Lululemon Agrees to Chemical Safety Compliance Deal With Texas, Attorney General Says

01:08 PM EDT, 10/22/2026 (MT Newswires) -- Lululemon Athletica (LULU) agreed to an Assurance of Voluntary Compliance with Texas Attorney General Ken Paxton, requiring the company to maintain chemical safety standards and oversight of materials used in its products, the attorney general said Thursday in a statement. The agreement follows an investigation into Lululemon as part of the attorney general's efforts to protect consumers from potentially harmful chemicals in clothing. The company's vendors must demonstrate compliance with its restricted substances list through independent laboratory testing or valid third-party certifications. Lululemon must also verify certifications and require additional testing when they expire. Lululemon must take commercially reasonable corrective action to address vendor noncompliance. These obligations will remain in effect under the agreement for three years. Shares of the company rose nearly 5% in Thursday afternoon trading. Price: 101.09, Change: +4.56, Percent Change: +4.72