NEW YORK A U.S. appeals court yesterday declined to hear a review of a lower court’s preliminary approval of the landmark antitrust suit against Visa and MasterCard, insisting it won’t hear the appeal until a final decision is rendered by the lower court.
In its ruling, the U.S. Court of Appeals for the Second District said the parties must wait and refile their appeal after the U.S. District Court for the Eastern District of New York has issued its final ruling. That is not expected until later this spring.
The landmark deal, in which Visa and MasterCard and a handful of big banks have agreed to pay a $7.2 billion settlement to some eight million merchants, is opposed by dozens of retailers and trade groups that brought the proposed class action, saying the deal illegally prevents dissenters from bringing their own separate legal challenges.
Hundreds of merchants, including the world's largest retailer, Walmart, have also objected to the proposed settlement, claiming it offers meaningless financial relief for merchants.
The lower court issued a preliminary approval in November and the opponents appealed the ruling, but the appellate court denied their appeal on December 10. The same court rejected their bid for reconsideration yesterday, likely delaying a final disposition in the historic antitrust case until late this year or into 2013.
Opponents to the huge deal cover a broad swath of U.S. commerce who were original plaintiffs in the antitrust suit, including six national trade associations, the National Association of Convenience Stores; National Association of Truck Stop Operators; National Community Pharmacists Association; National Cooperative Grocers Association; National Grocers Association; National Restaurant Association, as well as several merchants.
