Costco flushable wipes settlement has wholesale giant agree to $2M payout

Costco has agreed to pay out $2 million to resolve a false advertising class action lawsuit over flushable wipes, while not admitting to any wrongdoing.

People who purchased Kirkland Signature Moist Flushable Wipes from Costco in the past may be eligible for a piece of a $2 million class action lawsuit settlement.

The payments are for consumers who purchased the wipes between July 1, 2011, and May 31, 2017, according to Top Class Actions. 

Costco has not admitted any wrongdoing, the legal news website states. However, the company has agreed to pay $2 million to "resolve the false advertising class action lawsuit."

"The plaintiffs claim flushing them caused damage to pipes, septic systems, sewage lines and other plumbing," Top Class Actions website reads. "Consumers argue they would not have purchased the wipes if they knew they were not truly flushable as advertised."

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Class members can receive $1.30 per purchased product, with a minimum payment of $7.50 and a maximum payment of $55.90, which equates to 43 products. Proof of purchase is not required to receive payment, and the deadline to submit a valid claim must be made on this website by Aug. 9. 

Alexander Kraus, a maintenance worker for Kenosha Water Utility, does not believe there is such a thing as a "flushable" wipe, considering how well intact they are when he encounters them in sewers.

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"They cling onto any small deposits or points where tree roots make their way into the sewer laterals," he told FOX Business. "It's just a matter of time before a backup occurs, especially from apartment complexes."

He said most work clearing backups due to wipes can be done by flushing the pipe, which is about an hour job, but the work is a "stop gap until it clogs up, and we're out to do it all over again."

Sometimes, Kraus said, workers need to dig up and repair the sewer lateral for replacement, which is a full eight-hour project. 

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Costco did not immediately respond for comment, but the wholesale retailer is still selling flushable wipes. Photographs of the product on its website show packaging that states, "Never flush more than one wipe at a time."