Archive Links

Consumer Archive
CU System Archive
Market Archive
Products Archive
Washington Archive

News Now

Washington
NEW: Fed, Merchants Seek Expedited Court Action On Interchange Appeal
WASHINGTON (9/19/13, UPDATED 3:49 p.m. ET)--The merchant plaintiffs in the debit card interchange lawsuit known as NACS v. Board of Governors of the Federal Reserve System and the defendant Fed have filed jointly an emergency motion asking the U.S. Court of Appeals for the District of Columbia Circuit to expedite action in the case.
 
Specifically, the parties are asking the D.C. Circuit court to move quickly on the Fed's appeal that attempts to overturn a lower court ruling that the regulator's implementation of the Dodd-Frank Act debit card interchange fee was faulty and should be scrapped.
 
In the emergency motion the merchants assert that every day that the existing final rule is left in place potentially causes merchants "irreparable injury" because the cap is too high.
 
The Fed argues that expedited treatment is necessary because to vacate the existing rule before a resolution of the appeal "would eliminate the existing regulatory limits on the amount of fees that merchants can be required to pay in connection with each debit card transaction subject to the rule and thus allow the unrestrained imposition of fees by card networks and issuers on the businesses that accept debit cards--precisely the practice that the statute sought to prevent."  The Fed further claims that expedited treatment is necessary to provide "timely guidance and certainty about the rules and procedures governing the millions of debit card transactions being conducted every day--a matter of unusual public interest." 

The Fed said it could not adopt an interim regulation while the appeal is pending without mooting the appeal. A decision is expected soon from the district judge regarding whether he will leave the stay in place throughout the appeal.


RSS print
News Now LiveWire
Falling #gas prices: Pros, cons for U.S. economy #NewsNow #Market http://t.co/XWwwERwe7e
7 hours ago
Members of Interstate FCU have voted to merge with Credit Union of Southern California https://t.co/yYeSWEG4GH
10 hours ago
.@InfinityFCU has named Liz Hayes as president/CEO. Hayes was formerly EVP and chief administrative offficer at @Affinity_Plus
10 hours ago
.@wpcu battles Speedway in round 3 of Dayton Brand Madness via @DBJnews http://t.co/EbQL5f9be8
11 hours ago
New at #NewsNow: Fed regulators approve new #QRM rule. http://t.co/Bdz5q43xjZ
12 hours ago