Surface wave dispersion measurements can be used to nondestructively characterize shot-peened, laser shock-peened, burnished, and otherwise surface-treated specimens. In recent years, there have been numerous efforts to separate the contribution of surface roughness from those of near-surface material variations, such as residual stress, texture, and increased dislocation density. As the accuracy of the dispersion measurements was gradually increased using state-of-the-art laser-ultrasonic scanning and sophisticated digital signal processing methods, it was recognized that a perceivable dispersive effect, similar to the one found on rough shot-peened specimens, is exhibited by untreated smooth surfaces as well. This dispersion effect is on the order of 0.1%, that is significantly higher than the experimental error associated with the measurements and comparable to the expected velocity change produced by near-surface compressive residual stresses in metals below their yield point. This paper demonstrates that the cause of this apparent dispersion is the diffraction of the surface acoustic wave (SAW) as it travels over the surface of the specimen. The results suggest that a diffraction correction may be introduced to increase the accuracy of surface wave dispersion measurements. A simple diffraction correction model was developed for surface waves and this correction was subsequently validated by laser-interferometric velocity measurements on aluminum specimens.