Why Costco Once Had Beef With A Jewelry Company
On Feb. 14, 2013, jewelry company Tiffany & Co. filed a lawsuit against Costco for allegedly selling an engagement ring and improperly using the jewelry company’s name to describe the ring (via New York Post). Tiffany & Co. claims to have created the “standard engagement ring as we know it today”, which is a stone, most often a diamond, set in a six-prong design. Of course, there are other ring settings and styles, but the jewelry company takes credit for this one. Tiffany & Co. sued Costco for selling counterfeit items and trademark infringement (per Reuters).
According to the Tiffany & Co. website, the classic engagement ring style with a one-carat diamond and platinum band is $14,000, as of August 2022. A comparable ring, with a band and size of diamond, similar cut, clarity and color. , at Costco for $5,999.99. It’s easy to see why an estimated 3,349 customers bought rings described as “Tiffany” from Costco, thinking they were getting a good deal for Valentine’s Day.
Per National Jeweler, Costco claimed that “Tiffany” was understood as a general term to describe the six-pin frame. After a lengthy legal battle, the two companies agreed to a settlement, the terms of which were not disclosed. This dispute may have finally come to an end, but there are a few other secrets that Costco doesn’t want you to know.