A £14 billion class action lawsuit against Mastercard over interchange fees is back on after the Court of Appeal granted permission to challenge an earlier decision to dismiss the case.
The claim, brought under the Consumer Rights Act of 2015 which paved the way for class action lawsuits, is being led by former financial ombudsman Walter Merricks, who alleges that the card scheme imposed "illegal" interchange fees that were ultimately borne by UK consumers.
In July 2017, the Competition Appeals Tribunal (CAT) blocked the suit - which is on behalf of 46 million Brits - concluding that the claims were not suitable under the current collective actions regime.
However, the Court of Appeal has now set aside the CAT ruling and decided that the claimants can have their case for certification of the class action reheard.
Merricks tells the Law Society Gazette: "It’s now time for Mastercard to admit the damage they did, to apologise to the British public, and to agree to pay the compensation they owe."
Meanwhile, Mastercard tells the Financial Times: "Mastercard continues to disagree fundamentally with the basis of the claim and we believe UK consumers receive real value from the security, convenience and consumer protection of our payment services."
Editorial | what does this mean?