https://www.thefashionlaw.com/7-eleven-accused-of-selling-fake-labubu-figures-in-new-lawsuit/
https://archive.is/Gx9a3
* Pop Mart has filed a lawsuit against 7-Eleven, Inc. and eight California franchisees, accusing them of selling counterfeit LABUBU toys.
* In its complaint, Pop Mark sets out claims of trademark, copyright, and trade dress infringement for LABUBU’s distinctive features.
* With U.S. sales exceeding $34 million in 2024 and global revenue topping $1.8 billion, Pop Mart is framing LABUBU as a cultural asset.
LABUBU’s meteoric rise is forcing Pop Mart to face off against a wave of counterfeits targeting the wide-eyed, bunny-eared, nine-toothed toy. Case in point: the Beijing-based toy juggernaut has filed a new lawsuit against 7-Eleven, Inc. and eight of its California franchisees, accusing them of selling fake versions of its cult-favorite LABUBU figures. The newly-filed complaint underscores the transformation of LABUBU from a niche designer toy into a cultural phenomenon now facing the same threats as luxury fashion and in-demand sportswear brands.
According to the complaint that it filed in the U.S. District Court for the Central District of California on July 18, as first reported by TFL, Pop Mart claims that 7-Eleven and eight of its California franchisees have contributed to the flood of counterfeit LABUBU toys infiltrating the market by selling fake LABUBU figures that are “virtually indistinguishable” from the real thing. The copycat toys mimic the LABUBU design and product packaging, which features “detailed visual renderings of the LABUBU [dolls] on both the outer box and the inner bag,” per Pop Mart, but are of “inferior quality.”
Consumers have come to associate this design exclusively with Pop Mart thanks to years of marketing, influencer endorsements, and viral social media campaigns, the company claims. Additionally, Pop Mart asserts that it “has invested substantial resources in advertising and promoting products bearing the LABUBU Trade Dress, including over $2 million in advertising expenditures and over 4.8 million units sold nationwide since the beginning of 2024.”
In further support of its trade dress rights, Pop Mart highlights its U.S. sales, which topped $34 million in 2024, and notes the role of influencer adoption and organic hype in creating a “secondary meaning” around LABUBU’s appearance. Its financial disclosures underscore its rapid growth: the company reported over $1.8 billion in revenue in 2024, with THE MONSTERS line, which includes LABUBU, generating more than $420 million globally and $34 million in U.S. sales. A significant driver of this growth was a surge in plush toy sales, which the complaint notes increased more than 1,200 percent year-over-year.
At the same time, Pop Mart also points to more than two dozen U.S. copyright registrations that cover LABUBU-centric artwork, packaging, and designs, such as Exciting Macaron and Lazy Yoga.
With the foregoing in mind, Pop Mart sets out claims of federal trademark counterfeiting, trade dress infringement, copyright infringement, and unfair competition, arguing that it “does not offer its products in 7-Eleven stores, which are well known for offering snacks and everyday necessities, but not innovative, carefully managed, artist-designed toy experiences.”
7-Eleven’s corporate structure leaves the company on the hook for the sale of counterfeit goods by various franchise-owned and run stores, according to Pop Mart. Despite operating a hybrid franchise model, Pop Mart claims that 7-Eleven exerts centralized control over its stores, including inventory management, point-of-sale systems, and marketing. That level of oversight makes 7-Eleven both directly and vicariously liable for the sale of counterfeit goods under its own signage and brand standards, per Pop Mart, which is seeking monetary damages and injunctive relief.
THE BOTTOM LINE: As Pop Mart battles 7-Eleven over alleged counterfeits, the case signals a broader convergence between collectibles and luxury goods, where intellectual property rights are as central to brand value as design and exclusivity. LABUBU’s journey – from blind box curiosity to fashion-adjacent collectible commanding four-figure resale prices – has made authenticity a critical component of its allure and market power. By taking a hard stance against counterfeiters, Pop Mart is positioning itself alongside the likes of luxury brands and sportswear companies, which have long relied on aggressive IP enforcement to protect their brands.
The outcome of this case may not only determine how Pop Mart crafts its broader enforcement strategy going forward but also puts the spotlight on the designer toy market as it continues to blur the lines between pop culture, art, and luxury.
The case is Pop Mart Americas Inc. et al. v. 7‑Eleven, Inc. et al., 2:25‑cv‑06555 (C.D. Cal.).
https://archive.is/Gx9a3
LABUBU’s meteoric rise is forcing Pop Mart to face off against a wave of counterfeits targeting the wide-eyed, bunny-eared, nine-toothed toy. Case in point: the Beijing-based toy juggernaut has filed a new lawsuit against 7-Eleven, Inc. and eight of its California franchises
KEY POINTS* Pop Mart has filed a lawsuit against 7-Eleven, Inc. and eight California franchisees, accusing them of selling counterfeit LABUBU toys.
* In its complaint, Pop Mark sets out claims of trademark, copyright, and trade dress infringement for LABUBU’s distinctive features.
* With U.S. sales exceeding $34 million in 2024 and global revenue topping $1.8 billion, Pop Mart is framing LABUBU as a cultural asset.
LABUBU’s meteoric rise is forcing Pop Mart to face off against a wave of counterfeits targeting the wide-eyed, bunny-eared, nine-toothed toy. Case in point: the Beijing-based toy juggernaut has filed a new lawsuit against 7-Eleven, Inc. and eight of its California franchisees, accusing them of selling fake versions of its cult-favorite LABUBU figures. The newly-filed complaint underscores the transformation of LABUBU from a niche designer toy into a cultural phenomenon now facing the same threats as luxury fashion and in-demand sportswear brands.
According to the complaint that it filed in the U.S. District Court for the Central District of California on July 18, as first reported by TFL, Pop Mart claims that 7-Eleven and eight of its California franchisees have contributed to the flood of counterfeit LABUBU toys infiltrating the market by selling fake LABUBU figures that are “virtually indistinguishable” from the real thing. The copycat toys mimic the LABUBU design and product packaging, which features “detailed visual renderings of the LABUBU [dolls] on both the outer box and the inner bag,” per Pop Mart, but are of “inferior quality.”
LABUBU’s IP Portfolio
Pop Mart’s case hinges on a formidable portfolio of intellectual property rights. Beyond its registered word marks, including POP MART, LABUBU, and THE MONSTERS, the company maintains rights in LABUBU’s features, which it says function as “distinctive, protectable trade dress.” Specifically, Pop Mart contends that its trade dress consists of a wide, ear-to-ear grin with nine sharp teeth, contrasted by a prominent brow that gives the eyes a constant frowning look; slender vertical oval eyes, a small inverted triangle nose, and two pointed ovoid ears atop its head; and a plump oval body with short arms, four-fingered hands, and claw-like toes that complete its distinctive fantasy-creature appearance.
Consumers have come to associate this design exclusively with Pop Mart thanks to years of marketing, influencer endorsements, and viral social media campaigns, the company claims. Additionally, Pop Mart asserts that it “has invested substantial resources in advertising and promoting products bearing the LABUBU Trade Dress, including over $2 million in advertising expenditures and over 4.8 million units sold nationwide since the beginning of 2024.”
In further support of its trade dress rights, Pop Mart highlights its U.S. sales, which topped $34 million in 2024, and notes the role of influencer adoption and organic hype in creating a “secondary meaning” around LABUBU’s appearance. Its financial disclosures underscore its rapid growth: the company reported over $1.8 billion in revenue in 2024, with THE MONSTERS line, which includes LABUBU, generating more than $420 million globally and $34 million in U.S. sales. A significant driver of this growth was a surge in plush toy sales, which the complaint notes increased more than 1,200 percent year-over-year.
At the same time, Pop Mart also points to more than two dozen U.S. copyright registrations that cover LABUBU-centric artwork, packaging, and designs, such as Exciting Macaron and Lazy Yoga.
With the foregoing in mind, Pop Mart sets out claims of federal trademark counterfeiting, trade dress infringement, copyright infringement, and unfair competition, arguing that it “does not offer its products in 7-Eleven stores, which are well known for offering snacks and everyday necessities, but not innovative, carefully managed, artist-designed toy experiences.”
7-Eleven’s corporate structure leaves the company on the hook for the sale of counterfeit goods by various franchise-owned and run stores, according to Pop Mart. Despite operating a hybrid franchise model, Pop Mart claims that 7-Eleven exerts centralized control over its stores, including inventory management, point-of-sale systems, and marketing. That level of oversight makes 7-Eleven both directly and vicariously liable for the sale of counterfeit goods under its own signage and brand standards, per Pop Mart, which is seeking monetary damages and injunctive relief.
THE BOTTOM LINE: As Pop Mart battles 7-Eleven over alleged counterfeits, the case signals a broader convergence between collectibles and luxury goods, where intellectual property rights are as central to brand value as design and exclusivity. LABUBU’s journey – from blind box curiosity to fashion-adjacent collectible commanding four-figure resale prices – has made authenticity a critical component of its allure and market power. By taking a hard stance against counterfeiters, Pop Mart is positioning itself alongside the likes of luxury brands and sportswear companies, which have long relied on aggressive IP enforcement to protect their brands.
The outcome of this case may not only determine how Pop Mart crafts its broader enforcement strategy going forward but also puts the spotlight on the designer toy market as it continues to blur the lines between pop culture, art, and luxury.
The case is Pop Mart Americas Inc. et al. v. 7‑Eleven, Inc. et al., 2:25‑cv‑06555 (C.D. Cal.).
