On 19 February 2026, the Attorney General of Texas initiated a civil enforcement action against PDD Holdings and Whaleco operating under the name Temu, in the District Court of Collin County. The action was brought under the provisions of the Texas Deceptive Trade Practices Act. The petition alleges that Temu engaged in deceptive practices by misrepresenting its app as a standard e-commerce platform, while incorporating software functionalities that enable extensive data collection for purposes beyond those necessary for retail transactions. The Attorney General further asserts that Temu failed to adequately disclose the scope of data access and potential exposure of personal information, and that its promotional schemes and pricing practices misled consumers regarding discounts, free gifts, and product quality. The legal action being pursued seeks a court order for temporary and permanent injunctive relief, as well as the imposition of civil penalties amounting to a maximum of USD 10'000 for each violation. Furthermore, the court may impose enhanced penalties in cases where elderly consumers are affected.
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