Fashion retailers accelerate battle against Visa, Mastercard over fees
The three fashion retailers, who are all being advised by the Stephenson Harwood law firm, are seeking compensation for historic charging fees in breach of competition laws.
They are expected to be joined by more than a dozen major brands logging fresh legal claims over card payment fees, according to a report by The Telegraph newspaper.
The claims come just days after online retail giant Amazon said it would block customers from shopping with Visa credit cards on the website in the UK. Amazon said it would be forced to stop accepting credit cards from 19 January, claiming Visa’s “high fees” after Brexit.
Visa, which said the legal battle over interchange fees was not related to Amazon’s decision said it “considers all claims relating to interchange to be without merit and will be vigorously defended”.
It has previously said it was “disappointed that Amazon is threatening to restrict consumer choice in the future”.
Mastercard also said: “We firmly believe that retailers of all sizes derive real value from our network and we are committed to supporting our retail partners to adapt and grow their businesses through this challenging time.”
The Supreme Court ruled last year that the fees imposed by both Visa and Mastercard on retailers for every card transaction were a breach of both EU and UK competition law.
Supermarket chains Sainsbury’s, Asda and Morrisons were among the first to take Visa and Mastercard to court. Sainsbury’s settled with Mastercard in August, but its claim with Visa is still ongoing.
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