After a landmark court ruling, by the court of appeal ordering the Competition Appeal Tribunal to reconsider what is now the biggest class action in British legal history, UK adults might get £300 each if they were in the country between 1992 and 2008, even if they don’t have a Mastercard.
In an Anti-competition Suit, brought by former financial ombudsman Walter Merricks against Financial giant Mastercards , Walter Merricks, has brought a £14billion lawsuit against the payment giant, claiming they owe money to 46million consumers.
Merricks claims that’s how many UK residents paid more than they should have done in transaction fees charged by Mastercard during a 16-year period.
It means that if his claim goes to trial and he wins, anyone who can prove they were in the UK between 1992 and 2008 will get the £300 payout. it doesn’t matter if you didn’t even have a Mastercard — the claim is that anyone who made payments in Britain at the time was hit with unfairly high transaction fees.
The foundation for the giant legal battle started in 2007 when the European Commission found Mastercard had breached European competition law in relation to setting certain fees charged between banks in Mastercard transactions.
Then in 2017, the Competition Appeal Tribunal refused Merrick’s original claim for damages, saying it would not allow the case to go trial.
But now the court of appeal has ordered the tribunal to reconsider what is now the biggest class action in British legal history.
The claim was originally rejected by the tribunal in part because it couldn’t work out how to calculate individual losses caused by Mastercard’s fees.
But the court of appeal found that was not a legal basis for rejecting certification for a court action.
Merricks says the maximum payout would be around £300 for anyone who can prove that they were in the UK between 1992 and 2008.
Merricks alleges that Mastercard’s breaches of competition law led to UK consumers paying higher prices on purchases from businesses that accepted Mastercard.
According to Walter Merricks “As a result we all had to pay higher prices in the shops than we should have done — while Mastercard have pocketed the profits.
However, Mastercard says it’s willing to fight the lawsuit all the way up to the Supreme Court.
According to a company spokes person, “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.”