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Costco Settled a $2 Million Class Action Lawsuit — Here's Who's Eligible to Make a Claim for Cash The settlement involves customers who purchased a Kirkland Signature product.

By Emily Rella Edited by Melissa Malamut

Key Takeaways

  • Costco settled a class action lawsuit for $2 million over claims that its Kirkland Signature Moist Flushable Wipes weren't actually flushable.
  • Customers who purchased the product between July 1, 2011 and May 31, 2017 are eligible for cash.
  • "Costco denies this allegation and maintains that the Product performs as advertised," the company said in the settlement. 

Costco might owe you money.

As part of a class action lawsuit, Costco has been ordered to pay $2 million to customers who purchased Kirkland Signature Moist Flushable Wipes between July 1, 2011, and May 31, 2017.

The lawsuit says the retailer claimed the wipes were flushable but the product allegedly caused "damage to pipes, septic systems, sewage lines and other plumbing."

Related: Costco's New CFO Reveals Fate of $1.50 Hotdog-Soda Combo Amid 'Media Speculation' and Soaring Earnings

The settlement states the consumers wouldn't have bought the wipes in the first place if they knew that they weren't flushable.

"Costco denies this allegation and maintains that the Product performs as advertised," the company said in the settlement.

Costco did not immediately comment on the lawsuit.

Those who believe they're entitled to money can claim up to $1.30 cashback from each purchased product for a minimum of $7.50 and a maximum of $55.90 (by claiming up to 43 products).

The settlement does not require class action members to show proof of purchase, and affected customers have until August 9 to claim their share.

Customers can submit their claims either online or via mail.

Related: Costco May Stop Selling Books Year-Round. Here's Why.

The warehouse chain reported strong fiscal Q3 2024 earnings with net sales of $57.39 billion, which was a 9.1% increase from the same time last year.

Costco was up over 58% year over year as of Monday afternoon.

Emily Rella

Entrepreneur Staff

Senior News Writer

Emily Rella is a Senior News Writer at Previously, she was an editor at Verizon Media. Her coverage spans features, business, lifestyle, tech, entertainment, and lifestyle. She is a 2015 graduate of Boston College and a Ridgefield, CT native. Find her on Twitter at @EmilyKRella.

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