Reuters reports this morning that MasterCard International has agreed to an undisclosed settlement in the debit card lawsuit with Wal-Mart Stores and millions of other retailers.
The judge in the case ordered both sides not to talk about details of the settlement.
The suit against Visa remains in place, according to reports. While jury selection was scheduled to begin today, it now is expected to be delayed several weeks in view of the MasterCard settlement.
The retailers claim that Visa and MasterCard force them to accept their debit cards by requiring their acceptance as a condition for continued use of their credit card systems. The debit cards issued by MasterCard and Visa have higher transaction fees, and therefore, the argument goes, they cost the retailer and the consumer more money.
Potential damages in the case have been estimated to be as much as $39 billion.
The judge in the case ordered both sides not to talk about details of the settlement.
The suit against Visa remains in place, according to reports. While jury selection was scheduled to begin today, it now is expected to be delayed several weeks in view of the MasterCard settlement.
The retailers claim that Visa and MasterCard force them to accept their debit cards by requiring their acceptance as a condition for continued use of their credit card systems. The debit cards issued by MasterCard and Visa have higher transaction fees, and therefore, the argument goes, they cost the retailer and the consumer more money.
Potential damages in the case have been estimated to be as much as $39 billion.
- KC's View:
- You have to figure that this puts a lot of pressure on Visa to settle. Stay tuned.
