Mastercard wins UK court nod for £200 million deal to end £10 billion class action claim

MASTERCARD won a London court’s approval for the 200 million euros (S$279.44 million) agreed to pay to end a high profile class action over the fees it charges, which was initially estimated to be worth more than 10 billion euros.

The Competition Appeal Tribunal approved the deal on Friday (Feb 21) rejecting the litigation funder Innsworth Advisors’ allegation that the settlement undervalued the claim.

“The settlement is being approved subject to finalization” of the details, a judge said. A formal order will be made later.

The challenge by the funder followed a settlement in what was once the country’s largest class action claim over the amount Mastercard charged consumers and businesses to use its cards. 

Spokespeople for Innsworth and the lead claimant Walter Merricks, who represented about 44 million consumers, did not immediately comment after the ruling. Mastercard’s spokesperson welcomed the tribunal’s decision. BLOOMBERG