What’s Happened With Shein’s Legal Scandal? We’ve Broken It Down

The fast fashion brand has been hit with accusations of copyright infringement and and racketeering.

Shein

by Charley Ross |
Updated on

Fast fashion brand Shein has been hit with accusations of copyright infringement and and racketeering by independent designers, who allege that the retailer has 'produced, distributed, and [sold] exact copies of their creative works'.

The artists – named Krista Perry, Larissa Martinez and Jay Baron – are seeking both past and future damages, compensation for their legal fees and relief that will 'prevent further racketeering activity'.

Due to the exact replication of their work, the designers are accusing the brand of using a 'secretive algorithm' to identify trending designs and allegedly reproducing them for the fast fashion website. They allege that this behaviour is 'part and parcel of Shein’s 'design' process and organisational DNA.'

SHEIN has released the following statement to multiple publications: 'SHEIN takes all claims of infringement seriously, and we take swift action when complaints are raised by valid IP rights holders. We will vigorously defend ourselves against this lawsuit and any claims that are without merit.'

The shopping retailer has also recently come under fire for sending influencers on a trip to see how the brand’s clothes are manufactured. The trip has been dubbed by critics as a ‘PR stunt’.

The brand has also received criticism for its working conditions and lack of sustainability, especially after the discoveries made by journalist Iman Amrani in documentary Untold: Inside The Shein Machine. It exposed unethical working conditions for the brand’s factory staff: 18-hour workdays and pay of just four cents per hour.

With a score of 0-10% in the 2022 Fashion Transparency Index and a rating of ‘very poor’ by ethical fashion brand watchdog Good On You, the brand’s ethics and sustainability have long been questioned.

Here’s everything you need to know about Shein's influencer scandal.

Where exactly was the trip and what did the influencers see?

The influencers were taken on a brand trip to China, to one of the brand's factories in Guangzhou. They documented their experience on social media, as well as the luxury treatment they received from Shein.

According to the brand, the aim was for the influencers to ‘discover the cutting-edge tech that streamlines our operations and receive a hands-on experience in packaging’.

Who were the influencers that went on the Shein trip and what was their feedback on what they saw?

A group of US influencers went on the trip: model and confidence activist Dani Carbonari, Marina Saavedra, entrepreneur Aujené, fashion designer and model Fernanda Stephany Campuzano, Project Runway designer Kenya Freeman and Destene Sudduth.

Marina posted about the ‘misinformation’ that has been spread about brands like Shein. ‘Like many others, I've heard a lot of misinformation," she said. ‘I expected this facility to be so filled with people just slaving away but I was actually pleasantly surprised.’

Dani echoed similar sentiments, posting that she felt she’d seen the ‘truth’ of the brand’s work and referred to ‘rumours’ being spread about Shein: ‘There's a narrative fed to us in the US and I'm one that always likes to be open-minded and seek the truth, so I'm thankful for that about myself.’

What is the controversy around the Shein trip?

Critics have pointed out that the factory in Guangzhou could well have been staged, and doesn’t necessarily reflect the conditions of the thousands of other Shein factories across China, as well as other third party manufacturers they use.

Other influencers and regular critics aside have pointed out the ‘hypocrisy’ of the brand’s attempts to appear that they are operating ethically and sustainably, when long-term evidence points to the contrary.

Kara Fabella, an Instagram influencer focused on sustainable fashion, told TODAY.com: ‘There’s such an irony to that because not only are they exploiting voices within the fashion influencer space of typically quote-unquote “marginalized” groups, but it’s also (that) Shein is one of the worst abusers of human rights issues within the garment worker factory space.’

Others have suggested that Shein chose specific voices for the trip who would prop up their brand message. One tweeted: ‘They only invited people with zero critical thinking, eating this propaganda up!’

Another posted: ‘Yes we can talk about the fact that Shein picked marginalized folks (plus size, Black, non white) for this experiment of theirs and exactly why they did. BUT WE ARE STILL GONNA TALK ABOUT HOW THE WOMEN MAKING THE CLOTHES ARE THE MOST MARGINALIZED.’

One critic questioned the influencers’ true reasons for going on the trip, and whether they were anything more than selfish: ‘Them gals was not thinking about morals or ethics. They are thinking about dollars & coins.’

Ex-Love Islander Brett Staniland took to TikTok to criticise the brand: “Shein will stop at no lengths to make us all believe they run and ethical business when the factual evidence shows us something far from that.”

Dani in particular has been criticised for calling herself an ‘investigative journalist’, when her occupation isn’t as such, a symptom of the key issue of this trip being used to present the ‘truth’ of Shein’s manufacturing operations when there are many reasons to doubt this is so.

How have the influencers responded?

Dani replied to criticisms in a since-deleted TikTok: ‘I know exactly who the f**k I am, I know exactly what the f--- I'm doing.’

‘I was not paid for any trip or to say anything,’ she continued. ‘I was taken on a trip – once-in-a-lifetime chance – you would've done the exact same thing. I have so much more awareness of what's going on behind the scenes than you ever could because you don't see what's going on.’

Kenya, meanwhile, spoke out during an interview, referring to the backlash as harassment, how the experience has made her re-evaluate herself and her brand and stating that she had flagged her concerns to Shein in the past.

‘I can take accountability for myself and my actions,’ she said. ‘But I can’t take the fall for Shein. It’s so hard,’

While it may be true that these are influencers are willing to overlook widely reported issues with the brand**,** it can’t be ignored that they are likely being manipulated too by the exposure and financial advantages of being involved with a brand like Shein. The situation is murky and complicated.

How has Shein responded?

In an Instagram post, the brand released the following statement:

'Many of you have asked to learn more about Shein, and we created Shein101 as a way to give our customers a behind-the-scenes look into our operations and on-demand business model,' the brand said on Instagram.

'We wanted to show you our new Innovation Center, a place where we train our third-party suppliers on our manufacturing standards, through the lens of our influencer and design partners. We are saddened to see the backlash those partners have received. There is no room for bullying and hate, and Shein stands by each influencer and designer. We look forward to continuing to provide more transparency around our business model and operations.'

The controversy straddles two problems: the prevalence of fast fashion brands like Shein and the human rights violations and environmental issues that they stand accused of causing, as well as the fact that influencers are being used as brand ambassadors, but presented as objective reporters or ‘investigative journalists’ as attempts to hide their bias and the other issues underneath the surface.

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