TaylorMade Sues Costco Wholesale’s Kirkland Signature

Costco Wholesale made significant ripples in the golf world with the launch of its Kirkland Signature Players Irons last month. This promising product sold out within just a few hours, marking Costco’s ambitious move into the golf equipment sphere.

However, not everyone welcomed this incursion. TaylorMade, a seasoned frontrunner in the industry, claimed that Costco’s Kirkland Signature iron design closely mirrors the patented design of its popular P790 iron. This led TaylorMade to take legal action against both Costco and the iron’s designer, Southern California Design Company (SCDC).

Asserting its rights, TaylorMade filed an official complaint in the Southern District Court of California last Wednesday. It accused Costco and SCDC of stepping over the line by infringing on five specific patents. These patents are all connected to TaylorMade’s P790 iron, which, according to the company, “revolutionized the filled-iron category” in 2017 when it was introduced. TaylorMade’s unique design involves a cavity filled with a specific polymer termed SpeedFoam.

The complaint from TaylorMade details that the Kirkland Signature irons borrow heavily from the P790’s features and technologies. It suggests that Costco has erroneously claimed that its iron has similar properties like a stainless steel body, injected urethane insert, and an internal tungsten weight, all contributing to optimal launch, forgiveness, and playability.

TaylorMade argues that these statements were deceptive and misleading. The company contends that the public was led to believe that the Kirkland Signature irons held the same premium qualities as its P790s, influencing purchasing decisions significantly. It further asserts that Costco’s iron shares multiple design patents with the P790, ranging from the filled cavity design to the face construction to an opening into the cavity.

Further allegations from TaylorMade claim that SCDC operated under the trade name “Indi Golf” and produced or imported infringing products into the U.S., later sold to Costco. Additionally, the company highlighted that SCDC employs a former TaylorMade engineer involved in the P790 development.

TaylorMade seeks compensatory damages tracing back to opportunity costs and possible boosted damages, with the exact amount set to be determined in a trial.

This isn’t the first instance of a patent infringement claim around the P790. In September 2017, TaylorMade faced a similar lawsuit from PXG founder Bob Parson, but that case was eventually settled amicably in 2019.