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Thu, 12 Mar 2026

Thu, 12 Mar 2026 Customer sues Costco for tariff refunds

The lawsuit is an indication of the complexities looming over a potential $166bn in tariff refunds.
A Costco customer, Matthew Sockov, has filed a class-action lawsuit against the retailer, arguing that it has been unjustly enriched by passing on tariff costs to consumers and also potentially receiving refunds from the government. He claims that Costco can recoup its tariff costs twice: first by charging customers higher prices and then by recovering the cost from the government in the form of refunds. Sockov estimates that consumers have borne two-thirds of the burden of Trump's tariffs, and he is seeking a court order to require Costco to refund shoppers the difference. Costco has not commented on the lawsuit, but its CEO, Ron Vachris, said in an earnings call that it was unclear when or if refunds would be received. He promised to return value to customers through lower prices and better values if refunds are granted. The lawsuit is one of several issues related to tariff refunds facing businesses and consumers in the US. The government has announced plans to create a new electronic process to handle the refund process, which could take up to 45 days to complete. Over 330,000 importers are eligible for refunds as a result of the Supreme Court's decision to strike down Trump's tariffs. Other companies, such as FedEx, have pledged to refund money they receive from tariff refunds to businesses and consumers who paid the charges. The process is complex, with many cases involving multiple parties and unclear responsibility for passing on costs.