Dominic Rivera  |  December 20, 2013

Category: Consumer News

Top Class Actions’s website and social media posts use affiliate links. If you make a purchase using such links, we may receive a commission, but it will not result in any additional charges to you. Please review our Affiliate Link Disclosure for more information.

American ExpressAmerican Express announced that it has agreed to settle two putative antitrust class action lawsuits filed by U.S. merchants that challenged the company’s card acceptance agreements.

The class action settlement agreement will allow merchants to charge customers less if they use a competing debit card instead of an American Express credit card.

The first class action settlement pertains to In re American Express Anti-Steering Rules Antitrust Litigation, which challenges the Non-Discrimination Provisions in the company’s merchant contracts. The consolidated litigation dates back to 2006 and is pending in the U.S. District Court for the Eastern District Court for the Eastern District of New York.

The American Express second class action settlement was reached in the consolidated case In re Marcus Corporation, the Milwaukee-based operator of hotels and movie theaters, which challenges American Express’ Honor All Cards Provisions. This class action lawsuit dates back to 2004 and is pending in the U.S. District Court for the Southern District of New York.

The American Express class action settlement agreement calls for merchants to continue to agree that if they decide to surcharge their customers using credit or charge cards, any surcharge of American Express Card transactions would be no more than the surcharge on credit or charge card products issued on competing networks.

Similarly, merchants agree that if they surcharge customers paying with prepaid or debit cards, they would not surcharge American Express prepaid cards more than any competing prepaid or debit cards issued on competing networks.

Under the proposed class action settlement, American Express will  pay reasonable attorneys fees for both cases up to a maximum total of $75 million, as approved by Court. The company will also reimburse the class plaintiffs’ costs of notifying merchants of the settlement up to $2 million and will provide an additional $2 million fund for plaintiffs to communicate to merchants about the terms of the settlement.

The American Express class action settlement must receive both preliminary and final court approval. Details on how to file a claim for the class action settlement were not immediately available. Keep checking www.TopClassActions.com for updates.

The cases are American Express Anti-Steering Rules Antitrust Litigation, 1:11-md-2221, U.S. District Court, Eastern District of New York (Brooklyn) and Marcus Corp. (MCS) v. American Express Co., 1:04-cv-5432, U.S. District Court, Southern District of New York (Manhattan).

We tell you about cash you can claim EVERY WEEK! Sign up for our free newsletter.


Leave a Reply

Your email address will not be published. By submitting your comment and contact information, you agree to receive marketing emails from Top Class Actions regarding this and/or similar lawsuits or settlements, and/or to be contacted by an attorney or law firm to discuss the details of your potential case at no charge to you if you qualify. Required fields are marked *

Please note: Top Class Actions is not a settlement administrator or law firm. Top Class Actions is a legal news source that reports on class action lawsuits, class action settlements, drug injury lawsuits and product liability lawsuits. Top Class Actions does not process claims and we cannot advise you on the status of any class action settlement claim. You must contact the settlement administrator or your attorney for any updates regarding your claim status, claim form or questions about when payments are expected to be mailed out.