UPDATE: FASHION RESALE NEWS

• ThredUp parters with a grocery store

• The Salvation Army launches on Roblox

• The RealReal showing positive. signs, yet still not profitable

• Louis Vuitton loses trademark case initiated in 2022 in South Korea

February 26, 2026 - ThredUp announced a new Clean Out Program and its first grocery partner, Misfits Market, an online subscription-based grocery delivery service that can be paused or canceled at any time. Misfits Market focuses on sustainability by selling “misfit” items, blemished, oddly sized or surplus organic fruits and vegetables, as well as plant-based, gluten-free, sustainable dairy and meat products alongside other core grocery categories. With a goal of reducing food waste, Misfits Market partners with farmers and producers to sell items often rejected by traditional supermarkets.

According to a press release, “Misfits Market joins more than 50 other brands offering resale programs through ThredUp’s Resale-as-a-Service® (RaaS®).” Recent new RaaS partners include Lands’ End, New York & Company, and Cotopaxi.

The Misfits Market x ThredUp partnership is a logical fit: ThredUp is known for tackling fashion waste, while Misfits Market is known for rescuing food. For consignors, the key benefit is that once their clothes sell, they can convert their payout into credit for a future Misfits Market order. The Clean Out experience mirrors other ThredUp run programs: customers use a prepaid shipping label, fill a box with preloved clothes, ship it to ThredUp, and once the accepted items sell, they receive credit to spend with the partner.

The Misfits Market x ThredUp information page is notably clear and robust, with a “Must read quality checklist,” a “What we can’t resell” section, and a comprehensive FAQ. It links to a list of ineligible brands, shows a table of payout percentages, and includes a sample timeline for payment. A bold statement on the page highlights: “For a limited time, earn an extra 15% in Misfits Market shopping credit,” though no specific end date for this bonus is provided.

ThredUp has also recently made a number of changes to its fee and payout structure that significantly affect what sellers earn, with the most notable shift toward a high-quality-only model in which many low- to mid-tier items now yield minimal returns after fees. (Those changes, which have drawn negative reviews from mid and long term consignors will be covered in future posts.)

February 19, 2026 - The Salvation Army launched “Thrift Score,” referring to is as the world’s first digital thrift store on Roblox. It was designed to introduce the Salvation Army brand to a younger audience, Gen Z and Gen Alpha in the space which is already familiar to them as this is where they already shop and play.

According to the press release: "Thrift Score" reimagines a Salvation Army Thrift Store as a fully explorable and shoppable digital environment, Stocked with creator and brand collaborations, player donations, and digital replicas of real Salvation Army items, players can browse racks to uncover rare and limited edition items at accessible price points. “Thrift Score” is also integrated into popular Roblox games, including Seaboard City and Daycare.”

Additionally, the experience includes special, limited-edition user generated content items donated by some of Roblox's most influential creators, including @PrestonPlayz, @BriannaPlayz and @RussoPlays, each contributing their own take on thrift-inspired digital fashion.

Similar to the real world, "Thrift Score" proceeds support The Salvation Army's mission to help people in need through rehabilitation, recovery and community programs nationwide.

Check this out: https://tinyurl.com/mtmjkzbd

February 26, 2026 - Rati Levesque, President and Chief Executive Officer of The RealReal (TRR), stated in a press release: “2025 was a year of transformation for The RealReal.” Of note, she added: “We surpassed the $2B mark in GMV and delivered positive adjusted EBITDA in every quarter for the first time. These defining milestones reinforce our confidence in our growth trajectory and our market leadership position.”

For the year ended December 31, 2025, revenue rose 15% to $693 million. Though the company posted a loss for the year, the loss decreased for the fifth consecutive year to $41.8 million, down from $134.2 million the previous year.

While presenting the results, management highlighted that TRR’s use of AI and automation had a positive impact on its operations. TRR's proprietary technology, Athena, is an AI tool that enables the intake process and blends human expertise with technology and is a part of the authentication process. Management noted, “By automating the repetitive, data-driven tasks, we are reducing costs and increasing speed to site.” The Athena enabled product intake process achieved TRR’s year-end goal of 35% of all units fully flowing through the system.Management’s update also highlighted SmartSales, another proprietary AI tool which helps frontline “luxury managers” identify which clients are most likely to consign.

Chanel, Inc. v. The RealReal, Inc.

While not discussed in the press release, the lawsuit Chanel filed against The RealReal is something to watch, as the outcome could have a significant impact. In November 2018, Chanel filed a lawsuit against TRR in the Southern District of New York, alleging that TRR sells counterfeit Chanel products and falsely advertised them as “100% authentic,” while creating the false impression that Chanel had authenticated or was affiliated with the goods.

In 2019, Chanel’s amended complaint updated the claims of trademark infringement, counterfeiting, false advertising, unfair competition, and New York statutory violations. The RealReal responded with a motion to dismiss, claiming first sale and nominative fair use protections for its use of Chanel’s marks and its authentication messaging.

In March 2020, the court granted TRR’s motion to dismiss in part and denied it in part, tossing Chanel’s core trademark infringement, false endorsement, and New York General Business Law claims. However, it permitted the counterfeiting, false advertising, and common-law unfair-competition claims to proceed. Subsequently, in 2021, TRR filed an amended answer adding antitrust and tortious interference counterclaims. Chanel moved to dismiss those counterclaims and to strike TRR’s “unclean hands” defense, widening the scope to include Chanel’s conduct in the luxury resale market.

Between 2021 and 2025, there was mediation and stays of discovery, along with a number of failed settlement efforts. In May 2025, Judge Gorenstein described it as one of the oldest matters on the Court's docket and began pressing the parties to move forward.

The court is scheduled to hold a status and scheduling conference in the case in March 2026 to restart discovery and move the long‑running trademark and counterfeiting case toward trial.

February 26, 2026 - Louis Vuitton lost its trademark infringement lawsuit in South Korea against a company that used Louis Vuitton materials supplied by its customers and upcycled them into different products for those customers’ personal use. The suit was filed in 2022, claiming that between 2017 and 2022 the defendant infringed Louis Vuitton’s trademark rights by undermining the brand’s source‑identification and quality‑assurance functions.

Initially, Louis Vuitton prevailed in the lower courts, which ordered the defendant to cease manufacturing these items and to pay 15 million won in damages. However, in a landmark decision, South Korea’s Supreme Court overturned the lower‑court rulings and held that providing transformation services commissioned by owners for personal use does not constitute “use of a trademark” under trademark law.

For those in South Korea focused on sustainability and circularity, this is a positive decision, so long as the upcycled items remain for personal use only. It is critically important to note that this ruling applies only in South Korea; courts in other countries, including France and China, have previously ruled in favor of the luxury brand when similar cases were brought.

Full Disclosure: The content in this post is for general informational purposes only and is not intended as, nor does it constitute, professional, financial or legal advice. Research for this post ended on March 2, 2026. I participate in reselling on the Poshmark, Vinted, Mercari and The RealReal platforms. I have not had any disputes with them, nor have they provided me with any benefits except for payments of items sold via their platforms. All opinions are my own, and I have not received any compensation for writing this post. Readers should not act upon this information without seeking professional counsel licensed in their specific jurisdiction.