Costco Wholesale has agreed to pay $14 million to settle a class-action lawsuit accusing the retailer of sending deceptive promotional emails to customers in Washington state.
The lawsuit, filed in August 2025, claimed Costco violated Washington's Commercial Electronic Mail Act and Consumer Protection Act by advertising limited-time offers it allegedly planned to extend beyond the stated expiration dates.
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Eligibility and Payouts
Washington state residents who received promotional emails from Costco between June 2, 2021, and July 2026 may be eligible for a payout.
Notices will be sent to affected subscribers via email.
Individual payout amounts are not yet determined, as they depend on the number of valid claims filed after deducting attorney fees and legal costs, according to the official settlement website.
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Claimants must submit their claim forms by August 24, 2026, through the Washington Commercial Email Settlement website.
Payments will be made via PayPal, Venmo, or paper check, pending a final approval hearing on October 2, 2026.
Costco denied any wrongdoing, stating in court documents that the lawsuit is not well grounded in law or fact.
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The company maintains it complied with all legal requirements regarding its promotional practices.