If you’ve seen the recent class action news, you may know the $5.5b Payment Card Interchange Fee Settlement (widely known as the Visa/Mastercard settlement) has received final approval.

If you haven’t, you’ve come to the right place.

This Visa/Mastercard settlement takes the crown for the largest settlement in U.S. antitrust history.

If you’ve considered filing claims yourself, you may have seen the following narratives: 

• It’s easy to file your claim

• It’s fast

• It’s painless

Now, we are here to tell you that isn’t entirely the whole truth. It can bring about challenges that we’ll discuss in the following article.

What You’ll Learn

• A full breakdown of the Visa Mastercard Settlement

• Recovery isn’t always easy IF you want to maximize the amount you’re owed

• What’s the simplest way to file?

• A look out on the horizon for other settlements that provide eligibility to collect.

Visa Mastercard Settlement: $5.5b

The federal appeals court upheld the settlement and it received Final Approval for Monetary Damages in August 2023. It resolves lawsuits filed in 2005, alleging Visa Inc. and Mastercard of antitrust violations for fixing or inflating, fees paid for processing credit/debit card payments, i.e., the interchange or "swipe" fees.

The settlement represents a significant resolution in antitrust class action history (source: Reuters, HASC.)

Context:

• Settlement Value: The total settlement fund is $5.54 billion

• Eligibility: U.S. merchants who accepted Visa or Mastercard payments between January 1, 2004, and January 25, 2019, are likely eligible.

• Claim Filing: Businesses must file a claim to receive a share of the settlement. 

• Calculation of Claims: Claims are calculated based on Visa/MC volume and interchange fees paid during the class period. Many of the largest retailers such as Amazon, Home Depot, Lowes, Walgreens, Airlines such as American, Delta United, Southwest, and many other top retailers excluded themselves. This means SMBs shouldn't assume they won't receive anything.

• Payment Distribution: The distribution will be made on a pro-rata basis. The date is still to be determined.

• Exclusion Deadline: The deadline for merchants to exclude themselves from the settlement has passed.

• Claim Deadline: The filing deadline is May 31, 2024.

• Disclaimer: For The Payment Card Settlement Only: Claim forms will begin to be delivered and available online in December. No-cost assistance is available from the Class Administrator and Class Counsel during the claims-filing period. No one is required to sign up with any third-party service to participate in any monetary relief. For additional information regarding the status, interested persons may visit www.paymentcardsettlement.com, the court-approved website.

So how do you apply?

Let’s first review some of the nuances in the claim filing process.

Revenue Recovery Isn’t As Easy As It Seems

There’s a wealth of mishaps and pitfalls as well as requirements that must be taken into account to recover revenue. 

Let’s take a look:

• Complexity of Claims Process: Navigating the claims process can be daunting, especially for large, complex cases. It involves intricate paperwork, understanding specific eligibility criteria, and meeting strict deadlines. Additionally, it can take many years.

• Documentation: It can be a burden on internal resources to provide additional documentation to maximize the value of most claims. In the case of Visa/MC, proof of transactions and interchange fees paid on each card brand from 2004-2019 will likely maximize the value of your claim.

• Resource Allocation: Filing claims often requires dedicating time and resources that could be used for business operations. Smaller businesses might struggle with this resource diversion. In the case of Visa/MC do you even have records back to 2004? How much effort and time will it take to reach out to previous vendors and gather the necessary data? Do you have the internal resources to handle this?

• Understanding Legal Jargon: Legal documents and claim forms can be confusing and often cause claimants to underestimate the value of their claims.  

• Delayed Compensation: The time frame from filing a claim to receiving compensation can be lengthy, impacting cash flow and financial planning for the business. Funds for Visa/MA likely won’t be distributed for at least 2-3 years after the claims deadline, or possibly longer.

• Monitoring Multiple Settlements: For businesses affected by multiple class actions, keeping track of various settlements and their specific requirements can be challenging.

These challenges underscore the importance of knowing your options.

Do you have the internal team to manage class action claims effectively OR do you prefer to outsource your needs to experts that can help you collect?

If you’d rather outsource, here’s our recommendation.

There’s A Better Way To File

Between the meticulous requirements of claim filing and the complexities of maximizing potential recoveries, businesses can find solitude by finding a little guidance.

Collectively, provides you with a simple option to file a claim in the Visa/MC Settlement. They manage the entire claims process for you, utilizing their claims settlement expertise and proprietary technology, until you collect!
Collectively also helps file and collect in other antitrust and class-action settlements that apply to your business.

1. They match you with settlements 

2. They file on your behalf: 

3. You collect the money you’re owed 

Their fees include a no up-front cost plan or the option to choose a premium plan, allowing you to keep more of the funds you’re owed.

Remember, $75b has been set aside since 2010 and 91% of claimants never collected, simply because they never filed​​. 

Don't be one of them. 

Now that you’re aware of your options, if you don’t:

• Have the time

• The internal resources

Collectively will help you file and keep you updated along the way.

Click here to learn more about Collectively.

Let’s see what cases provide your industry an opportunity to collect

Industries: Grocery stores, restaurants, food processing industries, assisted living, hospitals, universities, and many more.

Cases you may be eligible for:

• Financial cases because you may accept payments from the liable entities

• Food cases because you may purchase and handle food-related items

• Healthcare cases because you may insure your employees

• Electronic cases because you buy cell phones, laptops, and other hardware 

• Travel cases because your company may travel

Industries: Retail, e-commerce, manufacturing, billing, collections, banking, insurance, technology, software, corporate services, transportation, logistics and more

Cases you may be eligible for:

• Financial cases because you may accept payments from the liable entities

• Healthcare cases because you may insure your employees

• Electronic cases because you buy cell phones, laptops, and other hardware

• Travel cases because your company may travel

To outsource the filing of your claim(s) from 1 or more of these cases to Collectively,  click here.

Settlement News & Updates For Businesses
Our goal at Claim Basics is to make sure you’re aware of the opportunities to collect. 

And Collectively sources new settlements that provide your business eligibility to collect.

Below are a few examples of current cases that Collectively is helping current clients with and tracking. Take a look to see additional opportunities to collect in your industry. 

Financial Settlements And Cases in Litigation

Visa Mastercard Settlement:

• Summary: Visa and Mastercard reached a $5.6 billion settlement over claims they fixed credit and debit card fees.

• Details: This settlement resolved accusations of overcharging retailers on interchange fees and restricting cheaper payment methods.

EMV Chip Fraud Liability Shift (B&R Supermarket v. Visa):

• Summary: This lawsuit is against Visa, Mastercard, American Express, and Discover for shifting liability for fraudulent charges to merchants without EMV/chip technology.

• Details: The class action includes merchants who incurred unreimbursed chargebacks between October 1, 2015, and September 30, 2017.

Food & Grocery Settlements And Cases in Litigation

Beef Price-Fixing Litigation:

• Summary: This settlement, which requires court approval, is a significant development in ongoing nationwide antitrust litigation over beef price-fixing.

• Details: JBS SA agreed to pay $52.5 million to settle claims accusing meat-packing companies of conspiring to limit supply in the U.S. beef market, inflating prices. Additional defendants are expected to settle.

Pork Price-Fixing Litigation:

• Summary: This indicates a pattern of alleged anticompetitive practices in the meat industry. Pork producers are accused of conspiring to restrict supply in order to keep prices artificially high

• Details: The Settlement requires Smithfield to pay $42,000,000 in the commercial food preparation class. Additional defendants are expected to settle.

Chicken Price-Fixing Litigation:

• Summary: Major chicken producers, including Pilgrim’s Pride and Tyson Foods, faced allegations of price-fixing, resulting in a significant class action settlement.

• Details: Pilgrim’s Pride agreed to a $76 million settlement, while Tyson Foods settled for $99 million. These were part of a broader $181 million settlement for purchases from January 1, 2009, to December 31, 2020. The case involved claims of conspiring to inflate chicken prices, affecting consumers and businesses.

Turkey Price-Fixing Litigation:

• Summary: Major turkey suppliers, including Butterball and Perdue, faced a class action lawsuit alleging conspiracy to fix turkey prices and limit supply, violating antitrust laws.

• Details: The defendants are: Butterball, LLC, Cargill, Inc., Cargill Meat Solutions Corporation, Cooper Farms, Inc., Farbest Foods, Inc., Foster Farms LLC, Foster Poultry Farms, Hormel Foods Corporation, House of Raeford Farms, Inc., Perdue Farms, Inc., and Perdue Foods LLC, and Agri Stats, Inc. 

Travel Settlements And Cases in Litigation

Transpacific Airline Travel:

• Summary: $145 million + settlement; the deadline to file claims has passed. 

Domestic Air:

• Summary: Lawsuit against major U.S. airlines for allegedly colluding to limit capacity on domestic flights, leading to increased fares.

• Details: Allegations cover the period from 2009 to 2018, focusing on limiting new seats to artificially raise prices.

Healthcare Settlements And Cases in Litigation

Blue Cross Blue Shield Antitrust Litigation:

• Summary: Accusations against Blue Cross Blue Shield for engaging in anti-competitive behavior in health insurance sales.

• Details: The lawsuit led to a $2.67 billion settlement and required business practice changes for increased competition.

CVS HSP Class Action (Metal workers et AL V. CVS):

• Summary: Involves health plans that pay for certain generic prescription drugs from CVS. It alleges that CVS violated federal and state laws by not reporting its Health Savings Pass membership prices as the usual and customary prices to pharmacy benefit managers, leading to overcharges for the drugs.

• Details: The lawsuit covers non-governmental health plans that used specific pharmacy benefit managers (i.e. Caremark, Express Scripts, Medco, OptumRx, or MedImpact (or any of their predecessors)  and reimbursed them for generic drug purchases from CVS based on prices containing Usual and Customary prices, between November 2008 and February 1, 2016.

Electronics Settlements And Cases in Litigation

Hard Disk Drive:

• Summary: Class actions involving various hard drive manufacturers like Western Digital, Seagate, and others, typically alleging issues like misrepresented storage capacities or failure rates.

• Details: Businesses that purchased HDDs are likely eligible if this case settles.  (HDD Suspension Assemblies are a critical component of HDDs, incorporated into electronic devices, such as desktop computers, laptops, gaming consoles, printers, copy machines, and MP3 players, or sold as stand-alone storage servers.)

Intel CPU Security Vulnerability Litigation:

• Summary: Lawsuits against Intel CPUs allege security vulnerabilities like Meltdown, Spectre, and "Downfall," leading to performance degradation.

• Details: The litigation is ongoing under the case "Intel Corp. CPU Marketing, Sales Practices, and Products Liability Litigation" (3:18-md-02828-SI), with the judge allowing claims from September 2017 onward to proceed, focusing on Intel's alleged delayed disclosure of flaws

Qualcomm Chip Litigation:

• Summary: Consumer antitrust claims against Qualcomm regarding alleged anti-competitive practices in chip licensing and supply contracts.

• Details: Qualcomm succeeded in dismissing some parts of the lawsuit due to lack of evidence, but certain allegations of exclusive dealing continue.

If you'd like to outsource your claim filing, take 60 seconds to sign up with Collectively.