In a brief served today in long-standing anti-trust litigation filed by merchants against Visa, MasterCard the Retail Industry Leaders Association (RILA) joined a majority of named class plaintiffs and nearly 1,200 others urging the court to deny preliminary approval to a proposed settlement. The proposed settlement stems from lawsuits challenging the interchange practices of Visa and MasterCard and is pending before the U.S. District Court, Eastern District of New York.
Merchants argue that the proposed settlement fails to address the anticompetitive practices that were the genesis for the lawsuits and denies merchants their right to challenge these practices ever again in court.
“The proposed class action settlement is simply a bad deal for merchants,” said RILA President Sandy Kennedy. “The volume and diversity of opposition to this flawed proposal is remarkable, and shows just how plainly unacceptable it is to those hurt most by Visa and MasterCard’s anticompetitive practices.”
RILA members, including AutoZone, Best Buy, Big Lots, Costco Wholesale Corp., Dick’s Sporting Goods, Dollar General, The Gap, The Home Depot, J.C. Penney Corporation, Inc., Jo-Ann Stores, Limited Brands, Inc., Lowe’s, Michael’s, Petco, REI (Recreational Equipment, Inc.), Target Corporation and Wal-Mart Stores, Inc., were among the nearly 1,200 of merchants objecting to the proposed settlement in filings to the court.
The court will hold oral arguments regarding preliminary approval on November 9.
RILA is the trade association of the world’s largest and most innovative retail companies. RILA members include more than 200 retailers, product manufacturers, and service suppliers, which together account for more than $1.5 trillion in annual sales, millions of American jobs and more than 100,000 stores, manufacturing facilities and distribution centers domestically and abroad.
Objecting Plaintiffs’ Opposition to Class Plaintiffs’ Motion for Preliminary Approval of Proposed Class Settlement