TaylorMade Golf Co. v. TopGolf Callaway Brands Corp., 2026
WL 2244259, No. 3:26-cv-250-GPC-BJW (S.D. Cal. Aug. 4, 2026)
TaylorMade sued Callaway, a competitor in the golf ball
market, for federal and state false advertising/unfair competition. TaylorMade
alleged substantial investment in innovating and advertising its golf balls,
including a golf ball for tour-level performance known as “TP5 Brand.” Callaway
has a TP5 brand golf ball equivalent called “Chrome Tour” golf balls.
TaylorMade alleged a misinformation campaign, including
through sales reps and influencers and promotion to third-party golf
publications.
TaylorMade’s TP5 Brand golf balls allegedly have two layers
of coating: the first inner layer is white paint, and the second outermost
layer is “clearcoat” that has a low concentration of “optical brightener” for cosmetic
and stain-resistance purposes. TaylorMade alleged that the optical brightener
had no impact on ball flight, distance, spin trajectory, or any other
performance attribute. However, the “clearcoat has the highest potential impact
on ball performance in flight” and therefore, its intentional thin coating
approach is allegedly a deliberate design decision to improve ball performance.
“As such, the splotchiness on its balls under UV light is Plaintiff’s design
choice to have a single, thin, clearcoat layer to prioritize performance and
not inferior quality or performance.”
TaylorMade alleged that Callaway similarly applies two
layers of coating to their Chrome Tour golf balls, but both layers contain
clearcoat with optical brightener, resulting in a brighter appearance that
allegedly does not increase quality or performance.
TaylorMade was not alleging that uneven paint application
cannot impact golf ball performance or quality; rather, it claimed that
Callaway’s UV light demonstration was an unreliable way to evaluate paint
coverage, paint uniformity or golf ball quality and performance. “In fact, the
UV light demonstration only reveals the distribution of optical brightener
additives, a cosmetic ingredient that has no bearing on ball flight.” Thus,
using a UV light demonstration to make comparative quality claims was
false/misleading—but that is what Callaway allegedly did.
For example, one sales agent stated that the demonstration would
show whether there is “too much paint” on the ball, and if so, would result in
a “mudball.” “Mudball is a derogatory term used to describe a golf ball that
has a bad flight, trajectory, shape and distance due to the presence of mud on
the ball and is the ‘bane of any pro golfer’s existence.’” The sales rep
claimed that dark spots on the ball could “potentially act like a piece of mud
is on the ball and who knows where the ball is going to go... all about quality
control.”
Thus, TaylorMade challenged the following claims: (1) the
use of UV light can measure golf ball quality or performance; (2) the
difference in appearance of golf balls under UV light are indicative of overall
golf ball quality and performance, (3) the uniform appearance of Calloway’s
golf ball dimples and brightness under UV light is indicative of superior
quality or performance; (4) TaylorMade’s golf balls are “mudballs”; and (5) TaylorMade’s
quality control is inferior to Callaway’s.
TaylorMade further alleged that the UV light test is
unreliable, misleading, and lacks standardization “because it is highly
sensitive to other variables including wavelength and intensity of UV light,
distance and angle of which the light is held, the duration of the UV light
exposure, prior UV exposure, and ambient lighting conditions, none of which can
be standardized.”
This campaign was allegedly extensive. For example, MyGolfSpy,
“a popular digital platform with over 22 million consumers,” published
“Callaway Doubles Down on Speed and Precision With New Chrome Tour, Chrome Tour
X, and Chrome Soft Golf Ball” which contained several statements from the alleged
misinformation campaign and had a “DIY side note” encouraging consumers to
conduct their own UV light demonstration as a way to measure a golf ball’s
quality and performance based on its “paint coverage.”
Callaway argued that its claims were puffery. A claim that golf balls act “like a piece of
mud” due to the uneven paint coating on the ball which negatively impacts the
ball’s ability to fly straight was a specific and measurable claim and not
puffery, as were the other claims about UV light as a method of proof. The complaint explained why the UV light
demonstration wasn’t reliable.
Did TaylorMade have standing under California’s UCL and FAL?
Yes, it sufficiently pled lost sales: “because Defendant is a direct
competitor, any alleged false misrepresentations about the quality and
performance of TaylorMade’s golf ball will increase sales of Callaway’s golf
balls and cause sales of TaylorMade golf balls to decrease.” Also, it was
independently sufficient that TaylorMade allegedly lost money when it incurred
financial expenses to combat the misinformation campaign by responding to
inquiries from customers who saw or heard about the UV light demonstration.
What about reliance? In federal district courts, the
majority view is that a plaintiff must allege its own reliance and not the
reliance of third parties. But the court here adopted the minority view that a
“competitor may allege false advertising claims under the UCL and FAL without
alleging its own reliance and need only allege it suffered an injury, loss of
money or property, as a result of the alleged misrepresentations.” [seems
correct]
Given the alleged Lanham Act violation, “unlawfulness” UCL claims
survived, as did unfairness claims, which would allegedly “encourage a race to
the bottom” where competitors will resort to misleading demonstrations and
pseudo-scientific claims rather than competing on the actual merits of their
products.
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