Court of Appeal revives class action
BY AMBER HICKS SOME 46.2million people in the UK could be in line for a £300 payout from Mastercard if legal action against the company is successful.
A £14billion damages claim against the firm was revived by a Court of Appeal ruling yesterday.
Ex-financial ombudsman Walter Merricks is trying to bring legal action against the credit card giant on behalf of UK consumers.
It follows a European Commission decision in 2007 that Mastercard had breached competition law in relation to the setting of certain transaction fees.
Merricks alleges this led to consumers paying higher prices on purchases from businesses that accepted Mastercard. His proposed class action was thrown out in July 2017 by a specialist tribunal.
But, giving judgment in London, senior judges found that the Competition Appeal Tribunal had applied the wrong legal test in deciding whether to give the claim the go-ahead.
It will now go back to the tribunal, which will have to reconsider whether to allow it to proceed.
The proposed action would include anyone who was over 16 and resident in the UK for at least three months between 1992 and 2008, and who made a purchase from a business that accepted Mastercard – unless the opt out.
Mastercard said it was seeking permission to appeal against the ruling to the Supreme Court.
A spokeswoman added: “Mastercard continues to disagree fundamentally with the basis of the claim.”