Federal Judge Dismisses Collusion Lawsuit Against Apple, Visa, and Mastercard, Merchants Given 30 Days to Amend Complaint

A federal judge has dismissed a lawsuit against Apple, Visa, and Mastercard, which accused them of colluding to keep payment processing fees artificially high for merchants. The judge found the plaintiffs lacked sufficient evidence and relied on "speculative and conclusory" allegations. The plaintiffs have 30 days to amend their complaint and try again.

A federal judge has dismissed a lawsuit against Apple, Visa, and Mastercard, accusing the companies of colluding to keep payment processing fees artificially high for merchants. The judge found the plaintiffs' claims lacked sufficient evidence and relied on "speculative and conclusory" allegations. The plaintiffs have 30 days to amend their complaint and try again.

The lawsuit, filed by beverage retailer Mirage Wine & Spirits and other businesses, was brought on behalf of a proposed class of thousands of merchants. The plaintiffs alleged that Visa and Mastercard paid Apple hundreds of millions of dollars annually to prevent it from launching a rival payment network, thereby keeping transaction fees elevated for merchants.

U.S. District Judge David Dugan ruled that the plaintiffs offered only "a slew of circumstantial allegations" but allowed them to amend their suit to bolster their claims. The three defendants denied any wrongdoing and urged the judge to dismiss the suit.

Apple argued that the complaint failed to show that the company had any plan to enter the payments network market and compete with Visa or Mastercard. In his ruling, Dugan noted that the plaintiffs' allegations "completely ignore the difficulties, costs and time, risks, and potential for failure associated with such an endeavor."

The decision comes as mobile wallets are emerging as a significant force in how consumers conduct in-store transactions worldwide. According to a PYMNTS Intelligence report, mobile wallets now account for 21% of all in-store transactions, a 10.9% increase since 2022 [2].

References:
[1] https://seekingalpha.com/news/4466560-apple-visa-mastercard-secure-court-victory-as-judge-dismisses-merchant-fee-suit
[2] https://www.pymnts.com/legal/2025/apple-visa-mastercard-antitrust-lawsuit-tossed-federal-judge/
[3] https://macdailynews.com/2025/07/10/apple-visa-and-mastercard-win-dismissal-of-merchant-antitrust-lawsuit-over-payment-fees/