Reading: Costco Washington Email Lawsuit Settlement could pay eligible shoppers

Costco Washington Email Lawsuit Settlement could pay eligible shoppers

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Washington shoppers who received certain Costco promotional emails over the past five years may be eligible for cash under a proposed $14 million class action settlement now moving toward final approval. The deal covers only Washington residents who got qualifying commercial emails from Costco, or on its behalf, between June 2, 2021, and July 7, 2026.

Claims are open now, and the timing matters because the deadline is Aug. 24, 2026. A final approval hearing is scheduled for Oct. 2, 2026, and payments would follow only if the court approves the deal and any appeals are resolved.

The settlement grew out of a lawsuit filed in King County Superior Court in 2025. Plaintiffs said Costco sent emails with false or misleading subject lines that pushed limited-time sales or last-day offers, including examples such as “Today is the last day to access Member-Only Saving” and “Hot Buys available for 5 Days Only.” The claims accused the company of violating Washington's Commercial Electronic Mail Act and Consumer Protection Act.

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Costco denied the allegations and any wrongdoing, but agreed to settle to avoid the cost, burden and uncertainty of more litigation. That is the divide at the center of the case: the company is paying into a $14 million fund without admitting it broke the law, while shoppers who think they were targeted by the emails now have a chance to seek money back.

Eligible class members who submit a valid claim do not need to provide proof of purchase or any additional documentation. Payments will be made on a pro rata basis from the settlement fund, which means the final amount for each claimant will depend on how many valid claims are filed. With the class limited to Washington residents who received qualifying promotional emails, the size of the checks will turn on participation, not on a fixed per-person award.

The broader question now is not whether the emails triggered a lawsuit; they did. It is how many Washington residents will file claims before the deadline and how much of the fund will remain after those claims are counted. For shoppers who opened the emails and moved on, this is a rare chance to turn an unwanted promotion into a payment.

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