VANCOUVER (March 29, 2011) -- Branch MacMaster LLP and Camp Fiorante Matthews filed a proposed national class action in the British Columbia Supreme Court against Visa, MasterCard, and several leading banks. The claim alleges that the credit card giants and banks have engaged in a multi-billion dollar price fixing conspiracy to increase or maintain the fees paid by merchants on every credit card transaction.
When a customer pays with a credit card, Visa and MasterCard take a percentage fee, along with the card-issuing bank and the company that processes the payment. That percentage varies depending on what kind of card is used. Basic cards charge a smaller percentage, while premium credit cards that offer points and other rewards cost merchants a much higher fee.
The claim alleges that Visa and MasterCard rules force merchants to accept every Visa or MasterCard credit card, even if those cards carry high fees for the merchant. The claim also alleges that these rules prevent merchants from charging more for payments with premium cards.
Ward Branch, partner at Branch MacMaster LLP said, “The lawsuit alleges that merchants are forced to raise prices for all customers to cover the cost of transactions with premium cards. Our research suggests that these fees cost Canadian merchants $5 billion in 2009 alone. The system is bad for Canadian merchants, Canadian consumers, and for the Canadian economy as a whole.”
The suit follows a filing by the Competition Bureau of Canada, which seeks to prevent Visa and MasterCard from imposing the rules preventing surcharges and forcing merchants to honour all cards. This proposed class action seeks to recover the fees that Visa, MasterCard, and the banks are alleged to have collected illegally from merchants.
Along with Visa and MasterCard, the suit names BMO Financial Group, Bank of Nova Scotia, Canadian Imperial Bank of Commerce, Desjardins, National Bank of Canada, Royal Bank of Canada, Toronto-Dominion Bank, Bank of America, Capital One, and Citygroup Inc. as defendants.
Contacts:
Greg McMullen
Branch MacMaster LLP
gmcmullen@branmac.com 604-631-2560
Reidar Mogerman
Camp Fiorante Matthews
rmogerman@cfmlawyers.ca 604-331-9530
The claim is brought on behalf of the Plaintiff and of a proposed class comprised of land surveyors in Ontario.
Ward Branch and Luciana Brasil of Branch MacMaster LLP are counsel for the Plaintiff and for the proposed class, together with William O'Hara of Gardiner Roberts LLP.
We are updating our website and will soon have a page dedicated to this action. For more information in the meantime, please contact Luciana Brasil at lbrasil@branmac.com or (604) 654-2960.
]]>If you purchased any polyurethane foam from 1999 onwards, and would like to obtain more information about these proceedings, please contact Ulla Herlev at uherlev@branmac.com or (604) 654-2964.
The claim has been registered in the National Class Action Registry maintained by the Canadian Bar Association.
]]>For a list of the products recalled, please go to http://www.eukanuba.com/en-US/product-recall.html
Ward Branch and Luciana Brasil of Branch MacMaster were counsel for the class in connection with the settlement of the claims arising from the Menu Foods recall in March 2007.
]]>The settlement, if approved, provides for a payment in excess of $5 million, and substantial cooperation in the prosecution of the remaining claims against Hershey, Nestle and Mars.
Ward Branch and Luciana Brasil of Branch MacMaster LLP are counsel for the BC class, together with J.J. Camp Q.C. and Reidar Mogerman, of Camp Fiorante Matthews, and part of a national team assembled to prosecute the claims.
]]>Professor Geist recently commented on this decision here.
In Private Career Training Institutions Agency v. Vancouver Career College (Burnaby) Inc., the Supreme Court of British Columbia held that bidding on a competitor's trade name in connection with keyword advertising is not misleading, and refused to order an injunction to restrain such practice. This was the first decision in Canada on an issue that is receiving increasing attention in the U.S. Luciana Brasil and Ward Branch were counsel for the successful Respondent, Vancouver Career College (Burnaby) Inc.
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