Gyani v. Lululemon USA Inc.

CourtDistrict Court, S.D. Florida
DecidedFebruary 19, 2025
Docket1:24-cv-22651
StatusUnknown

This text of Gyani v. Lululemon USA Inc. (Gyani v. Lululemon USA Inc.) is published on Counsel Stack Legal Research, covering District Court, S.D. Florida primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Gyani v. Lululemon USA Inc., (S.D. Fla. 2025).

Opinion

UNITED STATES DISTRICT COURT SOUTHERN DISTRICT OF FLORIDA

Case No. 24-cv-22651-BLOOM/Elfenbein

AMANDEEP GYANI, ABBY UTAL, HECTOR ACOSTA, DEBORAH TOMAZ, ROYA SAYIED, PAULA MARTINEZ, and ALEXANDRIA REESE, individually and on behalf of all other similarly situated,

Plaintiff,

v.

LULULEMON ATHLETICA INC. & LULULEMON USA INC.,

Defendants. ________________________________/

ORDER ON MOTION TO DISMISS

THIS CAUSE is before the Court upon Defendant lululemon athletica inc., and lululemon usa inc. (collectively “Lululemon” or “Defendants”) Motion to Dismiss the First Amended Complaint (“Motion”), ECF No. [29]. Plaintiffs Amandeep Gyani, Abby Utal, Hector Acosta, Deborah Tomaz, Roya Sayied, Paula Martinez, and Alexandria Reese, individually and on behalf of all others similarly situated (collectively “Plaintiffs”), filed a Response in Opposition, (“Response”), ECF No. [46], to which Defendants filed a Reply, ECF No. [47]. The Court has carefully reviewed the Motion, the record in this case, the applicable law, and is otherwise fully advised. For the reasons discussed below, the Motion is granted. I. BACKGROUND Lululemon is one of the world’s largest and most popular “athleisure” fashion brands. ECF No. [20], at ¶ 2. In October 2020, Lululemon announced its “Be Planet” marketing campaign as part of “the Company’s long-term strategy to become a more sustainable and equitable business, minimize its environmental impact, and accelerate positive change both internally and externally.” Id. at ¶ 5, 58 (emphasis omitted). The Be Planet campaign included the following commitments by Lululemon: • 100% of the Company’s products will include sustainable materials and end-of-use solutions by 2030;

• Ensure at least 75% of its products contain sustainable materials by 2025;

• Offer guests new options to extend the life of its products by providing resell, repair, and/or recycle options by 2025;

• Source 100% renewable electricity to power the Company’s operations by 2021 and reduce carbon emissions across its global supply chain by 60% per unit of value added, meeting its Science-based Targets by 2030; and

• Reduce its freshwater use intensity by 50% to manufacture its products and reduce single-use plastic packaging by 50% by 2025.

Id. at ¶ 5, 58. As part of its Be Planet campaign, Plaintiffs allege that Lululemon made a number of direct environmental claims about the company’s products and actions that are false, deceptive, and/or misleading. Id. at ¶ 75. For example, in its 2020 Impact Summary, Lululemon states, “[o]ur lives are one with the health of the planet. Our products and actions avoid environmental harm and contribute to restoring a healthy planet.” Id. at ¶ 76. Further, on its website, Lululemon states, “[b]y adopting and evolving practices and mindful solutions, we enhance the products we offer and contribute to restoring the environment.” Id. at ¶ 77 (emphasis omitted); see also id. at ¶ 78- 79. Lululemon pursued its extensive Be Planet marketing campaign through express and implied statements and images on its website, throughout its hundreds of retail stores, and elsewhere. Id. at ¶ 7. Plaintiffs further allege that Lululemon makes false, deceptive, and misleading representations that overemphasize the significance of certain environmental initiatives that provide only minor improvements or benefits relative to the company’s overall climate and environmental footprint. Id. at ¶ 86. For example, on its website, Lululemon introduces its purported “2030 science-based climate targets,” which include “achieving 60% absolute reduction of greenhouse gas (GHG) emissions in all owned and operated facilities (Scope 1 and 2)” and

“60% intensity reduction of GHG emissions across [Lululemon’s] global supply chain.” Id. at ¶ 97; see also id. at ¶ 98-101. Plaintiffs also allege that Lululemon’s marketing campaign makes deceptive and misleading claims about the company’s vision, goals, and commitments. Id. at ¶ 107. On its website, Lululemon states, “[w]e’re committed to making products that are better in every way- for . . . the planet.” Id. at ¶ 109 (emphasis omitted). Plaintiffs assert that Lululemon is responsible for significant GHG gas emissions, landfill waste, and release of microplastics into the environment. Id. at ¶ 10. Critically, Lululemon’s GHG emissions have more than doubled since the start of the Be Planet campaign in 2020, as confirmed by Lululemon’s own reporting. Id. at ¶ 11, 68, 84, 110. The detrimental impact of Lululemon’s products and actions on the environment

is made worse by the company’s use of air and marine freight to transport its products, despite the fact that air freight generates significantly more greenhouse gas emissions than marine shipping. Id. at ¶ 70. Further, Lululemon’s products most heavily rely on polyester and nylon – materials that are products from fossil fuels. Id. at ¶ 84, 111. Lululemon’s supply chain operations also used more than 29 billion liters of freshwater in 2022. Finally, Plaintiffs allege that Lululemon is not even on track to meet its own targets. Id. at ¶ 105. Plaintiffs claim they were exposed to the deceptive and misleading messages in Lululemon’s marketing campaign and believed that Lululemon was an environmentally friendly company with a minimal environmental footprint that sold sustainably produced products, and that the company’s actions and products contribute to improving the environment and the restoration of a healthy planet. Id. at ¶ 20-27. Plaintiffs relied on Lululemon’s deceptive and misleading marketing messages in deciding to purchase its products. Id. Plaintiffs then purchased Lululemon’s products in reliance on its deceptive and misleading marketing messages at various times at

Lululemon’s retail stores. Id. Plaintiffs Amandeep Gyani, Abby Utal, Deborah Tomaz, Paula Martinez, Hector Acosta, and Julez Blake (collectively “the Florida Plaintiffs”) made such purchases at Lululemon retail stores, including Lululemon’s locations in Miami Beach, Boca Raton, Brickell, Aventura, and West Palm Beach. Id. at ¶ 20-25. Alexandria Reese (“New York Plaintiff”) made such purchases at Lululemon retail stores, including Lululemon’s location in Hoboken, New Jersey. Id. at ¶ 26. Plaintiff Roya Sayied (“California Plaintiff”) made such purchases at Lululemon retail stores, including Lululemon’s locations in Santa Monica and San Francisco. Id. at ¶ 27. The Amended Complaint asserts Five Counts: (1) Violation of the Florida Deceptive and Unfair Trade Practices Act Under Florida Statutes § 501.201; (2) Violation of the New York

General Law § 349; (3) Violation of the California Legal Remedies Act Under the California Civil Code § 1770; (4) Violation of the California Unfair Competition Law Under the California Business and Professional Code § 17200; and (5) Unjust Enrichment. ECF No. [20]. Plaintiffs seek money damages and injunctive relief, together with attorneys’ fees and costs, restitution, and disgorgement. In its Motion, Lululemon contends that Plaintiffs lack Article III standing, and the Court lacks personal jurisdiction over the nonresident Plaintiffs’ state-law claims. ECF No. [29]; ECF No. [47]. Moreover, Lululemon argues that Plaintiffs fail to state a plausible claim for relief. Id. Plaintiffs respond that they suffered an injury in fact and have standing to bring their claims. ECF No. [46]. Further, Plaintiffs assert that the Court can adjudicate the nonresident Plaintiffs’ claims. Id. II. LEGAL STANDARD A. Motion to Dismiss To survive a motion to dismiss under Federal Rule of Civil Procedure 12(b)(6), “a complaint must contain sufficient factual matter, accepted as true, to ‘state a claim to relief that is

plausible on its face.’” Ashcroft v.

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