Walmart, other retailers object to Visa and Mastercard settlement
Major retailers like Walmart are objecting to a proposed settlement between Visa, Mastercard, and merchants, arguing it doesn't sufficiently lower fees.Summary
Major retailers and trade groups, including Walmart, are urging a federal judge to reject a proposed antitrust settlement with Visa and Mastercard. They contend the deal allows the card giants to continue charging excessive fees and provides minimal benefits to merchants. Walmart specifically stated the settlement “offers no meaningful relief” for large national merchants and would require them to release antitrust claims for eight years. A key issue is the settlement's failure to address a rule requiring merchants to accept all Visa and Mastercard cards, regardless of the issuing bank. The National Retail Federation and Retail Industry Leaders Association also criticized the deal as offering “illusory reforms” and potentially awarding plaintiffs’ lawyers a substantial $206 million in fees. Challengers also point to concerns that the settlement was negotiated by a small group of businesses representing a fraction of total merchant sales and could negatively impact ongoing litigation related to debit-card transactions and Justice Department investigations.
(Source：Reuters)