electronic data-mining system” with online research and industrial-scale surveillance of retail competitors,” the case alleges. 

“Widespread copyright infringement is baked into the business,” the complaint says. 

The suit goes on to allege Shein’s “industrial copying methods” have invaded product categories beyond fashion and seeped into electronics, home goods and more. In some cases, the lawsuit claims, Shein illegally infringes by copying entire items like jewelry or paintings and then “sell[ing] the forgery for a fraction of the price of the authentic product.” 

Other times, Shein will steal a design and then “slap[] it on a different product,” such as when the company uses screen prints of an artist’s work on cheap clothing, the complaint shares. 

The case estimates that Shein has infringed upon copyrights owned by likely thousands or tens of thousands of creators nationwide and has continued to do so even after being notified that it is selling infringing products. 

“Rather than respect designers’ intellectual property rights, Shein treats the costs of litigating and settling copyright infringement claims as a necessary business expense, which it builds into its financial models,” the complaint states. “Defendants inevitably settle infringement claims without a trial.” 

However, when Shein steals the work of smaller, independent designers and artists, it is “highly likely” that the infringement will either go unnoticed or will not lead to a lawsuit given the prohibitive costs of individual litigation, the case adds. 

The Shein lawsuit looks to cover all persons or entities in the United States who, at any time since April 5, 2021, owned a registered United States copyright in a work that the Shein defendants reproduced, distributed or displayed after the effective date of registration. 

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