HAGENS BERMAN

Date Filed: October 17, 2011
Court: U.S. District Court
Location: Washington D.C.

Hagens Berman has filed a class-action lawsuit alleging that Visa (NYSE: V) and MasterCard (NYSE: MA) violated antitrust laws by establishing uniform agreements with U.S. banks that issue automated teller machine (ATM) cards, preventing ATM operators from setting transaction fees below those of Visa and MasterCard.  This agreement allegedly eliminates competition in the marketplace for ATM network services, causing ATM fees to be higher than they should be.   

The lawsuit claims that the agreements between Visa and MasterCard and the nation’s banks require that ATMs charge fees equal to or greater than Visa or MasterCard’s transaction fees, even if the transaction occurs over an alternative network.

The complaint alleges that the agreements with the banks effectively strip ATM owners and operators of the power to make decisions on ATM fee pricing, preventing them from offering discounts to consumers or making any other decisions that would otherwise exist in a competitive market.  As a result, those who have been charged a fee at an ATM may, according to the lawsuit, have paid a higher fee than would exist in a market free from the alleged illegal agreements.

In 2007, U.S. cardholders used Visa’s platform to access $395 billion in cash, according to the complaint. During that same year, consumers used MasterCard-branded cards to access $202 billion in cash.

The lawsuit asks the court to issue an injunction, preventing Visa and MasterCard from enforcing fee restrictions on ATMs. The suit also seeks damages for the allegedly higher prices consumers were forced to pay to use ATMs across the country.

Hagens Berman is looking to speak with consumers who believe they paid an artificially inflated ATM fee on or after Oct. 1, 2007.

Consumers can contact the firm online by clicking here.



        

Related Documents

	Complaint
	Amended Complaint