Credit cards

Last week, the Federal Reserve appealed the July ruling by a U.S. district court  that found the cap set by the Fed on debit card swipe fees was too high and did not follow Congress’ intent when it implemented swipe fee reforms required by the Durbin Amendment of the Dodd-Frank Wall Street Reform and Consumer Protection Act.

On Wednesday, July 31, a federal judge ruled that the Federal Reserve did not follow Congress’ intent when it implemented swipe fee reforms required by the Durbin Amendment of the Dodd-Frank Wall Street Reform and Consumer Protection Act in June 2011. The Fed had imposed a swipe fee cap of $0.21, but the judge’s decision is expected to force the Fed to lower swipe fee rates even more.

Booksellers are reminded that the deadline to respond to the class action settlement notice in the federal antitrust lawsuit over rapidly rising Visa and MasterCard credit card swipe fees is next Tuesday, May 28.

The deadline for booksellers to respond to the class-action settlement notice in the federal antitrust lawsuit over rapidly rising Visa and MasterCard credit card swipe fees is May 28, 2013, less than two weeks away.

Subsequent to the ABA recommendation that members opt out of the class action settlement over rapidly rising Visa and MasterCard swipe fees, the judge presiding over the litigation has directed that retailers be reminded that opting out of the settlement and objecting to it are entirely distinct actions.

In an April 19 e-mail to bookstore members regarding the class action settlement over rapidly rising Visa and MasterCard swipe fees, ABA recommended that members opt out and object to the settlement.

ABA is encouraging members to hold off making any decision on filing the swipe fee settlement notice in the federal antitrust lawsuit over rapidly rising Visa and MasterCard credit card swipe fees until the association issues a recommendation.

ABA bookstore members should expect to receive a settlement notice soon as part of the proposed class-action settlement of a federal antitrust lawsuit over rapidly rising Visa and MasterCard credit card swipe fees. ABA is currently working with a coalition of trade associations and companies to gather information as to the best course of action for members.

On December 3, a majority of named class plaintiffs filed a notice of appeal to challenge a ruling from the U.S. District Court for the Eastern District of New York that grants preliminary approval to a proposed settlement of a long-standing antitrust class action filed by merchants against Visa, MasterCard, and the largest banks.

On November 1, 20 retailers and trade groups, including the American Booksellers Association, the National Association of College Stores, and the National Retail Federation, asked a judge to reject a proposed class-action settlement of a federal antitrust lawsuit over skyrocketing Visa and MasterCard credit card swipe fees.

On Friday, October 19, the nine remaining class plaintiffs submitted a revised proposed $7.25 billion settlement of a federal antitrust lawsuit over skyrocketing Visa and MasterCard credit card swipe fees to the court for preliminary approval.

ABA announced this week that it is joining the National Association of College Stores, the National Retail Federation, the Retail Industry Leaders Association, and other trade groups in opposing the proposed $7.25 billion settlement of a federal antitrust lawsuit over skyrocketing Visa and MasterCard credit card swipe fees, which was announced in July.

A settlement was announced last week in a 2005 lawsuit that charged MasterCard, Visa, and major banks with engaging in price-fixing to charge high fees for credit card payment processing.

Bringing a conclusion to months of furious Washington lobbying, the Federal Reserve on Wednesday, June 29, voted to set a cap on swipe fees for debit cards at 21 cents, a conclusion that pleased neither banks nor merchants.

Speaking at the National Retail Federation’s annual Washington Leadership Conference this week, Senate Majority Whip Richard Durbin (D-IL) warned that the battle on swipe fees is not over.