$14M Costco Settlement Resolves Class Action Lawsuit Over Promo Emails With Allegedly Misleading Subject Lines

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Costco has agreed to a $14,000,000 settlement to resolve a class action lawsuit that alleged the wholesaler sent Washington consumers commercial emails with false or misleading subject lines.

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The $14 million Costco class action settlement received preliminary approval from the court on July 2, 2026. The deal covers anyone who, at any time from June 2, 2021 through July 7, 2026, received a commercial email transmitted by Costco Wholesale Corporation, or someone acting on its behalf, and who was a Washington resident at the time of receipt of such email.

The court-approved website for the Costco class action settlement can be found at WashingtonCommercialEmailSettlement.com.

Costco settlement class members who submit a timely, valid claim form can receive a pro rata cash payment, with no proof required.

The final amount of each class member’s payout will depend on the total number of valid claims filed, among other factors.

To submit a Costco settlement claim form online, class members can head to this page and select whether they have the claim ID and PIN found on their copy of the settlement notice. Alternatively, class members can download a PDF claim form to print, fill out, and return by mail to the settlement administrator.

All Costco settlement claim forms must be submitted online or postmarked by August 24, 2026.

The court will decide whether to grant the Costco settlement final approval following a hearing on October 2, 2026. Compensation will begin to be distributed to class members only after final approval has been granted and any appeals have been resolved.

The Costco class action lawsuit alleged that the grocery and home goods wholesaler sent Washington consumers promotional emails containing false or misleading subject lines advertising temporary or limited-time discounts, allegedly in violation of the state’s Commercial Electronic Mail Act and Consumer Protection Act.

Examples of Costco emails at issue in the lawsuit include messages with the subject lines “Today is the last day to access Member-Only Saving” and “Hot Buys available for 5 days Only,” the settlement website states.

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