Costco $14 Million Commercial Email Class Action Settlement

Consumers who received a commercial email from Costco while living in Washington state between June 2, 2021, and July 7, 2026, may be eligible to claim a cash payment from a class action settlement.

Costco Wholesale Corp. agreed to pay $14 million to settle a class action lawsuit alleging it sent commercial electronic mail messages with false or misleading subject lines to Washington residents.

Who can file a claim?

Class members must meet all of the following criteria:

• They received at least one commercial electronic mail message sent from or on behalf of Costco between June 2, 2021, and July 7, 2026.
• They resided in Washington state at the time they received the email(s).
• They received the email(s)at an address that appears in Costco’s records.

Examples of qualifying emails include those with subject lines such as, “Today is the last day to access Member-Only Saving” or “Hot Buys available for 5 Days Only.”

If an individual received a notice about this settlement by email or mail, it means Costco’s records indicate they likely qualify. However, even those who did not receive a notice may still be eligible if they meet the above requirements.

How much can class members receive?

Class members who submit a valid claim form by the deadline can receive a cash payment. The exact amount each person receives depends on the number of valid claims submitted as the settlement administrator will divide the net settlement fund equally among all approved claimants after deducting attorneys’ fees, litigation costs, settlement administration costs and a service award to the class representative.

The administrator may redistribute any uncashed or undeliverable payments to claimants who cashed their initial payments or donate them to the Legal Foundation of Washington.

How to claim a class action settlement payment

Class members can file a claim online or download a PDF claim form to print, complete and mail to the settlement administrator.

Settlement administrator's mailing address: Aaland v. Costco Wholesale Corp., Settlement Administrator, P.O. Box 301134, Los Angeles, CA 90030-1134

The claim deadline is Aug. 24, 2026.

Required information

Class members must provide the email address(es) where they received the Costco emails.

Payout options

• PayPal
• Zelle
• Venmo
• Physical check

$14 million settlement fund breakdown

The $14,000,000 settlement fund includes:

• Settlement administration costs: To be determined
• Attorneys’ fees: Up to $4,620,000
• Attorneys’ expenses: $16,500 (estimated)
• Service award to class representative: Up to $2,500
• Payments to eligible class members: Remaining funds

Important dates

• Deadline to opt out: Aug. 24, 2026
• Deadline to file a claim: Aug. 24, 2026
• Final approval hearing: Oct. 2, 2026

When is the Costco commercial email settlement payout date?

The settlement administrator will issue payments to eligible class members approximately 61 days after the court resolves any appeals and grants final approval of the settlement.

Why did this class action settlement happen?

The class action lawsuit alleged Costco sent commercial emails to Washington residents with subject lines advertising temporary or time-limited promotions but then extended those promotions beyond the stated time frame. The plaintiffs claimed this violated Washington’s Commercial Electronic Mail Act and Consumer Protection Act.

Costco denies any wrongdoing but agreed to settle to avoid further litigation and expense.

Sources

1. Claim form
2. Class notice
3. Settlement agreement
4. FAQ
5. Important dates