The Team

£14 Billion claim unexpectedly revived
£14 Billion claim unexpectedly revived

A class action claim against Mastercard has been unexpectedly revived. Two years ago, a class action was raised against Mastercard on the basis that the European Commission had found Mastercard to have charged excessive fees to retailers prior to 2007. Regulations were put into place in 2007 to prevent such behaviour.

The class action claimed that retailers had passed on these excessive costs to the consumer and that Mastercard should reimburse the consumers to compensate for their illegal behaviour. This would have meant everyone in the UK receiving around £300 in compensation whether or not they had ever purchased anything using a Mastercard credit card.

The Competition Appeal Tribunal threw the case out around two years ago, but in a recent Court of Appeal ruling, the claim has been thrown a lifeline. The Court of Appeal rules that the Competition Appeal Tribunal had erred in law in deciding to block the case from proceeding to court.

Mastercard has indicated it will appeal the Court of Appeal’s ruling to the Supreme Court and we are awaiting an announcement that it has done that.

Whilst the case has been ongoing for a number of years, there are likely to be many more years and legal battles before it’s finally decided. If it’s successful, it will be a landmark case for consumers and will lead to pretty much every adult in the UK receiving around £300!