Cosmetics

Sunday Business: See you in court

Sunday Business: See you in court


In this monthly roundup, legal disputes and regulatory challenges underscore the growing complexity of operating in the global beauty and personal care industry. From trademark battles and counterfeit claims to tariff disputes and long-running talc litigation, companies across the sector are increasingly navigating courtrooms alongside boardrooms. The cases highlighted here reflect how intellectual property, supply chain exposure and product liability are becoming central strategic risks for beauty groups worldwide.

Brand protection remains a major battleground. Estée Lauder filed a lawsuit against Jo Malone over the use of the name in a fragrance collaboration with Zara, highlighting the sensitivities surrounding brand identity and trademark ownership in prestige fragrance. In a separate case, Estée Lauder also sued Walmart over alleged counterfeit beauty products sold on the retail platform, reinforcing the ongoing industry struggle to combat grey-market and counterfeit distribution in online marketplaces.

Trademark defence is also becoming a priority in Asia. CJ Olive Young filed a ‘TRY ME’ trademark as part of efforts to protect its retail identity amid the rise of Chinese copycat stores. As Korean beauty retail expands globally, protecting store concepts, branding and experiential formats is becoming just as important as safeguarding product formulations.

Meanwhile, intellectual property disputes are increasingly emerging from the intersection of beauty and technology. Estée Lauder has been sued by a beauty tech startup alleging trade secret theft, highlighting how competition around digital diagnostics, AI-powered skincare tools and data-driven product development is intensifying. As beauty becomes more technologically sophisticated, proprietary algorithms and innovation pipelines are likely to become frequent points of contention.

Product liability litigation—particularly related to talc—continues to reverberate across the industry. Natura agreed to pay US$67 million to settle US talc litigation tied to its Avon business, illustrating how legacy liabilities can persist even after major corporate restructurings. Similarly, a California appeals court upheld a US$51 million verdict against Avon in a mesothelioma talc case, reinforcing the legal exposure tied to historical cosmetic ingredients.

The broader talc litigation landscape remains active. A Minnesota jury awarded US$65.5 million against Johnson & Johnson in another asbestos-related case, further underscoring the enduring legal and financial risks associated with the ingredient. Meanwhile, asbestos claimants are appealing a bankruptcy ruling involving Revlon over time-barred talc claims, demonstrating how litigation surrounding historical product safety continues to evolve through the courts.

Trade and regulatory policy are also shaping legal strategy. L’Oréal filed a lawsuit seeking refunds for tariffs imposed during the Trump administration, reflecting how multinational beauty companies are still dealing with the financial consequences of past trade policies. Such disputes highlight the broader impact that geopolitical decisions can have on supply chains and corporate balance sheets.

Financial distress within the sector has also surfaced through legal channels. Beauty Bay filed a notice of intention to appoint administrators, signalling mounting financial pressure within parts of the online beauty retail ecosystem. While not a lawsuit, such filings represent the legal mechanisms companies must navigate when restructuring or seeking protection from creditors.

Taken together, this monthly roundup highlights an industry where legal oversight is becoming inseparable from commercial strategy. Intellectual property protection, product liability, regulatory compliance and marketplace integrity are all moving higher on the corporate agenda. As beauty continues to globalise and diversify into technology, wellness and digital commerce, the courtroom is increasingly becoming another arena where competitive advantage—and risk—is defined.



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