Costco Just Settled a Major Class Action Lawsuit—and You Could Get More Than $500 Back
Costco Just Settled a Major Class Action Lawsuit—and You Could Get More Than $500 Back
Deanne RevelSat, July 25, 2026 at 6:00 PM UTC
0
Credit: Allrecipes / Costco
Costco has already been in hot water this year, amid multiple lawsuits surrounding its signature rotisserie chicken. Now, the warehouse is at the center of another class action lawsuit with potential payouts that could cover the cost of your yearly membership.
And you may be eligible for a payout even if you’re not a Costco member.
Costco Reaches Settlement in Class Action Lawsuit Over Email Marketing Concerns
Costco has just reached a proposed $14 million settlement in the “Michael Aaland v. Costco Wholesale Corporation” class action lawsuit, which was filed last year in the company’s home state of Washington. The lawsuit alleges that Costco misled certain customers and “violated Washington law” by sending marketing emails with “false or misleading subject lines” to Washington residents.
These allegations include violating multiple state laws, such as Washington’s Commercial Electronic Mail Act (CEMA) and the Washington Consumer Protection Act (CPA). In an email sent to potential settlement class members, it was stated that Costco has been accused of sending emails that “advertised temporary or time-limited promotions to consumers, when in fact Costco knew it was going to extend those promotions past the stated time frame.” A couple of email titles were highlighted in the court-approved notice, such as “Today is the last day to access Member-Only Saving” and “Hot Buys available for 5 Days Only.”
Costco denies the claims, but the warehouse chain has agreed to a settlement, which is still awaiting court approval. A final hearing is scheduled for October 2, 2026, and, under CEMA law, eligible recipients who file a claim by the deadline could receive $500 for “each email message sent in violation.”
Advertisement
How To File a Claim in the Costco Class Action Lawsuit
You don’t have to be a Costco member to be eligible for this potential payout, but you do need to have been a Washington state resident at the time these alleged emails were sent, which was from June 2, 2021 to July 7, 2026. The email sender was either “from or on behalf of Costco.” Additionally, you have to have received the email “at an email address appearing in Costco’s data.”
So, if you’re a Washington resident and you’ve been receiving email marketing from Costco this year—or you were a resident as far back as 2021—you may be eligible for up to $500 for each email. But to receive a potential payout, you must file a claim by Augugust 24, 2026.
You can file a claim on the class action website, or you can print the form and submit it by mail. Potential payments can be distributed via Paypal, Venmo, Zelle, or a mailed check.
Additionally, according to the court-approved notice, if your claim is approved and the settlement is approved this fall at the hearing, “you give up your right to bring your own lawsuit about the issues in this lawsuit.” For questions about the lawsuit or filing a claim, you can call the Settlement Administrator at 888-808-6247 or the Class Counsel at 206-746-2337.
on Allrecipes
Source: “AOL Money”
