Explanation
The purpose of this ordinance is to authorize the acceptance of settlement funds associated with litigation concerning fees for accepting Visa and Mastercard payment cards. This ordinance authorizes the City of Columbus to accept funds from the City’s settlement of claims in the Multidistrict Visa and Mastercard Payment Card Interchange Fees Antitrust Litigation (hereinafter also referred to as “the MDL”) - IN RE: PAYMENT CARD INTERCHANGE FEE AND MERCHANT DISCOUNT ANTITRUST LITIGATION, in the United States District Court for the Eastern District of New York, MDL Case No. 1:05-md-01720.
The MDL involves claims against Visa U.S.A. Inc., Visa International Service Association, and Visa Inc. (hereinafter collectively “Visa”); Mastercard International Incorporated and Mastercard Incorporated (hereinafter collectively “Mastercard”); and Visa’s and Mastercard’s member banks. The claims involve allegations that merchants paid excessive interchange fees between January 1, 2004 and January 25, 2019 to accept Visa and Mastercard payment cards because Visa and Mastercard, individually and together with their respective member banks, violated antitrust laws. The City of Columbus is a Class Member in the MDL because the City accepted Visa-Branded Cards or Mastercard-Branded Cards in the United States between January 1, 2004 and January 25, 2019.
The City became a Settling Class Member in the settlement of the claims in the MDL on July 23, 2019 when it did not opt out of the class settlement.
Fiscal Impact: Settlement proceeds will be deposited into the general fund.
Emergency explanation: it is necessary to establish the authority to accept these funds from the settlement at the earliest possible time in light of anticipated damage awards being distributed imminently.
Title
To authorize the acceptance of funds from the City’s settlement of claims in the Multidistrict Visa and Mastercard Payment Card Interchange Fees Antitrust Litigation; and to declar...
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