Nike Faces Class-Action Suit Over Trump Tariff Refunds While Shares Jump 1.65%
Nike has been named in a class-action lawsuit alongside other major retailers over last year’s IEEPA tariffs, with plaintiffs alleging it passed unlawful tariff costs onto consumers without seeking refunds. Nike shares rose 1.65% to close at $42.57 on May 18 despite broader market declines.
1. Class-Action Lawsuit Over IEEPA Tariffs
Nike, along with retailers like Amazon and Lululemon, has been named in a federal class-action suit claiming it illegally retained last year's IEEPA tariff costs. Plaintiffs allege Nike passed on hundreds of millions in tariff charges to consumers without seeking refunds, constituting deceptive and unfair conduct under state law.
2. May 18 Share Price Performance
Despite broader market pressure, Nike shares climbed 1.65% to close at $42.57 on May 18. The uptick reflects investor focus on strong brand momentum and may indicate limited immediate market concern over the litigation.