Actionable news
0
All posts from Actionable news
Actionable news in AXP: AMERICAN EXPRESS COMPANY,

San Francisco Sues American Express for Excessive Card Fees

San Francisco sued American Express Co. for allegedly stifling competition with excessive fees, seeking billions of dollars in restitution to merchants.

“The party is over for American Express,” City Attorney Dennis Herrera said Thursday in a statement.

“American Express for years has exacted a 3 percent fee on each charge card transaction -- well in excess of fees charged such competitors as Visa and MasterCard,” and Amex “strictly prohibited its participating merchants from taking any step to encourage consumers’ use of less costly payment methods, including cash.” according to Herrera.

“We don’t believe the suit has merit” and will fight it, Marina Norville, a spokeswoman for American Express, said Thursday by e-mail.

Herrera said in his complaint that California merchants account for about $2.25 billion of the $15 billion paid in...


More