- The Class Representatives are seeking damages from Mastercard and VISA of over £4 billion on behalf of businesses across the UK.
- The Competition Appeal Tribunal has given the go-ahead for the collective action that could see businesses compensated for the unlawful multilateral interchange fees ("MIFs") set by Mastercard and VISA that applied to transactions involving commercial cards in the UK. The claim alleges that businesses that received payments by commercial cards paid fees much higher than they should have been, causing them significant losses.
- The claim period runs from June 2016 to June 2022, with damages continuing to accrue until the date of judgment or settlement. If you think your business received payment by commercial card in that time, you could be included in these proceedings.
LONDON, Sept. 4, 2024 /PRNewswire/ -- The Competition Appeal Tribunal (the "Tribunal") ordered that the claims, brought by the Class Representatives, Commercial and Interregional Card Claims I & II Limited, be certified, enabling the Class Representatives to seek compensation for businesses across the UK for the unlawful fees they paid.
The Tribunal dismissed Mastercard's and VISA's objection to the claims being certified, ruling that the cases can proceed as collective actions.
A deadline for involvement in these claims has been set by the Tribunal and businesses are encouraged to register their interest now to stay updated on developments in the proceedings and, if successful, to claim their share of any damages awarded.
For more information about the opt-in and opt-out collective claims, visit commercialcardclaim.co.uk.
Responding to the Tribunal's judgment, Jeremy Robinson, a partner at Harcus Parker Limited, representing the Class Representatives said:
"We welcome the opportunity to hold Mastercard and VISA to account for imposing multilateral interchange fees at an unlawfully high level and causing substantial loss to UK businesses. We are pleased that this important claim will now proceed despite Mastercard and Visa's attempts over the last two years to deny thousands of UK businesses a straightforward and effective route to justice through the Competition Appeal Tribunal.
Although in relation to different types of MIFs, both the UK Supreme Court and the Court of Justice of the EU have condemned similar practices engaged in by Mastercard and Visa. Holding global corporate giants to account through class action litigation is the best way to ensure the likes of Mastercard and Visa do not go on imposing unfair charges on businesses."
Stephen Allen, the director of the Class Representatives said:
"We are fighting to ensure businesses and organisations across the UK economy are properly compensated by Mastercard and Visa for their unlawful multilateral interchange fees.
MIFs operate like a tax on business, increasing the fees businesses have to pay to their banks for accepting commercial card transactions. These claims seek to recover the losses businesses have suffered as a result of Visa and Mastercard's practices and highlight the need for such practices to be abolished.
UK businesses in the travel, hospitality, and retail sectors have been particularly hurt by Mastercard's and Visa's multilateral interchange fees and we are delighted that this claim has been endorsed by leading trade bodies including UK Hospitality and the Association of British Travel Agents (ABTA)."
MIFs are paid by businesses through fees paid to their banks (known as acquiring banks) upon the acceptance of a commercial card transaction. The losses suffered by businesses throughout the UK are significant, estimated to be at least $4 billion.
If you know your business receives payment by commercial cards, or you would like to confirm whether your business does, then visit the claims website today, register, and find out.
For more information about the opt-in and opt-out collective claims, visit commercialcardclaim.co.uk.
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