Costco $14 Million Washington Sales Email Settlement: Claims Closed, Final Hearing October 2, 2026

The case is Michael Aaland v. Costco Wholesale Corporation, Case No. 25-2-16392-0 SEA, in the Superior Court of Washington for King County. The plaintiff alleges that Costco violated Washington's Commercial Electronic Mail Act (CEMA) and Consumer Protection Act by sending marketing emails whose subject lines advertised temporary or time-limited promotions when Costco knew it would extend those promotions past the stated time frame.

CEMA regulates commercial email sent to Washington residents. The settlement notice says that under CEMA a recipient was entitled to $500 for each email sent in violation of the law, or actual damages, which the plaintiff contends can be tripled under the Consumer Protection Act. Multiplied across millions of emails, that exposure explains the settlement. In 2026 the Washington legislature amended the damages section, RCW 19.190.040, to set a recipient's damages at $100 per message or actual damages, and the session law includes a note on retroactive application.

Costco denies any wrongdoing, says it followed all state and federal laws, and does not admit to anything in the settlement. The court has not decided who is right. Our Costco lawsuit page tracks other claims against the company.

According to the settlement website, the case moved fast for a class action:

• June 2, 2025: Joseph Zydel filed the proposed class action in King County Superior Court.
• October 10, 2025: the court denied Costco's motion to dismiss.
• January 16, 2026: the parties asked to pause the case for mediation before a retired judge.
• April 15, 2026: a second amended complaint substituted Michael Aaland as the class representative.

The court denied Costco's motion to dismiss on October 10, 2025, roughly four months after the case was filed. Surviving that motion usually raises the settlement value of a case, because it means the claims are legally viable if the facts are proven. See how a class action works for the usual stages.

The settlement class is all persons who received a commercial email from Costco, or someone acting on Costco's behalf, and who were Washington residents when they received it, at any time from June 2, 2021 through July 7, 2026. The class period covers more than five years of Costco marketing email, from June 2, 2021 through July 7, 2026.

A few points people miss:

• You did not need to buy anything or open the email.
• You had to be a Washington resident when the email arrived. Living in Washington now does not help if you lived elsewhere when you got the emails.
• Costco, entities that control it, its current or former directors, officers, and counsel, their immediate families, and anyone who opted out are excluded.

Notices sent to class members included a Claim ID and PIN, and the settlement FAQ explains where to find them.

Payments are split equally among everyone who filed a timely, valid claim form and did not opt out. Before that split, the fund pays:

Item	Requested amount
Settlement fund	$14,000,000
Attorneys' fees	Up to $4,620,000
Litigation expenses	About $16,500
Service award to Michael Aaland	Up to $2,500
Settlement administration	Paid from the fund

The settlement website says it is impossible to estimate the payment per claimant until the number of valid claims is known. If the fee request is approved in full, a little over $9.3 million, less administration costs, will be divided. Washington has millions of residents and Costco's email list is large, so if claims run into the hundreds of thousands, individual payments could be modest. The court decides the final fees at the hearing. For how these splits usually play out, see how class action money is divided.

Class members could file online at the official settlement website using the Claim ID and PIN from their notice, or by mail. The claim form let people choose a paper check, Venmo, PayPal, or another listed method.

The deadline to file a claim, opt out, or object was August 24, 2026, and it has passed. The website also runs a Deficiency Portal for claimants whose forms had problems; if the settlement administrator sent you a deficiency notice, respond through that portal by the date in the notice. Questions go to the administrator at 888-808-6247.

Watch out for look-alike emails about this settlement; a real administrator will not ask you to pay a fee to receive money. See our guide to settlement scams.

Event	Date
Class period	June 2, 2021 to July 7, 2026
Claim, opt-out, and objection deadline	August 24, 2026 (passed)
Final approval hearing	October 2, 2026, 3:30 p.m.
Payments	After final approval and any appeals

The final approval hearing is set for October 2, 2026 at 3:30 p.m. in Courtroom W728 of the King County Superior Court, 516 Third Avenue, Seattle. The court can move it or hold it remotely without new notice. If the judge grants final approval and no one appeals, payments typically follow within a few months. See how to check a settlement's status.

If you did not file by August 24, 2026, you will not receive a payment unless the administrator or court accepts a late claim. If you are a class member and did not opt out by August 24, 2026, you will be bound by the settlement if it is approved and give up the right to sue Costco over the issues in this lawsuit. Our guide on opting out or objecting explains that trade-off.

Washington email subject line suits have been filed against many retailers. Other retail settlements include the Chick-fil-A delivery fee settlement and the Dollar General overcharge settlement. Browse all open settlements, and check the official settlement website linked above for the October 2 ruling.