Not a goof!!
Continuity: Right before entering Queen Gedren's fortress, Falkon gives Prince Tarn his fighting club (a piece of bone), yet in the next fighting scene inside the castle Falkon is seen fighting with the bone club he gave away outside.
This is not a goof, if you watch the movie Falkon does give Tarn a bone club before entering the fortress, but it is a smaller bone club not his large club. It is a joke, and is meant to be a cute/sweet moment between the two characters. Falkon keeps his club at his side, and gives Tarn a club from inside his shirt.