Landmark decision finds payment giants’ multilateral interchange fees unlawful, paving the way for billions in potential compensation claims.
Highlights:
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The UK Competition Appeal Tribunal (CAT) ruled that Visa and Mastercard’s multilateral interchange fees (MIFs) breach UK and EU competition laws.
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This decision supports collective lawsuits brought by UK merchants seeking damages for overcharging on card transactions.
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Billions of pounds in compensation may now be pursued by retailers affected by these unlawful fees.
Summary:
The UK Competition Appeal Tribunal has ruled that Visa and Mastercard’s interchange fees violate competition law, marking a significant legal setback for the global payments giants. The fees, known as multilateral interchange fees (MIFs), were found to restrict competition and inflate costs for merchants.
This landmark decision strengthens class action claims from UK businesses that allege they were forced to pay unlawfully high fees on card transactions. The outcome could unlock billions in potential compensation and reshape the future of card payment fee structures across the UK and EU.
