Customer Sues Costco, Accuses Wholesaler of Passing Along Tariff Costs to Shoppers

Taxes | March 14, 2026

Customer Sues Costco, Accuses Wholesaler of Passing Along Tariff Costs to Shoppers

The lawsuit, which was filed by Illinois resident Matthew Stockov and involves more than 100 class members, accuses Costco of increasing prices on items due to the tariffs that have since been deemed illegal by the U.S. Supreme Court.

By Matt Durr
mlive.com
(TNS)

A Costco customer is suing the warehouse chain in relation to ongoing issues surrounding tariffs imposed by President Donald Trump. According to Retail Dive, the class-action lawsuit was filed by Illinois resident Matthew Stockov and involves more than 100 class members.

The lawsuit accuses Costco of increasing prices on items due to the tariffs that have since been deemed illegal by the Supreme Court. Stockov claims he purchased several items that were “inflated by Costco’s pass-through of IEEPA (International Emergency Economic Powers Act) tariff costs,” according to the lawsuit.

The lawsuit also takes issue with recent statements made by Costco on how it plans to handle any potential tariff refunds from the government. While it’s unclear how or when the company would receive any money, Costco said it plans on returning the money to customers through “lower prices and better values.”

“Costco’s simultaneous recoupment of tariff costs from consumers through elevated pricing and from the government through court-ordered tariff refunds constitutes unjust enrichment at the expense of the classes,” reads a portion of the lawsuit. “Plaintiffs and the classes are entitled to restitution of the tariff overcharges they paid, or a proportionate share of any tariff refunds Costco recovers, together with interest, reasonable attorneys’ fees and costs.”

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Numerous lawsuits have been filed against companies accused of passing along tariff costs following the court’s decision. However, how or when the money could be paid back to companies and consumers is unclear. According to Luis Abad, principal in the trade and customs group at KPMG, these companies must weigh several options when determining how to handle any returned tariff funds.

Abad said companies must review any tariff-sharing arrangements they entered into with vendors, suppliers or customers to determine whether they are required to share any returned funds.

“Thousands of companies—including Costco—have filed lawsuits in the [Court of International Trade], actively seeking refunds for every cent of their IEEPA tariff bill. If they succeed, they will not be obligated to return money to their customers under federal trade law,” reads part of Stockov’s lawsuit. “This lawsuit seeks to prevent Costco, the third-largest retailer in the world, from double recovery.”

Costco has not publicly commented on the lawsuit.

Photo credit: Marcus Reubenstein/Unsplash

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©2026 Advance Local Media LLC. Visit mlive.com. Distributed by Tribune Content Agency LLC.

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