United States: Use of Manufacturer’s Trademark on Refurbished Golf Ball Is Par for the Course

The U.S. Court of Appeals for the Federal Circuit affirmed the denial of a preliminary injunction, and held that a golf ball refurbisher’s use of the original manufacturer’s mark on the refurbished golf balls is lawful. Nitro Leisure Products, L.L.C. v. Acushnet Company, Case No., 2003 U.S. App. LEXIS 17822 (Fed. Cir. Aug. 26, 2003).

Acushnet Company manufactures and sells golf balls under the mark TITLEIST. Nitro refurbishes golf balls, including Titleist golf balls, by removing the paint and clear coat and repainting them. Acushnet filed suit against Nitro seeking a preliminary injunction and arguing that Nitro’s refurbishing process altered the characteristics of the original product such that the ball could no longer fairly be called a Titleist. The district court denied the motion, finding that Acushnet failed to show a likelihood of success on the merits of its trademark infringement claim. Acushnet appealed.

The Federal Court affirmed. The Court reasoned that consumers do not expect refurbished products to perform the same as new products, and that Nitro’s changes to the golf balls do not materially alter it. Moreover, the Court noted that Nitro stamped the term USED & REFURBISHED on each ball thus clearly indicating the balls were reconditioned. Under these circumstances, the Court held that Acushnet failed to show that consumers are likely to be confused as to the source or condition of the balls.