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U.S.: Supreme Court to hear AmEx appeal to keep clause preventing class actions

 |  November 12, 2012

The Supreme Court has agreed to review an appeal made by American Express Co in the credit card company’s efforts to maintain a contractual arbitration clause. If the Supreme Court approves of the clause, merchant customers would not be able to bring class actions against the company; American Express has forced merchant customers to sign off on the agreement since 1999. The case that has reached the Supreme Court stems from a 2003 case where a group of restaurants, retailers and others sued the credit card company under claims it violated competition law when it forced inflated fees upon its merchants on card transactions. American Express appealed the case to the 2nd U.S. Circuit Court of Appeals in New York, where it lost.

Full Content: Reuters

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