Coverage: Costco and Titleist fight over golf ball patents

Warehouse retailer Costco and golf equipment manufacturer Titleist are headed to court after Costco sued Titleist’s parent company Acushnet Holdings to thwart claims that Titleist has made that the company is infringing on its golf ball patents.

Chris Morran of Consumerist had the news:

So Costco, in an effort to forestall a lengthy patent lawsuit, have preemptively asked a federal court to rule that it is not infringing on Titleist’s patents, and that Costco’s advertising isn’t deceptive.

This is all according to a complaint filed in federal court last week by Costco.

Following the 2016 launch of Costco’s Kirkland Signature golf balls, Titleist’s parent company, Acushnet Holdings, sent what is described in the complaint as a “threatening” letter. Acushnet alleged in this letter that Costco’s golf balls violated 11 different patents held by Achushnet, like this one for Golf Balls Comprising Highly-Neutralized Acid Polymers, this one for a Multi-Layer Golf Ball Having Velocity Gradient From Slower Center To Faster Cover, and this one for a specific Golf Ball Dimple Pattern.

The complaint briefly notes reasons for why it believes each of the patents fails to apply. For example, with regard to the dimple pattern allegation, Costco claims that its dimples cover less than 80% of the ball’s surface, which it contends is enough of a difference to negate the Titleist claim.

The improbable popularity of a new golf ball sold by Costco Wholesale Corp. has sparked a legal battle between the company and Titleist, the manufacturer of golf’s top-selling ball.

In a lawsuit filed Friday in U.S. District Court in Seattle, Costco (COST) asks for a declaratory judgment against Acushnet Holdings Corp., which owns Titleist, related to Costco’s sale of the ball under its Kirkland Signature brand.

Costco is asking the court to rule that the ball doesn’t infringe on any valid patent rights owned by Acushnet and that it hasn’t engaged in any false advertising in reference to the ball.

In the complaint, Costco says that the suit is necessary because Acushnet has accused it of patent infringement and false advertising.