Despite the noisy objections of hundreds of retailers, U.S. District Judge John Gleeson granted preliminary approval this afternoon to a proposed settlement between merchants and Visa and MasterCard over interchange fees.
Final approval of the settlement still remains a long way off. The $7.2 billion deal includes a $6 billion payment to merchants and temporary reductions in interchange rates. It also allows merchants the right to pass their processing costs on to their customers via surcharge.
In court, Gleeson referred to the plaintiffs' objections as "overstated."
- Jacob Barron, CICP, NACM staff writer