Costco’s promotional emails are at the center of a multimillion-dollar legal battle, and shoppers who were persuaded to act on what appeared to be expiring deals could now be entitled to compensation.

Keep reading to know more.

For many shoppers, an email warning that a sale is about to end is enough to move a Costco trip to the top of the weekend to-do list. With many households hoping to stretch their budget, those messages can be the push that sends them to the store before they think a deal disappears.

According to a class action lawsuit, some Costco promotional emails may have created that urgency without good reason. The complaint alleges the retailer advertised certain offers as ending soon, even though those promotions were allegedly extended beyond the stated deadline, Fox Business reports.

Emails referenced in the case included subject lines such as “Today is the last day to access Member-Only Savings” and “Hot Buys available for 5 Days Only.”

The lawsuit, Michael Aaland v. Costco Wholesale Corporation, followed a Washington Supreme Court ruling that misleading email subject lines fall within the scope of Washington’s Commercial Electronic Mail Act (CEMA), which regulates deceptive commercial emails.

Costco has denied the allegations but agreed to resolve the dispute through a proposed $14 million settlement, which still requires final court approval. A hearing is scheduled for Oct. 2.

Who is eligible?
The proposed settlement applies to more than just Costco members.

According to the settlement website, you may qualify if you were a Washington state resident when the emails were received and your email address was in Costco’s records between June 2, 2021, and July 7, 2026.

The settlement defines the class as: “All persons who received a commercial electronic mail message, and who were Washington residents at the time of the receipt of such commercial electronic mail message, that was transmitted by Costco Wholesale Corporation or someone acting on behalf of Costco Wholesale Corporation at any time from June 2, 2021, through July 7, 2026.”

$14 million split
The settlement creates a $14 million fund, but the amount each eligible person receives has not yet been determined.

According to the settlement website, the net proceeds will be divided equally among class members who submit valid claims after any court-approved attorneys’ fees, litigation costs and service awards are deducted. The final payment will depend on how many valid claims are approved.

Each eligible class member may submit only one claim form, regardless of how many qualifying promotional emails they received from Costco.

How to file a claim
Anyone who believes they qualify has until Aug. 24, 2026, to submit a claim through the official Washington Commercial Email Settlement website.

Only one claim form may be submitted per person.

The settlement website also notes: “If your Claim Form is approved and the Settlement is approved by the Court and becomes final, you give up your right to bring your own lawsuit about the issues in this Lawsuit.”

People who prefer to pursue their own legal action instead of participating in the settlement can choose to opt out. Others who disagree with the proposed settlement terms also have the option to file an objection before the court considers final approval.

Anyone with questions about the claims process or eligibility can contact the Settlement Administrator or Class Counsel using the information listed on the official settlement website before the filing deadline.

If you know someone who lived in Washington and shopped at Costco, share this story with them. They may be eligible to file a claim before the deadline passes.