£ 14 billion Mastercard class motion following historic Supreme Courtroom ruling
The Supreme Court today (December 11th) rejected Mastercard’s efforts thwart former financial ombudsman Walter Merricks’ £ 14bn class action lawsuit against it in what is a landmark decision for the future of collective action against companies In the United Kingdom Courts.
The Supreme Court decision upholds an earlier decision by the appeals court and to adjusts apart from the original judgment of the Competition Appeal Tribunal (CAT) what would prevented the right to group action.
The action brought by Merricks hopes to reclaim funds for anyone over the age of 16 who used Mastercard and had excessive transaction fees between 1992 and 2008. The case is the first consumer mass action brought under the new collective redress procedure introduced by Parliament in the Consumer Rights Act 2015. Legislation should allow a class that has suffered losses as a result of competition law violations to bring class actions.
The Supreme Court held that the original judgment of the CAT ‘contained errors of law “and it” was misdirected in the application of the new legislative regime. ‘It is crucial that the S.The Supreme Court found that the CAT never found it The Merricks would have no reasonable chance of showing that the class had suffered a significant loss.
Comment on the decision, Boris Bronze drinkers, who represents Quinn Emanuel Urquhart & Sullivan Partners Merrickssaid: ‘Today the biggest case in UK legal history is making history on a very important day for all UK consumers. Mastercard and its attorneys have long made dismissive remarks and commented that the case was exaggerated and unsuitable for class action, but the Supreme Court today definitely found the exact opposite. The Supreme Court has recognized the need for mass collective action by consumers. Mastercard acted anti-competitive the European Court of Justice has definitely ruled that. The Supreme Court has now upheld the Court of Appeal’s ruling that this is an allegation that must have its day in court to determine the full extent of the damage Mastercard has done to UK consumers.‘
Next Bronze drinkers, Merricks is represented by Colleague Quinn Emanuel Partner Kate Vernon and Nicola Chesaitesbriefed Paul Harris QC of Monckton Chambers and Marie Demetriou QC of Brick Court and Victoria Wakefield QC.
Now Mastercard is represented by Freshfields Bruckhaus Deringer Partners Jonathan Isted, Nicholas Frey and Mark Sansom teach Mark Hoskins QC from Brick Court Chambers, Jon Lawrence and Hugo Leith and Matthew Cook from One Essex Court.
For more background information on this dispute, see the Perfect Storms Cases Of The Year section in our 2020 Disputes Yearbook