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HomeBusinessWalmart sues BJ’s Wholesale for allegedly stealing self-checkout technology

Walmart sues BJ’s Wholesale for allegedly stealing self-checkout technology

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On Tuesday, Walmart and its subsidiary Sam’s Club filed a lawsuit in federal court in Florida against BJ’s Wholesale. It claimed that the rival retailer copied a self-checkout feature. The feature is reportedly almost the same as the one featured on Sam’s Club mobile app., which is called Scan & Go.

Walmart, the world’s largest retailer has been in the forefront of technology. The big box retailer claims that it spent several years to develop this feature that lets customers ring up purchases from Sam’s Club on their smartphones. It can be used as they walk through the store. They need not stand in a checkout line.

Scan & Go is protected as the giant retailer had already applied for multiple patents for the self-checkout feature. Although it debuted in 2016, it became immensely popular during the COVID-19 pandemic as customers loved its convenience as they had to maintain social distancing. Its contactless use also gained approval from Sam’s Club customers.

The suit by the Arkansas based retailer noted that “innovations were simply taken without permission” by BJ’s when it debuted Express Pay, which was its contactless app, in late 2021. It also says that merely changing the colors and name of the feature from Scan & Go to ExpressPay indicated that the feature was an “apparent copy” of the feature developed by Walmart. The lawsuit says that BJ’s infringement on Walmart’s patent rights had caused “significant damages and irreparable harm” to Walmart.

Sam’s Club Scan & Go feature is offered as a benefit to Walmart+ subscribers. Although it did not mention the number of customers who have opted for Walmart+, the retailer said that its fourth quarter membership numbers were at a record high.

BJ’s did not respond when asked for comment by multiple outlets, although it is confirmed that it has not filed any motions, to date. Walmart also has not responded but directed outlets to its complaint. The big box retailer has asked the court to award it damages as well as to stop BJ’s from infringing on its patents.

(Photo: Credit:artran)  

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