Golf course advertising, which is at the heart of the Bench Craft company lawsuit, is a big business. Some 25 million Americans played at least one round on a golf course in 2022. Up to 100 million more people watch golf on TV or online, read about it in the paper, or enjoy driving ranges and other off-course activities.
If there’s money to be made, many people, and many companies, take shortcuts to get a leg up on their competitors. These shortcuts were the basis of the 2018 Bench Craft Company lawsuit.
The Bench Craft Company: A Brief Overview
Overall, Bench Craft is a solid company. This Portland-based firm was founded in 1982. The company sells advertising on display boards, ball washers, scorecards, benches, course guides, and tee signs. Golfers and golf fans are a very affluent group.
The Beginnings of the Bench Craft Company Lawsuit
People who play golf on golf courses are exposed to all or most of this advertising. People who watch matches on TV might catch a glimpse of a few advertisements. So, advertising exposure numbers are easy to manipulate.
Developing Concerns and Lawsuit Allegations
According to the Bench Craft Company lawsuit plaintiffs, the company exaggerated its advertising exposure potential, an area that had caused concern for several years. Specific allegations in the Bench Craft Company lawsuit included:
- Misrepresentation: Advertisers pay a lot more money for a golf scorecard ad if they believe 100 million people will see it. A golf course advertisement that twenty-five million people see is valuable, but much less valuable.
- Failure to Deliver Promised ROI: According to some plaintiffs, the Bench Craft Company guaranteed a certain return on investment in certain areas. Although the guarantee may have been more like a promise, these advertisers still felt cheated.
- One-Sided Contracts: Allegedly, the Bench Craft Company pressured advertisers into signing take-it-or-leave-it contracts that didn’t give them a fair chance to negotiate a fair price.
To obtain compensation for these injuries, an attorney must only prove liability by a preponderance of the evidence (more likely than not). That’s one of the lowest burdens of proof in the law. So, rather than fight what would almost certainly be a losing battle, and to keep the case out of the headlines, the Bench Craft Company settled the matter. More on that below.
The Lawsuit Process
Legal arguments in this case unfolded over the course of several years. Some highlights of the court battle are as follows.
Class Action Status
If the lawsuit is too big for courts to handle on a piecemeal basis, and the civil action meets some other qualifications, the judge grants class action status. These lawsuits enable plaintiffs to pool their resources against a large defendant. Furthermore, these actions usually result in significant damage awards.
Bench Craft’s Defenses
The company’s lawyers insisted throughout the trial that Bench Craft provided valuable services to its customers. If the results fell short of projections or expectations, Bench Craft insisted that market fluctuations and other outside forces, not the company’s conduct, were to blame.
Settlement Negotiations
The Bench Craft lawsuit, like over 90 percent of civil lawsuits, settled out of court for an unspecified amount. We mentioned some benefits of an out-of-court settlement for defendants above. PLaintiffs benefit as well. Settlements reduce legal costs and the time required. Furthermore, a defendant can tie a verdict up in appeals. But settlements are usually final.
Lessons Learned from the Bench Craft Company Lawsuit
This lawsuit reminds us that companies cannot get away with unethical business practices and back-office dealings. If companies are not ethical and transparent, they pay the price.
The ramifications of this lawsuit will be felt far beyond the Bench Craft Company and the lawsuit plaintiffs. Parties on both sides of a financial transaction must diligently approach negotiations and look for red flags.
For many years, the Bench Craft Company lawsuit will serve as a case study that contains lessons about how to conduct an advertising or other business, and how not to conduct such businesses.
Bench Craft Company Lawsuit Frequently Asked Questions
Still have questions about the Bench Craft Company lawsuit? Keep reading.
What allegations did the plaintiffs make against the Bench Craft Company?
Key allegations included misrepresentation of advertising volume, unfair contract terms, and failure to make good on promised results.
What were the Bench Craft Company’s defenses?
The company’s lawyers argued that the company provided valuable services to clients and that any financial losses were attributable to external factors, as opposed to deceptive practices.
What does a class action lawsuit mean?
A class action lawsuit draws multiple plaintiffs together into a single cause of action, if they have basically the same arguments and a single lawyer, or group of lawyers, can effectively speak for all class members.
Did the lawsuit result in a settlement?
The parties agreed to a settlement, but no settlement details were made public. These “gag order” settlements are common in large class action cases.
What impact did the lawsuit have on the Bench Craft Company?
We don’t know the financial impact, as these details are unavailable. We do know that the lawsuit tarnished the Bench Craft Company’s brand.
Are there lessons to be learned from the Bench Craft Company lawsuit?
Overpromising results is a big temptation. The lawsuit shows us that companies must resist this temptation and deal fairly with customers.